Governor Signs Budget with Line Item Vetoes

Liz Gullett

Jul 21, 2017

Last Friday afternoon, Governor Rick Snyder signed the budgets appropriating funds for the 2017-2018 Fiscal Year, beginning on October 1. The total investment plan for the state, including federal funding, totals $56.5 billion. Highlights of the budget include:

$115.5 million for business attraction
Increased foundation allowance in K-12 schools of $60-$120 per pupil
A 2% increase for university operations
$35 million in new funding to the Michigan Infrastructure Fund
$4.1 billion, primarily federal dollars, in the Healthy Michigan Program providing Medicaid coverage to an expanded segment of the population
$150 million deposit into the state’s rainy day fund
Reduced the assumed rate of return in the state’s retirement system from 8% to 7.5%

However, there were items of disagreement between the legislature and the Governor, resulting in a few line item vetoes, including:

Education and training of draft beer delivery systems
The purchase of pediatric traumatic brain injury software
Health and dental care funding for indigent residents in Detroit and Wayne County
Civics education funding
Funding for a genomic opioid abuse demonstration program
K-12 online math program

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