Emergency Motion to Obey Previous Court Order and Shorten Time for Hearing Oral Argument

    UNI 
IN S

TED STATES DISTRICT TOURT 
TERN DISTRICT of MICHIGAN 

SOUTHERN DIVISION

RONALD BRADLEY, et al,#• • ■
Plaintiffs, v.

»
WILLIAM G. MILLIKEN, et al,

Defendants,
and

DETROIT FEDERATION OF TEACHERS, LOCAL 
231, AMERICAN FEDERATION OF TEACHERS, 
AFL-CIO,

Defendant-Intervenor,and

DENISE MAGDOWSKI, et al,

Defendants-Intervenor.

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Civil Action 
No. 35257

EMERGENCY MOTION OF BOARD OF EDUCATION 
OF THE SCHOOL DISTRICT OF THE CITY OF 
DETROIT TO ORDER THE GOVERNOR OF THE 
STATE OF MICHIGAN, THE ATTORNEY GENERAL 
OF THE STATE OF MICHIGAN, THE TREASURER 
OF THE STATE OF MICHIGAN, THE SUPERINTENDENT 
OF PUBLIC INSTRUCTION FOR THE STATE OF 
MICHIGAN, THE MEMBERS OF THE STATE BOARD 
OF EDUCATION OF THE STATE OF MICHIGAN AND 
OTHER STATE OFFICIALS TO OBEY COURT'S 
ORDER OF JULY 7, 1972, BY PROVIDING FUNDS 
TO KEEP THE DETROIT PUBLIC SCHOOLS OPERATING 
FOR A FULL 180 REGULAR DAYS OF INSTRUCTION

AND .
EMERGENCY MOTION TO SHORTEN TIME FOR HEARING 
_______________ ORAL ARGUMENT .

NOW COMES the BOARD OF EDUCATION OF THE SCHOOL DISTRICT 
OF THE CITY OF DETROIT, by its attorneys, GEORGE T. ROUMELL, JR 
LOUIS D. BEER and RILEY AND ROUMELL, and move this Honorable 
Court as follows:

all
1. On July 7, 1972, 

parties, their agents,
this Court in this action ordered 

employees, successors, and all others



having actual notice oi
s ta_U3 cuotinis Order" to maintain tr 

ln SCh°°1S °f thG City of Detroit by offering fully ISO
C'~,S °~ lnS^ UCLl0n and refraining from causing the discharge 

of any teachers whose discharge had been planned due to lack of
Vn-S- Orcer Oi July 7, 1972, Bradley v. Milliken (ED Mich.

, Action 35257),
A.

a copy of which is attached hereto as AppendIX

thy,..* 4.>y £. ",

2. The July 7, 1972 Order was the result of a Motion
for Injunction and/or Supplemental Order for Development of Plan
of Desegregation re finances and terminations filed by the Detroit
Federation of. Teachers on June 22, 1972, upon which a hearing was 
held on June 30, 1972.

in announcing his intention to enter the aforementioned
% 0rdSr °f JUly 1’ 1972/ the Jud^e Stephen J. Roth on June 30, 1972, 

said, in part,as follows: .

1,1 ^?lnk in connection with the issuance of
PI n ^ T Z arY in this case perhapf Itshould be pointed out that what I proposed to
opinio^reguiredEmiai °r the defendants under the

i n v n ? ? Z?at no one' certainly no one

K ^ l e r S F '"V " * “U
Transcript ofYP r o c L S “ g

4- The Trial Judge was correct in noting that all school 
districts m  Michigan, and in particular, the school districts 
in the metropolitan area of Detroit, all are offering their

students,under the auspices of the State of Michigan, 180 days of 
public instruction.

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the nece

the best

he Orde

continue the operation

of its s as so ordered. Specificall

The DETROIT BOARD OF EDUCATION has submitted a 

total of four millage proposals to the electorate
in 1972 at three separate elections, the latest

to the fullest extent of its abilities for their 

passage. Each time these millage proposals have 

been rejected by the voters, including the failure 
to renew an expiring 5 mills which means a loss 
of previously available revenue of about 28.8 
Million Dollars a year. .

 ̂ B. The DETROIT BOARti OF EDUCATION has borrowed,to 

its borrowing capacityoperating funds from the 
major financial institutions of the City of 
Detroit, pursuant to statute CL 148, 388.1231; 
MSA 15.1919(631) ,

r, C«,T Pursuant to statute, CL 1948, 388.1236; MSA 

15.1919(636), Act 258 of Public Acts of 1972, 
the DETROIT BOARD OF EDUCATION has requested 

that the Superintendent of Public Instruction 
advance State Aid Funds to the DETROIT BOARD 
and although the Superintendent of Public 
Instruction announced that he would do so in 
the amount of 20 Million Dollars, said amount 

is not sufficient to provide a full 180 regular

being on November 7, 1972, and has campaigned

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ve-~

scr.ool days of instruction as more specificaiiv 
set forth below and the Superintendent of Public 

Instruction has placed a condition on said advance­

ment; namely, that the DETROIT BOARD keep schools oc 
< December, January and February, 1973, which the

' DETROIT BOARD for the reasons set forth below cannot
do in the interests of education.

