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Detroit rejects funds, will the city be out of cash by Christmas?

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In a voice vote, the city council rejected a contract for the law firm of Miller, Canfield, Paddock & Stone to provide legal advice and to handle litigation related to implementing a financial stability agreement designed to fix city finances.

The rejection "means the city will not receive the first $10 million scheduled for release today," said Mayor Dave Bing in a statement issued right after the vote.

Mayor Bing said the rejection of the contract will make it more difficult for Detroit to maintain positive cash flow.

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