To establish a Detroit fiscal management oversight commission consisting of the Governor and the Mayor of Detroit (or their appointees), two state department heads, one Detroit resident with relevant financial training and experience, and two candidates from lists submitted by the House Speaker and Senate Majority Leader. Among the commission’s powers would be final approval of city budgets, borrowing, union contracts, police and firefighters contracts imposed by binding arbitration, and more. The commission could waive any of these powers if the city adopts deficit-free budgets for three consecutive years and meets other specified conditions, but could resume its powers in the event of subsequent backsliding. This is part of a legislative package consisting of House Bills 5566 to 5575 that are related to the Detroit bankruptcy and a proposed $195 million state bailout of he city.   Official Text and Analysis.

With the recommendation that the substitute (H-3) be adopted and that the bill then pass.

To establish a Detroit fiscal management oversight commission consisting of the two state department heads, five other individuals appointed by the Governor, the Mayor and the president of the city council. Among the commission’s powers would be final approval of city budgets, larger purchases, borrowing, union contracts (except police and firefighter contracts imposed through binding arbitration), and more. The commission could waive any of these powers if the city adopts deficit-free budgets for three consecutive years and meets other specified conditions, but could resume its powers in the event of subsequent backsliding. This is part of a legislative package consisting of House Bills 5566 to 5575 that are related to the Detroit bankruptcy and a proposed state grant to the city of $195 million.

With the recommendation that the bill pass.