D. The Board in the last 30 months has cut 44 Million 

. Dollars of expenses, including the elimination of
some 461 teachers, the elimination o-f 51 admini- 

prA- strative'posts? and negotiation of a collective
bargaining contract which provides for no salary 

increases in the 1972-73 school year. The Affidavit 
of Harold Brown, Business Manager of the DETROIT 
BOARD, attached hereto, sets forth the details of 

the financial problems and the efforts that the
f

DETROIT BOARD has made toward solving them.

6. Even though the DETROIT BOARD OF. EDUCATION has 
borrowed monies and even though the Superintendent of Public 

Instruction has offered to advance 22 Million Dollars of State 
Aid pursuant to the above-cited statute on the condition that * 
the DETROIT BOARD operate the schools in December, January, and

February, 1973, said funds are not sufficient to provide for 
school instruction in the Detroit school system beyond early

March, 1973, which is a period substantially less than 180 

regular school days. Even with the borrowing of funds from the 
financial institutions of Detroit and even if there were a State 
Aid advance, it would be clear that the schools in Detroit would 
have to be closed in March, 1973, as set forth in the following

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financial statement .which shows a $7,100,000.00 derlcit ire h,
1973 and no cash flow, 

or operaring the School 

Dollar deficit by June, 
figures are as follows:

As matters now stand, the projected cos 
District will result in an 80 Million 

1973. More specifically, the financial

November
1972

Beginning 3alance $ 11,647,000 
Revenue -

Property Taxes 
State Aid

'■ of State Aid Loan's 
Other Revenue 

-̂ otal Funds Available36,500,000 
Expenditures - ,

’ •n ltUolls c:,: :24 >oooyooo- -Other 3,400,000

320,000

22,000,000
2,533,000

Ending Balance $ 9,100,000

December
1972

$ 9,100,000- $

5.700.000
21.300.000
1.400.000

37.500.000

32.600.000 
4,000,000

$ 900,000 ■ $

J anuary 
1972

900.000
21.700.000
. - ■■ ' "■ ~ r Co- <
2,500,000

25.100.000.
19.200.000 n 
5,000,000

900.000

February March
Beginning Balance $ 900,000
Revenue -

Property Taxes -
State Aid 21,300,Q0O*
State Aid Loans 20,000,000
Other Revenue 4,200,000

Total Funds Avail-. 46,400,000
able

Expenditures -
Payrolls 23,600,000
Other = 4,500,000

Ending Balance $ 18,300,000

$ 18,300,000 

500,000

2,700,000
21,500,000

23,600,000
5,000,000

$ (7,100,000)

April -____

$ (7,100,000) 

700,000

3,800,000 
U , 600,000)

23,600,000
4,700,000

$ (30,900,000)

May June
Beginning Balance 
Revenue -

Property Taxes 
State Aid 
State Aid Loans 
Other Revenue 

Total Funds Avail­
able

Expenditures - 
Payrolls 
Other

$ (30,900,000) 
300,000

4,000,000 
$ (26,600,000)

22,100,000
4,500,000

$ (53,200,000)
300.000
600.000

4,700,000 
$ (47,600,000)

28,100,000 
4,300,000

Ending Balance $(53,200,000.) $(30,000,000)

* This figure should be moved to December, 1972, if State 
Aid is advanced, but it will not change the deficit 
occurring in March, 1972, or thereafter.

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7. The members of the DETROIT BOARD OF EDUCATION concur 
in the District Court Order of June 7, 1972, and more specifically, 

concur with the proposition stated by the District Court on June

30, 1972, which, in summary, suggests that it is a violation of 

the Fourteenth Amendment Equal Protection provision for a state 
to provide 180 days of public instruction to all children of the 

State of Michigan, except the 280,000 of the school district of

Detroit, which includes 180,000 black children, the 
vast majority of black students in Michigan.

s- There is no question that public education in the 
te of Michigan is a function and responsibility of the state 

as set forth in the Michigan Constitution of 1963 and that the 
School District of the City of Detroit, as well as all other 
chool districts in Michigan are mere agencies of the State.

