Source: Progress Made In Solving Detroit Budget Crisis

LANSING (WWJ) - Some major progress is being reported between Detroit and the state of Michigan as they work toward an agreement aimed at solving the city's budget crisis.

WWJ Lansing Bureau Chief Tim Skubick reported that Wednesday's move is a positive one, if it holds together.

"A source telling me this afternoon, within the hour, quote, 'It would be correct to report that a deal has been reached'," said Skubick. "However, the language in this deal needs to be ratified by both the Governor's review team and the Detroit City Council. So, it's not a done deal until those sides sign off."

Skubick said both sides would have the right to either change some of the language or ratify it.

Skubuck said, according to that same source, only two or three additional minor paragraphs need to be ironed out yet between the governor's review team and the city.

"The source is also cautious to say that the city has a history of backing off at the last-minute - of not being able to pull the trigger," Skubick said.

A state-appointed review team last week  declared a "severe financial emergency" in Detroit.   – View a copy of the review team's report – (.pdf format)  The city is expected to run out of money by spring if the state does not intervene.

MORE: Rick Snyder: We Have To Grow Detroit Out Of This Problem

Patterson: Detroit A 'Tinderbox' Headed For Unrest, Bankruptcy

Stay tuned to WWJ Newsradio 950 and CBSDetroit.com for the latest on the budget crisis in Detroit.