MI Budget chief: State can ride out a two-week shutdown

BY RICK PLUTA
Michigan Public Radio Network

Michigan’s budget chief said the federal shutdown could cost the state 18 million dollars a day in lost funding. Budget Director John Nixon said he does not expect that to happen unless the shutdown lasts more than two weeks. He said, after that, pre-funding for some big programs will run out.

“I think the biggest concern is the impact it will have on the economy. The federal government is very big, it pumps a lot of money into the economy, and, so, you have a lot of people who are receiving assistance from the federal government, as well as the overall economy,” Nixon said.

Nixon said Bridge Cards and cash assistance are two the bigger programs that would be hurt by a prolonged shutdown. He said layoff notices have also been sent to hundreds of state employees who are paid with federal funds.

Copyright 2013, MPRN

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