Today (June 16, 2010) the House Labor Committee reported SB 1072, a bill that amends PA 312. The League opposed this legislation mainly because the bill adds authorities to PA 312, something our attorneys think is a clear expansion of the law. For those authorities who are operating with the assumption that PA 312 does not apply to them, this will greatly increase costs to those members and prevent new authorities from being formed.
The bill also does not contain a definition of ability to pay or a requirement that ability to pay be considered first and foremost in any negotiations. For the sake of our communities who are struggling financially, true PA 312 reform must contain ability to pay.
The committee voted on party lines with the House Republicans voting no and standing up against expansion of this law.. Thanks to Reps. Haveman (R-Holland), Amash (R-Cascade), Daley (R-Lum) and McMillin (R-Rocheser Hills) for their vote.
Contact your House member to ask them to vote NO on SB 1072. If you need more information on the issue, visit www.abilitytopay.org.
In the photo above: Auburn Hills City Manager Peter Auger testifies against SB 1072 during a Michigan House Labor committee hearing.
Samantha Harkins works for the Michigan Municipal League handling municipal services issues. She can be reached at 517-908-0306 or email at sharkins@mml.org
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