Michigan

State aid to public schools hangs in balance

Wednesday, October 28, 2009

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Gabe Gutierrez
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LANSING (WJRT) -- (10/27/09)--Gov. Jennifer Granholm and the senate's top Republican are still trading blows over the Michigan's budget.

State aid to public schools hangs in the balance.

The governor has less than five days to sign six remaining budget bills. That's when Michigan's temporary budget runs out.

She is promising more vetoes, but says there will be no government shutdown.

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"Nobody can have a 'My way or the highway' attitude on a budget this difficult," she said.

Granholm addressed reporters Tuesday afternoon in Lansing, hours after GOP Senate Majority Leader Mike Bishop told her "take it or leave it."

He wants to freeze a tax credit for low-income workers and use the money help fill the the school aid budget.

"Nobody can say take it or leave it to anything because these are very difficult discussions," Granholm said.

Last week, the governor vetoed big parts of the school budget, saying it wasn't balanced. Monday, the state's Board of Education passed a resolution opposing the move.

Granholm wants to raise new revenue, either by shaving tax loopholes or evening out tobacco taxes.

The gridlock comes as the state temporary budget is set to expire on Saturday, Halloween night.

Meanwhile, State Sen. Gretchen Whitmer, a Democrat from East Lansing, is introducing several bills that would cut lawmakers pay and benefits every time they cut school funding.

So as it stands, most school are facing a $292 per-student cut.

Some of the higher spending districts even more than that.