Tagged: Detroit financial crisis

DETROIT (AP) - Detroit Mayor Dave Bing has taken a step toward seeking a second four-year term leading the city that now operates under a state financial manager.

Bing picked up petitions Thursday afternoon at the city clerk's office for a spot on the August primary ballot. The top two vote-getters advance to November's general election.

He's been silent for months on his re-election intentions as Detroit entered state oversight. Gov. Rick Snyder in March named bankruptcy attorney Kevyn Orr as Detroit's emergency manager.

Bing says he's working closely with Orr, who must approve all financial decisions.

The 69-year-old Bing was elected mayor in May 2009 to complete the remaining months of disgraced ex-mayor Kwame Kilpatrick's second term. Voters re-elected elected Bing that November.

He inherited a budget deficit that now stands at $327 million.

The highways around Detroit are being used for displays of civil disobedience over the emergency manager law.

It started last month, and has carried to opening day.

MLive's Gus Burns writes that he was on his way to cover opening day for the Tigers this morning when he decided to tag along with the protestors.

DETROIT (AP) - Bankruptcy attorney and turnaround specialist Kevyn Orr has arrived at Detroit City Hall for his first day on the job as emergency manager.

Orr has said he expects to sit down with Mayor Dave Bing Monday and meet with some City Council members.

He was appointed earlier this month by Gov. Rick Snyder and takes over the finances of the largest city in the country to come under state oversight.

Orr also plans to look at the city's financial data to help develop his plan of action in tackling Detroit's fiscal crisis. The city has a $327 million budget deficit and more than $14 billion in debt.

Some, including a group led by prominent Detroit pastors, have said they will protest Orr's appointment and Michigan's emergency manager law.

Millions of undocumented immigrants in this country are hoping this is the year for immigration reform. On today's show, we explore what the future holds for mixed-status families.

And, it's being called "one of the most dramatic ecological recovery stories in North America." Why beavers along the Detroit River are such a big deal.

And, it’s been a week now since Governor Snyder announced Kevyn Orr as Detroit’s emergency manager, and it was a week ago that we last spoke with Daniel Howes, business columnist at the Detroit News. We checked in with Howes about the prospect of a Detroit recovery.

All that, and roller derbies and march madness, on today's show.

The following is a summary of the above audio. To hear the full interview, click above.

It's been five days since Governor Snyder presented Kevyn Orr as the emergency manager of Detroit.

Many were quick to comment about Orr’s “introduction” to Michigan and that he seemed well-suited for the job.

He is a U-M law school alumnus, an attorney specializing in bankruptcy law and he helped guide Chrysler through its bankruptcy.

At his introductory press conference last Thursday with Governor Snyder and Detroit Mayor Dave Bing, Kevyn Orr certainly seemed ready and willing  to take on the gargantuan task of “fixing” Detroit’s dire financial crisis.

Within the first day of that press conference, it was reported that Orr had some financial troubles of his own. He had liens on his home over unpaid unemployment insurance taxes.

"It is quite embarrassing when something like that comes up, but I took care of that as soon as I could and paid it off," Orr said. "Frankly, I have been too focused on my professional obligations and not as focused enough on my private obligations."

A Detroit-based technology firm says it has an elegant solution to the city's property tax-collection woes.

Loveland Technologies has been mapping the city’s tax-foreclosed properties online. And Loveland founder Jerry Paffendorf says they’ve come across some remarkable data along the way, like this: “The city of Detroit is nearly half a billion dollars behind on property tax collection, when you add in penalties and interest.”

Detroit's new emergency manager said he was embarrassed when Detroit News reporters showed him records of four tax liens placed on his house in Maryland.

Orr said he didn't know anything about the liens when shown records of them Friday morning by The Detroit News.

"I don't know what they are," Orr said, as his new boss, Gov. Rick Snyder, sat next to him in The News' offices. "That's surprising to me, to be honest."

Orr promised to take care of the matter right away. 

There was apparently an oversight related to a childcare provider unemployment insurance payment," Wurfel wrote in an e-mail. "Immediately upon learning of the potential issue just today, he took action at once to look into and resolve with the state of Maryland."

Now, Matt Helms of the Detroit Free Press reports the matter has been taken care of: 

A Maryland official confirmed today that two payments have been made on tax liens filed against Kevyn Orr, Detroit’s emergency financial manager after the state went after unpaid unemployment insurance on child care for his two children.

Maryland Department of Labor, Licensing and Regulation spokeswoman Maureen O’Connor told the Free Press today that she could not discuss specifics of the liens filed against Orr, but said two payments were made on outstanding taxes he owed, so the liens “are in the process of being satisfied.” She declined further comment.

Gov. Snyder said things happen...

“I just view it as that’s not something he was aware of,” Snyder said. “Those things can happen where you had a nanny helping you in your house, you took care of part of the issues and your accountant missed something. And you just go get it taken care of and move ahead.”

When we asked our Facebook fans on Saturday whether they thought this news was a big deal or not... most said, "It's a big deal!"

But maybe Debra Burr put it best when she closed out the comment thread:

"Okay. Now what?"