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Highland Park Community High School  (Credit: WJBK | myFOXDetroit.com)

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Updated: Friday, 27 Jan 2012, 8:50 PM EST
Published : Friday, 27 Jan 2012, 4:15 PM EST

By TIM MARTIN
Associated Press

LANSING, Mich. (AP) - LANSING, Mich. (AP) -- Saddled with budget deficits and declining enrollment, the Highland Park School District on Friday became the latest public entity in Michigan to get a state-appointed emergency manager because of struggling finances.

Gov. Rick Snyder said he's confirmed his determination that a financial emergency exists in the school district in a Detroit enclave. Snyder appointed Jack Martin, a former chief financial officer for the U.S. Department of Education, as the district's emergency manager.

The appointment takes effect Monday. Emergency managers also are in place in the Detroit public school system and the cities of Benton Harbor, Ecorse, Flint and Pontiac.

The city of Detroit is working to avoid the appointment of an emergency manager as a state review of its finances continues.

Appointments of emergency managers have become more scrutinized and controversial in the past year because of a new state law that gives them more authority. Emergency managers can strip power from locally elected leaders and toss out union contracts in some situations.

Snyder had warned that without state intervention the Highland Park School District could close by the end of February, so the appointment of an emergency manager was expected. A state review determined the district's cumulative deficit had increased by 51 percent over the past fiscal year to $11.3 million.

A major problem has been declining enrollment. The school district had more than 3,000 students in 2006, but is estimated to have less than 1,000 now. Much of a school district's funding in Michigan is directly tied to its number of students.

"Over the last several weeks, I have grown increasingly concerned about the district's ability to complete the school year without significant assistance and intervention," Snyder said in a statement. "The welfare of the students attending Highland Park schools is our No. 1 priority."

The district's superintendent and a representative of the teacher's union also said they were concerned about students' welfare.

Highland Park schools superintendent Edith Hightower said her "primary goal is children, and making sure they have all the opportunities they can have to be successful."

David Hecker, president of Michigan's American Federation of Teachers chapter, said the union wants "what is good for students and fair for teachers and staff."

"Our hope is that Jack Martin works collaboratively with teachers, staff and the community as everyone has a stake in ensuring that the students of Highland Park are our top priority," Hecker said in a statement.

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