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 Friday, September 18, 2009 - Budget Update

 There are now 12 days to go until the Sept. 30 deadline to balance the state budget.I have two important developments to update you on:

• The Legislature took an important step forward by naming members of conference committees, which are set up to reconcile differences between the House and Senate versions of a bill. These bipartisan committees have the responsibility of reaching compromises on the 15 departmental budgets that make up the state's overall budget. Once that process is done, the complete budget will be presented to both chambers for voting. 

 Negotiations will undoubtedly be difficult, considering the deep cuts that will be necessary to resolve our $2.8 billion deficit in order to balance the budget. The conference committees plan to work throughout the       weekend.

•  Meanwhile, the House voted yesterday to put 55 state troopers back on the job protecting our highways. Governor Granholm ordered 104 troopers laid off earlier this year - a move I never agreed with. Taxpayers paid to train these highly skilled law enforcement professionals, and we need them working and keeping our roads and communities safe. I voted to send this legislation to the Senate in order to protect these jobs and protect our families. Funding for these positions was achieved in large part by cutting administrative costs in the state police department.

As far as the overall budget, I accept that deep cuts are necessary because of our poor economy and the shortfall in state revenues - despite the fact that the state has cut $6 billion since 2003. That's how tough our fiscal situation is.

As we strive to make government leaner and more efficient, though, we have to be careful not to go too far. That's exactly what the Senate did in the budget it passed earlier this year - the budget that the conference committees are now considering.

 Parts of that budget would be devastating for Auburn Hills and Pontiac. The Senate budget: 

• Cuts $110 per pupil in the Avondale and Pontiac districts.
• Eliminates funding for district early childhood grants.
• Eliminates school-based health centers in the Pontiac district.
• Eliminates funding for school bus inspections, endangering our students.
• Eliminates $4,000 scholarships for students attending Michigan universities and colleges, closing the door to college for thousands of young people.
• Eliminates Math and Science Center Grants.
• Cuts statutory revenue sharing to Pontiac and Auburn Hills by an additional 12 percent - this is the money that provides our police and fire services.   
• Reduces Medicaid re-imbursements to doctors, which will cause a cut in federal matching dollars that will have a severe effect on hospitals.
• Cuts funding for nursing homes in Pontiac and Auburn Hills.

I will be sending further updates as negotiations continue next week.