Hostile Takeover: Michigan Will Strip Local Governments and Corporatize Them!
UPDATE: PLEASE SEE MY APRIL 25TH POST ON BENTON HARBOR TAKE OVER AND MASSIVE DETROIT TEACHER LAYOFFS.
PLEASE PASS THE WORD ABOUT THIS HOSTILE TAKEOVER TO YOUR FRIENDS. I SUGGEST MICHIGAN CITIZENS TO APPEAL TO THEIR ATTORNEY GENERAL OR TAKE OTHER LEGAL ACTION.
This is what’s afoot in America Right Now: Corporatization
Corporatization refers to the transformation of state assets or agencies into state-owned corporations in order to introduce corporate management techniques to their administration. Corporatization is sometimes a precursor to partial or full privatization, which almost always refers to a process by which formerly public assets or functions are sold or given to corporate entities by listing the shares of the state-owned corporation on publicly-traded stock exchanges.
This a very serious situation in Michigan. Democracy is being undermined. This is a very dangerous trend developing. Please share this post with as many people as possible. This my friends is what corporatization looks like.
Michigan Governor Rick Snyder will cut aid to local towns and cities so drastically that he can then declare them in a state of fiscal emergency and then strip the local governments of their duly elected officials and inserting his own appointed financial managers with specific authority. His bill will authorize the emergency manager to reject, modify, or terminate the terms of existing contracts or collective bargaining agreements.
Additionally the Michigan Messenger reports:
State officials estimate that dozens of local governments and school districts will soon be unable to pay their bills and the Treasury dept. is on record supporting a bill — passed by the House last week — which would recast Emergency Financial Managers as Emergency Managers and give them unprecedented new power to fire elected officials, dissolve labor contracts and reorganize or dissolve cities and school districts.
Supporters of the measure say that it is needed because the leaders of some towns and schools have been unable to muster the political will to take unpopular budget balancing steps.
Because the bill establishes no process for how appointees can carry out their new powers and specifically lays out that Emergency Managers need not consult with a community’s elected representatives, some worry that corporate managers, appointed by the governor, could liquidate community assets to cover debt and leave towns no better off than they were.
From the Michigan Messenger:
The Michigan Senate has been called into session with an expectation the body will pass a controversial set of bills that would create broad new powers for emergency financial managers.
Over 1000 labor union members and supporters are gathered on the lawn of the Capitol, while some can be heard from the hallways chanting “kill the bill.”
Labor officials say the legislation will give “dictatorial” powers over municipalities struggling with financial issues. They say Gov. Rick Snyder’s budget which has severe cuts to local revenue sharing and K-12 school fund per pupil rates will drive local units of government closer to financial insolvency, causing a need for financial managers. Those managers would be empowered to nullify any bargaining agreements in effect, and upon doing so it would stand for five years.
ALSO: the Governor’s budget will impose tax hikes on seniors and low-income workers to the tune of $1.7 billion AND then he will give $1.8 billion in tax cuts to businesses; Governor wants to take over the right to appoint local government rather then allow local citizens to vote in their officials. The Governor’s emergency manager will be able to disincorporate or dissolve municipal governments.
I have a feeling Michigan citizens will be leaving the state in droves.