LANSING, MI (AP)-- Governor Rick Snyder has signed two bills to address a projected $412 million shortfall in the state budget.
A big chunk of the hole is being filled by shifting spending on community colleges from the dwindling general fund to the fatter school aid fund, saving $167 million.
Democrats who criticize the move say that money could have gone to K-12 districts next fiscal year. Republicans say it's still going to education and the shift prevents further cuts this year.
The Republican governor said Tuesday that priorities like education and funding for local governments are protected under the budget-balancing plan.
About $88 million is saved by forgoing a payment to the Public School Employees Retirement System. Michigan is saving $100 million because caseloads are down in the traditional Medicaid program.