State Budget Passed – Dems Secure Win for Kids

Press Release

Lawmakers delivered a nearly $21 billion budget that makes vital investments into education

LANSING, Mich., Oct. 3, 2025 — The Michigan Legislature finalized a $21 billion School Aid budget for the 2025-26 fiscal year during a marathon session in the House and Senate. This budget achieves key priorities like the continuation of the universal free meals plan and rural transportation support while increasing per-pupil funding. Since Republicans passed their version of a budget for schools in June, House Democrats and school groups had been advocating to restore those priorities and other guaranteed funding for programs demonstrated to benefit students and improve learning outcomes across the state.

“As a teacher-turned-legislator with experience at the head of the classroom, I know first hand that educators are dedicated to the success of every child — it is the Legislature’s responsibility to ensure our teachers can meet that goal,” said state Rep. Carol Glanville (D-Walker).

“House Democrats have been holding the line to guarantee funding streams that make sure every child can succeed, no matter their background, no matter their economic situation and no matter how similar or different they are to their peers. I’m glad we could deliver this budget, but there is more work ahead to ensure an equitable education for all.”

In June, House Dems unveiled their Education Vision in an effort to motivate Republicans to come to the negotiation table in good faith, and just last month introduced a 10-bill legislative package to codify certain school aid categoricals into law. The final spending plan reflects their commitment to protect investments that support educational outcomes and therefore Michigan’s economy. 

“Passing this budget is a win for Michigan’s students, but it’s just one step toward the long-term stability our schools need,” said state Rep. Matt Koleszar (D-Plymouth). “That’s why House Democrats introduced a package to lock critical supports into law — so no child’s access to meals, counseling or safe transportation depends on the politics of the moment.

This budget reflects that commitment, and we’ll keep fighting to make those protections permanent. My colleagues and I have long championed strong investments in education, and this plan delivers: students will learn with full bellies, at-risk supports will grow and class-size reduction grants will continue.”

While the delivery of this budget includes a 4.6 percent foundation allowance increase and has eased uncertainty amongst school districts, educational leaders have already spoken out about the damage a delayed budget has done for Michigan schools with some districts having to take out high-interest loans to keep classroom lights on. 

“This budget delivers what our kids and teachers need — I’m especially glad that we secured funding for mental health and school safety. But we need to also recognize that the delay in getting this done due to House Republican games was reckless and harmful, and there’s still work to be done.

No school should ever have to take out a loan just to keep the lights on or wonder if they’ll be able to feed their students. Going forward, we need timely, responsible budgeting that puts children first, not partisan gridlock,” said state Rep. Kimberly Edwards (D-Eastpointe). 

Key funding highlights from the budget include:

• Expansion of Great Start Readiness Program with removal of income eligibility thresholds.
• $10 million for community violence intervention programs.
• $200 for universal school meals.
• $321 million for mental health and school safety grants.
• 25 percent increases for at-risk students and English language learners.