Michigan bill would impose "financial martial law"

Michigan Gov. Rick Snyder signs his first bill as governor at the State Capitol in Lansing, Mich., on Tuesday March 8, 2011.

/ David Coates,AP Photo/The Detroit News

Michigan lawmakers are on the verge of approving a bill that would enable the governor to appoint "emergency managers" -- officials with unilateral power to make sweeping changes to cities facing financial troubles.

Under the legislation, the Michigan Messenger reports, the governor could declare a "financial emergency" in towns or school districts. He could then appoint a manager to fire local elected officials, break contracts, seize and sell assets, eliminate services - and even eliminate whole cities or school districts without any public input.

The measure passed in the state Senate this week; the House passed its own version earlier. The two versions of the bill are expected to be reconciled next week, and Republican Gov. Rick Snyder has said he will sign the bill the bill into law.

Democrats and their allies are decrying the legislation as a power grab and say it's part of a wider effort taking place in several states, such as Wisconsin, to weaken labor unions.

"It takes every decision in a city or school district and puts it in the hands of the manager, from when the streets get plowed to who plows them and how much they are paid," said Mark Gaffney, president of the Michigan State AFL-CIO. "This is a takeover by the right wing and it's an assault on democracy like I've never seen."

U.S. Rep. John Conyers, a Democrat who represents Detroit, said in a statement that in a given city, the governor's new "financial czar" could "force a municipality into bankruptcy, a power that will surely be used to extract further concessions from hardworking public sector workers."

He said the legislation raises "serious constitutional concerns." On top of that, he said, allowing an "emergency manager" to dissolve locally elected bodies "implicitly targets minority communities that are disproportionately impacted by the economic downturn, without providing meaningful support for improved economic opportunity."

Republican state Sen. Jack Brandenburg said several urban areas of the state, especially Detroit, are in "bad shape" and require "financial martial law," the Daily Tribune reports.

The emergency manager, he said, "has to have the backbone, he has to have the power, to null and void a contract." In response to concerns that local leaders will have to cede control, Brandenburg said, "I'll tell you what, I think that in a lot of these places there is no control."

An emergency manager would only be put in place if several other steps to save a city's finances failed, and Snyder has said in recent weeks that removing elected officials or breaking contracts would be a last resort for an emergency manager. In addition, the legislature would have the power to remove an emergency manager.

As the "emergency manager" bill nears final passage, state lawmakers are also considering Snyder's proposed budget, which would cut spending on schools, universities, prisons and communities, according to the Detroit Free Press.

Snyder has also proposed eliminating $1.7 billion in tax breaks for individuals while cutting $1.8 billion in taxes for businesses to spur job growth. Much of the $1.7 billion in new tax revenue would be "coming from retirees, senior citizens and the working poor," the Free Press wrote in an editorial.

[livtobeblessed]

I am shocked and appalled! These politicians are sending us straight to hell in a hand basket! I hate that my life is in someone else's hands.... ***!

[beanerecmo]

Then there is apparently the same opposition to the WH resident and that administration's ruling by fiat/diktat and unelected czars; e.g., GM, Chrysler etc. And, now that the government wants out; the taxpayer is due to lose, at least, $11B.

[repar1]

What does your rant have to do with your fascist governor and the republicans in your legislature that are assisting him?!? This country fought a war to win economic independence from Britain and the right to representation by their elected officials. One stupid governor who thinks that he's the CEO of a company where he can do things by fiat and diktat is a fine example of why we fought our war for independence. That's our history. We certainly don't have a history of fascist governors taking over cities that they think aren't performing up to their standards, and appointing unelected czars to govern these cities! Your governor is nuts and will be sued. Probably because of the takeover of Benton Harbor and the Detroit schools. At least for now, dictators won't be tolerated in these United States.

[beanerecmo]

Then there is apparently the same opposition to the WH resident and that administration's ruling by fiat/diktat and unelected czars; e.g., GM, Chrysler etc. And, now that the government wants out; the taxpayer is due to lose, at least, $11B.

[repar1]

I don't think you know your history well. "What's mine is mine and what's yours is mine" is the motto of your Republican friends on Wall Street who brought this country to the brink of another Depression. High wages were not responsible for the financial mess of the last decade. Deregulation and a laissez faire attitude toward commerce did that--and it was pushed (mostly) by Republicans and their corporate bosses. The only thugs in the last decade were on Wall Street and in the Republican party. No one could convince Wall Street that what goes up must come down!

Sweden and Norway, two democratic countries with high wages and high taxes have universal health care and aren't going down the toilet because of these two things. So, don't blame high wages and the unions for the neutering of the middle class. Blame your Republican buddies for whoring with Wall Street and K Street to make this a country of serfs with rich masters.

[beanerecmo]

Oh, I know my history, and the same arguments are being used now as then - mal-distribution of wealth - class warfare. I did not learn my history in public school where their motto is, "We have them; they will learn what we want them to learn; they will know what we want them to know." Sweden and Norway have a zero population growth, no matter how many incentives they are given to produce more babies. That means, their cultures are doomed; as are those of most of Europe. If population growth falls below 1.13; the culture does not recover; much like the rest of Europe. Further, Sweden's arms dealing around the world keeps them somwhat afloat; but they are reducing their social-welfare effort because they know/realize they are unsustainable because of their population growth - not enough taxpayers. If Norway, which is in the same boat - not enough population growth, was not exploiting North Sea Brent; they would be receiving more handouts from the the US through NATO than they do now. The middle class have moved up the the Eastside because they are getting their slice of the pie and are paying the taxes - top 1% pay 37% of the income tax liability; top 25% pay 86%; the top 50% pay 97%, and the bottom 47% pay no taxes and receive a check for the tax credit after they file. Re: K Street; everytime you buy a procuct/service; you are paying the K street bubbas, too. Re: Republican Wall Streeters; like, inter alia, Michael Milkin, John Corzine, Robert Rubin; RINO) Paulsen). Don't bring up Clinton's surplus - there was none; but he wouldn't have received any credit if the Republicans, who controlled Congress, had not forced him to sign the budgets.

