Welcome!

Agile Computing Authors: Pat Romanski, Yeshim Deniz, Liz McMillan, Ed Featherston, Elizabeth White

News Feed Item

Stand Up For Democracy State Wide Coalition Analysis Of Proposed Emergency Manager Replacement Law Ignores The Will Of The Voters Who Rejected Old Law

Same law, different day is proposed by right-wing leadership in Lansing

DETROIT, Dec. 10, 2012 /PRNewswire-USNewswire/ -- The organizers of the statewide coalition Stand Up for Democracy continue to urge state leaders to respect the will of voters who resoundingly rejected PA 4 aka the emergency manager law with a new replacement law. An analysis of that law that is expected to pass in the lame duck session this week demonstrates it is clearly that the same as the one voters rejected.

The analysis was created by Nick Ciaramitaro, a lobbyist for Michigan AFSCME Council 25. The organization is one of the partners in the Stand Up for Democracy statewide coalition.

Senate Bill 865 (H-5) analysis

Senate Bill 865 (H-5) will likely be considered by both the House and the Senate Tuesday.  The bill re-enacts many of the worst provisions of PA 4, in effect negating much the decision made by the people of the State of Michigan.  Worse, the proponents of this bill (including Governor Snyder) are misrepresenting much of its contents expecting that most legislators will not read the actual language of the bill.  Here is what the bill does.  To demonstrate the lengths to which the Snyder Administration will go to mislead voters I have put the portions of the bill that are identical to PA 4 in red in a copy of this text on the Michigan AFSCME Council 25 website.

Title

Even the title of the bill belies the dishonesty of those who suggest that this is not re-enactment of PA 4.  In provides that this is a bill to (among other things):

  • "to provide for review, management, management, planning and control of financial operation of local units of government and school districts"
  • "to provide for the appointment and to prescribe the powers and duties of an emergency manager for a local unit of government or school district
  • "to provide for the modification or termination of contracts under certain circumstances"

The title also makes clear that the bill provides for an appropriation thereby nullifying the right of referendum.

­Section 1­

­The short title for the bill is the "local government and school district fiscal responsibility act"

Section 2

Definitions

Section 3

Legislation intent language virtually identical to PA 4

Section 4

Provisions for preliminary reviews by the "state financial authorities" same as in PA 4 ("state financial authorities defined in Section 2 as the State Treasurer for municipalities and the State Superintendent of Public Instruction) to determine "probable financial stress" under same criteria as PA 4 including "other facts or circumstances … in the treasurer's sole discretion for a municipal government  … or .. in the state treasurer's or superintendent of public instruction's sole discretion for a school district …"

There is a brief 5-day "response period" provided for local governments to react to interim reports before the issuance of the preliminary report that may be new.

If there is a preliminary finding of probable financial stress a review team is formed.  The composition and responsibilities of the review team are the same as PA 4 except that the review team is not empowered to negotiate a consent agreement at this point.  Actions of previous review teams under PA 4 are ratified.  In fact, all prior acts are ratified. 

There continues to be no requirement that review teams comply with either the Open Meetings Act or the Freedom of Information Act.

Section 5

The bill requires that the review team hold at least one public "information" meeting in the local jurisdiction.  There is no requirement that any comments be taken from the public. 

Most of the rest of the powers and responsibilities including reporting and appeal procedures are essentially the same as PA 4.  This includes findings of "structural" operating deficits (undefined) and open ended, unsubstantiated conclusion of things that may happen in the future. 

The major change is that the review team is restricted to one of only two findings:  there is or there is not a "financial emergency."  This point becomes more significant later as the new proposal does allow options as will be explained later.

Section 6

This section deals with the Governor's determination based on the report of the review team and the appeal process is essentially the same as PA 4 except the determination is limited to the question of whether or not a financial emergency exists.

Section 7

This section contains the major change from PA 4.  Rather than a fiscal emergency triggering receivership, it triggers 4 options:

  • a consent agreement
  • an emergency manager
  • a neutral evaluation process
  • Chapter 9 bankruptcy.

