Local government interest on debt in Michigan ranked in the bottom half of the nation, but is nearly equal to the average of “Top Ten” states, and the average of peer states. 

What It Is: Local government interest payments on debt, divided by local government direct expenditures (both in current dollars).

Why It Matters: Maintaining debt service at low levels is an indicator of fiscal sustainability.

Note: This measure does not include debt service on principal since the Census of Governments does not report a direct debt service measure.      

Local Debt Service Trends

Local Debt Service Standings

Source: Census of Governments (Annual Survey of State and Local Government Finance)