"GOP pushes House Dems for plan to close shortfall
Republicans prepare to extend this year's budget if no deal is reached by month's end
KAREN BOUFFARD AND MARK HORNBECK
Detroit News Lansing Bureau
Lansing --Now that Gov. Jennifer Granholm has revealed her plan to solve the state's budget crisis, it's time for House Democrats to do the same, according to House Minority Leader Kevin Elsenheimer.
With just 21 days remaining to balance the budget or risk a government shutdown, Elsenheimer, R-Kewadin, called a press conference to chide House Speaker Andy Dillon for not coming out publicly with a plan to solve the state's $2.8 billion budget deficit. Granholm made her plan public Tuesday.
Elsenheimer wouldn't say whether Dillon has introduced such a plan in closed-door talks between Granholm and top legislative leaders. He did say he's seen a "one-page plan" from the speaker that he called "woefully insufficient."
"It's time to take the negotiations out of the back room," Elsenheimer said. "I'm glad the governor has released this information. The time has come for Speaker Dillon to do (the same)."
He stopped short of saying a government shutdown is likely but said he's "concerned."
"If we aren't able to produce real and substantive bills in the next week ... it makes it much more difficult to get a complete plan in place by the end of this month (and avoid a government shutdown)."
House Republicans are preparing to extend this year's budget if lawmakers can't agree on 2009-10 spending by the start of the new fiscal year Oct. 1, Elsenheimer said. That would avert a government shutdown such as the brief one that occurred on Oct. 1, 2007. Granholm refused to extend the budget two years ago -- but she hasn't ruled it out this year.
Granholm on Tuesday laid out a two-year plan that includes $1.9 billion in tax credit reductions and tax increases, including taxes on bottled water, tickets to live events and vending-machine pop, as well as a cigarette tax hike. Granholm also would slash $2.2 billion from the state budget and use $2 billion in federal stimulus money.
Elsenheimer said House Republicans oppose the governor's plan, particularly the tax increases, because "it's very dangerous for the long-term health of this state."
House Republicans unveiled their own budget plan earlier this summer that includes stiffer budget reductions to avoid tax increases.
Dillon said budget talks have stalled primarily over the Senate's proposed cuts to the state's Promise Grants for college students, revenue sharing and funding for the state Department of Community Health.
Senate Majority Leader Mike Bishop, R-Rochester, said on Detroit talk radio Wednesday: "We don't have the votes in the Senate for tax increases. As long as we have a proposal that balances the budget without tax increases, why would we?"
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