9. The DETROIT BOARD OF EDUCATION, after exhausting all 
possible avenues of obtaining revenue, has approved the recomm-
en ation of Dr. Charles J. Wolfe, Superintendent of the School 
District of the City of Detroit- . ,.
wlll . PrOTldl"9 that the Detroit schools
' n  close on December 21, 1972, not to re-open again until
February 19, 1973, and to close again in late April or early -

May, 1973. The reason for this recordation, as approved by
the DETROIT BOARD on November 8 1972 i, * „o , 19 72, is set forth in the
attached Affidavit of Dr. Charlie; t n irCharles J - wolfe. Basically, because
of the School District's uncertain Ft •uncertain financial situation, the
duration of the second semester of school, as scheduled, is 

most uncertain; that educationally speaking, such uncertainty

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11. Though various Detroit school officials have,on

nU’" rOU= occaslo:ls'nst with State Officials,including Defendants 
ere-*., seeking, specinc financial aid to avoid the economic

°" tnS DGtr01t schoolS/ and to provide 180 regular days 
or instruction, no sufficient aid has been forthcoming. (See

attached Affidavit of Superintendent Charles J . Wolfe attached 
hereto.)

12. The various state officials named herein, including 
the Governor, the Attorney General, the state Treasurer, the 
Superintendent of Public Instruction and the state Board of 

Education can take positive remedial steps to relieve the serious
financial crisis in the Detroit School District, including, but 
not limited to, the following:

A.

B.

The Governor of the state of Michigan could, pursuant 
to the Michigan Constitution of 1963, Article V, 

Section 15, call'the State Legislature into a special 
session for the purpose of passing legislation to 
aid the Detroit School District, including, but not 
limited to, providing the means of raising additional 
revenues, it is noted that the State Legislature 
is in session beginning November 27, 1972, through, 
on information and belief, December 19, i972, at 

which time the Governor could send them a special
message on this crisis, if ordered by this Court 
to do so.

The Attorney General, the State Treasurer, the state 
Superintendent of Public Instruction and the state 
Board of Education could be advising the Governor and 
the State Legislature- as to the means and methods of



providing finances for the Detroit School District, 

m e  Superintendent of Public Instruction, the State 
Board of Education and the Treasurer of the State of 
Michigan can, on information and belief, divert 
Suo.̂ _ j- undo, including State Aid funds, to the aid 
of the Detroit School District.

13. The Court should be advised that, as more specifi­
cally set forth in the attached Affidavit of Harold Brown, Business 
Manager of the Detroit School District, even with the present 

estate advances and present loans (said advances being conditional) 
the Detroit School District cannot operate later than early March/ 
1973, and even under the present plan, the operation would limit 
instruction to approximately 117 days. The net result of this 

would deprive 280,000 students of the Detroit School District of 

the Constitutional Equal Protection in that other Michigan students 
are being provided 180 days of instruction. Such a financial 

collapse makes a mockery of Plaintiff's efforts in this matter 

and render their efforts for naught. There will not be a system to 
integrate if integration is the order of the courts.

14. The Governor, and all other State officials, have 
the opportunity prior to the closing of school on December 21,
1972, to take actions so that educational planning can be made 
to assure 180 regular days of school instruction.

15. This matter on November 23, 1972, was brought to 
the attention of the Court of Appeals for the Sixth Circuit 
because of that court's outstanding stay in this matter and ' 
that court, in emergency consideration on November 27, 1972, 
held the stay was not applicable to this request and stated

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in errect t h a 

matter. Soec
C District C—  jurisdiction i 
irically, the Court

m  this
0i Appeals ordered:

'On
I i l a r

leceiotx.
in the ana consideration 

above-styled ol a motion
A “s.ro0ncy -‘lotion of Board case and entitled,
School District o r c n p ^ ^ 01 Education of the
Order Governor of the Stv Y °e Detroit to 
Attorney General o f ^ Stefe.°f Mlchigan, the 
Treasurer of the S tat p L,^e, °f Mlchigan, the
Superintendent of Public InstructMn ^
State of Michigan, the Members of the^Sta^
State S f f f c - T 10" °f Michi^  an^Sther3"6 t-h= n °-fr P als To Provide Funds to Keen
full Pf )Uc Sch°°la operating for aassET on

oS3A ^ 1 a r h° f ^ f b̂ / g L ^ » 7U  -  Notice

SSF"
Court

Of -nICif^Cally n°te that the fact that certain 

Kellv v M -  ? "9e °f ciroumdances. See

Co«t dated —

November 27, 1972"

Entered by Order of the Court 
/s/ Clerk of the Court

16. Because the
BOARD OF EDUCATION

urgency of this matter, the DETROIT
^ asks that this Court shorten the time for

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ar

Deco-Joe 
of f-.ooe 
erne re--

er and the matter be set for nearing no later than fiends-' 
4' 1972 ' particularly in view of the fact that the Couri 

-rcuit has treated this motic 
matter as alleged in Parat

-S ior tlie Sixth Ci:
.on as an

£ aragraph 15 aboive.

