Michigan Reaches State Budget Agreement, Cuts $90 Million in Taxes

(LANSING, Mich.) -- Michigan leaders reached an agreement on the state's 2012-13 budget on Wednesday, cutting $90 million from individual income taxes, The Detroit Free Press reports.

State House Speaker Jase Bolger (R-Marshall) said the agreement would allow the government to focus on funding classrooms, pay off debt, save money and help individual taxpayers. Critics of the tax cut proposal, however, say the money should go to low-income workers, the paper says.

In addition, the state has set aside $180 million for schools, $110 million for roads and transportation, $25 million for subsidies to the movie and entertainment industry and $60 million for home heating assistance for low-income households.

Copyright 2012 ABC News Radio