In a rare Sunday night session, a majority of the Michigan Senate yesterday voted to reduce out-of- control state spending by approximately $950 million. Michigan Chamber President & CEO Jim Barrett today issued the following statement in response to that action:
"Spending cuts and structural reforms in state government operations hold the key to dealing with the state's budget woes this year and in the future.
"The Citizens Research Council of Michigan estimates that state government spending pressures will grow 6.5 percent per year compared with a 2.8 percent growth per year in revenues unless significant changes are made in spending priorities and tax policy.
"The Michigan Chamber commends members of the Michigan Senate who last night made the tough decision to vote to reduce state spending. It is critically important that substantial government restructuring and reductions in state spending are the focus of a comprehensive plan to balance the state budget."
The Michigan Chamber of Commerce is a statewide business advocacy organization representing over 7,000 employers, trade associations and local chambers of commerce.
First Call Analyst:
SOURCE: Michigan Chamber of Commerce
CONTACT: Betty McNerney of the Michigan Chamber of Commerce,
Web site: http://www.michamber.com/