Financial rebuild allows a Michigan township to exit state consent agreement
DALLAS — Royal Oak Township was released from its consent agreement with Michigan Wednesday.
The township north of Detroit had been under the consent agreement since 2014 to resolve a financial emergency.
“I am pleased to see the significant progress Royal Oak Charter Township has made under the Consent Agreement,” Michigan Treasurer Nick Khouri said in a statement. “Township officials went beyond the agreement and enacted policies that provide the community an opportunity to flourish.”
Royal Oak Township's financial emergency resulted in an assets deficit of nearly $541,000 in 2012. The township now has a general fund balance of $920,000.
“Royal Oak Charter Township is in better shape than ever,” said Township Supervisor, Donna Squalls. “The collaboration between state and township has provided an opportunity to enact reforms to ensure our long-term fiscal sustainability.”
Khouri said that the township was the last Michigan municipality following a consent agreement.
Over the last two years, Wayne County and the cities of Inkster and River Rouge were released from their Consent Agreements due to financial improvements and operational reforms. Only three communities – the cities of Ecorse, Flint and Hamtramck – remain under state oversight through a Receivership Transition Advisory Board.