Pontiac can avoid bankruptcy, says emergency manager

PONTIAC (AP) -- Pontiac's state-appointed emergency manager says the city can avoid bankruptcy following years of work to improve its finances. Louis Schimmel's comments to The Detroit News were reported Monday and came before he planned to present a plan to avoid bankruptcy. The city in recent years has seen service cuts, department eliminations, layoffs and reductions to retiree health care. Schimmel has said he plans to leave City Hall by the end of the month and elected officials will again oversee the city's finances. Schimmel says there's "absolutely no reason for bankruptcy in Pontiac" if the city takes advantage of what he's done and follows his blueprint. Still, he notes that the city isn't yet financially healthy despite reporting a $575,000 surplus in the 2011-2012 fiscal year. Published: Tue, Jun 18, 2013