What’s in Gov. Whitmer’s $80.7 billion budget proposal for FY25

LANSING, Mich. (WLNS) — Governor Gretchen Whitmer has presented her $80.7 billion budget recommendation for 2025 in a joint session of the House and Senate Appropriations Committees.

The proposal delivered before a joint session of the House and Senate appropriations committees listed six priorities: balancing the budget and cutting red tape; lowering costs; crime reduction and health; affordable education; manufacturing: and a more fair, equitable Michigan.

It includes $19 billion in school aid, $37.5 million for a new family tax credit, $25 million for a new vehicle rebate, $500 million for the Strategic Outreach Attraction reserve to bring new businesses to Michigan, $700 million for the Rebuilding Michigan road repair plan and $193.3 million to build new behavioral health clinics across the state, among other things.

The school dollars include $370 million for a 2.5% increase in per-pupil funding, $300 million for student mental health and school safety, $251 million for literacy grants and coaches, $200 million for tutoring programs, $175 million for teacher training and retention programs, and $125 for transportation reimbursements to school districts.

A new big-ticket education item is $159 million to expand free preschool to every 4-year-old in the state, which Whitmer proposed in her State of the State address. She says that under her plan, 6,800 more children will attend pre-K and that families will save $10,000 annually. Some of the money will pay to create new preschool classrooms in underserved areas and fund transportation, she says.

FY25-Executive-Budget-Recommendation-PresentationDownload

The budget also includes $100 million to bring the state’s rainy day fund to $2.2 billion and $10 million for the Disaster and Emergency Contingency Fund.

Whitmer said her plan will lower costs for Michigan families and residents.

“My balanced, fiscally responsible budget recommendation for fiscal year 2025 builds on the historic investments we’ve made since I took office and delivers on the issues that make a real difference in people’s lives,” she stated. “Together, let’s lower costs for working families, deliver the Michigan Guarantee to offer every Michigan child a free public education from pre-K through community college, save family caregivers thousands on their taxes, and power our economic and workforce development to build and lead the future. Let’s get it done so everyone can ‘make it’ in Michigan.

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