Michigan is among 19 states where the state can intervene in local governments' financial crises and has one of the more aggressive laws in the country.
That's one finding from a Pew Charitable Trusts study released Tuesday days after Detroit filed for bankruptcy. The report says Michigan, North Carolina, Pennsylvania and Rhode Island are among states with extensive intervention laws designed to prevent bankruptcy filings or provide alternatives to bankruptcy.
Many states have no intervention laws. Pew says Michigan was one of the first to put in place a program for intervening in local budget crises.
Detroit filed for bankruptcy last month despite a state-appointed emergency manager taking over in March.
Pew says less than 10 of the country's 55,000 municipal governments that sell bonds file for bankruptcy each year.