17- Counsel for the DETROIT BOARD OF EDUCATION has 
S...Q xor tne concurrence of the Attorney General In this 

Motion who represents the State Defendants. The Attorney General
on Tuesday morning at 9:15 a.m. November 28, 1972 refused to 
concur.

WHEREFORE, we pray that this Honorable Court move 
as follows:

1. Shorten the time for all parties to answer this 
motion and order a hearing no later than December 4, 1972.

2. Reaffirm its order of July 7, 1972, and its power 
to enforce said Order.

f f
3. Find as Fact and Conclude as Law that the named 

State Defendants in this cause have the power, augmented by 
the equitable power of this Court, to provide the additional 
wherewithal necessary to implement the order of July 7, i972 

without any further action by the Michigan State Legislature.

4. Order aforesaid State Defendants to present 
within 10 days of the issuance of this Order a plan for the 
exercise of such authority.

5. Hold hearings forthwith to consider such plan and 
any modifications that may be suggested by additional parties.

6. order the implementation of said plan, with such 
modifications as the Court may deem appropriate after hearings 
no later than February 1, 1973, provided that the Michigan state

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Legislature has no! -irst acted to provide the necGS S Elrv
HO cl 1.10 V/ the OO'l f* i nnor! ^ , •continaea operation of the Detroi-

Rul>lie Schools.

7. Ordo -s~ a.ny other relief which in good conscience
teio ... -i. may order to accomplish 180 full days of education
for che students of the nerr-̂ i-̂   ̂.i ■ >-i_ro_ l Scnool District,

B. Should this Court decline to exercise its equitable

P°''er° a° SSt f°rth above' movant would relunctantly
request the Court to vacate the Order of July 7, so as to

permit the Detroit Board to utilise its limited resources 
m  the most effective fashion possible.

November 28, 1972

f ■'

Respectfully submitted, 
RILEY AND ROUMELL

Louis D. Beer 
Jane Keller Souris 
Russ E. Boltz

neyf. for Appellant Board of Education of the School 
District of the City of Delmif 720 Ford Building Detroit
Detroit, Michigan 48226 
Telephone: (313) 962-8255'

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a p p e n d i x  a

UNITED STATES DISTRICT COURT 
EASTERN DISTRICT OF MICHIGAN 

SOUTHERN DIVISION
RONALD BRADLEY, et a!., }

Plaintiffs )
v- )

VTLLIAM G. MILLIKEN, et al., \
Defendants )

and .

DETR°IT FEDERATION OF TEACH- ) CIVIL ACTION 
ERS, LOCAL 231, AMERICAN FEDERA- ) NO- 35257 
H ON OF TEACHERS, AFL-CIO, )

Defendant- )
Intervenor ) t and . *

DENISE MAGDOWSKI, et al., ) *
Defendants- )

et a ' Intervenor )

PRELIMINARY INJUNCTION

At a session of said Court held in the Federal Building, City ol 
C°Unty °f Wayne’ on the 30th day of JUNE, A.D.

f
PRESENT: HONORABLE^STEPHEN J. ROTH 

United States District Judge

DefrS 1p T tt!r haT J  C°me °n t0 be heard on the Motion by 
ti r ^ edr tr  °f Teachere’ dated June 22, 1972, for Injunc­tion and/or for Supplement to Order for Development of Plan of
a ™ r ? 10̂ Re Financing and Terminations; and the briefs and 
g meats of the parties having been considered for an in oppo-

premLes; and ^  ̂  C°Urt bdng fU "y infonned in the

Ins h»h\ C°fUrt fiilding Aat defendant Detr<>it Board of Education eretofore adopted a resolution for its* 1972-73 budget which

threatens to reduce the number of school days for students to 117 
from the minimum of 180 per academic year prescribed by 
Michigan statute (M.C.L.A. 388.641 ;M.S.A. 15.1919(81)); and

The court further finding that the defendant Detroit Board of 
Education on or about April 12, 1972 served notices of termina­
tion of employment effective the end of the 1971-72 school year 
on approximately 1,548 teachers employed by said Board; and 
that the threatened effect thereof will be to terminate the employ­
ment of said teachers and to interfere with or abrogate their 
accnial of credit toward tenure under applicable Michigan law; and 
hat _tne racial census of said teachers notified of such proposed
termination includes 720 black teachers, 744 white teachers and 
/y other ; and



