2003 Senate Bill 771 / Public Act 282

Introduced in the Senate

Oct. 9, 2003

Introduced by Sen. Bob Emerson (D-27)

To authorize the emergency financial manager of a financially challenged and distressed municipality which is under emergency financial management to reduce, suspend, or eliminate the salary and benefits of the city’s chief administrative officer and members of its governing body.

Referred to the Committee on Local, Urban, and State Affairs

Oct. 21, 2003

Reported without amendment

With the recommendation that the bill then pass.

Oct. 30, 2003

Substitute offered

To replace the previous version of the bill with one which incorporates technical changes that do not affect the substance of the bill as previously described. This version does not contain amendments added in committee, which would have authorized and emergency manager to reorganize the city government and dismiss heads of departments other than elected officials, notwithstanding any provision of a city's charter. The substitute was amended to require the manager to determine if the city's financial problems are the result of criminal conduct, and if so to refer the matter to the local prosecutor or the state Attorney General.

The substitute passed by voice vote

Passed in the Senate 37 to 0 (details)

To authorize the emergency financial manager of a financially challenged and distressed municipality which is under emergency financial management to reorganize city government, cut the salary and benefits of the city’s chief administrative officer (mayor) and members of its governing body, and remove department heads. The bill would also require the manager to determine if the city's financial problems are the result of criminal conduct, and if so to refer the matter to the local prosecutor or the state Attorney General.

Received in the House

Oct. 30, 2003

Referred to the Committee on Local Government and Urban Policy

Dec. 3, 2003

Reported without amendment

With the recommendation that the substitute (H-1) be adopted and that the bill then pass.

Dec. 10, 2003

Substitute offered

To replace the previous version of the bill with one which does not give the emergency financial manager the authority to fire the city clerk or ombudsman.

The substitute passed by voice vote

Amendment offered by Rep. Jack Minore (D-49)

To clarify that the emergency manager may cut the pay of the chief administrative officer (mayor) of the city.

The amendment passed by voice vote

Passed in the House 100 to 1 (details)

To authorize the emergency financial manager of a financially challenged and distressed municipality which is under emergency financial management to reorganize city government, cut the salary and benefits of the city’s chief administrative officer (mayor) and members of its governing body, and remove department heads, except elected officials, the city clerk or ombudsman. The bill would also require the manager to determine if the city's financial problems are the result of criminal conduct, and if so to refer the matter to the local prosecutor or the state Attorney General.

Received in the Senate

Dec. 11, 2003

Dec. 16, 2003

Passed in the Senate 36 to 0 (details)

To concur with the House-passed version of the bill.

Signed by Gov. Jennifer Granholm

Dec. 31, 2003