State leaders announce budget deal to avert government shutdown

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Michigan lawmakers have reached a budget agreement that leaders say will fund schools, support long-term road repairs and provide tax relief ahead of the state’s Oct. 1 deadline.

Gov. Gretchen Whitmer announced the deal Thursday alongside Senate Majority Leader Winnie Brinks and House Speaker Matt Hall. The agreement covers both the School Aid Budget and the overall state budget.

Whitmer called the plan a bipartisan effort to lower costs, cut taxes for seniors and working families, create jobs, and fund infrastructure. “Amid so much national economic uncertainty, I am proud that we are taking action to lower costs, cut taxes, create jobs, fund schools, fix roads, keep people safe and healthy, and so much more,” she said.

Hall emphasized accountability, saying the agreement includes measures to eliminate waste and “ghost employees” while bringing transparency to state earmarks. Brinks said the framework reflects priorities from across Michigan, including education, roads, and healthcare.

If passed before Wednesday, the deal would avoid a potential government shutdown. Lawmakers say they plan to approve the budget before the Oct. 1 deadline.