BUDGET UPDATE: Michigan Senate OKs budget with welfare money

LANSING, MI – The Michigan Senate has approved a budget bill that avoids proposed cuts to Michigan's funding for welfare recipients.

Lawmakers are nearing a midnight Wednesday deadline to balance a $2.8 billion budget deficit.

A family of three receiving nearly $500 a month in welfare won't see a $30 per month cut in payments as proposed by Senate Republicans a few months ago.

Lawmakers also have decided not to cut the annual children's clothing allowance for needy children from $84 to $43, and are leaving more money in to cover day care for such children when their parents work.

The bill was approved by the Republican-controlled Senate on a 20-17 vote. The Democratic-led House may vote later Tuesday.