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LANSING - Char e tblt
Micbig n bl I 51.3 billion
budget deficit are a
smoke creen to raise taxes,
aid Gov. lames Blancbard.
"Saying tbat there i a
budget deficit for 1991 is lite
predicting tbat everyone in
cbarge of the budget will do
the wrong thing (in tbe next
11 month )," Blancbard aid
a.t an exclusive intervie
with Capital News Service .
. The 1990-91 fiscal year
only began la t month on
Oct. 1. Blanchard said ince
the budget has been balanced
eight year in a row it would
be hard for a deficit to ur-'
r c in th ninth r
"I think Michigan ha a
bright future," he aid.
"People would have to wor
overtime to me it up."
E ATE FISCAL Agen­
cy Di rector Doug Roberts
di agreed, aying there may
be .a 5370 million dollar
deficit in la t year's budget
nd $1 billion dollar deficit
in the 1990-19<)1 budget.
"Fiscal year '89·'90 ha
not clo ed, II the figures re
not in," Robert aid. "If e
finish in the red, balancing
the I t budget become the
first priority for the follow­
ing fi c I year (under
Michigan' con titutional
balanced budget req ire-
ment). .
H If of the propo cd SI
billion doll r deficit is
cau cd by in rufficicnt fund­
ing for correctional, ocial
ervicc " and other' program ;
the rest i due to a softening
of the fcderal and tate
economic ,Robert aid.
"The current budget wa
propo cd without con idcra­
lion for developments in the
Middle East, the increase in
B CH
ard
o
r
y
oil prices and tbe oftenin of Blanchard aid." ichig n'
tbe . tare and federll udlet remained billoced by
economie ,. Roberts ide ml ing lome difficult
Blanchard agreed the decisions not mating
federal budget "me " ould pro i e t t wean't keep."
imp ct Michigan but he. -Gov.·el�c' 10hn Engler
maint ined the tate budget will face the' cblll ng f
will be balanced when he balancing the budget and
leaves office Ian. 1. hold to his campaign promi e
of "no ne taxes", aid John
Tru cou, Engler's pres
secretary.
·Our pproacb is not to
rai e taxe ." Tr COlt aid.
·You're oing to see a dif­
ferenct y of thinking under
an Engler admini tration.·
·You ill see a re tructur­
ing of government, it ill be
mailer and more efficie'iu,
nd some people Will have re
work a lillie harder," he
added.
Blanchard aid he will
hetp make Engler' transition
to governor as mooth a pos-
sible and till ant
whatever is best for the state.
"I WILL 0 everything I
can to make Engler's transi­
tion to office mooth ODe,·
Blanchard aid. "I am still an
advocate for Michigan "
Blanchard said he. ·may
retire from the political aron
but he ba It on good
authority that there i life
after the governor hip.
"I got a call from (former
Gov. William) Milliken iell­
ing me 'you re going to love
your new life, '" he said.
"THE FEDERAL budget
me a caused by an ad­
ministr tion promising
everybody a free lunch,"
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