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Developing
11:55 am
Mon February 7, 2011

Flint making the case for a $20 million bond

Credit (photo by Steve Carmody/Michigan Radio)

UPDATE 3:30pm


 


The Finance and Claims Committe of the State Administrative Board unanimously passed the city of Flint's resolution requesting a $20 million fiscal stabilization bond.   The resolution now goes to the full board February 15th. 


 


11:55am 2/0711  


 


Flint city officials will be in Lansing Tuesday. The city has applied for state permission to get a $20 million  ‘fiscal stabilization bond.' 


Flint is facing a multi-million dollar budget deficit this year and other long-term debts. Flint mayor Dayne Walling says the city needs the money to help keep the city afloat financially. 



“There is nothing more important for our city right now than the bond.   We’ve been carrying a crushing load of past deficits on our shoulders.  And we’ve come to the point where the pooled cash is not there to make payroll throughout the entire month of March without an infusion of cash.”  


Walling is optimistic state officials will approve their bond request.  



“If this, for some reason, were not approved by the State Administrative Board, then we’ll get right back to the table with Treasury and we’ll talk about what our options are."


   If the city of Flint can’t get the money it needs, the state may eventually takeover Flint’s finances.

State of the city
3:34 pm
Sat February 5, 2011

Heartwell: Grand Rapids ‘destination city’

Grand Rapids’ Mayor George Heartwell painted his city as a destination for medical researchers, entrepreneurs, artists and young people in his State of the City address Saturday.

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Politics
5:10 pm
Thu February 3, 2011

International border expected to be topic at Obama, Harper meeting

Credit bbmcshane / flickr

President Obama is scheduled to sit down with Canada’s prime minister in Washington D.C. tomorrow.

The meeting comes just a few days after the release of a government report that said only 32 miles of the two countries’ four-thousand-mile shared border has an “acceptable” level of security.

Michigan Congresswoman Candice Miller says the report confirmed what she’s been saying for some time.

"Not to minimize the problems with the drug cartels and the problems we’re having on the Southern border, but we are under-resourced on the Northern border, and with the small amount of resources we have, to have them continue to raid those resources and ship them to the Southern border, I think is a mistake."

Canadian press reports say President Obama and Prime Minister Stephen Harper are close to signing a landmark security and trade deal.

Michigan History
4:52 pm
Thu February 3, 2011

It's not the first time Michigan has faced budget challenges

Credit Lester Graham / Michigan Radio
The Capitol in Lansing

Michigan lawmakers face the challenge of balancing a budget with a hole of around $1.8 billion in it.

Governor Snyder plans to submit a plan to the legislature this month, and it promises to leave very few departments untouched.

Budget issues are not new to Michigan.

Today, we explored some other difficult times in budget years past with Michigan Radio's Political Analyst Jack Lessenberry.

Michigan Radio's Jenn White asked what led to the deficit we are facing in this year's budget.

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Politics
4:21 pm
Thu February 3, 2011

Study: State employees underpaid

A study commissioned by a union-backed think tank says reports that state and local government employees in Michigan are overpaid compared to workers in the private sector are wrong.

The study is by the Washington D.C. based Economic Policy Institute.

It says college-educated public employees earn 21% less than private sector workers with degrees.

It also found local government workers were compensated at about the same rate as their private sector counterparts.

Jeff Keefe is the Rutgers University management and labor relations professor who conducted the study:

"So the study concludes that state government employees are under-compensated in the state of Michigan, while local government employees are neither over- or under-compensated in the state of Michigan."

The report takes into account education, salaries, and benefits.

Ethan Pollack, with the Economic Policy Institute, says employee compensation is not the biggest factor behind the state’s budget trouble:

 "Michigan isn't significantly different than the deficits you are seeing all across the country…This is not about over-compensation of public sector workers. This is [about] two things. The cyclical deficit is from the recession, and the structural deficit is health care costs."

The Economic Policy Institute says its seven-state study found growing health care costs, and not employee compensation, are the biggest factor in budget deficits.

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