LANSING, Mich. - Gov. Jennifer Granholm vetoed the part of the state school budget that essentially protected school districts from Proposal A losses, the Michigan Information & Research Service Inc. reported Monday.

The so-called "20j" payments are given each year to higher- spending school districts that would have received less per- pupil revenue under Proposal A than before that law was passed.

This year the total allocation would have been $54 million spread among 52 districts, MIRS reported.

The school budget also incorporates a $165-per-student cut across all districts, and the governor said more cuts may be forthcoming if revenue numbers continue to fall, according to MIRS. Overall, school aid would be reduced by 2.9 percent, or $382 million, under the budget passed by the Legislature earlier this month, the report said.

MIRS reported that school districts in Livonia, Dearborn and Walled Lake stand to lose about $5 million each due to 20j cuts.

SOURCE:

Michigan Information & Research Service Inc., "Governor Vetoes 20J in Signing K-12 Budget," Oct. 19, 2009 (Subscription required)

FURTHER READING:

Mackinac Center for Public Policy, "How to Save $2.2 Billion," June 8, 2009

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