deficit

Politics & Government
6:12 pm
Thu August 9, 2012

US Congressmen Amash, Huizenga weigh in on “sequestration” debate

US Congressman Bill Huizenga (R-Mich) at a Kent County unity party following the primary this week.
Lindsey Smith Michigan Radio

President Obama and leaders in Congress will need to agree on a way to reduce the federal budget deficit to avoid automatic, sweeping cuts in January. There’s concern that the cuts could have a damaging effect on the economy and military programs.

The cuts are looming because Congress authorized the federal government to borrow more money last summer. In exchange, a bi-partisan super committee (Michigan Congressmen Dave Camp and Fred Upton served on the committee) was supposed to come up with a plan to cut the federal deficit. But that committee failed.

Congressman Justin Amash says, yeah, he called it.

"…That they would raise the debt ceiling, borrow more and then later on say ‘oh we don’t want to do these cuts’ and that’s exactly what’s happening,” Amash said.

Amash, who represents Michigan’s 3rddistrict, was the only Republican from Michigan to vote against what he says was a “phony plan” to begin with.

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Politics
1:49 pm
Mon May 16, 2011

Lansing decides city budget tonight

The Lansing city council is scheduled to vote on next year's city budget this evening.   Declining property values and rising health care costs are forcing deep spending cuts. 

 City leaders hope an estimated 4 million dollars in state revenue sharing will allow a reduction in the number of possible police and fire fighter layoffs.

Jerry Ambrose is Lansing's city finance director.    He says the Mayor's office is also seeking 3 million dollars in union contract concessions, mainly in health care coverage. 

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Detroit
6:45 am
Tue May 3, 2011

Detroit City Council continues hearings on budget

Budget hearings continue today in Detroit. The Detroit City Council’s budget, finance and audit standing committee will discuss the city's Finance Department budget later this afternoon, the Associated Press reports. From the AP:

The Detroit City Council is continuing hearings on Mayor Dave Bing's proposed 2011-12 budget…

Bing presented his proposed $3.1 billion budget to the council last month. He says the city faces a $155 million deficit that could swell in several years unless there are more cuts, and payments to two city pensions and health care expenses are reduced.

Bing met Monday with union leadership where he detailed needed concessions to help cut into the deficit.

The council is expected to make recommendations or changes to Bing's proposal. The new fiscal year begins July 1.

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Politics
6:31 am
Mon April 25, 2011

Bay City preparing for budget deficit

Bay City is preparing for a 2011-2012 budget deficit
Ifmuth Flickr

From the Associated Press:

Commissioners in Bay City are bracing for another year in the red heading toward Monday's presentation of the proposed 2011-12 city budget. The Bay City Times reports a deficit similar to the $1.6 million faced this year is expected due to anticipated cuts in state funding.

The budget year begins July 1. Commission President Kathleen Newsham warns that the news is "going to be bad." City Manager Robert Belleman says no municipal layoffs are expected in the proposed budget and that money from a reserve fund will be used to cover a deficit.

Bay City registered $1.4 million in savings last year. Belleman says the city's revenue sharing from the state is down by at least a third.

State Budget
6:49 am
Tue April 12, 2011

State lawmakers return to Lansing

State lawmakeres in both the House and Senate will be back in Lansing today
Matthileo Flickr

Michigan lawmakers will be back at the state Capitol today after a two-week Spring break and it appears that their attention will turn to the state budget.

Budget-related subcommittees in both the House and Senate are scheduled to meet today.

The state faces a projected budget deficit of around $1.5 billion for the fiscal year that begins October 1st. Governor Rick Snyder says he wants lawmakers to finish the budget by May 31st.

Many lawmakers, however, say they don’t think the budget process will be finished before this summer.

Detroit
6:32 am
Tue April 12, 2011

Mayor Bing to present budget to city council

Detroit Mayor Dave Bing at Governor Rick Snyder's January 1st inauguration
Corvair Owner Flickr

Detroit Mayor Dave Bing will present his budget for the city later this morning. The Associated Press reports the budget will propose a five-year plan to wipe out the city's $150 million budget deficit. From the AP:

Tuesday morning's presentation is the first step in the city's budget approval process heading into the new fiscal year that starts July 1.

It follows Gov. Rick Snyder's signature last month on a state law that gives more power to state-appointed financial managers, letting them toss out union contracts to help balance the books of distressed communities and struggling school districts.

Bing has fought often with city unions over concessions designed to cut into the deficit.

A union protest of Bing's proposed 2011-12 budget is planned Tuesday's afternoon outside the Coleman A. Young Municipal Center.

City Budgets
8:41 am
Mon March 28, 2011

Bernero to deliver Lansing budget plan today

Lansing Mayor Virg Benero will deliver his 2012 budget today
Photo courtesy of VoteVirg.com

Lansing Mayor, and former Michigan gubernatorial candidate, Virg Bernero delivers his city's 2012 budget to the Lansing City Council tonight. It's being reported this morning that Bernero will propose a budget that contains $20 million in cuts.

The Lansing State Journal reports:

In the run-up to Monday's formal budget presentation, Bernero's staffers have sent signals about the magnitude of possible cuts. Among the most notable: the potential closure of three fire stations and elimination of 60 positions in the Fire Department.

As the Lansing State Journal explains, Lansing, like many other cities and townships across the state, is, "caught between competing budget pressures. First is the drop off in revenue from local property taxes and from promised aid from the state government. City budgeters also have to cope with rising costs, particularly on pensions and on health care for workers and retirees alike."

