Resources
Municipal Fiscal Distress – Financial Condition Analysis, Early Warning Systems, Municipal Bankruptcy
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A Standing Counter-Cyclical Fiscal Policy Mechanism for State and Local Aid
Published on August 22, 2022
The GRS and the SLFRF are examples of counter-cyclical fiscal policy for state and local aid under different economic and political contexts. Targeted use could assist local governments experiencing socio-economic distress (high unemployment and poverty). -
Does Lansing Township Have Too Much Debt?
Published on August 15, 2022
For reasons both political and practical, Lansing Township’s large debt level is unlikely to result in filing for bankruptcy or merging with nearby cities. Still, these are possibilities, and it is important to explore the ramifications for either. -
A Greater Detroit
Published on February 19, 2021
Should Ecorse, Hamtramck, and Highland Park approach the brink of insolvency in the future, the State should consider responding not by canceling local democracy, but by requiring that a vote be held on dissolution and consolidation into Detroit. -
Michigan's Local Financial Emergency Manager Law: Considering the Alternatives
Published on May 30, 2018
MSU Extension gathered stakeholder feedback on the feasibility of possible alternatives to PA 436 of 2012 to determine which alternatives have the most support within the group. -
A Review of Michigan's Local Financial Emergency Law
Published on May 10, 2017
The paper outlines the four versions of local emergency manager law, and discusses pros and cons of PA 436 of 2012. It outlines four major alternatives to the way Michigan addresses local financial emergencies. -
Beyond State Takeovers: Reconsidering the Role of State Government in Local Financial Distress ...
Published on November 11, 2015
This report’s practical recommendations are aimed at assisting the C.S. Mott Foundation, state and local officials, and Michigan residents in identifying a more effective policy and legal approach to local fiscal crises. -
Flint Fiscal Playbook: An Assessment of the Emergency Manager Years (2011-2015)
Published on November 11, 2015
This case study seeks to understand the economic and fiscal trends that led to state receivership and analyzes the impacts of the emergency manager policy on the city’s fiscal health. It updates trends presented in a previous case study. -
Knowledgeable Navigation to Avoid the Iceberg: Considerations in Proactively Addressing School District Fiscal Stress in Michigan
Published on June 20, 2015
This paper proposes a proactive, evidence-based financial health indicator system that may prevent many school districts from severe fiscal crisis. Fifty-seven Michigan school districts ended 2014 with a deficit or projected deficit. -
Developing an Early Warning System for Michigan's Schools
Published on January 21, 2015
This paper examines district deficit and predictors of distress in the proposed early warning system, finding a weak correlation. It suggests alternative fiscal measurements with stronger correlation. -
Frequently Asked Questions About the New Michigan Local Financial Emergency Law [Public Act 436 of 2012]
Published on January 30, 2013
When Michigan voters struck down Public Act 4 (commonly known as the "Emergency Manager Law"), the Michigan legislature passed a new law concerning cities and school districts in fiscal crises. -
Detroit Consent Agreement and Emergency Manager Laws
Published on August 20, 2012
Detroit Consent Agreement and Emergency Manager Laws -
City of Detroit: City Employment Terms
Published on August 14, 2012
This FAQ outlines the events leading to the CET, discusses the implications, and lays out further questions to consider as the city continues to address its financial crisis. -
The Suspension of the Emergency Manager Law and its Implications
Published on August 14, 2012
This FAQ document will outline many of the questions, identify some sources of guidance during this period of confusion, and will serve as a platform for better understanding the challenges in addressing local government financial crises. -
The City of Detroit's New Revenue Forecasting Process and Multi-Year Budget
Published on June 12, 2012
This FAQ outlines the City of Detroit's decision to adopt multi-year budgeting, which also serves as the city's official deficit-elimination plan. -
City of Detroit: FY 2013 Budget
Published on June 12, 2012
This FAQ explores issues related to the City of Detroit's Fiscal Year 2013 budget, including those issues that directly affect residents and taxpayers. -
A Proposed City of Detroit Consent Agreement and Public Act 4 of 2011
Published on May 19, 2012
This FAQ was developed before the official Detroit Consent Agreement was drafted. It deals with legality issues surrounding Public Act 4, which gave the state authority to conduct a financial review of the City of Detroit's finances. -
City of Detroit Financial Stability Agreement
Published on May 19, 2012
This FAQ outlines the Detroit Consent Agreement including what a consent agreement is, Public Act 4, the Financial Advisory Board, the revenue conference, and compares Detroit’s with New York City and Philadelphia. -
Chapter 9: Municipal Bankruptcy
Published on May 9, 2012
Introduction to Chapter 9 municipal bankruptcy, including eligibility, requirements, creditor negotiation tests, the plan of adjustment, Chapter 9 vs. Chapter 11 and the advantages and disadvantages of filing for Chapter 9.
