EMERGENCY MANAGEMENT TO BANKRUPTCY TIMELINE
Nov. 2009 – After months of corporate media endorsing Franklin resident Dave Bing for mayor, he wins. Tom Barrow challenges the outcome, but 59,135 ballots cannot be recounted. Bing seated. In his term, he privatizes Workforce Development and Health Department, fails an effort to take over the schools and implements Detroit Works Project (now Detroit Future City) to downsize the city.
April 4, 2012 - Bing presents Consent Agreement to council with argument that it saves the city from emergency manager and bankruptcy. Hundreds of Detroiters protest in and outside city council chambers as Charles Pugh, Gary Brown, Saunteel Jenkins, Ken Cockrel and James Tate side with Bing and Snyder and vote yes. Gov. Snyder says: “This agreement paves the way for a good-faith partnership that will restore the fiscal integrity taxpayers expect and ensure the delivery of services that families deserve.”
Aug. 3, 2012 - Michigan Supreme Court rejects Republican arguments and rules that vote on emergency manager must be placed on November ballot after over 200,000 signatures gathered. Ruling suspends PA 4 ending election.
Nov. 6, 2012 - Michigan voters defeat emergency manager law (Public Act 4)
Dec. 27, 2012 - Snyder signs Public Act 436 (new emergency manager law)
January 2013 – Five law firms make airport presentations to Snyder’s team in bid to become restructuring counsel for Detroit (Jones Day, Foley and Lardner, McKenna Long and Aldrige, Stutman Treister and Glatt, and Weil Gotshal & Manges)
Jan. 30, 2013 – Snyder’s office privately expresses interest in appointing Kevyn Orr as EM
Feb. 27, 2013 - Bing’s office invites 18 firms to submit official proposals by March 6
March 1, 2013 – Snyder announces Detroit needs emergency manager
March 6, 2013 - Deadline for official proposals; 14 firms submitted
March 20, 2013 – Jones Day begins its $3.35 million, six-month contract.
March 27, 2013 – Public Act 436 becomes law
July 18, 2012 – Orr files bankruptcy petition in federal court. He has obligated city to pay over $22 million to attorneys and financial consultants in restructuring. Filing lifts the cap on Jones Day’s fees, leaving firm free to bill unlimited amounts.