The state of Michigan is facing a $ 460 million deficit over the next two years. That means some painful cuts will have to be made – including state services you depend on.
"I think projections are just not as strong as we anticipated in January," he said.
State bean counters are telling the Snyder administration and state lawmakers that last January's estimate was off by about $500 million. For the old timers in town, they say this deficit is nothing compared to the Granholm years when the red ink was well over $1 billion.
To eradicate the deficit, lawmakers could reduce the size of the next Michigan State Troopers School. It's unlikely, in an election year, that state aid to schools could be sliced but the state treasurer says he cannot guarantee anything at this juncture.
"This happens when you have a large budget in a big state with a lot of moving parts," he said. "I am not overly concerned. We will get in a room and sort it out."The domestic car industry is doing well which means the economy continues to grow, but the pace of the growth has slowed down.
Last week there was a prediction auto sales would hit 20 million.
Michigan House members are up for re-election this fall so there will be no tax increases to eradicate the deficit and that you can take to the bank.