Gov. Snyder: Financial emergency ending in Pontiac - My29 WFTC Minneapolis-St. Paul

Gov. Snyder: Financial emergency ending in Pontiac

Posted: Updated:
PONTIAC, Mich. (AP) -

The financial emergency in Pontiac is nearing an end with the appointment of a transition board to move the city from state control back to elected self-government, Gov. Rick Snyder announced Monday.

"I'm pleased to see Pontiac emerge as a financially stable city and return to local control," Snyder said in a statement. He said the transition board "will be working cooperatively with local leaders to ensure continued stability and growth on the path ahead as well as improved services to the city's residents."

Pontiac emergency manager Lou Schimmel notified the governor Friday that the city of 60,000 was ready to leave state supervision, where it's been since 2009.

Among the measures that Schimmel credited with stabilizing Pontiac's finances included creating a single benefits program for city employees, in place of the 87 when he took over; selling excess capacity in Pontiac's sewage treatment plant to Oakland County for $55 million; cutting fire expenses by $3.6 million a year through a merger with neighboring Waterford Township; and saving $2.2 million a year through contracting with the sheriff's department for police services.

Schimmel said he saved a total of $30 million from measures that included eliminating defined benefit pension programs, consolidating and streamlining departments and eliminating money-losing activities.

Schimmel enacted a two-year budget and "will continue to be involved in Pontiac" as a member of the transition board, the governor's office said.

Detroit, Ecorse, Benton Harbor, Allen Park and Flint remain under the control of state-appointed emergency managers.

"Lou did a commendable job shepherding the city through a difficult process and addressing its fiscal crisis while improving services for Pontiac residents," Snyder said. "Lou has my thanks for his service and expertise, and I appreciate his willingness to continue his public service by being a member of the Transition Advisory Board."

  • Local NewsLocal NewsMore>>

  • WATCH: Fox 2's Rich Luterman take the Ice Bucket Challenge

    WATCH: Fox 2's Rich Luterman take the Ice Bucket Challenge

    Monday, September 1 2014 4:58 PM EDT2014-09-01 20:58:51 GMT
    Fox 2 Weather Authority Rich Luterman took the ALS Ice Bucket Challenge, after receiving challenges by a couple friends, including Monica Gayle.Watch Rich take the challenge with the assistance of his children and see who he issues the challenge to.
    Fox 2 Weather Authority Rich Luterman took the ALS Ice Bucket Challenge, after receiving challenges by a couple friends, including Monica Gayle.Watch Rich take the challenge with the assistance of his children and see who he issues the challenge to.
  • VP Joe Biden speaks in Detroit on Labor Day

    VP Joe Biden speaks in Detroit on Labor Day

    Monday, September 1 2014 1:18 PM EDT2014-09-01 17:18:46 GMT
    This is the second time vice president Joe Biden has been in Detroit on Labor Day in the past three years.
    This is the second time vice president Joe Biden has been in Detroit on Labor Day in the past three years.
  • RECALL: Kraft American Singles Cheese Slices

    RECALL: Kraft American Singles Cheese Slices

    Monday, September 1 2014 8:05 AM EDT2014-09-01 12:05:15 GMT
    Kraft voluntarily recalled 7,691 cases of its American Singles cheese product Friday because an ingredient was stored improperly by a supplier.
    Kraft voluntarily recalled 7,691 cases of its American Singles cheese product Friday because an ingredient was stored improperly by a supplier.
Powered by WorldNow

WFTC-TV
11358 Viking Drive
Eden Prairie, MN 55344

Phone: (952) 944-9999
Fax: (952) 942-0455

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | New Terms of Service What's new | Ad Choices