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Whitmer Rejects House Budget as Michigan Faces Oct. 1 Shutdown Risk

Contingency planning is underway as the governor ties a timely deal to economic stability.

Overview

  • With roughly two weeks left, the Republican-led House and Democratic-led Senate remain at a stalemate after passing sharply different budgets, leaving negotiations active but unresolved.
  • In a Sept. 16 speech, Gov. Gretchen Whitmer criticized "chaotic" tariff policies and said she would not sign the House plan, urging lawmakers to craft a compromise she can approve.
  • The State Budget Office says shutdown contingency planning has begun, though the scope is unclear, and officials warn closures of state parks and Secretary of State branches and potential layoffs if no deal is reached.
  • Secretary of State Jocelyn Benson warns the House proposal would trigger about 400 layoffs and some branch closures, while House Speaker Matt Hall argues cuts target waste and redirect dollars to a $3.4 billion road program he says would create jobs.
  • Long-term road funding remains a central dispute as Republicans push to repurpose existing revenues and Democrats, including Whitmer, cite the need for new or alternative funding, with MDOT cautioning that current plans are bare bones without added investment.