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Wed June 13, 2012
State, Detroit to Move Forward on Consent Deal
The two state offices dealing most closely with Detroit Mayor Dave Bing and the city's efforts to fix its poor finances say they're pleased by the dismissal of a lawsuit challenging a consent agreement designed to correct the city's fiscal troubles.
Treasurer Andy Dillon and Gov. Rick Snyder's office say Wednesday's ruling in Ingham County Circuit Court allows continued collaboration between the state and Detroit.
Dillon said continued delays "only promise to make eventual solutions more difficult."
The consent deal allows some state intervention but keeps an emergency manager from being appointed to oversee the city's finances.
A lawsuit by Detroit Corporation Counsel Krystal Crittendon claimed the agreement was invalid because the state owes the city more than $200 million in past revenue sharing. Snyder has disputed owing the money.