2014 House Bill 5567 / Public Act 182

Detroit bankruptcy settlement and grant package - budget process requirements

Introduced in the House

May 8, 2014

Introduced by Rep. John Kivela (D-109)

To require a Detroit chief financial officer to be appointed by the mayor, subject to the approval of the state oversight commission proposed by House Bill 5566, who would supervise the city’s financial and budget activities. Also, to require Detroit to use generally accepted accounting practices, and adopt budget processes similar to the state's, which are intended to avoid overspending. Among these are twice yearly revenue estimating conferences involving state officials and university economists. 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.

Referred to the Committee on Detroit's Recovery and Michigan's Future

May 21, 2014

Reported without amendment

With the recommendation that the substitute (H-2) be adopted and that the bill then pass.

May 22, 2014

Substitute offered

The substitute passed by voice vote

Amendment offered

To specify that city contracts must be posted online within 30 days.

The amendment passed by voice vote

Passed in the House 105 to 5 (details)

Received in the Senate

May 27, 2014

Referred to the Committee on Government Operations

June 3, 2014

Reported without amendment

With the recommendation that the bill pass.

Passed in the Senate 37 to 1 (details)

To require a Detroit chief financial officer to be appointed by the mayor, subject to the approval of the state oversight commission proposed by House Bill 5566, who would supervise the city’s financial and budget activities. Also, to require Detroit to use generally accepted accounting practices, and adopt budget processes similar to the state's, which are intended to avoid overspending. Among these are twice yearly revenue estimating conferences involving state officials and university economists. 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.

Signed by Gov. Rick Snyder

June 19, 2014