LANSING, Mich. (Oct. 3, 2025) — Today, Democrats passed a bipartisan state budget for the 2026 Fiscal Year that centers on people-first investments to lower costs, protect vital services, mitigate the effects of disastrous federal cuts, and expand opportunity for Michigan families. This agreement comes after Democrats spent months doing the hard work required to reach a fiscally responsible budget that delivers on the priorities of Michiganders.
“Senate Democrats worked across the aisle to get the job done and deliver another responsible budget that boosts public education, invests in our aging roads, and protects access to health care, all while mitigating the worst effects of the devastating federal cuts. I cannot emphasize enough the importance of state legislatures in this critical, tenuous moment,” said Senate Majority Leader Winnie Brinks (D-Grand Rapids). “From continuing the widely successful universal school meals program to striking a sustainable, long-term roads deal, this bipartisan budget underscores our unwavering commitment to Michigan schools, families, and local communities.”
“House Democrats have been clear from the beginning that our priorities in this budget were collective wins that would benefit all Michiganders, from students to patients to working families, and everyone in between,” said House Democratic Leader Ranjeev Puri (D-Canton). “We delivered on those priorities tonight, and we’re going to keep delivering the wins that the people of this state need to thrive.”
The final agreement upholds the core community-centered values Democrats have championed in their previous two budgets, while finding room for compromise to ensure schools and state departments can continue to operate into the new fiscal year. More specifically, the budget includes investments to:
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Invest in Students and Schools: Makes the highest-ever per-pupil funding, $10,050, continues the widely popular free school meals program, and increases funding for at-risk students, school safety and student mental health, and more.
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Lower Costs: Continues the retirement tax repeal to save seniors $1,000 per year, makes child care more affordable through the Tri-Share program, and supports workforce training opportunities.
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Protect Vital Services: Saves Medicaid in Michigan to ensure health care remains accessible and affordable, protects SNAP benefits and the Double Up Food Bucks program, and continues support for police and fire departments.
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Implement a Long-Term Road Solution: Requiring that corporations pay their fair share, this budget puts forward a sustainable plan to fund road repairs without raiding our schools or other essential programs.
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Fight Federal Cuts: Mitigates the worst impacts of the “One Big Beautiful Bill” to prevent a $1B budget hit and protect health care access, public safety, schools, and more.
“This budget shows that we can work together across party lines and deliver for the people of Michigan,” said Sen. Sarah Anthony (D-Lansing), Chair of the Senate Appropriations Committee. “This budget keeps people front and center by protecting health care access, investing in our schools, and making everyday life more affordable. It also proves that we can come together, even when it’s tough, to deliver a responsible, balanced plan that meets today’s needs and keeps our state moving forward.”
“The work we did in this budget will help the people of Michigan who work hard and make difficult choices every day about which bill to pay or which need to sacrifice,” said state Rep. Alabas Farhat (D-Dearborn). “We have a responsibility as legislators to govern on behalf of those families, to ensure they have access to the resources and benefits they need to do more than just get by. We passed a budget that will do that, and I will keep fighting alongside my House and Senate colleagues to build a Michigan that works for us all.”
Focusing on programs and policies that help working families thrive here in Michigan, this bipartisan budget builds on Democrats’ past progress to continue delivering on the kitchen table issues that matter most.