Governor Granholm Signs Moratorium on Purchase of Supplies

Contact: Liz Boyd 517-335-6397

August 6, 2003

LANSING – Governor Jennifer M. Granholm today announced that she has signed an Executive Directive that halts the purchase of, or contracting for, supplies, materials, equipment, printing, or other products by state departments or agencies using state funds for the remainder of the current fiscal year.

“We must squeeze every drop of green out of every taxpayer’s dollar,” Granholm said.  “Pinching pennies and being frugal with our purchases is making the best use of our limited tax dollars during these tight budget times – something every Michigan family expects from us.”
Exceptions to the spending ban will be permitted when: 
•the purchase or contract is required by legal mandate or court order;

•the purchase or contract is necessary to protect the health or safety of Michigan citizens or visitors;

•the purchase or contract is necessary to provide for the basic requirements of residents of state institutions or facilities including, but not limited to, food, clothing, and prescription drugs;

•a legally-mandated program or activity of state government will cease to function without the purchase or contract;

•the purchase or contract will produce budgetary savings, increase state revenues, prevent the loss of federal funds, or secure additional federal funds.

“I appreciate the cooperation of department directors and agency heads on this matter,” Granholm said.  “By working together and initiating such proactive measures, we can make sure we are being responsible and prudent with state revenues.”

The moratorium is effective August 5, 2003, and remains in effect through September 30, 2003.