Senate Democrats Release MDHHS Budget Recommendations
Update: Apr 18-May 1, 2026
The Michigan Senate Appropriations Subcommittee on DHHS recently released their budget recommendations for the department for Fiscal Year 2026-2027 (FY 27). The proposal came in at $40.4 billion ($7.6 billion GF/GP), a gross increase from last year of $10.5 billion ($206.9 million GF/GP). The Senate came in $500 million under Gov. Whitmer’s proposal.
Notably, the Senate recommendation did not include new taxes proposed by the Governor on digital advertising, tobacco, vapes, and other nicotine products, or the changes to online gambling taxes, that would generate an estimated $800 million to assist in covering Medicaid costs. While the Senate did not include any identified Medicaid cost savings in its budget, Gov. Whitmer’s proposal included $150 million in savings and House Republicans called for $300 million. The Senate also proposed 485 new Full-Time Employees (FTEs) compared to the 589 new positions recommended by the Governor.
A brief overview of the Michigan House Republicans proposal can be found here.