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.
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.