RELEASE: What’s in the Budget to Lower Costs for Michiganders?

FOR IMMEDIATE RELEASE

July 14, 2023

What’s in the Budget to Lower Costs for Michiganders?

LANSING, Mich. – Governor Whitmer has worked with legislators to pass a balanced, bipartisan state budget for Fiscal Year 2024 focused on growing the economy, lowering costs, delivering on the kitchen-table issues, and helping anyone make it in Michigan.

Earlier this year, the Michigan Legislature and Governor Whitmer rolled back the retirement tax on seniors and quintupled the Working Families Tax Credit, making good on her 2018 promise. The recently passed budget continues to make investments to lower costs and increase affordability for Michiganders.

“I am proud of the $1 billion tax cut we’ve secured for seniors and working families,” said Governor Whitmer. “Right now, families are facing the pinch and having tough conversations about how to make ends meet. These investments will help people pay the bills, put food on the table, and afford essentials like groceries and school supplies. It will ensure seniors can keep more of what they’ve earned over a lifetime of hard work and put money back in the pockets of 700,000 working families.”

Since taking office, the Governor has worked with the Legislature on several proposals to lower costs for Michiganders on everything from higher education, skills training, home repairs, child care, housing, health care, prescription drugs, banking fees, and more.

The FY24 budget makes critical investments to achieve Pre-K for All, proposed by the Governor in her State of the State address earlier this year. Pre-K for All will save families $10,000 a year and put every child in Michigan on a path to a brighter future.

Key Figures

$10,000 a year in savings for families with Pre-K for All.
5,600 free pre-K slots open this fall, with thousands more to come in the years ahead.
$1,000 a year average savings from retirement tax rollback
500,000 households will benefit from rolling back the retirement tax.

$3,150, the new average refund from the Working Families Tax Credit, several hundred dollars higher than it was.
700,000 families will receive the Working Families Tax Credit.
26,000 families will be lifted out of working poverty with the Working Families Tax Credit.

50% of Michigan's children live in households receiving the Working Families Tax Credit.
$2,000 a year in savings on essential medical services with an expansion ‘Plan First!.’
25,000 Michiganders will benefit from health care savings under the Medicaid Plan First! Program.
$850+ a year per student savings with free breakfast and lunch in school.
350,000 more Michiganders eligible for tuition-free associate degree or skills certificate with expansion of Michigan Reconnect from 25 to 21 years old.
$4.9 million over 2 years for Double-Up Food Bucks, boosting access to fresh fruits and vegetables for Michiganders on food assistance.
$212 million for residential energy efficiency improvements through federal funds, lowering costs for Michiganders via point-of-sale rebates for home appliances, water heaters and more.

“Healthy School Meals for All will be transformational for Michigan’s students and families,” said Collin McDonough, Director of Michigan Government Relations at the American Heart Association. “Not only will it help students learn—no one can focus on an empty stomach—it will help reduce the risk for chronic diseases such as high blood pressure, cardiovascular disease, and diabetes. Proper nutrition is a key component of a heart-healthy lifestyle, and having no-cost breakfast and lunch will ensure our students have what they need to succeed inside and outside the classroom. We applaud Governor Whitmer, the state legislature, the Michigan Department of Education, our partner organizations No Kid Hungry Michigan and the School Nutrition Association of Michigan, and the Michigan School Meals Coalition for their tireless work to take this program from an idea to reality.”

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