Farhat Urges Smart Budget Choices as State Faces $779 Million Shortfall

LANSING, Mich., Jan. 16, 2026 — The Consensus Revenue Estimating Conference (CREC) met today and revised Michigan’s revenue outlook downward by $779.4 million for fiscal year 2026 and $1.1 billion for fiscal year 2027 due in part to a slowing economy.

In response, state Rep. Alabas Farhat (D-Dearborn), a member of the Michigan House Appropriations Committee, issued the following statement:

“Across our state, families are looking at their own budgets and trying to stretch every dollar. After today’s CREC meeting, it’s clear the state of Michigan must do the same. With uncertainty coming out of Washington, rising health care costs, and housing that’s still too expensive for too many people, our job is to make smart choices that put working families first. This is about looking at every option and making sure our budget reflects the real struggles people are facing.

“We also can’t afford another late budget. When the budget drags on, schools and local governments are left in limbo. And Michigan families ultimately pay the price. Our responsibility is to do our jobs, balance the budget and get it done on time by June 30.”

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