New EM law in the works includes bankruptcy option - Dallas News | myFOXdfw.com

New EM law in the works includes bankruptcy option

Posted: Updated:

By Tim Skubick
Fox 2 News


LANSING, Mich. (WJBK) -- The voters said no to the governor's original emergency manager law, so the governor is offering Plan B that would include more public input.

An AFSCME lobbyist argues that's exactly what the voters wanted -- a restoration of democracy.

"I think the voters very clearly said that what they want is democracy at the local unit of government, that they expect their elected officials to have a clear role in the decisions on any financial problems that occur," said Nic Ciaramitaro.

Dick Posthumus, the governor's lobbyist, said they heard the voters, who were saying, "We were taking decision making away from the local units of government.  This would give it back to them."

The Republicans are offering three choices -- vote for an emergency manager, vote for bankruptcy or work out a consent agreement such as the one in Detroit.

"We will offer some things and one of them will be an emergency financial manager potentially.  Maybe you go on with the kind of agreement that they're talking about now or maybe if you don't want to and you have to go into federal bankruptcy, you can explain that to your constituents," said Senate GOP leader Randy Richardville.

Unions oppose giving the emergency manager the right to cancel union contracts, but the administration argues that must stay.

"If they go that route, it'd be just like a bankruptcy judge.  They'd have to have the ability to cancel contracts and reset that municipality so that they can get themselves back on sound footing," Posthumus said.

The new EM law could be ready by the end of the year.

  • Tim SkubickMore>>

  • Did the tortoise really just catch up with the hare?

    Did the tortoise really just catch up with the hare?

    Tuesday, September 2 2014 9:49 AM EDT2014-09-02 13:49:47 GMT
    Well lookie here. Schauer 45%. Snyder 43%. Now before all you Democrats start popping champagne corks, some sobering analysis of the numbers.
    Well lookie here. Schauer 45%. Snyder 43%. Now before all you Democrats start popping champagne corks, some sobering analysis of the numbers.
  • Why the independent voters may decide the new governor

    Why the independent voters may decide the new governor

    Thursday, August 28 2014 1:02 PM EDT2014-08-28 17:02:09 GMT
    The I's have it. Here we go with the popular wisdom schtick again. It says that independent voters hold the key to the outcome in the race for governor.
    The I's have it. Here we go with the popular wisdom schtick again. It says that independent voters hold the key to the outcome in the race for governor.
  • Back to school battle brewing in Lansing

    Back to school battle brewing in Lansing

    Wednesday, August 27 2014 9:47 PM EDT2014-08-28 01:47:57 GMT
    About 75% of the school children across the country are already in school but not in Michigan, where the tourism industry has convinced lawmakers to delay the opening of school until after Labor Day.
    About 75% of the school children across the country are already in school but not in Michigan, where the tourism industry has convinced lawmakers to delay the opening of school until after Labor Day.
Powered by WorldNow

KDFW FOX 4
400 N. Griffin Street
Dallas, Texas 75202

Main Station Directory:
(214) 720-4444
News Fax:
(214) 720-3263 or (214) 720-3333

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | New Terms of Service What's new | Ad Choices