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Published: Wednesday, 2/25/2009

Michigan governor declares financial emergency in Pontiac


LANSING, Mich. Gov. Jennifer Granholm has declared that a financial emergency exists in the city of Pontiac.

Granholm wrote in a letter to Mayor Clarence Phillips dated Feb. 20 that the city has been unable to resolve financial and budget issues on its own. She says Pontiac's cumulative deficit was projected to approach $12 million by the end of the 2008 fiscal year.

Granholm says she now is authorized to appoint an emergency financial manager to oversee the city's finances.

City officials will meet with Granholm on March 4 for what she calls a "courtesy meeting" to determine if she should reverse her decision.

A message seeking comment was left Wednesday with Phillip's office.

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