In the hopes of avoiding this worst case scenario, the Senate passed contingency legislation earlier this week to ensure that the core functions of state government continue after October 1.  The nonpartisan Senate Fiscal Agency informed legislators that even if a budget agreement is reached at this late date, the time needed to actually pass and implement the bills would go beyond the first of the month.  Therefore, the Senate passed continuation budget bills to ensure that government will be able to function.  Unfortunately, my colleagues across the aisle and Governor Granholm seem unwilling to support such a responsible move.  This puts essential government services at risk regardless of when a budget agreement is reached.  

As negotiations continue, Senate Republicans continue to insist that meaningful government reform be the centerpiece of the solution.  It is clear that our state's structural deficit cannot be addressed by tax increases alone.  Such a tactic would only be a temporary band-aid for the gaping wound in our state's budget deficit.

Throughout the year, Senate Republicans have proposed and passed significant reforms to state government that will save hundreds of millions of taxpayer dollars.  These proposals include the pooling, or bulk purchasing, of public employee benefits, instituting healthy lifestyle incentives for Medicaid recipients, and savings across every state budget, just to name a few.  Again, unfortunately, these attempts at real government reform have all but been ignored by my colleagues across the aisle, who argue that tax increases are the only way to solve this crisis.

On Sunday night, the Senate will reconvene to consider the options before us in the final week of the fiscal year.  I will continue to advocate for government reforms that will address the state's structural deficit once and for all, coupled with significant spending reductions.  Raising taxes to solve this budget deficit will only kick the can down the road, while further burdening Michigan residents, many of whom are already struggling to make ends meet.  It is my sincere hope that I can report to you next week of a reasonable and responsible solution to this crisis, and of a government shutdown averted.