Detroit City Council

At an open meeting of the financial review team in charge of evaluating the city of Detroit’s finances, protesters on Monday afternoon interrupted the meeting chanting, “No take over.”

The financial review team reaffirmed that a financial emergency does exist in the city and that a consent agreement was their preferred approach to fixing the city’s finances.

The city of Detroit and Michigan have yet to come to an agreement on how to stabilize the city’s finances.

The state review team looking at Detroit’s finances met again Wednesday, and formally declared the city to be in “severe financial distress.”

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Legal wrangling over Public Act 4, Michigan’s emergency manager law, has put the state’s ability to work out a consent agreement with Detroit in jeopardy.

State leaders and some Detroit officials want to work out an agreement that would prevent the city from going broke in the next couple of months—without appointing an emergency manager.

Detroit Mayor Dave Bing has sent City Council members proposed language for a consent agreement, as time ticks down for them to counter a state proposal that would avoid an emergency manager.

Bing says his proposal gives Detroit “The appropriate tools to address the City’s financial crisis, and preserve the rights of Detroiters to be governed by the City’s elected officials.”

We’ve known for awhile that Detroit’s finances are reaching a crisis point. It’s believed the city could run out of money within the next few months. News broke yesterday evening that the Snyder Administration will try to remedy the situation. Governor Snyder will lay out details of a proposed consent agreement to members of the Detroit City Council today. A consent agreement would give the city’s elected officials broad powers… similar to those of an emergency manager.

A fight is brewing between the Detroit City Council, Mayor Dave Bing, and the state.

State officials say the Detroit Department of Human Services is so corrupt and incompetent it should no longer handle federal funds.

They want the Detroit City Council to agree to that. But the Council wants to hear more specifics—and a request from Mayor Dave Bing—before they act.

Detroit's Fire Commissioner says his department is at the end of its resources due to budget cuts.

Donald Austin spoke to a Detroit City Council committee meeting on Monday.

Even with the cuts, Detroit’s Police and Fire Departments take up well over half of the city's budget. And both departments regularly go over-budget, mostly because of overtime.

Austin says it’s proven almost impossible to cut overtime, when he has to fight so many fires in vacant buildings--which total 30-60% of all department runs, depending on the shift.

Members of the Detroit City Council want more answers about how the city will avoid running out of cash.

Mayor Dave Bing hammered out tentative agreements with most city employee unions, including police and firefighters. They worked as a state review team continues to pore over Detroit's finances, as part of the process that could lead to the state appointing an emergency manager for the city.

The Detroit City Council has approved a map that will be used to guide future Council elections.

The map divides the city into seven districts. Starting next year, Detroit will elect their Council members by district. Currently, all nine members are elected at large.

The Council chose “Option 3,” one of the four options the city’s Planning Commission created for them to choose from.

The non-profit group Data Driven Detroit has released its own map suggesting how to divide the city into districts.

Detroit voters have chosen to elect seven of nine City Council members by district, rather than the present "at-large" system.

The City Planning Commission gave the Council four possible maps to consider.

But the non-profit group Data Driven Detroit has reviewed the data, and produced its own plan—one they’re calling “Option 5.”

Detroit officials are fast-tracking a process to change the way Council members represent the city.

Detroit voters approved a plan in November to elect seven of nine City Council members by district, when they approved a new city charter. Currently, all nine members represent the city at-large.

Detroit’s elected leaders are still struggling to come up with a unified plan to avoid a state takeover—even as a state review team continues work in the city.

The Detroit City Council has been critical of Mayor Dave Bing’s proposal to save more than $100 million this fiscal year to prevent the city from running out of cash.

Members suggest it contains too many optimistic revenue projections and unrealistic assumptions.

The Council has its own list of suggestions. But in the end, they can do little more than offer them to the Mayor.

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The Detroit City Council has scheduled a discussion of Mayor Dave Bing's budget reduction plan. It's set for Thursday afternoon.

A review team is looking into Detroit's finances - a step in a process that could lead to Michigan taking over the city's government. Its recommendations will be forwarded to Gov. Rick Snyder.

A preliminary review determined there was "probable financial stress" in city government and that Detroit faces a general fund deficit of about $200 million. Auditors say Detroit may run out of money as early as April.

Bing, the council and city labor union leaders have been collaborating to convince the state that an emergency manager is unneeded.

Bing has said he'll cut 1,000 jobs early this year to save about $14 million.

Courtesy of Detroit City Council website

The state Department of Treasury continues its review of the City of Detroit’s finances.

