State Emergency
State of Michigan attempts to take new approach to the financial crunch on cities and schools
Last Wednesday, the Michigan House of Representatives passed legislation 62-47, giving emergency financial managers the ability to toss out union contracts, dissolve city councils and school boards, and strip away powers of city mayors. This comes as part of Governor Snyder’s budget proposal calling for revisions to the state’s emergency financial manager’s law, Public Act 72. According to Governor Snyder’s administration, this is meant to be a pre-emptive tool, allowing earlier intervention and assistance when a municipality or school district is going through a financial crisis. Michigan Republicans believe the legislation will help communities and school districts avoid deficits by putting one person or organization, appointed by the governor, in charge that can make decisions quickly and efficiently. The fear from those that oppose this legislation is that it leaves no checks and balances of power, gives outsiders control of municipalities and school districts, and to an extent, takes away the effectiveness of voting in elected officials. The legislation still has to pass through the Senate where revisions could be made, then must be signed into law by Governor Snyder.
According to the Detroit News there are four emergency financial managers at work in Michigan, in Detroit Public Schools, and in the cities of Benton Harbor, Pontiac and Ecorse. Michigan Treasury spokesperson Terry Stanton said of the new legislation that it is impossible to know just how many more organizations would be affected if the legislation is passed, but that there are, however, a number of communities around the state that are facing impending financial problems. By passing this legislation, the House of Representatives has created lots of mixed attitudes across the board in the State of Michigan. This will be a continuing issue of importance to all municipal and school officials. For information on two useful programs that employers are using to save money please visit
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State Of Emergency – Nick Jonas – Studio FULL + lyrics!