Stalemate between Detroit City Council and Mayor Bing delays needed funds

DETROIT (WXYZ) - The city of Detroit could go bankrupt in a matter of weeks if City Council and Mayor Bing don't come to an agreement.

The two parties are in a stalemate over Bing's desire to have law firm Miller Canfield advise him on the city's financial crisis. Bing needs five City Council votes to make it happen.

Council believes this is a conflict of interest because Miller Canfield has advised Mayor Bing on other city matters.

Without an agreement between Bing and Council the city risks losing $10M this month and $20M next month. It's money that stems from the Milestone Agreement between the city and state.

Should the city endure the $30 million shortfall, a contingency plan by mayor Bing includes more scheduled furlough days for city workers beginning January 1.

"We are talking about being able to pay our city workers. We're talking about being able to deliver city services. And this is so unfair; tying unecessary legal contracts to drawing down money that we set aside to not run out of cash is unfortunate," said Detroit City Council President Charles Pugh Tuesday.

Monday, an emergency Council meeting called for by Mayor Bing was quickly adjourned after the city attorney said it was in violation of the Open Meetings Act.

A future meeting has not yet been scheduled.

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