I|is court having heretofore issued it^uling on Desesrr-- 
f / * rea and 0rder for Development of ™  of Desegregation 
d,a Cd June 14’ 1972’ and having issued Findings of Fact and Con­
clusions of Law in support thereof, to which Ruling, Order 
Findings and Conclusions reference is made; and said Ruling and 
Chuer having contemplated “schools of subst antially like quality 
scmiies, extra-curricular activities and staffs; and [that] utili­
zation of existing school capacity through the desegregation area 
^  be made.on the basis of uniform criteria”, and said Ruling 
p * ... r ;r iavdnf rtC3u>red the defendant State Superintendent of 
Fubhc Instmction to make recommendations for appropriate 
fmancia! and other arrangements, “including steps for unifying or 
otnerwise making uniform the personnel policies, procedures con­
tracts and property arrangements of the various school districts” 
ana the court finding that a metropolitan plan of desegregation 
complying with such criteria cannot be implemented in the°event 
tne city of Detroit school system is on a school year of 117 days

63 dfyS l£SS ̂  ,the minimum statutory requirement, while ' 
other school districts in the desegregation area comply with such 
statutory requirement; and the court further finding that such cri­
teria and other provisions of the Ruling on Desegregation Area and 
Order for Development of Plan of Desegregation cannot'be com­
plied with in the event such approximately 1,548*teachers are 
ermmated, as threatened, as aforesaid; and the court further 
mding that the threatened implementation of said shortened
school year and of said reduction in faculty will adveisely affect 
this court s ability to implement an effective metropolitan plan of 
desegregation; and the court further finding that in order to p i t  
senje the status quo, to enable the effective implementation of 
such a plan it is necessary that preliminary injunctive relief issue 
as hereinafter provided, thereby to avert irreparable injury in the 
particulars set forth above; now, therefore,

I t IS ORDERED that'the parties, their agents, employees 
successors and all others having actual notice of this Order shall be 
enjomed, pending further order of the court:

the n,I} h TOmr rt dUC,U? ’ 0r causing or requiring the reduction of 
the number of school days for students in the school system of the

"  dayS f°r the fiscaI and academic y ar 1972-73, such days to be of not less than the daily number of
hours provided du nng the 1971-72 fiscal and academic year.

t/2) Fr.°m termuiating, or causing or requiring the termination 
of the emp^ment of approximstejy 1,543 teachers empl d b '
Aorilt2 ,Q7? *  B°ard °f EdUCati°n Wh0 Were- on or about ' 
T > l2\l972’f V?  n°tlCeS °f SUCh to have beeneffective the end of the 1971-72 school y ear; and from giving
force and effect to such notices; PROVIDED, HOWEVER said 
restramt shal! be without limitation to termini.ions, pursuam lo 
such notices or otherwise, of individual teachers for independent 
personal cause subject to the rights and obligations of the said 
Board and of the teachers, inter se.

IT IS FURTHER ORDERED, in the discretion of the court 
that no security shall be required. ’

/s/ Stephen J. Roth
UNITED STATES DISTRICT JUDGE

DATED: JULY 7, 1972.



' iDAVIT OF CHARLES J. AO I

S t a t e  o_ H i c n i a a n  )... )
County ot 'vfivns )

CHARLES J. WOLFE, 
says as follows:

being first duly sworn, deposes and

l.That he is the Superintendent of Schools for the 
School District of the City of Detroit, and is by virtue of that 
position, its chief officer for educational policy.

That he is aware of the financial condition of the 
Detroit Public Schools as more particularly set forth in the 
Affidavit of Harold Brown, Business Manager of the Detroit Board, 
and Secretary of the Board.

3. Tnat given all of the financial resources presently 
available to the Board of Education of the School District of

f ".~
the Cii_y of Detroit, said Board wTill be unable to operate its 
schools beyond sometime in mid-March of 1973, and that such a date 
represents the most optimistic projection available of a date 
on which the schools will be forced to close due to lack of funds.

4. That if forced to choose between operating the 
^present program until forced to terminate it in the middle of 
the second semester, and shortening the first semester so as to 
provide two balanced, but shortened, semesters, he would unhesi­
tatingly exercise his professional judgment and chose the latter



ope rati 
to ter

-ive :or the reason that if the Board continues to 

its previously planned program and is forced abruptly 

e u, Lnis will result in many study units and couj 
of St.,., b̂ j_ng interrupted at totally illogical points in 

tneir progression, and will represent a severe mis-use of 
educational time and resources. If the Board is forced to 
operate a snortened program, it can operate a far better pro­

gram educationally if it plans for the maximum utilization of 
the days of instruction available to it.

V i.* 5* That foreseeing at this juncture no available
financial resources which would allow the Detroit Board to
operate for a full 180 days* he recommended, based on the
above professional judgments, that the Detroit schools end

their first semester on December 21, 1972, and re-open for a
second semester on February 19, 1972 until June 15, 1973.

