Alliance Successful With State Budget Priorities

FY 2015-2016 State Budget Update – June 2015

The House, Senate, and Snyder Administration have agreed to the 2015-2016 FY budget. Below is a look at how the issues the Alliance was advocating for fared in the final budget that is on its way to Gov. Snyder:

Small & Rural Hospital Funding Changes – Opposed 

• Fully restored funding for the Small & Rural Hospital Access Pool and the Obstetrics (OB) Stabilization Fund using general fund dollars. This is exactly what the Alliance had advocated for.

HICA Tax Increase – Opposed 

• The HICA increase was omitted from the FY 2015-2016 budget.

Liquor License Fee Increases – Opposed 

• Liquor fee increases were omitted from the FY 2015-2016 budget.

K-12 Funding Equity – Support lowering foundation allowance gap   

• Schools can expect to receive an additional $70 – $140 increase in per pupil spending, with most northern Michigan schools receiving the high end of around $140.
• However, a number of other incentive payments and categorical were eliminated in next year’s budget that would offset some of the per pupil increases. Many superintendents have been quoted as saying their increases will likely be less than projected due to those eliminations.

Pure Michigan Funding Increase – Support 

• The Governor, House and Senate agreed to fund Pure Michigan at $33 million, a $4 million increase from last budget year.