Tagged: budget deficit

Detroit is worse off than we thought

"Detroit's state-appointed emergency manager is painting a bleak financial picture. Kevyn Orr's first report says Detroit's net cash position was negative $162 million as of April 26 and that the projected budget deficit is expected to reach $386 million in less than two months. That's more than the city's estimate" reports the Associated Press.

Pontiac schools might be saved; no such luck for Buena Vista

The state is expected to release a payment as soon as today that will keep the Pontiac school district from declaring bankruptcy according to a letter sent to the district last week by the state Department of Education.

"There is still no plan to get 400 kids in the Buena Vista district back to school. Buena Vista closed its doors abruptly after losing a monthly payment because the district owes the state money. " Michigan Radio's Rick Pluta reports.

A new bill would reward teacher performance

"Michigan teachers' performance in the classroom would play a bigger role in the amount they get in their paychecks under a proposal being debated in the state House. Supporters argue that rewarding teachers who perform better and moving away from a system that rewards seniority will improve teachers and benefit students" reports the Associated Press.

Flint’s mayor delivers his State of the City address tomorrow.

He says he’ll map out a path for Flint to no longer need an emergency financial manager running his city.

Mayor Dayne Walling says now’s the time to begin preparing for life after an emergency manager.

The city has been under the direction of a state appointed manager since December of 2011.

The new emergency manager law that takes effect next month includes a provision that details how cities can get back to self-control.

A private company will start picking up Flint’s residential trash next month.

Emergency Financial Manager Ed Kurtz says Republic Services can handle Flint’s waste collection for a million dollars a year less than the city can itself.    The two sides signed a contract this week. 

The city of Lansing faces an $11 million budget deficit in the coming fiscal year.

City officials say the shortfall is due largely to a steep decline in property tax revenues. Rising pension, health care, and salaries are also to blame. The numbers take into account the extra money the city is taking in from a new tax levy voters approved a year ago, but the city has almost reached its constitutional limit on how much money it can raise in new taxes.  In a press release, Mayor Virg Bernero says the funding model for Michigan cities is "broken."