Official: Gov. to begin review of Detroit finances

By COREY WILLIAMS | December 1, 2011 | 5:05 PM EST

DETROIT (AP) — Officials say Michigan's governor could begin a review of Detroit's troubled finances this week. It's a move that's typically the first step in the state appointing an unelected financial manager.

Mayor Dave Bing's office says the review could start as early as Friday. But Gov. Rick Snyder's spokeswoman Sara Wurfel says the governor still hopes to avoid appointing an emergency manager for the city.

Both Bing and the City Council oppose such an appointment.

State law gives state-appointed financial managers more power when fixing the finances of municipalities and school districts. Michigan already has emergency managers in place in the Detroit public school system and four other cities.

Bing has said Detroit has an accumulated deficit of about $150 million and faces a $45 million cash shortfall.