10/29/12 - On Election Day, Michigan voters will have an opportunity to weigh in on six ballot measures, five of which ask them to amend the Michigan Constitution. The first measure, Proposal 1, asks the voters to approve or eliminate Public Act 4 that allows the state to appoint an emergency financial manager to deal with financially distressed communities. This law allows state appointed managers to assume the role of locally elected officials and to modify or terminate existing contracts and terms of collective bargaining agreements. The most recent such appointment occurred last week in the Detroit suburb of Allen Park. The appointment was made under Public Act 72, which was revived after Public Act 4 was suspended for the election. According to Eric Scorsone, an expert on state finance at Michigan State University, the Emergency Manager law has been helpful in reducing local deficits in cities like Pontiac. However, some Michigan voters arenât convinced this is the best course of action. Michael Jean, a Farmington Hills attorney, believes the law infringes too much on local government control and is likely to create wasteful litigation because it infringes on the state constitutional guarantee of local governments to carry out their own affairs and allows emergency managers to rescind contracts, which will inevitably end up in the courts. If Public Act 4 is defeated, the state will rely on Public Act 72, which is more limited in scope and does not allow emergency managers to break contracts or collective bargaining agreements. For additional details on all of the ballot proposals, you can log onto the Citizens Research Council of Michigan, not-for-profit public affairs research organization. Weâve put that link below. (AV/JK)
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