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Michigan Budget Chief: State Can Ride Out A Two-Week Shutdown

Michigan’s budget chief says the state can ride out a week or two of the federal shutdown without suffering big consequences.

But John Nixon says longer than that puts benefits for more than a million people at risk, and could threaten the state’s economic recovery.

We have more from The Michigan Public Radio Network’s Rick Pluta.

The biggest programs affected by a sustained shutdown would be food and cash assistance for low-income families and school lunches. State Budget Director John Nixon says the state has enough money on hand to carry the programs for two weeks.

“Is this shutdown for a couple of days the end of the world?” he asks.  “No. I would never say it’s the end of the world. If this thing goes on for a long time, it’s going to be a much bigger impact.”

Nixon says the state could lose $18 million a day if the federal government shutdown goes on for more than a few days.

Nixon says the state is not likely to tap into its savings to cover the costs of federal programs during the shutdown.

Rick Pluta is Senior Capitol Correspondent for the Michigan Public Radio Network. He has been covering Michigan’s Capitol, government, and politics since 1987. His journalism background includes stints with UPI, The Elizabeth (NJ) Daily Journal, The (Pontiac, MI) Oakland Press, and WJR. He is also a lifelong public radio listener.
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