May 5, 2005, Introduced by Senators BISHOP, SCOTT, BASHAM, KUIPERS, JELINEK, ALLEN, LELAND, HAMMERSTROM, TOY, BIRKHOLZ, GEORGE, McMANUS, HARDIMAN, STAMAS, BROWN and GOSCHKA and referred to the Committee on Local, Urban and State Affairs.
A bill to amend 1990 PA 72, entitled
"Local government fiscal responsibility act,"
by amending section 18 (MCL 141.1218).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 18. (1) If the governor determines that a financial
emergency exists under section 15, the governor shall assign the
responsibility for managing the local government financial
emergency to the local emergency financial assistance loan board
created
under the emergency municipal loan act,
Act No. 243 of the
Public
Acts of 1980, being sections 141.931 to 141.942 of the
Michigan Compiled Laws 1980 PA 243, MCL 141.931 to 141.942. The
local
emergency financial assistance loan board shall appoint an
emergency
financial manager submit to
the governor the names of
not more than 3 nominees who shall be considered for appointment to
serve as the emergency financial manager for the local government.
From the list of nominees submitted to the governor, the governor
shall appoint, with the advice and consent of the senate, an
emergency financial manager for the local government who shall hold
office for a term fixed by the governor, but not to exceed 1 year.
The appointment shall be by written contract and may be renewed on
an annual basis for not more than 1 year.
(2) The emergency financial manager shall be chosen solely on
the basis of his or her competence and shall not have been either
an elected or appointed official or employee of the local
government for which appointed for not less than 5 years before the
appointment. The emergency financial manager need not be a resident
of the local government for which he or she is appointed. The
emergency
financial manager shall serve at the pleasure of the
local
emergency financial assistance loan board governor.
(3) The emergency financial manager shall be entitled to
compensation and reimbursement for actual and necessary expenses
from the local government as approved by the local emergency
financial assistance loan board. In addition to staff otherwise
authorized by law, with the approval of the local emergency
financial assistance loan board, the emergency financial manager
may appoint additional staff and secure professional assistance
considered necessary to implement this article.
(2)
An emergency financial manager appointed under the local
government
fiscal responsibility act, former Act No. 101 of the
Public
Acts of 1988, and serving on the effective date of this act,
except
as provided in subsection (1), shall continue under this act
to
fulfill his or her powers and duties.