MERIDIAN TOWNSHIP - Governor Rick Snyder released a $54.9 billion budget proposal last month for the fiscal year set to begin in October.

Under the proposal less than three percent of Michigan's 1,240 townships would receive statutory revenue sharing. Statutory revenue sharing would be reduced by $5.8 million for cities, villages and townships. This would eliminate revenue sharing for 100 townships that received funding for the past two fiscal years, leaving 34 townships remaining that would receive statutory revenue sharing dollars. Meridian Township was not included in these cuts.

Meridian Township Treasurer Julie Brixie said the money from revenue sharing helps the township run its operations.

"It provides funds for police and fire departments and other governmental services," Brixie said.

Brixie also said the climate that has been created with revenue sharing is one that isn't adequate to continue providing the services residents need in their local communities.

"This is another cut to the basic revenue sharing that threatens local government and makes it harder for us to provide basic services," Brixie said.

There are two types of revenue sharing, statutory and constitutional. Brixie said while both revenues are based on a formula, the main difference between the two is the state cannot cut constitutional revenue sharing to local units of government.

The reason for that is because it's part of the state constitution. Statutory revenue, according to Brixie, is up for grabs each year with the governor's budget.

Meridian Township receives money from both statutory and constitutional revenue sharing but Brixie said the township actually receives more through constitutional revenue sharing.

While the township won't see a cut under the statutory revenue sharing if the budget proposal is approved, Brixie said the revenue sharing could use room for improvement.

"The revenue sharing in general hasn't kept up with the rising cost of health care, pensions, and the costs that we have in local communities to maintain police and fire departments," Brixie said,

While constitutional revenue sharing is expected to increase for the 2017 fiscal year, the townships that would no longer receive statutory revenue sharing dollars would face a negative impact to their budgets.

The GOP-controlled legislature will consider the legislation in the coming months and likely approve a plan in early June.