If you would like to talk to Martha Scott about this bill or anything else, she will be at Maine Street tomorrow morning for Coffee Hours from 8:30 to 9:30.
Excerpt from Martha Scott’s e-newsletter:
This week, my colleague Senator Mike Bishop, R-Rochester, announced that he is sponsoring a bill, Senate Bill 461, that will require greater accountability from state government in appointing an emergency financial manager. I applaud this measure and am proud to be a co-sponsor of the bill.
In his press release announcing the bill, Senator Bishop said, “Given the precarious nature of our current economic situation, fiscal woes in one community can have a statewide impact. Should an emergency financial manager be required, we need a system that allows for a public review of all potential candidates and provides all citizens with a level of confidence in the ability of the individual chosen.”
Senate Majority Leader Ken Sikkema, R-Wyoming, also expressed his support for this bill in Senator Bishop’s press release, saying, “Current law is allowing the appointment of financial managers with questionable backgrounds. For example, the governor recently appointed Arthur Blackwell II to be the financial manager of Highland Park. The Detroit News described the governor’s action as ‘plopping a voracious wolf in the middle of the hen-house.’ The people of Highland Park deserve to be treated better. That’s why Senator Bishop’s legislation is necessary and why we’ll be moving forward with it as soon as possible.”
Now, a local emergency financial assistance loan board, designated by the Governor, appoints an emergency financial manager for a locality determined to be in a financial emergency under state law. Senator Bishop’s legislation would require the local emergency financial loan board to submit no more than three names to the governor as potential emergency financial managers. The governor would then appoint an emergency financial manager for a term of not more than one year, using the advice and consent of the Senate to do so. The term could be renewed on a year-by-year basis.
This is a well-propositioned measure, and one that will instill not only greater accountability in the appointment of emergency financial managers, but also greater public confidence in those appointees. I look forward to working with Senator Bishop toward its passage.
I had the pleasure of meeting with Senator Scott Monday morning and discussed the new legislation regarding Act 72. We agreed that it was worth support and she welcomes any specific suggestions for amendments and improvements. Two of the items already suggested are how (and who) selects the actual EFM Also, that the EFM would be appointed for a one year term with a review and reappointment process.
The legislation to be amended is sec. 18 of 1990 PA 72 (MCL 141.1218) the bill to amend it is Senate Bill 461
If anybody has a strong opinion about how the law that brought in the state should be changed, I will be glad to consider them for incorporation in my recommendations. Unfortunately, these things are seldom retroactive.
Rob
What you’re doing is valuable from a lessons-learned point of view. We’re the pioneers here and hopefully the State’s willing to reconginze that if we put our best foot forward. Good lookin’ out Rob C.
Awesome, Rob :)
It may not change the past, but a 3-person panel with possiblity of change yearly would vastly improve our situation. Is there any way we can make sure that will apply to us?
Actually, under current law, there is already a “3-person panel with possiblity of change”. The law even goes further, giving the “local emergency financial assistance loan board” discretionary power to remove the EFM.
The exact language, from Section 141.1218 of Public Act 72 of 1990, reads as follows:
“The local emergency financial assistance loan board shall appoint an emergency financial manager. The emergency financial manager shall be chosen solely on the basis of his or her competence and shall not have been either an elected or appointed official or employee of the local government for which appointed for not less than 5 years before the appointment. The emergency financial manager need not be a resident of the local government for which he or she is appointed. The emergency financial manager shall serve at the pleasure of the local emergency financial assistance loan board.”
Hamtramck’s EFM, Schimmel, is currently under contract, which was relatively recently approved by what I believe was a UNANIMOUS vote of this council, including Rob.
If the people of HP, including Sen. Scott, want to challenge the recent appointment of Mr. Blackwell, there may be legal recourse under current law (see above). However, if our state officials wish to enact new legislation, that’s their perogative.
But, as you see Hillary, your suggestion has already been legislated into current law.