5 big takeaways from Michigan’s new education budget that every parent should know

Gov. Gretchen Whitmer signed a $23 billion budget that features record investments for Michigan’s public schools, students, and teachers. Here’s what parents need to know.

MICHIGAN—A $23 billion budget bill signed into law this week by Gov. Gretchen Whitmer marks another record-breaking state investment in Michigan’s students and public schools—including an entirely free education from preschool through community college.

For the sixth year in a row, the budget also features an all-time high level of per-pupil funding for public schools, as well as what Whitmer is billing as a “historic” state investment for teachers.

In a statement, Whitmer said the budget will support students, invest in schools, and empower educators—including by providing access to free preschool, free school meals, on-campus mental health resources, and tuition-free community college for every high school graduate.

“This budget will improve outcomes, lower costs, and strengthen our education system,” Whitmer said. “Since I took office, I have been a strong advocate for lifelong public education, and this budget delivers on so many of the goals and policies I proposed in my State of the State address and executive budget recommendation. Let’s keep getting things done to make a real difference in our children’s lives so they are set up for a bright future right here in Michigan.”

These are some the biggest takeaways from the newly signed budget:

Free Preschool for All

Under the new state budget, all Michigan families—regardless of income—will be guaranteed access to free, high-quality education beginning with preschool. The legislation included $130 million to fund the initiative, which will expand offerings to about 5,300 more children. 

State officials estimate the initiative will save families an average of $10,000 a year for each child they have in preschool, as well as expand opportunities for early learning across the state—namely by earmarking $25 million to open new classrooms in underserved areas.  

The budget also includes funding for transportation for preschoolers and outreach efforts to reach more families. If there is a shortage of spaces, priority will be given to Michigan families with incomes at or below 400% of the federal poverty level, reports the Detroit Free Press.

Whitmer initially voiced plans to slowly roll out the funding through 2026. But the latest budget now aims to offer free preschool to every four-year-old child in Michigan—about two years early.

“When we get this done, no matter who you are, where you come from, or how much you make, your child can enroll in pre-K and be set up for success,” Whitmer said during her State of the State speech this year, where she announced the accelerated plan to offer free preschool.

Beyond the immediate cost savings, Whitmer said the plan is also geared toward improving literacy rates, helping kids build a “solid academic foundation” for success, and attracting more employers to Michigan by giving working parents more affordable options for child care.

“This budget provides every Michigan child the guarantee of a free, high-quality education from preschool through community college—that’s a big deal,” said state Budget Director Jen Flood. “We’re laser focused on providing our kids a world class education while saving families money.”

Record-High Classroom Funding

For the sixth consecutive year, the state budget set a new state record for classroom investment—including an extra $600 million for public schools, according to Whitmer’s office. 

The state foundation grants—or the amount of state funding assigned to each school district per pupil—was reportedly kept flat at $9,608 per student for the next school year. But lawmakers said that the freeze will be more than offset by other budget changes—including by freeing up cash that districts would have otherwise had to spend on retirement funds for former teachers.

“This education budget proves that when we listen to our students, families and teachers, we can deliver smart, innovative investments that support every Michigan student’s education,”  state Rep. Angela Witwer (D-Delta Township) said in a statement. “It was an honor to work on a budget that uplifts our students every step of the way. As the future of our state’s workforce, our students do a lot for Michigan. Today, we’re giving back to them by putting their education first.”

About $134 million included in this year’s budget is dedicated exclusively to supporting student mental health needs and bolstering school safety—including about $25 million in new funding.

The budget increases funding for academically at-risk students, English language learners, career and technical education students, and those in rural districts—as well as $181 million to continue funding literacy grants and literacy coaches to help students catch up on coursework.

An additional $125 million will help rural districts with transportation costs, ensuring those schools have even more money to spend directly into the classroom. Another $75 million was earmarked to support all students and parents through expanded extracurricular programs.

“We’re continuing to invest in Michigan’s kids by putting more money into the classroom, increasing academic support, and providing more equitable funding to meet the individual needs of every student in the state,” state Rep. Regina Weiss (D-Oak Park) said in a statement. “We’re doing all we can to ensure every child, regardless of their background or ZIP code of their public school district, has the chance to sit in a classroom where their potential can be nurtured.”

Tuition-Free Community College

Much like the preschool offerings, every high school graduate in Michigan will now also have access to a tuition-free community college degree or skills certificate. Whitmer said the $30 million initiative is designed to ease financial burdens and increase access to higher education—namely by saving more than 18,000 students up to $4,820 on tuition each year. 

The goal, Whitmer has explained, is to help more Michiganders land “better-paying, high-skill” jobs in a “career they love.” It also aligns with the Whitmer administration’s broader “Sixty by 30” goal of having 60% of working-age adults in Michigan earn a postsecondary education by 2030.

“The most frequent concern I hear from business owners is the need for employees who possess a degree or certificate,” Whitmer said in a statement this year. “We’re not just lowering education costs by an average of $4,000, but also opening doors to endless opportunities.”

The new budget also includes $52 million to continue the Michigan Reconnect program, which provides tuition-free education opportunities to Michigan adults ages 25 and up. It also features a 2.5% funding increase for universities and community colleges, a $20 million boost for the state’s Tuition Incentive Program—which provides tuition support for lower income students—and $15 million to provide tuition-free education to eligible Native Americans.

Universal Free School Meals

The latest state budget includes $200 million to keep providing free breakfast and lunch to all 1.4 million public school students in Michigan. Whitmer said the initiative is designed to help students stay focused on learning, as well as save families an average of about $850 a year.

“When we deliver free breakfast and lunch, that saves every household $850 per student,” Whitmer told lawmakers this year. “That’s real savings in the pockets of Michigan families.”

Historic Teacher Investments

Another $100 million was allocated in the latest budget specifically to support teachers—namely to continue the MI Future Educator Program, which offers tuition-free pathways for college students to become certified teachers, as well as covers stipend payments to student teachers.

The idea is cyclical: Recruit more teachers into the classroom—and then ensure they stay in Michigan, so they can provide a high-quality education to more Michigan students.

“By making substantial contributions toward the future of our students, teachers, and school support staff, Whitmer and the Legislature have again proven to our union members that they have our backs,” said Terrence Martin, president of American Federation of Teachers Michigan.

The budget also includes funds to retain and develop more teacher mentorship programs, as well as provide continued support for payments to offset the cost of student loans for educators.

“Providing excellent, equitable public education is the key ingredient for building stronger communities, a stronger Michigan, and a stronger society overall,” state Sen. Darrin Camilleri (D-Trenton) said in a statement. “It is important not just for producing talented professionals for the workforce, but creating compassionate, thoughtful neighbors and residents.”

READ MORE: Federal funds charge up nearly 100 new electric school buses in Michigan 

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