Revenue – State Revenue Sharing, Proposal A & Headlee, Michigan State Budget
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Michigan's Post-Recession Spending
Published on September 1, 2018
Over the past eight years, the state’s economy has seen significant improvements. Even with these increases, there remain significant concerns regarding funding for key public policy priorities in the state. -
Michigan Cities and Michigan Cannot Thrive Without Major Changes in Our System of Financing Local Governments
Published on May 25, 2018
Local government finances are primarily driven by property value growth and state revenue payments. Cities with TV per capita below $20,000 are likely to experience financial problems, particularly in a recession. -
Michigan Budget Policy for the Incoming 2019 Gubernatorial Administration
Published on April 1, 2018
This paper is intended to provide a general overview of key budgetary issues that incoming elected officials can expect to and should be prepared to tackle in the coming years. -
Michigan Tax Policy for the Incoming 2019 Gubernatorial Administration
Published on March 6, 2018
This is paper one in the ongoing Michigan at a Crossroad Series. The purpose of this policy brief is to provide a concise summary of some of the most important features of the tax system in Michigan, along with a brief guide to some policy proposals. -
Headlee and Proposal A Explained for Michigan Counties
Published on November 1, 2017
This report provides the Michigan Constitution language and stated purpose of the Headlee and Proposal A amendments. The 2016 revenue loss due to both provisions is presented for each county. -
County Revenue Sharing Program: A Proposal for a New Formula
Published on May 8, 2017
The proposed new county revenue sharing formula levels the playing field between low and high taxable value property counties, accounts for tax effort and adjusts payments annually for inflation. -
Impact of Headlee Millage Rollback, MI Counties, 2015/16
Published on March 21, 2017
Impact of Headlee Millage Rollback, MI Counties, 2015/16 -
County Revenue Options
Published on December 1, 2016
Michigan counties have very limited revenue options other than the property tax. Additional revenue options provided to counties include general sales tax, motor fuel tax, alcohol, and tobacco tax. -
F65 Fiscal Data Portal
Published on April 9, 2013
F65 Fiscal Data Portal -
Proposal A and Headlee Rollback Talking Points
Proposal A and the Headlee Rollback provisions explained. These talking points highlight issues of concern with each provision and offers solutions for consideration.
Service Solvency - Legacy Costs, Infrastructure, Public Safety
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A Standing Counter-Cyclical Fiscal Policy Mechanism for State and Local Aid
Published on August 22, 2022
The GRS and the SLFRF are examples of counter-cyclical fiscal policy for state and local aid under different economic and political contexts. Targeted use could assist local governments experiencing socio-economic distress (high unemployment and poverty). -
Assessing Existing Local Government Fiscal Early Warning System through Four State Case Studies: Colorado, Louisiana, Ohio and Pennsylvania
Published on December 20, 2020
This report presents detailed explanations, tradeoffs and outcomes of four existing ratio indicator systems. We assert that there is no one optimal system, only the right system based on the perceived needs of policymakers in that particular location. -
Local Government Financial Vulnerability: New Tools for Identifying and Tracking Challenges
Published on December 8, 2020
The onset of a major pandemic-induced recession has presented a second wave of fiscal problems for local governments. State and local governments are seeking out new tools to assess fiscal risk and vulnerability and to chart new options moving forward. -
Pennsylvania Offers A Curious Case To Explore Alternatives To Early Warning Systems And State Intervention: Can Michigan Keep Its Horses From Wandering Off?
