In Budget, Budget Priorities, News Releases, Tax and Budget

For Immediate Release
July 1, 2022

Contact:
Alex Rossman
arossman@mlpp.org
517-775-9053

Agreement on 2023 budget includes significant funding for important priorities, ~$7B in opportunities remain on EITC increase and additional investment  

At-risk, special education funding, investments in kids and families among highlights, but lots of unspent funds, unfinished budget business

LANSING—The Michigan League for Public Policy issued the following statement on the bipartisan 2023 budget agreement finalized by the Michigan Legislature tonight. The statement can be attributed to League President and CEO Monique Stanton.

“The Legislature and governor continue to make strong investments in education, giving students the support they need for a better future. In particular, we are pleased to see full funding for the At-Risk school aid program to support students who are economically disadvantaged or at risk of educational failure, as well as the major change in the special education formula. Policymakers continue to make progress on recognizing that state school funding should be aligned with students’ needs, and the League will keep advocating for a true weighted school funding formula that achieves that.

“Tonight’s agreement follows the governor’s lead to increase cash assistance payments to parents for each child age 6 and under that they are raising. This funding is the most meaningful improvement to the state’s cash assistance program in over a decade, and will help families with lower incomes with the added challenges of caring for young kids–and better support children’s development at this critical age. Other positive budget investments for kids and parents include funding for before and after school care, diaper assistance, and a pilot project for doulas for high-risk pregnant people.

“While we are pleased to see resolution on the state budget by the deadline, we are disappointed to see action on an EITC increase delayed. The money is there, the agreement is there in principle, and the broad, cross-sector outside support is there–nearly universal alignment that is rare to achieve in the Capitol. It’s time to make this happen, and as policymakers return home for the summer recess, we urge organizations and residents from around the state to continue to lift up increasing the EITC as a top priority when lawmakers come back to Lansing.”

BACKGROUND:

2023 Budget:

Here are the Michigan League for Public Policy’s 2023 state budget priorities, including a number of policy areas addressed, in part, today: expanding Michigan’s Earned Income Tax Credit; helping babies and moms thrive by improving access to healthcare; ensuring access to safe, affordable housing; protecting Michiganders from environmental health threats; increasing essential local public health funding; supporting Michiganders with very low incomes; providing more funding to schools in high-poverty communities; allowing more children access to healthcare coverage; helping parents and caregivers access child care; improving access to healthy food for all Michiganders; and investing in complete, equitable data systems.

EITC:

The Michigan League for Public Policy and nearly 100 other business, advocacy, faith and nonprofit organizations continue to advocate for increasing the Michigan Earned Income Tax Credit (EITC). This week, the League and Michigan Chamber of Commerce wrote an OpEd calling for action and Comcast Newsmakers released an interview with League CEO Monique Stanton on the EITC. Also this week, the Michigan Catholic Conference, Small Business Association of Michigan, Detroit Regional Chamber of Commerce and Grand Rapids Chamber of Commerce sent a letter to the governor and legislative leaders outlining the benefits and importance of increasing the state EITC.

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The Michigan League for Public Policy, www.mlpp.org, is a nonprofit policy institute focused on opportunity for all. Its mission is to advance economic security, racial equity, health and well-being for all people in Michigan through policy change. It is the only state-level organization that addresses poverty in a comprehensive way.