The City Council's rejection of a key legal contract Tuesday has left Detroit without $10 million in aid intended to keep the city solvent through December.
The council voted 8-1 against hiring the Miller Canfield law firm to handle parts of the city's reform agenda. Scores of angry residents lined up before the vote to implore the council to keep the state out of Detroit's affairs, Darren Nichols reports in the Detroit News.
The contract was a key component in meeting the "milestone agreement" reached last week between Mayor Dave Bing and the state to access $30 million in bond funds now being held in escrow.
Detroit was set to draw down on $10 million today and another $20 million by mid-December as part of its consent agreement with the state.
"If the milestones can't be met, the funds can't be released," said Sara Wurfel, spokeswoman for Gov. Rick Snyder. "Continued or protracted delays do nothing to solve the city's problems, but only drag them out and exacerbate them."