[repar1]

If I recall, Michigan had Engler, a Republican, for governor. And, wasn't George Romney, a Republican, also a MI governor? I wouldn't rush to blame the Dems and unions. There were plenty of Republicans along for the ride! Unions and their fight to level the economic playing field gave us the middle class that the Republicans and their corporate masters have worked to destroy, since the New Deal was inaugurated. They want to make this country a country full of serf workers who work for a pittance. They are the ones who are ALWAYS looking for a bailout. Their motto is private profits, socialized losses. Or what's mine is mine and what's yours is mine, too!

[beanerecmo]

They were RINOs who did not have the cojones to stand up to the dem controlled legislature or the public and private sector unions. No one could convince any union thug that what goes up has to come down. And, in the unions eyes, even if it did come down, they would be bailed out out by the taxpayer, at least the taxpayers that still had a job after the unions had priced themselves out of the market. The only reason for the ever increasing tariffs on foreign cars, besides having a better product than Motown could produce, was to increase the price of American cars to cover the unsustainable benefits the unions 'through their blood sweat and tears' were able to receive through coercion. Re: Their motto is private profits, socialized losses. Or what's mine is mine and what's yours is mine, too! That's Obamaville, Krugmanville, Sorosville, etc.

[beanerecmo]

And the unions and the dems have taken MI - right down that garden path and look where they are; unsustainable futures just like the public sector - always looking for the bailout by the private sector's sacrifice for them. MI has been a depressed state for at least 30 years. They were the harbingers of today's situation. Also, pomposity (pompousness) is quite overrated and doesn't suit any argument well. Remember, the unions' leadership will ensure they get theirs; it's their members who won't.

[repar1]

It is not privatization. It is unconstitutional and illegal and will be challenged in a court of law.

The government still owns 60+ percent of GM and, I agree, should hold unto that until the price goes up so the taxpayers can get their money back.

Perhaps you should read the Constitution again, no matter what your party affiliation to bring you back to the principles that this country was founded upon.

It was unions who shed blood, sweat, and lots of tears to bring us all the quality of life that we enjoyed until about 2000, when Bush et. al. decided to ream this country back into the 18th century, when workers earned nothing and robber barons(today's banksters and fraudsters) were kings. Unions aren't perfect--they are run by imperfect human beings. So, we all have to be involved citizens and pay attention and make unions better.

Michigan's governors and representatives, all of them, Dem or Rep, didn't do anything for 100 years to diversify the economy. That was their responsibility--and ours. We were all short-sighted, thinking the auto industry would ride the wave forever. Well, it didn't, and look what happened. Which is no excuse for your Fascist governor to nullify elections.

I think the definition fits Gov. Snyder pretty well:

fas?cism (fshzm)
n.
1. often Fascism
a. A system of government marked by centralization of authority under a dictator, stringent socioeconomic controls, suppression of the opposition through terror and censorship, and typically a policy of belligerent nationalism and racism.
b. A political philosophy or movement based on or advocating such a system of government.
2. Oppressive, dictatorial control.

fascism [?f???z?m]
n (sometimes capital)
1. (Government, Politics & Diplomacy) any ideology or movement inspired by Italian Fascism, such as German National Socialism; any right-wing nationalist ideology or movement with an authoritarian and hierarchical structure that is fundamentally opposed to democracy and liberalism
2. (Government, Politics & Diplomacy) any ideology, movement, programme, tendency, etc., that may be characterized as right-wing, chauvinist, authoritarian, etc.
3. prejudice in relation to the subject specified body fascism
[from Italian fascismo, from fascio political group, from Latin fascis bundle; see fasces]

[beanerecmo]

It's not privatization; it's putting responsible leadership in place of the dems who have run MI into the ground. If you want more evidence of irresponsible dem leadership, look at the takeover of government motors; the government is going to 'relieve' itself of stocks in Government Motors with a loss of ~$44B to the taxpayer. At least the UAW, AFL-CIO et al got bailed out; but are tanking and setting themselves up for the next bailout. But, they assured themselves (they're on the board, remember) a big payday when the government sells the stock at a loss, because they are no longer restricted to the bonus limits imposed with the government owning stock.-----I was a regressive (aka liberal progressive) until I learned to read, got a job and was mugged by willful tax and spend regressives and acolytes; i.e., unions.

[beanerecmo]

It's not privatization; it's putting responsible leadership in place of the dems who have run MI into the ground. If you want more evidence of irresponsible dem leadership, look at the takeover of government motors; the government is going to 'relieve' itself of stocks in Government Motors with a loss of ~$44B to the taxpayer. At least the UAW, AFL-CIO et al got bailed out; but are tanking and setting themselves up for the next bailout. But, they assured themselves (they're on the board, remember) a big payday when the government sells the stock at a loss, because they are no longer restricted to the bonus limits imposed with the government owning stock.-----I was a regressive (aka liberal progressive) until I learned to read, got a job and was mugged by willful tax and spend regressives and acolytes; i.e., unions.

[waubesa11]

What the hell is this country coming to. Do the people and I mean ALL the people really want to privatize our local government. In WI King Walker wants to do a very similar thing here, he denies it, and we all know he does not tell the truth, but it was reported by John Nichols that it is already in the budget.
Michigan keep fighting these totally radical Repubs, here in WI we are 110%