July 18, 2008
LANSING - Governor Jennifer M. Granholm has signed legislation to provide funding for a number of state departments and state universities and community colleges. The fiscal year 2009 appropriations bills signed this week continue Granholm's commitment to invest in higher education, provide workers with the training they need for good jobs in areas of high demand, and protect citizens and their pocketbooks.
"A well-trained workforce and affordable college for Michigan families are critical pieces of our economic plan for Michigan," said Granholm. "By investing in our outstanding universities and community colleges and offering training for high-demand careers, we are investing in our economy and the future of every Michigan citizen."
The budgets signed this week include:
Higher Education
Funding for the state's universities is set at $1.77 billion, including $1.65 billion from the general fund, for the coming fiscal year. The budget increases state university operations funding to $1.5 billion, an increase of one percent over fiscal year 2008 levels. In addition, this budget provides $235 million for student financial aid to help keep higher education affordable for all Michigan citizens.
Community Colleges
Funding for community colleges is set at $299.4 million for fiscal year 2009, entirely funded by the state's general fund. Michigan's 28 community colleges provide more than 450,000 residents with access to affordable post secondary education. The budget includes a two percent increase over fiscal year 2008 levels for community college operations, distributed using the Performance Indicators Task Force formula developed in 2006. The formula allocates the increased funding 65 percent across the board, 17.5 percent based on enrollment, and 17.5 percent based on degrees and certificates awarded.
Department of Education
The fiscal year 2009 budget for the Department of Education totals $95.1 million, including $7.6 million from the general fund. This budget provides the funding needed to strengthen student achievement and accountability as required by the federal No Child Left Behind Act while providing services for at-risk students, special education programs, and teacher preparation services.
Department of Labor & Economic Growth
The fiscal year 2009 appropriation for the Department of Labor & Economic Growth (DLEG) totals $1.39 billion, including $73.6 million from the state's general fund. The department will continue its mission to strengthen the state's skilled workforce, help displaced workers get training, and protect the health and safety of the state's workforce through business licensing and regulatory activities.
The budget provides funding for two key initiatives - the Michigan Nursing Corps and No Worker Left Behind - to help citizens get trained for new careers in critical areas of need. The Michigan Nursing Corps, which targets the state's nursing shortage by expanding the number of classroom and clinical faculty, is funded at $5 million, an increase of $3.5 million over fiscal year 2008 levels. The governor's No Worker Left Behind program, which is already training more than 31,000 workers for new careers, will receive $15 million general fund in addition to enhanced federal funds to help even more workers get the training they need.
"No Worker Left Behind and the Michigan Nursing Corps are helping citizens get the training they need for careers in high-demand parts of our economy, and the new funding provided in this budget will help thousands of additional people get good jobs," said Granholm.
In addition, the fiscal year 2009 DLEG budget provides more than $184 million to support affordable housing programs, $80 million for energy assistance, and $52.7 million for the Office of Financial and Insurance Regulation, including additional funding to strengthen regulation of the mortgage industry.
Department of Agriculture
The Department of Agriculture's budget for fiscal year 2009 totals $95.2 million, of which $32.5 million comes from the state's general fund. The budget includes $21.5 million for food safety programs, $27.2 million to protect plant and animal health, and $13.6 million for consumer safety protections, including gas pump inspections.
Department of Community Health
The Department of Community Health's (DCH) fiscal year 2009 budget totals $12.5 billion, including $3.1 billion in general fund spending. This year's budget achieves the governor's goal of protecting health care for Michigan's children, seniors and vulnerable citizens while reducing general fund spending.
The DCH budget includes more than $8.8 billion to support health care services for more than 1.5 million citizens through the Medicaid program, including Children's Special Health Care Services. In addition, the budget provides over $2.8 billion in support of mental health services and $720 million for public health and aging programs.
Department of Corrections
The Department of Corrections budget for FY09 totals $2.04 billion in spending, including $1.98 billion from the state's general fund. For the first time in six years, the Corrections budget is reduced from the previous year.
As recommended by the governor in her executive budget, the fiscal year 2009 Corrections budget includes $50 million in general fund savings. The reductions include closure of the Scott Correctional Facility for women in Northville, changes to the operation of prison stores, administrative consolidations, alternative work schedules, and other changes.
Department of Environmental Quality
The Department of Environmental Quality fiscal year 2009 budget provides $361.7 million, including $44.4 million from the general fund, to support environmental initiatives in Michigan. Nearly $125 million is provided through grants and loans to local units of government for environmental clean-up and pollution prevention activities. The budget increases general fund support for the department to mitigate potential fee increases for a number of permits, including air emissions, groundwater discharge, solid waste and hazardous waste.
Department of History, Arts and Libraries
The fiscal year 2009 appropriation for the Department of History, Arts and Libraries totals $52.9 million, including $39.7 million in general fund spending. This budget contains $10 million in funding for public libraries and more than $8 million for arts and cultural grants. This is an increase in funding for arts and cultural grants over fiscal year 2008 levels.
Department of Human Services
Funding for the Department of Human Service (DHS) is set at $4.6 billion for fiscal year 2009, including $1.3 billion from the state's general fund. This year's budget continues to support the improvements in the child welfare system, which are already underway.
The DHS budget includes full funding for projected caseloads, including $670 million for the foster care, child care and adoption subsidy programs which provide vulnerable children with safe homes. In recognition of growing economic pressures on low income families, the budget increases the Family Independence Program cash assistance and clothing allowance grants that help more than 70,500 families that include more than 133,000 children. This is the first increase in cash assistance since 1990.
Department of Military & Veterans Affairs
Funding for the Department of Military & Veterans Affairs for fiscal year 2009 is set at $183.8 million, including $40.3 million from the state's general fund. Funding includes more than $4.0 million for veterans' service organizations, maintaining the 3 percent increase provided in fiscal year 2008. In addition, more than $64.5 million is provided for the Grand Rapids and D.J. Jacobetti Veterans' Homes, which serve more than 900 residents.
Department of Natural Resources
The fiscal year 2009 budget for the Department of Natural Resources totals $289.2 million, of which $10.6 million is general fund. The budget provides more than $60 million to support the state's parks and recreation areas and nearly $42 million for management of state forest land. General fund support for the department is reduced by $14.2 million with the transfer of responsibility for the Payment in Lieu of Taxes program to the Department of Treasury.
Judiciary
The fiscal year 2009 budget for the judiciary totals $261.9 million, $159.3 million from the state's general fund to provide for operations of the Michigan Supreme Court, the Court of Appeals, and related judicial agencies. This budget includes more than half a million dollars to support pilot mental health courts.
Michigan State Police
The Michigan State Police (MSP) budget for fiscal year 2009 totals $530.3 million, including $284.9 million from the state's general fund. To help keep citizens safe, the budget provides funding for a 100-recruit trooper school to restore State Police trooper strength to the highest level in five years and increases funding for the State Police crime labs.
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