Each of these options is explained in detail in subsequent sections of the bill.  The local government must make up its mind with 7 days (and an elected mayor must join in the agreement if there is one) but the default if no decision is made locally is the neutral evaluation process.

Section 8

Provisions concerning a consent agreement are essentially the same with one major exception.  A default can lead to either an emergency manager or the neutral evaluation process at the choice of the State Treasurer.  It also adds the power to waive the suspension of PERA (which currently exists under PA 4) to the State Treasurer.

Section 9

This section governs the appointment of an emergency manager and is essentially unchanged from PA 4 except that a local government is given the authority to remove an emergency manager by a 2/3 vote after one year in office.  Such action may but is not required to result in the removal of the unit of government from receivership.  In addition, a local unit of government may petition the State Treasurer or the Governor to remove an emergency manager in the first year.  The State agrees to assume the salary (but not expenses or other costs) of the manager.  All existing emergency financial managers are grand parented in.

Section 10

This section reinstates the powers of an emergency manager essentially the same as under PA 4. 

Section 11

This section reinstates powers of an emergency manager essentially identical to PA 4. 

Section 12

Reenacts all of the onerous powers of an emergency manager as provided in PA 4 including contract abrogation, dissolution of communities, usurpation of powers of local officials and more.

Section 13

Reenacts provisions of PA 4 suspending wages and benefits of local elected officials during receivership.

Section 14

Reenacts powers of an Emergency Manager of a school district as provided in PA 4.

Section 15

Requires the approval of the State Treasurer to sell assets valued at more than $50,000.  Reenacts provisions of PA 4 protecting collective agreement provisions for payment of benefits upon the active duty death of a police officer or firefighter.

Section 16

Provides for referral of criminal matters to the Attorney General and local prosecutor as in PA 4.

Section 17

Reporting requirements of an Emergency Manager similar to PA 4.

Section 18

Provisions for an emergency manager to recommend Chapter 9 bankruptcy to the Governor and the State Treasurer.

Section 19

This section is one of the few "concessions" made to the demand of the people of the state of Michigan for local democracy and even here they mess it up. 

The section requires that before an emergency manager abrogates a collective bargaining agreement, borrows money or sells assets with a value in excess of $50,000, he/she shall submit the proposal to the local government.  The local government has 7 days to approve or disapprove the action.  If it does not act, the action is considered approved.  If it disapproves, it has 10 days to submit a fiscally equivalent option to the local emergency financial assistance loan board who then have 30 days to pick one.  The members of the local emergency financial assistance loan board are three members of the Governor's cabinet including and chaired by the State Treasurer. 

Section 20

Immunity and Attorney general responsibilities essentially the same as in PA 4.

Section 21

Two year carry over for budget and working conditions as in PA 4 and 1 year carryover of ordinances as in PA 4 from end of receivership.

Section 22

Allows the governor to impose "best practices" (undefined), a model charter or model charter provisions (undefined) and management training as a condition to the end of receivership. 

Section 23

Provides for an "advisory board" that excludes all local participation to continue state intervention as a transition from receivership at the option of the governor.  The board "advises" mostly its own members.  It does provide for open meetings act and freedom of information act application to this board. 

Section 24

Allows the governor to appoint a new emergency manager on his own initiative upon recommendation of the transition board provided for above.

Section 25

Provides for a neutral arbitration option similar to a successful provision in California law with a number of seemingly harsh provisions including:

  • receivership if the local unit of government fails to send notice to all interested parties within 7 days of picking the option;
  • the unfettered right of the State Treasurer to reject a settlement reached through the neutral arbitration process;
  • inability to extend the process beyond 90 days when both parties agree that such an extension is warranted.

Section 26

Provides for ability of a local unit of government file under Chapter 9 of the federal bankruptcy act with the consent of the Governor. 

Section 27

Reenacts provisions of PA 4 concerning suspension of collective bargaining rights under receivership.

Section 28

Identical limitations on new taxes as in PA 4.

Section 29

Bulletin and rule authority for the State Treasurer and the State Superintendent of Public Instruction.

