Tagged: Detroit financial crisis

The Detroit City Council will press a challenge to Governor Snyder’s decision appointing an emergency financial manager—but they’ll do so without Mayor Dave Bing’s support.

The Council voted to approve that challenge Wednesday afternoon. Bing then held a late afternoon press conference declaring his opposition to the Council's tactics.

“I tried to figure out a way to support the Council in their efforts to appeal the Governor’s decision and to challenge the Financial Review Team’s assertion that we did not have a plan in place to fiscally stabilize the City,” Bing told reporters.

Detroit City Council members have been hoping they could put up a united front against an emergency manager with Mayor Bing.

Now it looks like they have some support in that effort.

At a council meeting this morning, one of Mayor Bing's staffers said he would support the council's effort to challenge the state.

The city plans to contest the state financial review panel's finding that Detroit is in a "financial emergency" and that the city has no plan to address the problem.

Detroit Council working on plan to counter emergency manager

The council will meet this morning. The Detroit News reports they want to hear more from Mayor Dave Bing:

The full panel plans to meet at 9 a.m. today to study its options for appealing Gov. Rick Snyder's determination that the city is in a financial emergency, paving the way for an emergency manager.

Council members have asked Bing to come to the table and said they may vote on a response to the governor by Thursday. The city has until Monday to appeal.

Bill aimed at stripping DNRs power to manage for biodiversity clears Senate

Senator Tom Casperson-R (Escanaba) has a victory. His bill, Senate Bill 78, would keep the Michigan Department of natural resources from setting aside land for the purpose of maintaining biological diversity. The Senate passed that bill along a party line vote. 26 Republicans for, 11 Democrats against. You can read more about this legislation from Michigan Radio's Rebecca Williams.

Lansing casino project loses court decision

A federal judge has issued an injunction last night against the tribe that wants to build the casino - the Sault Ste. Marie Tribe of Chippewa Indians.

Michigan Radio's Steve Carmody has been following this story:

U.S. District Judge Robert Jonker granted the state's motion for an injunction pending resolution of the Attorney General's lawsuit. The judge says the tribe cannot apply to the federal government "to have the … property taken into trust unless and until it obtains a written revenue sharing agreement with the other federally-recognized Indian Tribes in Michigan."

Blocking a Detroit emergency manager

Gov. Snyder announced his plans last Friday. Talk of blocking an emergency manager followed.

More from the Detroit News:

Protest against a potential emergency manager in Detroit gained momentum on multiple fronts Monday, with Democratic lawmakers, unions and community activists vowing to fight through the courts and possible federal intervention.

Matt Helms of the Detroit Free Press reminds us that Detroit's bond rating "is deep into junk territory." An emergency manager appointment might help the rating, but it also might hurt it: 

...Moody’s...notes that Michigan’s new emergency manager law, Public Act 436, which takes effect March 28, also provides a clearer path to a Chapter 9 municipal bankruptcy, an option Snyder, state Treasurer Andy Dillon and many city officials said they want to avoid taking.

"Right-to-work" goes on tour

 They won't push right to work in the Pure Michigan campaign anymore, but there is a road tour. 

Americans for Prosperity along with several Republican state representatives are touring cities in Michigan singing the praises of the state's new 'right-to-work' law.

MLive' Sarah Stonestreet was at the meeting in Jackson last night: 

The visit was part of a right to work town hall tour to speak on the positive aspects of the issue and was the first stop of the event, which is scheduled to visit 11 cities by March 28. Other stops include Grand Rapids, Kalamazoo, Traverse City and Brighton.

 
Storm coming, but will mostly miss Michigan
  The southwest corner of the state might get clipped with up to five inches possible, but the rest of us are in the clear. If you're heading south, drive carefully. From MLive: 

If you are driving south along I-75 later today through Ohio, you will be dealing with a mess.

Governor Snyder announced last week that he’ll appoint an emergency manager for the city of Detroit.

That means an unelected person will have sweeping powers to try and stop Detroit’s financial hemorrhaging.

Of course, emergency managers are controversial. And though they don’t have a choice in the matter, Detroiters are very much divided about whether this is a good thing.

Gov. Snyder announced today that he agrees with a state financial review team finding that Detroit is in a "financial emergency." His announcement clears the way for a state-appointed emergency manager. Snyder has a candidate in mind, but wouldn't give up any details on who he has chosen.

Detroit Mayor Dave Bing reacted to the news this way:

With urgency in his voice, Gov. Snyder today announced that the city of Detroit is in a 'financial emergency.' An emergency financial manager appointment could follow. The city has ten days to appeal Gov. Snyder's finding.

Update 12:30 p.m.

When asked what role Detroit City Council would have in a city with an emergency financial manager, Snyder said he thinks they're "going to have an opportunity to define that."

"If they just want to yell... and not come up with any solutions," Snyder said, he doesn't expect them to be part of the process.

Gov. Snyder praised the work of Detroit Public Schools' emergency financial manager Roy Roberts and said he hopes a new emergency financial manager for Detroit would have similar success.

The school system has been under an emergency financial manager for years. When asked how a Detroit emergency financial manager could get the job done in 18 months, Snyder responded that the new emergency manager law calls for the appointment to be reviewed after 18 months.

In closing his remarks Gov. Snyder made a plea for people to stop fighting over this decision.

"This is not the time for fighting and blame. Detroit is in a financial emergency," the Gov. said.

"I want to solve it. I want to help you solve it. Let's just go. I would appreciate your support in this. It's about speaking up and taking action," said Snyder.

The Detroit Free Press reports Detroit City Council members are considering a lawsuit to stop the appointment of an emergency financial manager:

The council has been discussing its options during a meeting today, including the filing of a lawsuit to challenge an appointment.

“We have to fight till the end, but we have to fight smart,” Councilwoman Saunteel Jenkins said this morning.

12:15 p.m.

Gov. Snyder indicated he does have a candidate in mind for the job of emergency financial manager of Detroit, but he would not name that person saying it would be inappropriate to do so at this time.

The city has ten days to appeal his finding of a 'financial emergency.'

Gov. Snyder said the people in Detroit are suffering because of its failing finances.

When asked if the state would bring more resources into Detroit to help the police department, Snyder said he would rather 'partner' with the police department in the city to improve crime prevention.

12:08 p.m.

Saying he looks at today as a 'sad day' for the city of Detroit, Gov. Snyder said the city is in a 'financial emergency.'

City leaders now have ten days to appeal this decision. After that, an emergency financial manager can be named to run things in the city.

"We went from the top to the bottom over the last 50 or 60 years [in the city of Detroit]", said Snyder.

If city leaders contest the finding, there will be a hearing on March 12th, the Gov. said.