Michigan voters voided a 2011 law that gave state emergency managers broad powers to cut spending and avoid bankruptcy for financially struggling cities and school districts, Bloomberg News reported yesterday. The referendum repealed Public Act 4, passed by the Republican-controlled legislature at the urging of Governor Rick Snyder (R), which allowed the state to intervene more quickly to prevent insolvencies and have more power to reverse financial collapse. The law was viewed as a boon for cities’ credit by bond-rating companies. The vote against it was 52 percent to 48 percent, with 95 percent of precincts reporting, the Associated Press said.