Section 30

Reaffirms all actions taken heretofore under PA 4 and 72.

Section 31

Grandparents all existing emergency managers and emergency financial managers

Section 32

Immunity for all state players.

Section 33

Severability

Section 34 and 35

Appropriations to prevent another referendum

Enacting section 1

Repeals PA 72.

Enacting section 2.

Legislative intent that this act is a successor statute to PA 4 and attempts to incorporate changes to other acts that only applied to PA 4. 

Facebook

SOURCE Stand Up for Democracy

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
In an era of historic innovation fueled by unprecedented access to data and technology, the low cost and risk of entering new markets has leveled the playing field for business. Today, any ambitious innovator can easily introduce a new application or product that can reinvent business models and transform the client experience. In their Day 2 Keynote at 19th Cloud Expo, Mercer Rowe, IBM Vice President of Strategic Alliances, and Raejeanne Skillern, Intel Vice President of Data Center Group and ...
More and more brands have jumped on the IoT bandwagon. We have an excess of wearables – activity trackers, smartwatches, smart glasses and sneakers, and more that track seemingly endless datapoints. However, most consumers have no idea what “IoT” means. Creating more wearables that track data shouldn't be the aim of brands; delivering meaningful, tangible relevance to their users should be. We're in a period in which the IoT pendulum is still swinging. Initially, it swung toward "smart for smart...
@DevOpsSummit at Cloud Expo, taking place November 12-13 in New York City, NY, is co-located with 22nd international CloudEXPO | first international DXWorldEXPO and will feature technical sessions from a rock star conference faculty and the leading industry players in the world.
DXWorldEXPO LLC announced today that All in Mobile, a mobile app development company from Poland, will exhibit at the 22nd International CloudEXPO | DXWorldEXPO. All In Mobile is a mobile app development company from Poland. Since 2014, they maintain passion for developing mobile applications for enterprises and startups worldwide.
In his keynote at 19th Cloud Expo, Sheng Liang, co-founder and CEO of Rancher Labs, discussed the technological advances and new business opportunities created by the rapid adoption of containers. With the success of Amazon Web Services (AWS) and various open source technologies used to build private clouds, cloud computing has become an essential component of IT strategy. However, users continue to face challenges in implementing clouds, as older technologies evolve and newer ones like Docker c...
DXWorldEXPO LLC announced today that ICC-USA, a computer systems integrator and server manufacturing company focused on developing products and product appliances, will exhibit at the 22nd International CloudEXPO | DXWorldEXPO. DXWordEXPO New York 2018, colocated with CloudEXPO New York 2018 will be held November 11-13, 2018, in New York City. ICC is a computer systems integrator and server manufacturing company focused on developing products and product appliances to meet a wide range of ...
Coca-Cola’s Google powered digital signage system lays the groundwork for a more valuable connection between Coke and its customers. Digital signs pair software with high-resolution displays so that a message can be changed instantly based on what the operator wants to communicate or sell. In their Day 3 Keynote at 21st Cloud Expo, Greg Chambers, Global Group Director, Digital Innovation, Coca-Cola, and Vidya Nagarajan, a Senior Product Manager at Google, discussed how from store operations and ...
We are seeing a major migration of enterprises applications to the cloud. As cloud and business use of real time applications accelerate, legacy networks are no longer able to architecturally support cloud adoption and deliver the performance and security required by highly distributed enterprises. These outdated solutions have become more costly and complicated to implement, install, manage, and maintain.SD-WAN offers unlimited capabilities for accessing the benefits of the cloud and Internet. ...
Headquartered in Plainsboro, NJ, Synametrics Technologies has provided IT professionals and computer systems developers since 1997. Based on the success of their initial product offerings (WinSQL and DeltaCopy), the company continues to create and hone innovative products that help its customers get more from their computer applications, databases and infrastructure. To date, over one million users around the world have chosen Synametrics solutions to help power their accelerated business or per...
Dion Hinchcliffe is an internationally recognized digital expert, bestselling book author, frequent keynote speaker, analyst, futurist, and transformation expert based in Washington, DC. He is currently Chief Strategy Officer at the industry-leading digital strategy and online community solutions firm, 7Summits.
