Benton Harbor since April of 2010 has had an Emergency Financial Manager

[mrmpa]

Michigan appointed an emergency financial manager in April of 2010 to run the city of Benton Harbor. The below link is to a complete audit of Benton Harbor, completed in 2010.

What I see in this audit, is a lot of assets that a new (republican Emergency Manager) might be willing to sell off.

See below link for entire audit.

http://www.bentonharborcity.com/2010%20Audit%20Report.pdf

Criteria: There is a pervasive lack of financial orientation on the part of those in governance,
the Benton Harbor City Commission.

Condition: There were not financial tools available to permit any financial management of the
City. Budgets, while created, were not effectively used as no comparative financial information
was available. Constraints were not in place to prevent overspending and no acceptable long
term recovery plan was in place and followed.

Cause: Those in governance did not assume the fiscal responsibility of those in office.
Effect: Spending without control and in excess of appropriation in violation of Michigan Law.
View of Responsible Official:

City concurs with the above finding. The State of Michigan
appointed an Emergency Financial Manager (EFM) in April 2010 to run the city. One of the many
items noted by the State as part of the appointment was significant fund deficits, annual expenditures
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in excess of revenue and budget and violations of the State budget act. A significant contributing
factor to the “spending without control and in excess of appropriation” was the lack of accurate,
timely financial information.
Finding 2010-