GRANHOLM-STATE BUDGET USA (wgvu) - LANSING, Mich. (AP) - Governor Jennifer Granholm said today she
remains hopeful that an agreement to fix the state's budget
problems is possible within a few days.
Budget talks stalled yesterday as the Democratic governor and
Republican Senate Majority Leader Mike Bishop again clashed on
whether a tax increase should be part of balancing the state's
budget for this fiscal year.
Granholm wants a tax increase as part of the solution for this
fiscal year. She says proposed cuts to schools and Medicaid
providers will happen unless there is a tax increase.
Republican leaders have said deep cuts to schools could be
avoided without a tax increase.
While opposing higher taxes for this fiscal year, Republicans
have said they're willing to consider a tax increase for the next
fiscal year that starts in October.
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