Financial Martial Law
Michigan lawmakers are on the verge of approving a bill that would enable the governor to appoint “emergency managers” — officials with unilateral power to make sweeping changes to cities facing financial troubles.
Under the legislation, the Michigan Messenger reports, the governor could declare a “financial emergency” in towns or school districts. He could then appoint a manager to fire local elected officials, break contracts, seize and sell assets, eliminate services – and even eliminate whole cities or school districts without any public input.
The measure passed in the state Senate this week; the House passed its own version earlier. The two versions of the bill are expected to be reconciled next week, and Republican Gov. Rick Snyder has said he will sign the bill the bill into law.
Seems to me the state can’t manage its money. Why would anyone think it could manage a city’s?
March 15th, 2011 at 10:37 am
Everyday I wake up and find my country becoming more like “Atlas Shrugged”. It frightens me as: 1) the country is growing weaker, 2) I find myself agreeing with Wookies.
March 15th, 2011 at 10:38 am
Ever been to the cities of Detroit, Flint, Pontiac, or Saginaw?
Corruption and graft doesn’t even begin to describe the hacks running these cities.
This law is just an update on one from 1990. When the EFM takes over, the city council can still obstruct anything he does. Just look at Bentor Harbor or the Detroit Public Schools. Canning the elected officals is a unfortunate but necessary evil.
March 15th, 2011 at 11:01 am
It’s not meant to manage city money; it’s meant to grab city money.
March 15th, 2011 at 11:26 am
>>>It’s not meant to manage city money; it’s meant to grab city money.
Ha ha. Good one. There is no city money.
March 15th, 2011 at 11:41 am
It’s the old “fox guardin’ the henhouse” deal.
March 15th, 2011 at 11:58 am
I’ll second the note about current Michigan law.
If you want, search for Detroit-regional news sources with the name “Robert Bobb”. He was appointed Emergency Financial Manager for the Detroit Public Schools by then-Gov. Granholm.
So far, his interactions with the elected Detroit School Board include lawsuits between the Board and himself, acrimonious public meetings, and attempts to figure out just how much money has been lost/set-aside/pilfered by various administrators and principals.
March 15th, 2011 at 12:20 pm
The thieves calling the thieves thieves scenario….
March 15th, 2011 at 12:32 pm
Nice, uh… city ya got here… uh, It’d be a shame if anything, uh… happened to it.
Well your first clue with Robert Bobb is he was appointed by Granholm. I wouldn’t expect anything better from one of her appointees than from one of bambam’s.
March 15th, 2011 at 12:32 pm
It’s not about money, it’s about power.
March 15th, 2011 at 2:17 pm
What PT said, I think.
Would the State do WORSE in those cases? At least the State won’t have the local “interests” to feed…
March 15th, 2011 at 3:24 pm
It basically gives the state the authority they need to unfuck places like Flint or Detroit, who are both incapable and unwilling to fix themselves.
March 15th, 2011 at 3:24 pm
And I cautiously predict this is the best thing to happen to Michigan in a while.
March 15th, 2011 at 3:40 pm
Constitutional authority?…..oh wait, why am I even asking?
March 15th, 2011 at 4:20 pm
Ohio has had this for years. State comes in, does an audit, if your city don’t have the money, it tells you what cutbacks to make, makes them for you if you are too beholdin’ to some vested interest, and they approve all spending until the State says the city is back on its feet. Happened to my town twice in the last 7 years, and it looks like it’s going to happen again. But now that State can get rid of the Unions, maybe we’ll get some financial stability for awhile. Elections have consequences….
March 15th, 2011 at 5:59 pm
This way the elected officials are off the hook for hard decisions. They can blame the executive.
March 15th, 2011 at 7:38 pm
Bell, California where eight current and former city officials were arrested and charged with making or receiving illegal loans, misappropriation of funds of more than $5.5 million, including being paid for phantom meetings and demonstrated “corruption on steroids.”
March 15th, 2011 at 7:39 pm
Arrest ’em and throw ’em in jail and get the money back and strip them of their self-appointed million dollar pensions.
March 15th, 2011 at 9:26 pm
Very fitting for the Ides of March. The ability to appoint a dictator (in the original sense). Except they won’t be going to go call their dictator from plowing his fields.
March 15th, 2011 at 11:08 pm
Local governments exist at the pleasure of the state. In reality, they exist at the whim of the state. My biggest concern is the state nullifying local contracts. Dissolution of local governments may end being necessary, but dissolution of contractual obligations is troubling. For better or worse if local government cannot make contracts, where does that leave them?
March 16th, 2011 at 2:56 am
Wow, my civics teacher said that we were ruled by consent. Twenty years on it seems that story was once true: John Handcock(yeah, too easy), no taxation without representation, Bill of Rights(all amendments included), the ability of individuals to serve in office and then return to civilian life.
Except, being a politician is a profession, maybe 31% of people vote during local elections, nobody gives a sh*t unless it is happening to them, and the rest of us are just doing everything we can to make the rent.
I just feel like a prole in the land of the free and like a troll on the interwebs. Does that make me a Lib-tard?
March 16th, 2011 at 7:34 am
Best case scenario, this is robbing Peter to pay Paul. Unlawfully cancelling a contract or firing someone that results in a huge loss in civil court a few years down the road. We have this happen in the District all the time, and it always ends badly for big government. Taxpayers suffer.
March 16th, 2011 at 10:03 am
The title of this post is quite apt.