SE Oakland News

Earlier this week, Gov. Gretchen Whitmer signed a new COVID-19 relief spending plan aimed at helping the state bounce back from the economic effects of the coronavirus pandemic.

However, she used her line-item veto power to eliminate $652 million in spending proposals that were sent to her desk by Michigan Republicans and also rejected a bill that would limit her powers as governor during the pandemic, according to reporting by Bridge Michigan.

With the signing of the bill, the state will be authorized to spend about $2.3 billion of the funds that were provided to the state from the federal government. The total fund provided to Michigan was $5 billion. That money is now tied up due to a partisan standoff over how to spend it. 

Rep. Thomas Albert | Michigan House Republicans

The spending bill will fund several priorities for the state, many of which are bipartisan causes, such as vaccine distribution, funding for schools and raising pay for frontline health workers and infrastructure essential workers. It will also provide $283 million in emergency assistance programs for those who are struggling to meet rent and utility obligations during the pandemic. 

A notable part of the population left out of the relief spending is small businesses. Small businesses, some of the most negatively affected victims of the pandemic, have been hit hard over the past year. Whitmer vetoed $405 million in business tax breaks that were proposed by the Michigan GOP. They proposed this after rejecting Whitmer's proposal for $225 million in business grants to help local businesses. 

Whitmer told Bridge Michigan, “The bills I received were not negotiated with me or my administration, and I continue to call on the Legislature to ensure that we work together to ensure we maximize every penny that is available. There were problems in the bills that I had to veto, and I expect the Legislature to step up to fix the bill to allocate all of the money so we can get back to normal as soon as possible.” 

While Whitmer claims that the bills were untenable, Republicans claim that she has abandoned small businesses through her actions. 

House Appropriations Chairman Thomas Albert (R-Lowell) told Bridge Michigan, “This desperately needed assistance was not tied to any other measure or condition in the relief plan -- yet the governor vetoed it anyway, and with it, she is killing off whatever hope struggling families and job providers had left.” 

The two sides remain in a standoff as businesses continue to struggle around the state. The partisan logjam appears to be as strong as ever during the COVID-19 relief negotiations.