Special Alert

FY21 budget avoids cuts to major county programs

Ending a long period of behind-the-scenes work by key legislators and the Whitmer administration, the Legislature moved rapidly today to pass budget bills for the state fiscal year that starts Oct. 1. In all major program areas, counties avoided cuts in funding that were once feared, and would have badly hampered members’ ability to provide key local services: Counties will receive their revenue sharing at levels established in fiscal year 2020, which totals more than $226 million. The deadline to pay hazard pay to first responders is extended to Oct. 31 (from the previous Sept. 30). Indigent Defense grants are funded for $117.5 million. About $4.2 million is provided for behavioral health training and crime victim support, as recommended by the Joint Task Force on Jail and Pretrial Incarceration. Counties will have access to $4 million for Veteran Service Fund grants. Local road agencies will receive a $35 million increase from FY20 levels from the Michigan Transportation Fund. About $13 million is cut, however, from General Fund appropriations for the local bridge program. An increase of $27 million in federal funds is included for local public airports. The Child Care Fund will receive $254.3 million. Includes $3.5 million in Child Care Fund indirect cost payments. Match requirements for non-Medicaid community mental health (CMH) services will continue in a way that saves counties $5 million. Look for more details on the FY21 state budget and its effects on counties in this Friday’s Legislative Update email. To see previous LU reports, visit the MAC website.