1
’ " ' ■ .' ' -j .' " " ' . . ' ' V ..... . ' ' ' ‘ U-

6. That the aforesaid recommendation was accepted by 
the Detroit 3oard of Education by resolution of November 8, 
1972. ’

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1 ■ That in the professional judgment of your Affiant, 
it imperative to the educational w e l l - b e i n g  of the school 
cnilaren of the City of Detroit that this Court determine 

.whether or not it will exercise its equitable power to implement 
the order of July 7, 1972, as soon as possible, so that plans 

for the second semester can be made and the limited educational 
resources available to the Board be made to yield the maximum 
educational return. ~ ;

8‘ That since JulY 7, 1972, your Affiant, along with 
other Detroit public school officials, on numerous occasions 

has met with State officials, including representatives of the 
Attorney General's Office, to present financial plight of the 
Detroit schools, including the Michigan Superintendent of 
Public Instruction, the Michigan State Board of Education, 

legislative leaders, the Treasurer of the State of Michigan, and 
tne Governor of the State of Michigan. None of these State 
officials have presented or offered a plan to meet the- Detroit 

public school financial crisis and to provide the revenue necessary 
to comply with the order of July 7, 1972, ordering the Detroit 
public schools to operate 180 regular school days during the 
1972-1973 school year. . -

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Subscribed and sworn to before 

me this 28th day of November, 1972.

Phyllis G. Groat
Notary Puolic, «\ayne County,Michigan 

My Commission expires: April 20, 1976.

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Np. 72-8002

I In- UN I TED STATES COURT OF APPEALS 
FOR THE SIXTH CIRCUIT

BOARD OF EDUCATION OF THE SCHOOL 
DISTRICT OF THE CITY OF DETROIT, 
a school district of the first ' 
class,

Appellant /
VS .

RONALD BRADLEY, et al,

Appellees.

AFFIDAVIT OF HAROLD BROWN

State of Michigan )
) ss.

County of Wayne )

HAROLD BROWN, being first duly sworn, deposes and 
says as follows: ' .

He is the Secretary and Business Manager of the Board 
of Education for the School District of the City of Detroit and 
as such, has under his direct supervision all the financial 
affairs of the School District.

LOSS OF BASIC TAX BASE ■ •

Since 1960, the Detroit school system has been heading 
for a financial crisis beginning with removal of substantial

n



---cy from the tax rolls of the City of De" 

•° duilamg °i rrsev/ays, urban renewal or -=> /
tax exempt, enterprises. jn

" ~ 'C v

amounts of pro: 

the result .of -

the. building of hospitals and otheri
addition, the 1967 disturbance in Detroit caused more props

L° rCl:lo'7“c ~rora the tax rolls. It is estimated that between 
1960 and 19/1, the School District of the City of Detroit lost 

some $110,000,000 as the result of removing property from the tax 
rolls and reduced value in Detroit property. This situation is
perhaps the largest single factor in the present school financial 
crisis.

ADDITIONAL INCREASED COSTS AND LOSS OF REVENT7D

The following other factors have either increased costs 
or caused additional loss of revenue:

- A * A decisi°n of the Michigan Supreme Court requiring
school systems to provide free textbooks and supplies to all

students have cost the system approximately Three Million Dollars 
each year;

B. A decision by the Governor to use his authority to 
withhold funds from school systems in order to balance the State's 
budget has cost the School District approximately Six Million 
Dollars in the past two years; .

C. A decision by the legislature permitting the Wayne 
County Allocation Board to allocate 0.25 mills of the money 

normally going to the Wayne County School System to:finance the 

Wayne County Community. College has cost the Detroit school system 
approximately One Million Dollars per.year.

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D. continued use of 0.64 mills thatL normally V;cul
go to

libraries h:
terrort school system to support the City's public 

■s cost the school system approximately 3.7 Million
DollCt JL £>

board economies undertaken

* Despite this overwhelming loss of revenue, and additional
cost L-°- s, che Detroit school system has attempted to operate 
by cutting costs and has done the following:

A. In the past 30 months, it has cut approximately 
44 Million Dollars in expenses.

B. It has reduced the number of teachers in the system
in 1970-71 from approximately 10,609 teachers to approximately 
10,141 at the present time. •

t
C. It has trimmed a total of approximately 51 admini­

strative positions.

D. Since February, 1972, no promotions in the admini­
strative ranks have been authorized.

E. The Detroit school system has so reduced its admini­
strative staff that now it has approximately 0.23 administrators 

per 1,000 students as compared to approximately 0.77 in Birmingham, 
approximately 0.71 in Warren and approximately 1.26 in Oak Park, 

all suburban school districts within the metropolitan-Detroit 
desegregation zone.

