Michigan is facing a $2.2 billion budget deficit for fiscal year 2020. | Canva
Michigan is facing a $2.2 billion budget deficit for fiscal year 2020. | Canva
Sen. Dale Zorn (R-Ida) is doubling down on methods to help resolve a $2.2 billion deficit for the fiscal year 2020, which includes putting COVID-19 financing into education and other areas that have suffered from the crisis, according to Zorn’s website.
“The COVID-19 pandemic has had a serious impact on family incomes, small businesses’ bottom lines and our state budget,” Zorn said, according to his website. “I am proud to support this bipartisan solution to balance a historic deficit in the current budget year, while also protecting critical support for local governments and schools.”
The Senate Appropriations Committee also pushed through an executive order from Gov. Gretchen Whitmer that cut down spending for the current year, such as reductions in a majority of state agencies and executive and legislative budgets.
Sen. Dale Zorn
| #MiSenateGOP
With this plan, the state will save $936 million in the 2020 fiscal year. It will also use $350 million from a rainy day fund.
The budget will also be resolved by allocating more than $3 billion from federal COVID-19 relief funds to schools and other entities as follows: $555 million to schools, $200 million to universities and community colleges, $350 million to local governments.
“Education continues to be a top priority, and this plan will provide schools a $175-per-student increase to ensure Michigan children can safely return to learn this fall,” Zorn said on his website. “It also will give our teachers $500 in one-time hazard pay in recognition of their commitment to finding innovative ways to educate our kids during this global pandemic.”
While the state is out of the woods for the 2020 fiscal year budget, 2021 still remains an issue.
Both pieces of legislation, Senate Bill 373 and House Bill 5265, are heading to Whitmer’s desk for her signature once they are finalized by the House.