State Budget
6:53 am
Thu February 17, 2011

Governor Snyder to outline budget proposal today

Governor Rick Snyder will deliver his budget proposal today to the state Legislature
Photo courtesy of www.governorelectricksnyder.com

Update 6:46 a.m.:

Governor Snyder has given a copy of his $45 billion budget plan to the Associated Press. The AP reports:

Rick Snyder is asking for "shared sacrifice" from everyone from senior citizens to state workers, public schools to city halls as he seeks to make up a huge budget gap with a massive budget overhaul.

Even before Snyder presented the plan to lawmakers Thursday, he was defending it. He says it would put the economically troubled state on sound financial footing.

It would cut spending for schools, universities and local governments while ending many personal tax breaks. It would eliminate before- and after-school programs, cut hundreds of state jobs and ask public employees for concessions.

6:30 a.m.:

Governor Rick Snyder will unveil his budget proposal today at 11 a.m. in Lansing. As the Associated Press reports, the proposal is expected to make, "sweeping cuts to spending and gets rid of billions of dollars in special tax exemptions, including those for seniors."

The state faces a projected $1.5 billion dollar budget deficit for the fiscal year that begins October 1st. 

State Legislature
6:38 am
Thu February 17, 2011

GOP leaders won't reject Snyder pension tax plan

State Senate Majority Leader Randy Richardville
Photo courtesy of http://senate.michigan.gov

Republican leaders in the state Legislature say they want to give Governor Rick Snyder time to roll out his entire budget proposal before passing judgment on pieces of it that have become public.

State Senate Majority Leader Randy Richardville says he’s been briefed on the entire budget proposal and is telling people to be patient.

“We’re a little premature making an evaluation of an overall big picture solution. I commend the governor for not being afraid to take on a tough issue and not being afraid to take on a tough issue, not being afraid to roll out a plan. But this is his day, this is his budget. It’s his time to throw out his plan."

The governor is expected to propose lifting the tax exemption on pensions as part of a plan that will also include repealing the Michigan Business Tax, but replacing only part of the revenue.

The governor will make his formal budget proposal to the Legislature this morning at 11 a.m.

State Budget
7:05 am
Thu February 10, 2011

Governor Snyder will release budget proposal next week

Governor Rick Snyder will outline his administration's budget Thursdsay, February 17th
Photo courtesy of www.governorelectricksnyder.com

Governor Rick Snyder's budget proposal for the fiscal year that begins October 1st will be released next Thursday, February 17th. The state currently faces a projected $1.8 billion budget deficit for the new fiscal year. Snyder says he plans to ask lawmakers to do away with billions in business tax exemptions, according to the Associated Press. The AP reports:

Snyder has said he plans to review tax credits to see which are worth keeping, but hadn't said how many would be eliminated.

Lt. Gov. Brian Calley told the Holland Chamber of Commerce on Tuesday that the administration is counting on $2 billion from such cuts.

Calley also says the budget proposal will be like an "atomic bomb" going off in Lansing, a comment that drew criticism from Snyder spokeswoman Sara Wurfel.

Wurfel said Wednesday that Calley's comments were an "extremely unfortunate choice of words."

She also denied Calley's claim that Snyder plans to present an all-cuts budget.

State Legislature
7:38 am
Wed February 9, 2011

Bill to end low-income tax credit introduced in state Senate

Inside the Capitol Building, Lansing, MI
Cedar Bend Drive Flickr

Republican state Senator Roger Kahn introduced a bill yesterday that would eliminate the state's Earned Income Tax Credit. The tax credit currently goes to low-income working people in Michigan. The Associated Press reports:

He (Kahn) says the credit is expected to cost the state roughly $370 million in the upcoming fiscal year and the state can't afford it. Many House Republicans also support eliminating the tax credit. The tax credit is staunchly defended by groups including the Michigan League for Human Services and the Michigan Catholic

Conference. They say eliminating the credit would be the equivalent of a tax increase on the working poor.

The state faces a projected $1.8 billion shortfall for the fiscal year that begins October 1st.

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Michigan Budget
6:39 am
Fri January 14, 2011

Estimating the state's finances

Tracy O Flickr

Lately, you've probably heard or read a Michigan Radio story that includes this number: 1,800,000,000. In case you haven't had your morning coffee yet... that's 1.8 billion. Economic forecasters predict Michigan's budget, for the fiscal year that begins October 1st, is $1.8 billion in the red.

However, later today, that figure could change. That's because economists are meeting today for what's called a "revenue estimating conference" at the state Capitol. The economists will come up with an estimate of just how much money the state can expect to receive through the next fiscal year. As the state's website explains:

The Revenue Estimating Conference held each January is a major part of the budget process. During the conference, national and state economic indicators are used to formulate an accurate prediction of revenue available for appropriation in the upcoming fiscal year. This conference first convened in 1992, pursuant to Act No. 72 of the Public Acts of 1991. The principal participants in the conference are the State Budget Director and the Directors of the Senate and House Fiscal Agencies or their respective designees. Other participants may include the Governor and senior officials from the Department of Treasury.

Arts/Culture
11:33 am
Fri December 17, 2010

Grand Rapids Symphony posts $65K budget surplus

The Grand Rapids Symphony posts a $65K budget surplus for FY10
Photo courtesy of the Grand Rapids Symphony

It's not all bad news coming out of the symphony world.

The Grand Rapids Symphony is the second largest orchestra in Michigan, after the Detroit Symphony Orchestra. And yet the two arts organizations finances couldn't be farther apart. The GR Symphony posted a $65,000 budget surplus for the 2010 fiscal year; the DSO posted an $8.8 million deficit.

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Economy
11:55 am
Mon November 15, 2010

You fix the budget deficit

The New York Times "You Fix the Budget" interactive tool
Screen grab from the New York Times

It's easy to criticize. Now you're in charge.

The New York Times has created a slick little interactive tool that displays different solutions to the country's projected budget deficits.

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