In Michigan
6:10 pm
Fri May 1, 2009

Mich. leaders make progress on state budget deal

Lansing, MI – Lansing, MI (AP)

Michigan's state government leaders have hammered out the basic framework of a plan to help erase a budget deficit that likely exceeds $1 billion.

Senate Republicans said Friday the framework calls for about $300 million in budget cuts from various state departments in this fiscal year.

Money from the federal stimulus package will help fill in the rest of the budget hole caused in large part by falling tax revenues during the recession.

A spokeswoman for Democratic Gov. Jennifer Granholm would not confirm the amount of upcoming cuts but says good progress had been made toward a resolution.

Specifics of a budget-cutting plan are scheduled to be released
Tuesday.