Published on May 5, 2020
The purpose of this report is to apply the Early Warning System (EWS) used by Pennsylvania with Michigan local government financial and socioeconomic data, as a way to assess potential fiscal distress that cities, townships, and counties may experience. -
Systems Framework for Meeting Local Government Service Solvency Standards: Case Study of the City of Flint, Michigan
Published on April 17, 2020
This white paper is a review of the financial and service challenges, issues and conditions facing the city government of Flint, Michigan as of 2019. -
Flint Community Schools: Fiscal and Service Solvency: MSU Extension Center for Local Government Finance and Policy White Paper
Published on February 3, 2020
This white paper proposes that the ability of Flint Public Schools to meet adequacy standards is severely constrained and it seems unlikely this will change under the current policy structure. -
Potential for Economic Regulation of Michigan's Water Sector
Published on November 7, 2018
Part of the Michigan at a Crossroads policy guide, this is a policy brief for the incoming 2019 Michigan gubernatorial administration on issues related to water regulation. -
Infrastructure Investment and Financing for the Incoming 2019 Gubernatorial Administration
Published on November 1, 2018
This white paper, part of the Michigan at a Crossroads policy guide, analyzes the importance of infrastructure investment, a history of infrastructure in the state of Michigan, and policy options for infrastructure investment. -
A new approach to evaluating the fiscal health of Michigan local governments: Comparing fiscal performance relative to available resources
Published on June 1, 2018
The purpose of this report is to develop a scoring system for Michigan local governments that accurately reflects their fiscal condition. -
Service Solvency: Ability of Michigan Cities to Provide an Adequate Level of Public Services
Published on June 19, 2017
Using audit reports and F-65 reports from the Department of Treasury, this report identifies Michigan cities that may be service insolvent, or on the verge of being unable to provide fundamental services to their residents. -
Service Solvency: An Analysis of the Ability of Michigan Cities to Provide Adequate Public Service
Published on May 1, 2017
Michigan has more cities under state supervision than any other state, as many of our cities are suffering from fiscal stress. -
Chapter 9 Bankruptcy: Simulation Exercise
Published on December 12, 2016
While not a cure for fiscal stress, Chapter 9 is a tool that a municipality may use to reset its financial course when all other methods fail. This paper identifies several lessons learned through a simulation exercise using live case data. -
The Lansing-East Lansing Metro Region Fiscal Scorecard
Published on May 9, 2012
This report analyzes the efficiency of the local governments in the Lansing-East Lansing metro region by comparing them to the governments in other similar metropolitan statistical areas (MSAs) throughout the United States.
Local Government Policy
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Great Lakes Brief for the Incoming Michigan Governor
Published on October 12, 2018
The purpose of this brief is to provide a concise summary of some of the key policy debates surrounding the management and use of Great Lakes water resources. -
Michigan Health Policy for the Incoming 2019 Gubernatorial Administration
Published on August 1, 2018
This brief will provide an overview of four key and timely health policy topics: Medicaid and the Healthy Michigan Plan; the individual health insurance market; the opioid epidemic; and integration of services to address social determinants of health. -
Michigan K-12 Education Policy Brief for the Incoming 2019 Gubernatorial Administration
Published on August 1, 2018
This brief is, at best, a 30,000-feet-fly-over of the significant structural and contextual components of that system, including how schools are organized, funded, and governed, and current issues and trends that impact their success.
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Investigating the Condition and Investment Needs of Michigan's Drinking Water Infrastructure: Policy and Financing Ramifications
Published on December 5, 2024
This project compiles water infrastructure finance data for Flint and 249 other cities across Michigan. -
Summary Report for the Lansing Charter Commission: Literature Review on the Forms and Efficiency of Municipal Government
Published on October 18, 2024
This report provides a summary of research on municipal forms of government to assist the Lansing City Charter Review Commission in crafting the new charter. -
Michigan County Government Survey: Services Provided to Local Government Summary Report
Published on March 15, 2024
This resource is a collaboration between the Michigan Association of Counties and MSU Extension's Center for Local Government, Finance and Policy. -
Relief at the Right Time: How Michigan's Local Governments are Spending their State and Local Fiscal Relief Funds
Published on August 7, 2023
As of March 31, 2023, approximately $1.9 billion, or about 42 percent, has been obligated out of the $4.4 billion dispersed among over 1,700 local Michigan units from the American Rescue Plan Act (ARPA) and Local Fiscal Recover Funds (SLFRF). -
Considering the impact of Remote Work on Income Tax Refunds: Michigan Municipal Governments
Published on March 17, 2023
The proportion of Americans engaged in remote work grew by unprecedented amounts over the course of the pandemic, with several implications for local governments in Michigan stemming from this change. -
Challenges facing Michigan Local Governments
Published on March 15, 2023
The current stability of local government should be seen as opportunity to fix the system and prevent future problems. -
ARPA Fiscal Recovery in Michigan - Year 1
Published on August 22, 2022
Planning and spending of American Rescue Plan Coronavirus State and Local Fiscal Recovery Fund dollars in 2021 by Michigan’s largest grant recipients. -
A Standing Counter-Cyclical Fiscal Policy Mechanism for State and Local Aid
Published on August 22, 2022
The GRS and the SLFRF are examples of counter-cyclical fiscal policy for state and local aid under different economic and political contexts. Targeted use could assist local governments experiencing socio-economic distress (high unemployment and poverty). -
Does Lansing Township Have Too Much Debt?
Published on August 15, 2022
For reasons both political and practical, Lansing Township’s large debt level is unlikely to result in filing for bankruptcy or merging with nearby cities. Still, these are possibilities, and it is important to explore the ramifications for either. -
EPA Water Infrastructure Programs Receive Billions in New Funding
Published on November 16, 2021
The Infrastructure Investment and Jobs Act will provide billions of dollars to improving the nation's water systems. This legislation boasts of providing over $50 billion, the single-largest investment in U.S. water infrastructure.