S & P is lowering Michigan's "Bond Rating Outlook," due in part to using $195 million of state money for the so-called Detroit Grand Bargain.
It also blames downgraded revenue estimates, and slower economic growth projections for its change. That is the outlook which is different than the state's bond rating. That will stay at double A-, which is the good news. The bond rating affects how expensive it is for the state to borrow money.