Detroit Council’s Budget Plan Headed To Mayor’s Office

DETROIT (WWJ) – As Detroit Mayor Dave Bing and City Council continue to wrestle with the city’s financial crisis, Michigan Governor Rick Snyder reiterated that it would be premature for the state to step in with a financial manager.

“What I would really encourage is the mayor and the City Council to get together and to come up with a common plan for resolving Detroit’s issues that we can be supportive of,” said Gov. Snyder at an event Monday in Detroit.

A completed list of budget cutting recommendations from Council is its way to Mayor Bing’s office following several days of discussions. More than 2,000 layoffs tops the list of actions that will keep the city form running out of money in April.

Council President Charles Pugh said Council has prepared both short term and long term recommendations.

“We don’t disagree with what the mayor is suggesting, but we feel like we should go a bit further,” said Pugh. “The mayor is recommending a thousand layoffs … we’re recommending 2,300, only because that is what we can do immediately.”

“So much of the Mayor’s proposal relies on union concessions, and there is a possibility of that. But we don’t want to leave that up to chance,” he said.

Mayor Bing earlier this month announced that 1,000 city positions would be eliminated by February 25, 2012.  He said departments would identify the number of layoffs beginning the week of December 5 and layoff notices will be issued starting the week of January 21.

The Mayor’s plan also includes elimination of furlough days and a 10-percent wage cut for city employees, a 10-percent hike in employee contributions to their health care coverage and pension reforms.

Bing’s staff and two members of Council are scheduled to resume budget discussions Tuesday afternoon.

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