F. The Detroit school system teachers are not 
the highest paid school teachers in the Detroit area, but are

- 3 -



n a  i a sal Lna- c ls Sliqhtl^ hplnr- t-KJ J ô iov. uIg average of
~n Various school di^rnVt-c • ^- scncts m  tne Ketropol;

-ne tsaco:sale v«iOUS school disrnVt-c • ^'IStracts m  tne Metropolitanarea arc = ,• ,, *■ ~uctn n=tro;
a tne current y e a r  f h ^  n̂ >+. • ,no , Y ' "ne Detroit teachers r.cei-^

"■-T increases whatsoever. “

' CASH SHOtTtcrc
respite all of the above efforts £<w ,the „  

y=ar, the School District r,» a e- Ql
dollars which it fine a W i ° x x mately 38 miUi
Stat f . . ^  ^  a ^ s t  future revenue. The

S ° MlCnigan required said loans to be paid bale '
19 72. As matters P k ln SePte^ej

tand, the projected cost of oDer-r- 
School District will result • “Porting the
June 1973 , sult “ «* 80 Allien dollar deficit by

f o i l : ,  ‘ S P S C i f i C a — 1 -  as

Beginning Balance 
Revenue - 
Property Taxes 
State Aid 
State Aid Loans 
Other Revenue 

Total Funds Available 
■Expenditures - 
Payrolls
Other '

Ending Balance

November
1 9 7 2

$ 1 1 , 6 4 7 , 0 0 0

' 3 2 0 , 0 0 0

22,000,000
. 2 , 5 3 3 . 0 0 0

3 6 , 5 0 0 , 0 0 0

2 4 , 0 0 0 , 0 0 0  
. 3 , 4 0 0 . 0 0 0

J==Jxioo^poo

■December
1972

$ 9,100,000

3,700,000
21.300.000

-  i > 4 0 0 ,  onn
37.500.000
32.600.000

— 4/000,000

J=___900^000

January
1 9 7 3

$ 9 0 0 , 0 0 0

2 1 , 7 0 0 , 0 0 0

-___ 2 , 5 0 0  , o n n
2 5 . 1 0 0 . 0 0 0

1 9 . 2 0 0 . 0 0 0
__  5 , o o o  . nnn

l = = = = 9 0 0 i p p p

-4-



February
$beginning Ba^ar-f 

Revenue - ~
.Property Ta’--ps 
State Aid '
State Aid Loans 
Other Revenue „ „

total Funds .v-?i 1=^1 —— rlr^00 / 0 00 
Expenditures'~ blS  ̂6'4Cl0,~0Q0 
Payrolls
O t h e r  2 3 , 6 0 0 , 0 0 0

_ir_S00J_(00 0

March

9 0 0 , 0 0 0

2 1 , 3 0 0 , 0 0 0 *  
20,000,000 

4 , 2 0 0 , 0  00

E n d i n g  Balance

$ 1 8 , 3 0 0 , 0 0 0  

5 0 0 , 0 0 0

- 2,700,000
21,5oT7ocTo
23,600,000
JLtOoo,ooo

===f====-_°° $ (7,100,000)

May
Beginning Balance 
Revenue -
Property Taxes 
State Aid 
State Aid Loans 
other Revenue >1

total Funds A v a i i ^ i ---j, 000 , QQQ
Expenditures _ lable^ 676007000‘)
Payrolls ,, _nft
Other 22,100,000

—  4,5oo;onn
Ending Balance * ,r, '5(53,200,000)

June
5 (30,900,000) 

300,000

4/ QOCLOQo

$ (53,200,000)

300.000
600.000

— 4/7OO.Onn 
(47,600,000)

28,100,000
- 4,300,000

$ (80,000,000)

$ (7,100,000)

7 0 0 , 0 0 0

__la_800̂ _000 
( 2 , 6 0 0 , 0 0 0 )

2 3 , 6 0 0 , 0 0 0  
- 4 , 7 0 0 , o o n

$ (30,900,00 0)

A i r i f ^ n l e l ^ b u t ^ r w i l l * 0 ? ece iab er ' 1 9 7 2 ,  i f  s t a t eoccurring in .March,

°n or about November 8 197? ^  „

— -  . « *  a serere cash s:o;;;g2; m Dr ict Kas
existing payrolls. Fortunately, the School District ^  “ “  
to borrow 22 Million Don Was able
ov ° D°UarS April 1973 state Aid to
vercce the M e d i a t e  cash shortage. Dnder state 1 , h 

Superintendent of Pubiic Instruct( ^  the
- n can advance some 20 Million

-5-

n



Dollars of State Aid by Decenib
A
information and belief, will no 
run school beyond

rber 31, 1972, which advance, on

l. provide sufficient money to
eoruary or early March, 1973.

