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October 10, 2025

Fiscal Year 2025-26 State Budget Signed with Significant Investments for ALICE

Fiscal Year 2025-26 State Budget Signed with Significant Investments for ALICE
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Budget Highlights

Fiscal Year 2025-26 State Budget Signed with Significant Investments for ALICE
United Way of South Central Michigan applauds the Michigan Legislature and Governor Whitmer for successfully negotiating a final state budget deal that included many wins for our region and the work we do to support ALICE and the families we serve. Some highlights of the budget allocations that will benefit our community include:
Omnibus Budget
  • $5 million in permanent supportive housing (HHS Budget)
  • $75 million in Michigan Energy Assistance Program (HHS Budget)
  • $5 million in Water Affordability Funding (HHS Budget)
  • $2.95 million for 211 (HHS Budget)
  • $50 million for the Michigan Housing and Community Development Fund (MHCDF)
School Aid budget
  • $3.4 million for the Tri-Share Child Care Program
  • $656.6 million for Great Start Readiness Universal Pre-K program
  • $25 million over 2 years to expand the Great Start Readiness 3 year old program
  • $20 million in TANF and $250 million in supplemental funds to expand RXforKids statewide
  • A 4.6% increase to a highest-ever $10,050 in K-12 per-pupil funding.
  • $41.7 million for CTE programs, plus $8.4 million for CTE/Dual Enrollment programs, $13.4 in CTE incentive grants, and $70 million for a Pathways to Success program to expand opportunities for students in “CTE deserts.”
  • $10 million to support school districts with FAFSA completion requirements.
  • An increase of $8.8 million in Promise Zones funding for a total of $43.3 million.
  • $350 million for the Postsecondary Scholarship Fund (consolidates Michigan Achievement Scholarship and Free Community College Guarantee for recent graduates)
  • $122 million for the Tuition Incentive Program, a scholarship for Medicaid eligible students
  • $52 Million for the Michigan Reconnect Scholarship for adults who have not completed a degree or credential.
Losses
  • All state AmeriCorps Education funding eliminated
  • Eliminates Great Start Collaboratives and Family Coalitions
  • Eliminates $2.5 million for Children’s Savings Account (CSA) infrastructure and programs
  • Eliminates $1 million in state funding for Volunteer Income Tax Preparation (VITA) program funding (LEO)
The UWSCMI staff team met and communicated with local legislators throughout the appropriations process to advocate for funding to help address financial instability and the inequities experienced among ALICE and other marginalized populations.
For more information about UWSCMI’s Continuum of Care, VITA, Program Assistance Center, JobSTAR and College Access programs whose clients will benefit from this state funding, please visit www.unitedforscmi.org.
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