Legislature Moves Supplemental Funding

Liz Gullett

Jan 27, 2023

Following a series of negotiations, the House and Senate passed a $1.1 billion supplemental appropriation this week. The bill, introduced by Senate Appropriations Chair Sarah Anthony (D-Lansing), makes several adjustments to the FY 2021-2022 budget that was signed last summer. As with any budget, this accounts for changes that were necessary throughout the year so the state may close its accounting books for the prior fiscal year. In total, $146.3 million was appropriated for the prior fiscal year. Of that, $120 million was appropriated to reflect higher caseloads within the SNAP program. The remaining $946.2 million within the supplemental is new funding for the current 2022 – 2023 fiscal year.

Earlier in the week, the two chambers were unable to pass an identical piece of legislation, sending it to conference committee. After a day of negotiations, the members came to an agreement and both chambers passed the bill Thursday evening. Funding within the bill includes:

- $200 million for an Upper Peninsula economic development project
- $150 million for affordable housing and housing gap financing
- $150 million for the Strategic Outreach and Attraction Reserve fund
- $100 million for community revitalization and placemaking grants
- $75 million for blight elimination
- $75 million for small business smart zones

The supplemental will be sent to Governor Gretchen Whitmer for her consideration.

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