Mich. Comp. Laws § 18.1304

Sec. 304. (1) "State budget" means a financial program to deliver state government services. (2) "State operating fund" means a state fund entity established by law to provide direct financial support for services delivered to the public pursuant to the state budget. (3) "State spending paid to units of local government" means the sum of total state spending from state sources paid to a unit of local government. State spending paid to a unit of local government does not include a payment made pursuant to a contract or agreement entered into or made for the provision of a service for the state or to state property, and loans made by the state to a unit of local government.