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Judge is asked to block $645 million in disputed state spending

The Michigan Environmental Council hopes to work with the legislature to find money for issues it says were underfunded by the Governor's budget proposal.
Lester Graham
/
Michigan Public
The Michigan Environmental Council hopes to work with the legislature to find money for issues it says were underfunded by the Governor's budget proposal.

A Michigan Court of Claims judge has set a Friday hearing on whether to block an official opinion from the state attorney general that restored $645 million dollars in state grants for multi-year projects that were abruptly cut by a GOP-controlled House committee.

Michigan House Republicans sued 16 state departments and challenged the legality of a formal opinion from Attorney General Dana Nessel. The Democratic attorney general cleared the way for spending in the current budget that includes prenatal and newborn programs, museums and symphonies, and Flint water crisis recovery, among other things.

The attorney general’s binding opinion said the GOP-led House Appropriations Committee could not unilaterally make those budget cuts without getting approval from the entire Legislature and Governor Gretchen Whitmer. She said the action amounted to an unconstitutional “legislative veto.”

The hearing will take place Friday morning before Court of Claims Judge Michael Gadola, who is asked to order a 14-day hold on any grants spending while the case plays out.

House Speaker Matt Hall (R-Richland Township) said Tuesday that Nessel’s opinion is poorly reasoned and partisan. He also said many of the projects approved before Republicans controlled the House were not thoroughly vetted and were unnecessary.

“And that’s why we’re reigning in the spending,” he said. “We’re cutting the waste, fraud and abuse and we’re going to get better use for your tax dollars, and that’s why it’s beneficial. We’re going to save the taxpayers hundreds of millions of dollars with this lawsuit and we’re going to force better spending in the future.”

Senate Majority Leader Winnie Brinks (D-Grand Rapids) said the cuts blindsided community organizations in districts represented by Democrats and Republicans. In some cases, the projects funded by the grants were already underway.

“And the fact that it caused so much damage in one fell swoop was a bit of a surprise for everyone, I think,” she said. “And it’s also just completely reckless.”

The attorney general’s formal opinion, which is legally binding on state departments and agencies, allowed the state to continue disbursing the grants. The State Budget Office was not able to say Tuesday exactly how much of the funds had been spent.


Michigan Public Radio Network's Colin Jackson contributed to this report.

Rick Pluta is Senior Capitol Correspondent for the Michigan Public Radio Network. He has been covering Michigan’s Capitol, government, and politics since 1987.