Here is what is causing so much mistrust of the state by the citizens of Detroit as it relates to the emergency manager law and its application to the city.
“…After the hearing or the expiration of the 10 days in the case of no hearing, the governor confirms or revokes his determination. A confirmation will assign management of Detroit’s fiscal emergency to a Local Emergency Financial Assistance Loan Board composed of three state officials, including the treasurer, who are all Snyder appointees….” NBC News, March 1, 2013
This mistrust is exasperated when the Financial Assistance Loan Board is making decisions where both the state and the city have a direct and competing financial interest. The word “Local” is misleading. How can state officials look out for the best interest of the city and the state at the same time when the interest of the two entities may be in conflict?
This will be especially true during the upcoming Governors attempt to be reelected.