Detroit City Council Continues Fiscal Crisis Talks

Council Continues Talks, Rebukes Mayor Bing

The Detroit City Council continued discussions this week on Mayor Bing's proposals to address the city's financial crisis.

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The mayor announced Nov. 16 that the city will run out of cash if drastic measures aren't taken. The city faces a $45 million cash shortfall by the end of its fiscal year in June, and the state could appoint a financial manager to make sweeping changes.

Late Wednesday, Bing made harsh remarks to the Free Press about what he considered reluctance on the part of City Council and the city unions to go along with his proposal.

AFSCME Local 207 President John Riehl, who represents 1,000 city workers has been defiant against the mayor's request for concessions. But over the weekend, Albert Garrett, the president the union's Council 25, said he would meet with Bing to discuss options.

"Essentially, we're going to move forward and have some discussions," Garrett said.

Bing's administration has said Detroit has an accumulated deficit of about $150 million in its $3.1 billion annual budget. Bing proposed 1,000 initial layoffs with the possibility of more to come.

City Council members have been outspoken about Bing's plan, with several members saying the mayor's proposals do not go far enough to address Detroit's fiscal problems.

Several proposals came to light at Council's meetings last week. Council members discussed ways to raise revenue and suggested raising the Detroit city income tax to 3 percent for residents and 1.5 percent for non-residents.

Also on the chopping block were subsidies to the Detroit Zoo, Detroit Economic Growth Corp., Eastern Market, the Detroit Institute of Arts and the Charles H. Wright Museum of African American History, according to the Free Press, and 2,300 public sector jobs.

This is a developing story. Check back here for updates.

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