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Michigan’s Emergency Manager law faces legal challenge from Flint & Pontiac retirees for favoring banks over people

By on May 31, 2013 in Emergency Manager Law, Emergency Managers, Flint, Pontiac, Rick Snyder

This isn’t going away, governor

Retired government employees from both Flint and Pontiac have filed a complaint with the U.S. District Court in Detroit to have Public Act 436 and its predecessor Public Act 4 — Michigan’s anti-democratic Emergency Manager laws — declared illegal under the Bankruptcy Clause and Contracts Clause of the US Constitution, as well as Chapter 9 of Title 11 of the United States Code. The complaint (pdf) rests largely on the argument that these laws favored one set of creditors over others. Namely, they claim retirees and unions have seen their contracts negatively impacted while businesses and banks have gotten away without taking a hit.

Details are after the jump.


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Apparently you can’t cut your way to prosperity after all. Flint Emergency Manager wants a tax increase.

By on May 20, 2013 in Emergency Managers, Flint, Taxes

Uh, someone didn’t get the memo that the answer to everything is to cut corporate taxes

Flint Emergency Manager Ed Kurtz is leading a push to increase city income taxes by 0.5% for residents and 0.25% for non-residents. That’s a 50% increase. Why? Turns out Flint is out of money and needs revenue. It’s almost as if Flint’s problems weren’t caused by waste, fraud, and mismanagement after all.

More after the jump.


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Flint and Detroit and Belle Isle, oh my!

By on April 25, 2013 in Detroit, Emergency Managers, Flint, Michigan

The State of Michigan is in a weird state

A collection of stories about Detroit, Flint and the jaw-dropping stuff happening in these two cities.

Click through for the Full Monty.


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Michigan’s Emergency Manager meetings not subject to Open Meetings Act, opponent faces federal indictments

By on May 22, 2012 in Detroit, Emergency Manager Law, Flint

Things are NOT getting better

Today, the State Court of Appeals ruled that the review teams that recommended Emergency Managers for Detroit and Flint were not subject to the Open Meetings Act. The court ruled that they are not a “governing body” so they are exempt from the requirement.

[More after the jump...]


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Flint Mayor Dayne Walling loses his job to Emergency Manager. Again.

By on March 27, 2012 in Emergency Manager Law, Emergency Managers, Flint

What the good judge giveth, the Appeals Court taketh away

On March 20th, Ingham County Circuit Court Judge Rosemarie Aquilina sent Flint Emergency Manager Michael Brown packing as she overturned the work of the review team that put him in place. Once again it was for violations of Michigan’s Open Meeting Act.

I characterized that decision as “for now” and I was, not surprisingly, right. Yesterday, the Court of Appeals overturned her ruling and Brown is back in while the state appeals the decision.


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