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Budget Update as of Wednesday, Sept. 30, 2009 at 11 a.m.

I am doing everything I can to help the Legislature meet tonight's deadline to balance the budget. This morning the House passed an interim budget as a backup plan to keep the government operating after midnight, just in case. In addition, a "Call of the House" has been issued, meaning legislators cannot leave the chambers and authorities may be sent out to retrieve anyone who is not present.

Today, the six remaining budgets will come up for a vote: Higher Education, School Aid (K-12), General Government, the Department of Community Health, Transportation and State Police.

Here is a list of the budgets passed last night:

• Department of Education - This budget contains funding for the Department of Education and the State Board of Education. Cuts were made to the state board and oversight functions within the Department of Education. As part of an executive order, the Library of Michigan was transferred to the Department of Education. Funding for libraries was cut by $4 million.


• Department of Natural Resources/Department of Environmental Quality - Following an executive order by the Governor to consolidate the functions of these two departments, the conference report assumes the issuance and acceptance of this. These departments generally provide for the oversight and management of wildlife and natural resources programs. The DEQ budget is reduced by 30 percent.


• Department of Human Services - DHS administers a wide range of services to our most vulnerable citizens. A conference report was signed earlier in the day and passed late in the evening. The agreement is a compromise to the original target agreement. The overall agreement creates a 30 percent ($360 million) cut.


• Corrections Budget - This funds the Department of Corrections, the prison system, and the Michigan Prisoner Re-entry program. The conference report approved an $841 cut per prisoner, in addition to a cut of $72 million already approved. Language in the report gives the department flexibility in where the cuts must be made.

In addition to these latest budgets, the House has adopted five other conference reports. Here is a breakdown of their funding levels:

• The Department of Energy, Labor, and Economic Growth - Responsible for regulatory functions related to business and workers' issues. Also contains employment training-related programs and other services. The budget includes an increase of $31 million from federal stimulus dollars for assistance and training programs. However, overall state spending was cut by 7.5 percent.


• Military and Veteran Affairs - Responsible for veterans programs and maintenance of facilities. The total budget was reduced by $47 million for next fiscal year, in addition to a 3 percent general fund cut.


• Department of Agriculture - Responsible for agricultural programs and oversight. Budget savings include consolidating the Office the Racing Commissioner and cutting other programs. This budget contains an estimated reduction of just over $14 million.


• Judiciary - Responsible for funding our judicial system and assisting local courts. General fund spending was reduced $3.3 million.


• Community Colleges - The community colleges budget was held at the same level as last fiscal year ($299 million for 28 schools). However, in the past few years community colleges have not received enough money to keep up with the rate of inflation. Because of the economy and the injection of stimulus dollars into worker re-training programs, community colleges bear the most burden. This budget target was part of the original targets for all budgets agreed upon between House and Senate leaders.

I will keep you updated as often as I can. Please forward this update to anyone you think is interested. And please feel free to e-mail me at timmelton@house.mi.gov. I am eager to hear your ideas and concerns.

Sincerely,
State Representative Tim Melton
29th House District