Saturday, September 19, 2009

Michigan Budget Update as of 9/18/09 at 1:30 p.m.

From: Rep. Robert Jones
Date: Fri, Sep 18, 2009 at 1:52 PM
With just 12 days to go until our Sept. 30 deadline to balance the state budget, I'm writing to give you an update of what's happening at our State Capitol. Over the next 13 days I will be providing budget updates on a regular basis. It is important that we try to keep our communication lines open during this period and I will do my best to try to keep you up to date on negotiations.

As you know, the economic situation in Michigan this year is very difficult and has dramatically decreased the amount of revenue the state has to fund services. As a result, we now find ourselves with an approximately $2.8 billion deficit. I understand it is imperative that we reach a resolution to the budget as soon as possible. The uncertainty to school districts and municipalities makes it very difficult for them to formulate their own budgets.

My colleagues and I are making progress in reaching a budget resolution. It's not easy – there are extremely tough choices to make. We all know that Michigan is in terrible financial shape, due to many factors: the struggles of the auto industry, the national recession that hit Michigan first and hardest, the national economic downturn, etc. State revenues are down in part because of our 15.2 percent unemployment rate.

There's no doubt that severe, painful cuts must be part of the solution. House Democrats are ready to make those tough choices in order to create a leaner, more efficient government, move our state forward and avoid a shutdown.

But let me make one thing extremely clear: There are certain priorities that I and many of my Democratic colleagues will not compromise on! We simply cannot – and will not – give up the fight for what truly matters most to our residents and to our state's future.

No matter what happens, I will fight for four key priorities:

Police and fire protection: We must provide the funds our local communities need to keep police and firefighters on our streets so our families and communities stay safe.

School readiness programs and K-12 funding: Every child has the right to a quality education so they're prepared to succeed in life and in the 21st century economy.

The Michigan Promise Scholarships: Every high school student who has worked hard deserves the opportunity to go to college and learn the skills they need to make a better life for themselves.

Health care for our most vulnerable citizens: We in Michigan do not turn our backs on kids and seniors who lack basic medical care.

I've included a list of key cuts below included in the plan that the Senate Republicans passed. Please look at the list and consider how much these programs make a difference in your lives and the lives of your children, your family members, your neighbors. …

So much is at stake: Do we want to risk losing our home to a fire because our firefighters are stretched too thin? Do we want to lose a whole generation of kids to failing schools? Do we want to close the door to middle class families who dreamed of sending their kids to college? Do we really want to turn our backs on kids who need a healthy start in life? I don't think so … and I don't think that most of you want to, either.

Your support is always appreciated. Please feel free to forward this update to anyone you think is interested in knowing what's happening at the Capitol.

Please also feel free to e-mail me at robertjones@house.mi.gov – I am eager to hear your ideas and concerns.

Sincerely.
State Representative Robert Jones
60th House District

Some cuts included in the budget approved by the State Senate

* Slashed revenue sharing (local police and fire protection) by $97.5 million above and beyond what had already been cut
* Eliminated the Michigan Promise Scholarship for college students ($140 million)
* Cut $20.7 million from the Healthy Michigan Fund
* Cut K-12 funding by $110 per pupil ($174 million)
* Eliminated small/rural declining enrollment grants ($10.6 million)
* Eliminated school readiness grants (both district and competitive) ($103.5 million)
* Eliminated funding for the Michigan Youth ChalleNGE Academy ($1 million)
* Reduced Medicaid provider rates by 8% ($94.9 million)
* Cut Community Mental Health non-Medicaid aid ($61.8 million)
* Cut Family Independence Program grants to very poor families with children by $24 million