Mich. governor signs new emergency manager law

Published on NewsOK Modified: December 27, 2012 at 5:27 pm •  Published: December 27, 2012
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Allen Park, near Detroit, was stable until it sold bonds for a movie studio that went bust. Residents recently voted down a tax increase.

Ray Holman, a lobbyist for a UAW local that represents 17,000 state workers, gathered signatures to get a repeal of the old law on the ballot. He said the new law is "only slightly better" and predicted critics would explore a legal challenge.

"It's the exact same law with window dressing. Ultimately, it's a dictator's law," Holman said. "It's disingenuous to say Gov. Snyder listened to the people. He's flat-out wrong."

Threatened with a state takeover last spring, Detroit is operating under a set of financial reforms negotiated by the Snyder administration and city officials. The city, however, continues to struggle and is under yet another review.

Snyder promised last week that some type of "action will be taken" in Detroit in the weeks ahead, but probably before the new manager law takes effect.

The City Council has sent a plan to state Treasurer Andy Dillon that calls for layoffs, days off without pay, the sale of some assets and possible pay cuts, council members said during meetings Thursday at the Detroit Free Press and The Detroit News.

They said the money-saving moves exceed those proposed by Mayor Dave Bing, who has said 400 to 500 layoffs, or 5 percent of the workforce, are likely in the new year.

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Follow Ed White at http://twitter.com/edwhiteap .