The leader of the Department of Civil Rights said Wednesday his agency and others provided the administration with a reduced budget proposal in the event of a 15% cut, while the state’s budget director confirmed the office is working with leaders on plans for “a wide variety of scenarios,” in the wake federal cuts and shifting economic policy
Department of Civil Rights Director John Johnson revealed Wednesday that in the time since the department’s initial budget proposal came before Senate appropriations subcommittees and then was approved by the full chamber, the State Budget Office requested an alternative proposal to be submitted with a 15% reduction. Johnson said other departments received similar requests but did not specify.
“We did appear before the Senate on March 20, it did approve our request, but since then, the State Budget Office has asked that we, along with other departments, submit a plan to reduce our fiscal year 26 appropriations by 15%,” Johnson said. “There’s no indication that’s going to happen. They just want to be ready in case they need that information or to be able to negotiate as they continue trying to get a fiscal year 2026 budget approved.”
Johnson went on to say that the department submitted its reduced proposal as requested, and despite his confidence that the request was made on a contingency basis, he and the division leaders within his department decided to institute a hiring freeze until the budget situation stabilized.
“As a result of that, of the uncertainty of our budget, and even that request that we submit that plan, we’ve imposed a temporary hiring freeze in the department until everything is settled, and are only hiring for essential positions,” Johnson said.
Budget Director Jen Flood confirmed that SBO is working with departments on contingency plans “for a wide range of scenarios,” in part due to federal cuts and economic policies coming from the Trump administration.
“Due to recent federal budget cuts and shifting economic policy, SBO is working with departments and agencies to plan for a wide range of scenarios,” Flood said in a statement. “While departments are currently evaluating their options, there is no statewide hiring freeze in place. We look forward to working with the Legislature to pass a balanced and bipartisan budget that prioritizes the core services that Michiganders rely on each day.”
State Budget Office representatives did not respond to questions from Gongwer News Service about how many departments had been asked to provide slimmed down budget proposals or if others had submitted plans with a 15% cut or a different percentage. A source speaking on background said some departments were asked to prepare budgets with cuts greater than 15%.
Although Flood attributed the plans being made with departments to uncertainty at the federal level, Johnson indicated that it was stalling and murkiness in the state budget process that necessitated the alternate proposals and his department’s hiring freeze.
“There’s been no action by the House in terms of budget, and as a result, we’re unsure as to where we’re heading into fiscal year ‘26 at this time,” Johnson said. “(We received) the recommendation of increase (to our budget) by both the governor and the Senate, but absolutely no clue from the House as to where they’re heading on this.”
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