Senate Unveils DHHS Budget Proposal for FY 2026
Update: Apr 29-May 12, 2025
The Michigan Senate Appropriations Health and Human Services Subcommittee advanced its version of the FY 2026 DHHS budget last week at $39.31 billion, coming in slightly higher than the Governor’s proposed $39.15 billion recommendation. Chair Sylvia Santana’s (D-Detroit) objectives include improving health outcomes for families while protecting essential services and preparing for potential decreases in federal Medicaid support.
Key Senate additions include $58 million for expanding Flint’s Rx Kids program, $13 million for water affordability initiatives, and $10 million for reproductive health access grants. The Senate also proposed smaller increases to Medicaid eligibility than Whitmer’s plan. The budget did not include funding for building a state psychiatric hospital in Northville or for health care services for incarcerated individuals prior to release. It also failed to include several items funded by opioid settlement dollars that were proposed in the Governor’s executive recommendation. However, the Senate added funding in areas such as permanent supportive housing, reproductive health access grants, children’s advocacy centers, non-clinical direct care worker pay, and medical debt relief.