Michigan lawmakers work to finish budget talks ahead of July 1 deadline

A framework, but few details on the state budget, is something that Michigan lawmakers say they have figured out with less than 72 hours until the budget deadline.

Both sides of the aisle said this year's budget will be smaller than last year's.

"The budget will, more likely than not, be smaller," said Rep. Alabas Farhat (D-Dearborn). 

"Keeping our budget smaller than it was last year is a huge accomplishment," said Rep. Matt Maddock (R-Milford). "That was a big accomplishment for us and Michigan taxpayers." 

Lawmakers are working to complete the budget and avoid a repeat of last year, when they failed to pass a budget by the July deadline. The Senate and House finally passed a budget just days before the Oct. 1, 2025, deadline, halting a potential state government shutdown.

Right now, lawmakers outside of Senate and House leadership don't have the details of the state budget just yet. CBS News Detroit learned on Monday that negotiations are ongoing, but cuts are expected. 

"Unfortunately, there's going to be some very difficult budget items that the Democrats are going to hold strong on, like increasing welfare and Medicaid and those kind of things. So we're doing our best to cut the fraud, waste and abuse out of the out of the budget that we know about," said Maddock.

That's a move that Farhat said he finds baffling.

"It's crazy to me that in the richest, most powerful country in the world, we're choosing to punish our own citizens and our own government instead of funding programs we know people need," Farhat said. 

Maddock said the state should see a $2 million increase to the school aid budget and cuts to what Republicans call phantom jobs or phantom employees, positions that are budgeted for but have remained unfilled. 

"People are going to be impressed and surprised with the kind of fraud, waste and abuse that we're cutting," he said.