State Treasurer Recommends 2nd Review of Detroit’s Finances
State Treasurer Andy Dillon is recommending a second review of Detroit’s finances after saying he’s found “probable financial stress.”
The Detroit News reports Dillon recommended today that Gov. Rick Snyder send a formal team to review Detroit’s books, the second step on a path that could lead to the appointment of an emergency manager of Michigan’s largest city.
Dillon and the governor met with Detroit Mayor Dave Bing early today to alert him of the recommendation, which was based on the findings of preliminary financial review. That was the first step in a the emergency manager process — one fiercely opposed by the mayor, City Council and others around the city.
According to the Department of Treasury report sent to the governor Wednesday, Dillon’s department found “probable financial stress,” meaning that under Public Act 4, the emergency manager law, the next step is the appointment of a financial review team.
Dillon said he will decide soon who he’ll recommend to the governor be appointed to the formal review team. Dillon’s office, the Department of Management and Budget, the House Speaker and Senate Majority Leader will submit names. In addition, Detroit residents will be part of the team, Dillon said