Responding to Municipal Fiscal Crisis: Bottom Line Lessons from Ecorse, Michigan

Ecorse, one of seventeen communities in the Downriver Detroit area, became the first Michigan city to be placed in receivership. Court-appointed Receiver Louis Schimmel turned the city's finances around through aggressive policies of cost cutting and privatization. He privatized the entire Department of Public Works for a minimum annual savings of $400,000. Other cities such as nearby Detroit have much to learn from the Ecorse experience. 13 pages.

Contents

• Introduction
• Scope of Report
• Fiscal Background of City of Ecorse
• Privatization of DPW Operations
• Conversion Costs and Benefits
• All other Privatization Efforts
• Summary
• Conclusion
• Appendix