Comptroller DiNapoli Statement On Detroit Bankruptcy Filing
The situation in Detroit is a sobering reminder about today's mounting fiscal challenges for local governments. Even though many of New York's communities face significant economic and budgetary problems, no municipality in our state has ever declared bankruptcy, and with good reason. Bankruptcy proceedings of municipalities in other states have left fiscal problems unresolved for years, while making it more difficult for local governments to deliver essential services.
We must intensify the good efforts that are already underway in many communities to confront difficult budget choices. The Fiscal Stress Monitoring System my office has put in place will assist those efforts. This ‘early warning’ system will reveal a realistic account of local government finances to help foster much needed public discussions at the local level about fiscal stress so that corrective actions can be taken. This way, we can reach lasting solutions and avoid steps that may cause needless harm to our communities.
For more detailed information about Comptroller DiNapoli’s fiscal stress monitoring system and to view reports related to local government fiscal stress, visit: http://www.osc.state.ny.us/localgov/fiscalmonitoring/index.htm