Law Commons^™

The Limits Of State Intervention In A Municipal Fiscal Crisis, Joel E. Cohen

Fordham Urban Law Journal

Municipal fiscal crises are becoming more frequent, causing the tradition of local control to be questioned. The problems plaguing New York City are but one example of this nation-wide trend. In order to aid the City in overcoming its fiscal crisis, New York State has created two novel agencies, the Municipal Assistance Corporation (MAC) and the Emergency Financial Control Board. MAC's major purpose is to aid the city in meeting its financial requirements, while the Control Board's main function is to monitor the City's spending. One accomplishment of these two organizations has been the implementation of drastic austerity measures that …