\ AS thS ab°Ve financial figures indicate, the School
District cannot in any way run beyond March 15, 1973, at the

latest, as there will be no money available as all tax receipts 
will have been collected and spent and all state aid payments 

will have been collected and spent or pledged to existing loans.

The School District has attempted to meet the financial 
crisis by going to the voters four times since 1968, including 

three times in 1972. Each time the voters have rejected millage 

and in May, 1972, August, 1972 and November 7, 1972, have rejected 
a renewal of an existing 5 mills which represents an approximate 
loss of 28.8 Million Dollars a year for the schools.

Even with the above-cited reduced costs; namely, approxi­
mately 470 less teachers and approximately'51 less administrators 
and working under a most stringent budget, which, among'other 
things, does not provide for adequate maintenance, it still 

will cost approximately 257 Million Dollars to run the School 
District, Plus 38 Million Dollars to pay back the deficit of 
the 1971-72 school year. The system is receiving only 215 

million Dollars from all sources, making the 80 Million Dollar



def i d  t
4

31" r X V G Cl
The sys 
further

Tne growing financial crisis that began in 1960 h 
Teere is no more money. There are no more loans, 

em cannot operate beyond early March, 1973, without 
financial relief.

*

November ■J2/*C 1972.

Subscribed and sworn to before
1

me this Jz/.-Z day of November, 1972,
r

' { . I t <s'
•- / '
'■ y . ;r: .

Notary Public, Wayne County, Michigan
^  / / ‘ ^

My Commission expires:,^//:/ZZ
- “  /

- 7 -



CERTIFICATION

This is to certify that a copy of the foregoing 
Emergency Motion of Board of Education of the School District 
of the City of Detroit To Order the Governor of the State of 
Michigan, the Attorney General of the State of Michigan, the 
Treasurer of the State of Michigan, the Superintendent of Public 
Instruction for the State of Michigan, the Members of the State 
Board of Education of the State of Michigan and Other State 
Officials to Obey Court's Order of July 7, 1972, by Providing 
Funds to Keep The Detroit Public Schools Operating For a Full
18,0 Regular Days of Instruction And Emergency Motion To Shorten 
Time for Hearing Oral Argument has been served upon counsel of 
record by United States Mail, postage pre-paid, addressed as 
follows: .
LOUIS R. LUCAS 
WILLIAM E. CALDWELL 
525 Commerce Title Building 
Memphis, Tennessee 38103
NATHANIEL R. JONES 
General Counsel, NAACP 
1790 Broadway 
New York, New York 10019
E. WINTHER MC CROOM 
3245 Woodburn Avenue 
Cincinnati, Ohio 45207
JACK GREENBERG 
NORMAN J. CHACHKIN 
10 Columbus Circle *
New York, New York 10019 •

c-
J. HAROLD FLANNERY 
PAUL R. DIMOND 
ROBERT PRESSMAN 
Center for Law & Education 
Harvard University 
Cambridge, Massachusetts 

02138
DAVID L. NORMAN 
Department of Justice 
Washington, D.C. 20530
ROBERT J. LORD
8388 Dixie Highway
Fair Haven, Michigan 48023

RALPH GUY
United States Attorney 
Federal Building 
Detroit, Michigan 48226
DOUGLAS H. WEST 
ROBERT B. WEBSTER 
3700 Penobscot Building 
Detroit, Michigan 48226

WILLIAM M. SAXTON
1881 First National Building
Detroit, Michigan 48226
EUGENE KRASICKY 
Assistant Attorney General 
Law Building'- >-^m-? a ;
525 West Ottawa Street 
Lansing, Michigan 48913
THEODORE SACHS ■
1000 Farmer
Detroit, Michigan 48226

ALEXANDER B. RITCHIE 
1930 Buhl Building 
Detroit, Michigan 48226
BRUCE A. MILLER 
LUCILLE WATTS
2460 First National Building 
Detroit, Michigan 48226
RICHARD P. CONDIT
Long Lake Building
860 West Long Lake Road
Bloomfield Hills, Michigan 48013
KENNETH B. MC CONNELL 
74 West Long Lake Road 
Bloomfield Hills, Michigan 48013
DONALD F. SUGERMAN
2460 First National Building
Detroit,Michigan 48226
THEODORE W. SWIFT
900 American Bank & Trust Bldg.
Lansing, Michigan 48933

FRED W. FREEMAN 
CHARLES F. CLIPPERT 
1700 N. Woodward Avenue 
Pi 0. Box -509
.Bloomfield -Hills,. Michigan 48013



JOHN F. SHAFTZ
222 Washington Square Building 
Royal Oak, Michigan 48067

Repsectfully submitted,
November 28, 1972 RILEY AND ROUMELI, ^

✓-Russ E. Boltz T T

720 Ford Building 
Detroit, Michigan 48226