Legislative Update: 2025-2026 Session Begins for Michigan's Legislature
New GOP Majority in the House
House Speaker Matt Hall (R-Richland Twp.) leads a new 58-52 GOP majority in the House. Out of the gate, Speaker Hall focused on amending incoming changes to minimum wage and paid sick time laws, as well as on funding for roads and infrastructure.
As of this writing, Speaker Hall has named Rep. Ann Bollin (R-Brighton) to chair the House Appropriations Committee. Speaker Hall has also outlined changes to House rules and to the names and structure of committees. We do not yet know the chairs or composition of committees but expect details in the near future.
Revised Estimates for the State Budget Indicate Higher Revenue
The first of two Consensus Revenue Estimating Conferences (CREC) took place on January 10, 2025. Representatives from the Treasury Department and the nonpartisan House and Senate Fiscal Agencies shared economic and revenue predictions for Michigan. These forecasts will shape the upcoming budget proposals from the legislative and executive branches for Fiscal Year 2026.
Revised estimates for the current and upcoming state budget indicate more revenue than experts originally predicted for the General and School Aid Funds (School Aid Fund Sources).
With the economic forecast in hand, the Whitmer Administration will assemble FY 2026 state budget recommendations and release them in February. The Governor is also expected to deliver her State of the State on February 26. The second CREC will take place in May before the final budget negotiations.
The State Budget Impacts All – MARSP Keeps Watch
The state’s School Aid Budget determines the financial resources available to school districts for the upcoming academic year. Each year, MARSP urges policymakers to pass the budget by June 30th so that school districts can plan accordingly.
The state budget impacts all of us, and MARSP encourages you to learn more about the economic trends in our state and follow along with negotiations. You can find expert commentary and presentations from January 2025 CREC through the House Fiscal Agency here and the Senate Fiscal Agency here.
As always, MARSP will monitor the state budget process and inform members of activities that intersect with our legislative priorities.
