LANSING, MI (AP)-- The state House has approved a proposed replacement for an emergency manager law championed by Republican Governor Rick Snyder but struck down by Michigan voters in the November election.
The GOP-led House passed the bill on a 63-46 vote and sent it to the Senate, where Republicans also have the majority.
The previous law empowered the governor to appoint managers with broad powers to overrule elected leaders of financially struggling cities and school districts and throw out contracts with employee unions.
A new version proposed by Snyder and GOP legislative leaders gives several options to communities in a financial emergency, including accepting a manager, going into bankruptcy or going through mediation.
Democrats say the updated bill doesn't fix the problems and defies the wishes of voters. Supporters say many cities still aren't getting their houses in order.
