Snyder confirms Lincoln Park financial emergency
Wed, 23 Apr 2014 11:39:23 GMT —
Michigan Gov. Rick Snyder has confirmed his earlier determination that a financial emergency exists in the Detroit suburb of Lincoln Park, giving the City Council seven days to pick a way out of the crisis.
Snyder's original finding was April 14. Lincoln Park is south of Detroit and has 38,000 residents.
Snyder says Lincoln Park's budget was $90,000 in the red by last summer. A $4.5 million balance in the city's general fund has been depleted over three years, and city officials say the deficit likely will grow by at least $1 million this fiscal year.
Lincoln Park's council can choose a consent agreement with the state, the appointment of an emergency manager, a neutral evaluation or a Chapter 9 bankruptcy filing.