LANSING, Mich. (WZMQ) – Governor Gretchen Whitmer signed Michigan’s $81 billion fiscal year 2026 budget into law Tuesday afternoon, marking the end of months of negotiations between Democrats and Republicans in Lansing. The bipartisan plan includes increased funding for education, free school meals, and a long-term deal to repair state and local roads.
House Republicans say the agreement also represents a major step toward fiscal responsibility. Speaker of the House Matt Hall (R-Richland Township) said lawmakers eliminated over a billion dollars in state spending and drastically reduced discretionary earmarks from over $1.3 billion last year to $168 million in the new budget.
“We’re right-sizing this budget,” Hall said. “We’re getting value for your dollars, and we’re setting priorities in state government, which needs to be roads, public safety, and education.”
Hall says the GOP insisted on greater transparency in how grant and earmark funding is handled, and created a public review process requiring lawmakers to disclose the sponsor, purpose, and timeline of each project before a vote.
Now that the budget has passed, House Republicans are focused on calling to end large-scale corporate incentive programs administered by the Michigan Economic Development Corporation, including the Strategic Outreach and Attraction Reserve, or SOAR Fund. Hall argues those grants give away millions to corporations without proof of results.
With the budget now signed, House leaders are turning their focus to new legislation aimed at locking in the earmark transparency rules, while also preparing for additional spending cuts projected over the next three years.
“Every one of those years is going to see an increased cut,” Hall said. “We’re going to continue setting better priorities for taxpayers.”
