Michigan's budget deficit

The battle over the projected $1.7 billion deficit in Michigan is approaching a big deadline.

If lawmakers don't reach a deal by September 30, 2007 some government services could shut down.

Talks have broken down in Lansing with republicans and democrats blaming each other for the stalemate.

Higher taxes seem inevitable to many lawmakers to make up the difference even with spending cuts.

The Republican-controlled Senate plans to unveil $1.7 billion in spending cuts Monday if House Democrats do not approve a tax increase.


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