A federal court has granted the city of Flint a modification to a lawsuit brought by retirees, allowing it to make temporary changes to retiree healthcare.
The city said the alternative might have led the city into bankruptcy.
On the heels of that decision the city's emergency manager gave pay raises to the mayor and the city council.
July 1 marked a new budget year in the city of Flint. With that new budget comes more pay for the city council and the mayor. Some call it a pay raise, but Council President Scott Kincaid said that's not entirely true.
"Our pay was eliminated back when the emergency manager first came in. Then it was restored partially and this is restoring it again about 50 percent of what the compensation commission felt the salary should be for the elected council members," Kincaid said.
Before the state takeover, council members' salaries were $20,000 a year. In the new budget their compensation is $10,500 a year. The mayor's salary also increased.
"I've had four different compensation levels in this job in five years, so my focus is on serving the community. This is what the budget has for compensation for myself and council," Flint Mayor Dayne Walling said.
Before the new budget the mayor's pay was $55,000 a year, his new salary is $82,500.
"I'm supervising half of the city's workforce through the department heads, so that's a positive step forward for the community," Walling said.
Kincaid said he's thankful for the larger check, but wants people to keep it in perspective.
"I'm grateful that we're getting more of our compensation, but this is not a pay raise," he said.
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