Founded in 2000, Chetu Inc. is a global provider of customized software development solutions and IT staff augmentation services for software technology providers. By providing clients with unparalleled niche technology expertise and industry experience, Chetu has become the premiere long-term, back-end software development partner for start-ups, SMBs, and Fortune 500 companies. Chetu is headquartered in Plantation, Florida, with thirteen offices throughout the U.S. and abroad.
Bill Schmarzo, author of "Big Data: Understanding How Data Powers Big Business" and "Big Data MBA: Driving Business Strategies with Data Science," is responsible for setting the strategy and defining the Big Data service offerings and capabilities for EMC Global Services Big Data Practice. As the CTO for the Big Data Practice, he is responsible for working with organizations to help them identify where and how to start their big data journeys. He's written several white papers, is an avid blogge...
Bill Schmarzo, author of "Big Data: Understanding How Data Powers Big Business" and "Big Data MBA: Driving Business Strategies with Data Science," is responsible for setting the strategy and defining the Big Data service offerings and capabilities for EMC Global Services Big Data Practice. As the CTO for the Big Data Practice, he is responsible for working with organizations to help them identify where and how to start their big data journeys. He's written several white papers, is an avid blogge...
Charles Araujo is an industry analyst, internationally recognized authority on the Digital Enterprise and author of The Quantum Age of IT: Why Everything You Know About IT is About to Change. As Principal Analyst with Intellyx, he writes, speaks and advises organizations on how to navigate through this time of disruption. He is also the founder of The Institute for Digital Transformation and a sought after keynote speaker. He has been a regular contributor to both InformationWeek and CIO Insight...
"IBM is really all in on blockchain. We take a look at sort of the history of blockchain ledger technologies. It started out with bitcoin, Ethereum, and IBM evaluated these particular blockchain technologies and found they were anonymous and permissionless and that many companies were looking for permissioned blockchain," stated René Bostic, Technical VP of the IBM Cloud Unit in North America, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Conventi...
Michael Maximilien, better known as max or Dr. Max, is a computer scientist with IBM. At IBM Research Triangle Park, he was a principal engineer for the worldwide industry point-of-sale standard: JavaPOS. At IBM Research, some highlights include pioneering research on semantic Web services, mashups, and cloud computing, and platform-as-a-service. He joined the IBM Cloud Labs in 2014 and works closely with Pivotal Inc., to help make the Cloud Found the best PaaS.
As data explodes in quantity, importance and from new sources, the need for managing and protecting data residing across physical, virtual, and cloud environments grow with it. Managing data includes protecting it, indexing and classifying it for true, long-term management, compliance and E-Discovery. Commvault can ensure this with a single pane of glass solution – whether in a private cloud, a Service Provider delivered public cloud or a hybrid cloud environment – across the heterogeneous enter...
Cloud-enabled transformation has evolved from cost saving measure to business innovation strategy -- one that combines the cloud with cognitive capabilities to drive market disruption. Learn how you can achieve the insight and agility you need to gain a competitive advantage. Industry-acclaimed CTO and cloud expert, Shankar Kalyana presents. Only the most exceptional IBMers are appointed with the rare distinction of IBM Fellow, the highest technical honor in the company. Shankar has also receive...
"We view the cloud not as a specific technology but as a way of doing business and that way of doing business is transforming the way software, infrastructure and services are being delivered to business," explained Matthew Rosen, CEO and Director at Fusion, in this SYS-CON.tv interview at 18th Cloud Expo (http://www.CloudComputingExpo.com), held June 7-9 at the Javits Center in New York City, NY.
The Founder of NostaLab and a member of the Google Health Advisory Board, John is a unique combination of strategic thinker, marketer and entrepreneur. His career was built on the "science of advertising" combining strategy, creativity and marketing for industry-leading results. Combined with his ability to communicate complicated scientific concepts in a way that consumers and scientists alike can appreciate, John is a sought-after speaker for conferences on the forefront of healthcare science,...