Gov. Whitmer signs $2.5B COVID-19 funding recovery plan, calls for remaining funds to be allocated

DETROIT (FOX 2) - Gov. Gretchen Whitmer signed legislation Tuesday that will provide funding to Michigan’s COVID-19 recovery plan.

That plan includes a $2.25 an hour wage increase for direct care workers, $283 million in federal emergency rental assistance, up to $110 million in federal funding for vaccine administration, and up to $555 million in federal funding for testing and tracing. 

Whitmer said that while funding has been approved, more federal dollars need to be allocated. This lack of allocated funds resulted in vetoes, she said.

MORE: Whitmer says delays of aid could slow COVID-10 vaccine rollout

"The reality is that there is more work to be done and there are still billions of dollars in federal funding that we need to get out the door to help businesses and families across the state," she said. "The bills I received were not negotiated with me or my administration, and I continue to call on the legislature to ensure that we work together to ensure we maximize every penny that is available. There were problems in the bills that I had to veto, and I expect the legislature to step up to fix the bill to allocate all of the money so we can get back to normal as soon as possible." 

Currently, more than $2 billion in federal funding has not been allocated.

State budget director David Massaron sent a letter to the appropriations chairs in the House and Senate, asking again for a joint meeting no later than Friday. This meeting would entail negotiations to get the rest of the funds appropriated. 

READ: GOP-led legislature passes $4.2B virus plan without Whitmer's input

"Unfortunately, the legislature tried to prohibit expenditure of funds for vaccine distribution and the return to school unless the governor signs legislation stripping powers from the executive branch," Massaron said. "Vetoes were necessary and now we need to collectively refocus efforts on the best way to get resources out the door to speed our recovery from the pandemic."

Whitmer proposed allocating $622 million for rent and utility assistance, but the plan given to her provided $283 million. She also allocated $2.7 billion for food assistance but the current only provides  $600 million.

"We are on a good path to recovery and our key metrics and numbers are improving, but we need to put the rest of the available federal funding to work, much of it aimed at helping businesses and aiding their recovery," Whitmer said. "The light at the end of the tunnel is getting brighter and I thank every Michigander who has done their part in the response to the pandemic."