News Summary
A report by the Education Policy Innovation Collaborative at Michigan State University emphasizes the need for increased funding for schools in Michigan. With state discussions on the 2025-26 budget looming, the report suggests that current funding levels fall short of inflation-adjusted per-pupil amounts from the early 2000s. It presents several recommendations to improve school funding stability, including linking increases to inflation and allowing districts more flexibility in funding. As budget negotiations continue, the potential impact on educational services remains uncertain.
Lansing, Michigan—A new report from the Education Policy Innovation Collaborative at Michigan State University calls for increased funding for schools across Michigan. The report arrives at a critical time as state leaders engage in discussions about school funding for the 2025-26 budget year, with a looming deadline of September 30. If an agreement is not reached, the state will be forced to shut down non-essential services.
While the report does not specify the amount of additional funding required or the exact methods for acquiring those funds, it does recognize the challenges of raising taxes in Lansing to support educational needs. Proposed school budgets from the House, Senate, and Governor Gretchen Whitmer are similar, ranging between $21 billion and $22 billion. However, these proposals vary in how funds would be allocated to different school districts.
Despite reported increases in educational funding, Michigan has seen its performance on the National Assessment of Educational Progress remain low. A petition drive is currently under way, aiming to place a proposal on the ballot that seeks to raise an additional $1.5 billion annually for schools by taxing high-income earners. The EPIC report emphasizes that even with these funding increases, current levels fall below inflation-adjusted per-pupil funding levels from the early 2000s.
The report cites research indicating that sustained additional spending over four years could lead to improvements in student performance. Since 2015, K-12 funding in Michigan has risen by an inflation-adjusted $2.1 billion, making it the ninth-largest increase among states. Historically, however, Michigan was once among the top ten states for per-pupil funding, but drastic cuts have resulted in significant teacher shortages.
Moreover, the report criticizes the state’s school aid budget for allegedly overstating the available classroom funds, owing to elevated mandatory retirement expenses. Currently, nearly one-third of school payrolls is dedicated to pensions for retired teachers, marking a significant increase from the national average.
Recommendations for Improvement
The EPIC report lays out several recommendations to improve school funding stability and effectiveness:
- Link funding increases to inflation for all types of students and services.
- Allow districts to distribute categorical funding over multiple years to enhance planning.
- Permit districts to generate additional operating funds through voter-approved operating millages.
- Consider potential increases in state income and property taxes.
- Explore the consolidation of smaller districts for cost savings, although this remains unpopular due to the importance of local identities.
- Empower intermediate school districts to oversee some local district operations for efficiency gains.
Budget Stability at Risk
Current stability in the education budget faces jeopardy due to ongoing disagreements among state legislators and the potential loss of federal funding. As state leaders continue negotiations regarding the funding for schools, the recommendations provided in the EPIC report may inform future decisions to enhance educational services across Michigan.
In summary, as Michigan navigates the complexities of school funding amid political debates, the call for increased financial support and strategic changes in policy highlight the ongoing struggle to provide quality education while addressing fiscal realities.
Deeper Dive: News & Info About This Topic
HERE Resources
Michigan State University Celebrates 53 Years of Service
New Morning School to Permanently Close Due to Low Enrollment
Michigan Medicine Halts Gender-Affirming Care for Minors
Michigan State Budget Stalemate Puts School Funding at Risk
Michigan Lawmakers Face Budget Deadline to Avoid Shutdown
Renovation Triumphs at Michigan Stadium Enhance Game Day Experience
Michigan Lawmakers Face Budget Deadline as Shutdown Looms
Michigan Faces Potential Government Shutdown
Individual Arrested Following School Threat in Dearborn Heights
Construction Workers Rally for Long-term Road Funding in Michigan
Additional Resources
- Iron Mountain Daily News: MSU Study Urges More Money & Efficiencies for Michigan Schools
- Michigan Advance: MSU Study Floats New Taxes to Fund Schools
- Bridge Michigan: MSU Report Urges More Money & Improved Efficiencies for Michigan Schools
- Google Search: Michigan School Funding
- Encyclopedia Britannica: Education
Author: STAFF HERE PLYMOUTH WRITER
The PLYMOUTH STAFF WRITER represents the experienced team at HEREPlymouth.com, your go-to source for actionable local news and information in Plymouth, Wayne County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Plymouth Ice Festival, Art in the Park, and the Plymouth Fall Festival. Our coverage extends to key organizations like the Plymouth Community Chamber of Commerce and Main Street Plymouth, plus leading businesses in automotive and retail that power the local economy such as Roush Industries and Downtown Plymouth businesses. As part of the broader HERE network, including HEREDetroitMI.com, HEREGrandRapids.com, HERENorthville.com, and HERENovi.com, we provide comprehensive, credible insights into Michigan's dynamic landscape.
