Gov. Jennifer Granholm has vetoed a large part of the public education spending bill, saying it could cost the state $316 million in federal funds.
The governor announced the veto Tuesday. She encouraged lawmakers to correct the legislation, which includes money for K-12 and intermediate school districts.
She cites a letter from the U.S. Department of Education saying the way lawmakers wrote the bill could cause Michigan to forfeit the $316 million.
School districts were to receive a one-time payment of $154 per student to replace the amount cut in the last academic year. Each district also was to get $23 to $46 more per pupil.
The governor signed the higher education spending bill. It cuts operations funding at each of the 15 state universities by 2.8 percent.
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