Local governments will see their state revenue sharing payments drop by three percent.
That's according to a reduction in the general government budget signed by Gov. Jennifer Granholm.
That budget and those for the departments of transportation and arts and libraries were filed Tuesday in Lansing.
The general government budget for the fiscal year that begins Oct. 1 will provide nearly $1.5 billion in revenue sharing payments for local governments.
The general government budget gives the revenue sharing payments to the Department of Treasury to distribute to local governments.
Granholm is expected to sign a bill this week that tells the department how to distribute those dollars.