LANSING, Mich. — The Michigan Legislature failed Tuesday to approve a state budget for the upcoming fiscal year, missing a deadline that was established in state law in 2019.

While there's no penalty for not hitting the self-imposed target, the development — no bill providing money for any segment of state government has made it to Gov. Gretchen Whitmer's desk so far this year — underscored the struggles the leaders of the Democratic-led Senate and the Republican-controlled House are facing in agreeing to a plan to fund schools, road projects and universities.

They now have three additional months to reach a compromise on the likely more than $80 billion budget before the next fiscal year begins on Oct. 1. A failure to pass a budget by then could spur a shutdown of portions of state government.

Senate Appropriations Chairwoman Sarah Anthony, D-Lansing, described the negotiations as "active" on Tuesday.

"Ultimately, it's all about compromise," Anthony said. "And if we are able to get a compromise deal before our chamber, I think it's something that we can go back to our schools, our principals, our educators and say we did the work of the people.

"But we're not quite there yet."

Senate Minority Leader Aric Nesbitt, R-Porter Township, said he was disappointed lawmakers missed the budget deadline, especially for Michigan's public schools. When Whitmer signed the law that set the July 1 deadline in 2019, she said it was an "important reform" to ensure K-12 school districts know what their budget will be at the start of their own fiscal years.

In the previous two years, the Democratic-led Legislature approved the full budget before the July 1 deadline. But Republicans won a majority of the House in November, breaking up Democratic control in Lansing and forcing the negotiations to reach across party lines.

In 2022, when Republicans controlled the House and Senate, they passed the final budget bills on July 1. The last time, lawmakers missed the deadline was 2021, when Whitmer signed the majority of the funding plan into law in late September.

On Tuesday, the Democratic leaders of the Senate declined to go into specifics about what was holding up the budget discussions in Lansing.

However, Senate Majority Leader Winnie Brinks, D-Grand Rapids, didn't deny that she wanted the Legislature to work on a full budget plan while House Speaker Matt Hall, R-Richland Township, was focusing on starting with a funding bill for K-12 schools before the Tuesday deadline.

"It's difficult to do it piece by piece without having some answers on how it impacts some other pieces," Brinks told reporters.

The Senate adjourned for the day early Tuesday evening, while the House continued to be in session.

The Senate passed a full $84.6 billion state budget proposal in mid-May. It included $21.8 billion plan for schools.

The Senate plan was traditional in the sense that it includes a per-student base foundation allowance of $10,008 — an increase from the current $9,608 — and then dozens of specific line items, tying dollars to initiatives, like mental health, school safety, early literacy coaches, adult education and free breakfasts and lunches.

The House has moved more slowly than the Senate, only approving budget bills for education-related portions of the state budget. The House signed off on a funding bill for K-12 schools on June 11, 20 days before the July 1 deadline in state law for the Legislature to OK a budget. The House Republican plan includes a base foundation allowance of $10,025 but eliminates many of the line items in favor of an additional per-student payment of $1,975.

Sen. Darrin Camilleri, D-Trenton, described the two funding plans for schools as "dramatically different."

The House plan would also direct about $2.3 billion in School Aid Fund money — dollars that have historically been allocated primarily to schools — to universities and community colleges. The strategy would free up General Fund dollars as Hall seeks $3 billion in additional money for roads.

_____

©2025 The Detroit News. Visit detroitnews.com. Distributed by Tribune Content Agency, LLC.