Granholm Budget Woes

By: Capitol Correspondent Tim Skubick
By: Capitol Correspondent Tim Skubick

State economists were told Tuesday that Michigan's economic recovery should peak in the spring of this year with four percent growth in the forecast. However a war in Iraq is a wild card that could skew that prediction.

Meanwhile Gov. Granholm says there is a hole in the current state budget, even though former Gov. Engler said he was giving her a balanced budget.

Because of declining revenues during November and December Granholm said, "That causes us to be in a dire situation this fiscal year."

That means she will have to either cut services or hope for the turnaround to pump more money into state coffers.

WILX 500 American Road Lansing, MI 48911 517-393-0110
Copyright © 2002-2016 - Designed by Gray Digital Media - Powered by Clickability 181746 -
Gray Television, Inc.