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Holland Reporter

Wednesday, December 25, 2024

Nesbitt backs spending cuts and hiring freezes to balance budget deficit

Adobestock budget

The state of Michigan has a $2.2 billion deficit for fiscal year 2020. | Adobe Stock

The state of Michigan has a $2.2 billion deficit for fiscal year 2020. | Adobe Stock

Sen. Aric Nesbitt (R-Lawton) said he’s all for using spending reductions and hiring freezes, along with some of the state’s rainy day finances, to help settle a $2.2 billion budget deficit, according to MiSenateGOP

Senate Bill 373 and House Bill 5265 are supplemental budget bills supported by Nesbitt that will go to the governor for her signature.

“The COVID-19 pandemic has put countless Michiganders out of work and taken a huge toll on our economy,” said Nesbitt, according to MiSenateGOP. “This budget season has challenged us with many unknowns, but because we have been fiscally responsible and saved money in the recent past, we are able to respond to the coronavirus crisis. This bipartisan solution will address the unprecedented budget shortfall while also protecting Michigan families, schools and communities.”


Sen. Aric Nesbitt | #MiSenateGOP

The plan is backed by both Republicans and Democrats and has the potential to save the state $936 million under the guidelines of cutting spending and using federal COVID-19 funds to help the education system and other services. 

The funding will be spread as follows: $555 million for schools, $200 million for universities and community colleges and $350 million for local governments. 

“With these bills, we will have sent over $3 billion in federal coronavirus relief funds to schools, businesses, workers and families affected by the pandemic,” Nesbitt said.

An executive order from Gov. Gretchen Whitmer that requires a reduction in current-year spending was also given the okay in the Senate Appropriations Committee. State entities will experience lower spending costs. 

The amount used from the rainy day fund will total $350 million in an effort to help bring the budget up to par. 

“I am glad we were able to work together on a responsible budget that helps Michigan families without raising taxes and uses federal dollars to be most helpful,” Nesbitt said on MiSenateGOP. “I will continue to work with my colleagues to maintain a responsible budget as we continue to fight back against the coronavirus and help rebuild our economy."

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