While Governor Rick Snyder insists he doesn’t want to see Detroit under and emergency manager…the city doesn’t seem to be making much headway in fixing its financial issues.

Detroit City Council President Pro Tem, Gary Brown has some ideas on how the city can save money and cut spending. He spoke with Michigan Radio's Jennifer White.

 

Yesterday, Detroit City Council sent a clear signal to Governor Rick Snyder and the rest of the state. By their actions, they said “we need you to send in an Emergency Manager and strip us of all financial power. You have to do this, because we are psychologically incapable of seriously addressing our financial problems.”

They would indignantly deny what I just said, of course. Barely a week ago, they huddled around a microphone with Mayor Dave Bing, and defiantly agreed they didn’t need outside help.

The Detroit City Council has rejected one member’s efforts to slash its own budget.

Council President Pro Tem Gary Brown wanted to cut the council’s roughly $13 million budget by a third.

Brown says that’s the same level of concessions city unions are being asked for to avert a fiscal catastrophe in Detroit —and the council should lead by example.

“That’s $5 million the unions don’t have to look for, that we don’t have to ask the unions and the lower-wage city employees to come up with," Brown said. "I think that’s leadership.”

But most of Brown’s colleagues rejected the measure. They said 30 percent was an “excessive” cut that would damage the council’s ability to function.

Council member Ken Cockrel Jr. says the council has already cut its budget about that much over the past three years, and additional cuts could damage the council’s ability to do its job.

“What it really comes down to is, you can do cuts that are responsible for the sake of sharing the pain, or you can do cuts that are really all about trying to score political points,” Cockrel said.

Cockrel says if it wasn’t for Council’s diligence, the depth of the city’s fiscal crisis might never have come to light.

Members ultimately voted the measure down 6-2.

A Detroit City Council member is pushing his colleagues to cut the council’s budget by 30 percent. The move comes the same day the state initiated a financial review process that could end in the appointment of an emergency manager for the city.

The Detroit City Council’s budget is more than $13 million, and includes perks like city-issued cars and cell phones for council members.

Gary Brown is the Council President Pro Tem. He says like other city employees, he only pays ten percent of his health care costs. Brown’s proposal calls for upping that employee contribution to 30 percent. He says that’s a change the entire city workforce needs to accept.

"And the message, if we don’t show leadership on this issue, is that we’re asking our employees to do something we’re not willing to do," Brown said.

Brown made a similar proposal last month that went nowhere. This time he’s introduced a resolution that will get an up-or-down vote next week.

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Detroit Mayor Dave Bing and other city leaders stood side-by-side at city hall Thursday night, saying they’re all ready to work together.

The show of unity comes as the city scrambles to stave off a state-appointed emergency manager. Governor Snyder has threatened to send in a financial review team that would initiate that process if the city doesn’t get its act together.

Both Detroit Mayor Dave Bing and the Detroit City Council have put forth proposals aimed at avoiding a state financial takeover.

A recent cash flow report suggests the city is likely to run out of cash by spring, and be $45 million in the red by the end of June 2012.

Bing, who announced 1000 city layoffs last week, issued more details of his proposal Tuesday. They include, in addition to the layoffs:

Detroit is running out of money.

Last week, the mayor outlined some of his money saving ideas.

It's a plan that some on Detroit's city council said didn't go far enough.

Now, Detroit City Council is unveiling their plan.

The Detroit Free Press reports that the council's plan is a "is a last-ditch effort to avoid an emergency manager as the city faces the prospect of running out of cash by April..."

The Freep reports the council's plan would increase income taxes on Detroit residents from 2.5 percent to 3 percent, and nonresidents from 1.5 percent to 2 percent:

More from the Detroit Free Press:

As the city nears insolvency, Detroit City Council unveiled a rescue plan today that would increase income taxes by .5% on residents and nonresidents, lay off hundreds of firefighters and police officers and outsource ownership of the ailing busing system.

Other proposals include:

•Sharing health department services with a hospital or Wayne County.

•Cutting up to 2,300 workers.

•Eliminating subsidies to the Detroit Zoo, Detroit Economic Growth Corporation, Eastern Market, the Detroit Institute of the Arts and Charles H. Wright Museum of African American History Museum.

•Demanding the Detroit Public School System pay its $15 million electric bill due to the city.

 

Some Council members have also floated the idea of a possible consent agreement, that would allow them to bypass the Mayor and implement the deeper cuts.

That would essentially give the Council most of the powers of an emergency manager, without stripping power from elected officials. It would require state approval.

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