The Hamtramck City Council was poised Tuesday to approve a resolution seeking a $2.5 million loan from Michigan to help pay its bills even as it continues to push the state to allow it to become the first Michigan municipality to file for bankruptcy.

The state loan would feature an interest rate of less than 1% payable over 20 years, according to officials.

The city carries a $3 million deficit and is projected to run out of money by the end of the month without help. But city manager Bill Cooper has said in previous interviews that Hamtramck will continue to seek state permission to file for bankruptcy. Only filing for Chapter 9 will give the city the relief that Cooper said it needs —  by voiding its labor contracts.

Hamtramck sent a letter to the state treasurer Nov. 10 asking for permission to file for bankruptcy and warning that the city would run out of money by Feb. 1.

Officials immediately denied the ­request and offered three loan options instead: a 20-year emergency loan, a ­property tax anticipation note, or authorization to borrow by issuing fiscal-stabilization bonds.

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