If Gov. Rick Snyder's administration names an emergency financial manager in Detroit before March 27, when a strengthened municipal oversight law takes effect, the appointee would gain the power to cancel labor contracts under the new law, Darren Nichols of the Detroit News reports.
Under the Local Financial Stability and Choice Act that Snyder signed Thursday, any emergency financial manager in place before the law takes effect would be grandfathered into an emergency manager position without the consent of local officials.
Mayor Dave Bing and the Detroit City Council could be stuck with an emergency manager by spring if a state review team finds the need to appoint a financial emergency manager, said Eric Scorsone, a Michigan State University economist and expert on the state's emergency manager laws.
