 The Michigan Public Policy Survey here at the Ford School has been tracking local government fiscal health for the last four years. Fiscal health is continuing to decline for hundreds of jurisdictions, but over the last two years more and more local governments have told us that they are either holding their own or they're actually even better able to meet their fiscal needs. We think it's because they've taken a lot of actions to deal with following revenues. So they've been cutting staffing, cutting services, increasingly working with other jurisdictions to share costs and services. Two key fiscal indicators, general fund balances and cash flow. Surprisingly, a high percentage of jurisdictions tell us they're doing okay. So we think their cost-cutting and their right-sizing efforts have helped them weather the fiscal storm. Looking to the future, there's a lot of concern. Less than half of local government leaders overall think that they're going to be able to maintain today's services into the future based on the current system of funding local government. And when we talk about improving services, the outlook is even worse. So this could include, for instance, faster police and fire response times or filling more potholes and streets. Most of Michigan's local leaders think that the system of funding local government is broken and needs significant reform. This includes almost every major aspect of the system of funding government. So it includes the gas tax and the sales tax, revenue sharing and so on. There is no particular consensus on the most important thing to fix first. But the most common denominator is local leaders say they simply need more money if we don't want to see a new round of service cuts in the future.