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Fiscal Health, Municipal, News, Opinion

At least for now, Michigan closes the chapter on Emergency Financial Managers

By: Bob Kittle and Katrina Powell

The State of Michigan Department of the Treasury sent out a press release on June 27, 2018 announcing that for the first time in 18 years, neither a school district or municipality in Michigan has an emergency manager. You can read the press release in its entirety here, but following is an excerpt.

“LANSING, Mich. – State Treasurer Nick Khouri today announced that no Michigan municipality or school district is under state financial oversight through an emergency manager for the first time in nearly 18 years. The…announcement comes after releasing Highland Park School District from receivership under the Local Financial Stability and Choice Act. Since 2000, there has been an emergency manager providing financial oversight somewhere in Michigan.”

For many years the Emergency Financial Manager (later changed to Emergency Manager or EM) concept was regularly maligned by some constituents, citing it as an overreach of state government at the loss of local control and racially motivated. The term carpetbagger was bandied about as well. One respected national government trade publication headlined a 2012 article, Emergency Financial Managers: Michigan’s Unwelcome Savior. As local government financial advisors ourselves, (Katrina was the State-appointed City Manager for Hamtramck from 2014 to 2017) we, but especially Katrina, have been on the receiving end of some hurtful and untrue verbal attacks about roles and motives.

Education, Municipal, Opinion

The Talking Database: Giving Voice to Government Data

Munetrix Blog - The Talking Database

Advancements in data analysis technology can help school districts and local governments identify and thwart financial crises.

Government data tells a story that can only be read when it’s written in a language we all understand.

Transparency in government is an oft-used catch phrase that’s defined differently from one person to the next. States regulate what data must be provided to the public and sometimes how that data is displayed, but for the most part it is a free for all that results in communities posting fancy charts that average people — both residents and employees — have little time and inclination to understand. Reading lines on a chart or graph is one thing, but walking away with an understanding of the full picture and what it means down the road is another.

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