Federal jobs bill worth $698 million to Michigan

LANSING, Mich.

Michigan's state budget situation should be a little less bleak now that about $698 million in additional federal aid appears to be headed its way.

The U.S. House on Tuesday approved a spending bill that was later signed into law by President Barack Obama.

The Center on Budget and Policy Priorities has said Michigan will get about $318 million for schools and about $380 million for Medicaid.

Even with the extra money, Michigan still faces budget problems.

Gov. Jennifer Granholm and legislative leaders built preliminary budget plans on the expectation Michigan would get more than $500 million in extended Medicaid benefits.

Budget talks have slowed while state lawmakers await the final information on how much federal help Michigan gets.