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Michigan to receive about $700 million in fed funds

By Laura Weber, Michigan Public Radio Network

http://stream.publicbroadcasting.net/production/mp3/wkar/local-wkar-917504.mp3

LANSING, MI –
Michigan is expected to receive about $700 million in federal aid, according to the Center on Budget and Policy Priorities. The U.S. Congress is expected to approve the money for Medicaid and schools Tuesday.

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State officials had been crafting worst-case-scenario budget plans in case Congress did not approve an extension in Medicaid funds. But now it appears Michigan will receive $380 million for Medicaid, and another $318 million for schools.

Karen Holcomb-Merrill is with the Michigan League for Human Services. She says the money will be helpful, but it's still not as much as the state had originally planned for Medicaid.

"There will still have to be either some cuts made or some additional revenue raised in order to close that gap."

Senate Republicans say they plan to balance the budget once again with cuts alone, and with no new taxes or fees. Holcomb-Merrill says the state has already endured deep and painful cuts, and now it's time to look at new revenue.

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