Wayne County Executive Warren Evans

DETROIT—Gov. Rick Snyder confirmed Thursday
that a financial emergency exists in Wayne County.

The announcement comes after Snyder appointed
a review team to closely examine Wayne County’s finances. This week, the team
determined a financial emergency exists.

Snyder had 10 days to reach a
conclusion on the county’s condition. According to a press release, the team’s
finding was based on findings that include county officials underestimating
actual expenditures in three of the fiscal years by amounts ranging from $16.7
million to $23.7 million.

According to the county executive’s
recovery plan, unfunded health care-related liabilities were estimated to be
$1.3 billion. Health care-related liabilities represent 40 percent of the
county’s long-term financial obligations.

“The report the State of Michigan
Financial Review Team sent to Governor Rick Snyder validates the work done by
my administration to reveal the true financial status of Wayne County,” said Wayne
County Executive Warren Evans. “Our $52 million structural deficit in Wayne
County is real; and unless we solve it now, it will continue to grow year after
year. While we have already taken several significant steps forward to stop the
debt from accumulating, there is still much work to be done.”