Michigan Gov. Rick Snyder and his politically appointed financial manager pushed Detroit into bankruptcy instead of dealing with the actual causes of its financial woes.
About the Detroit Bankruptcy
The bankruptcy in Detroit is being pushed by Governor Snyder’s politically appointed Emergency Manager, who has demonstrated that he puts himself first, with his hotel penthouses, excessive room service bills, and $225,000 salaries for his staff. Though Detroit has been struggling for years, the problem was made worse by a $66 million cut in state funding last year and a loss of $700 million over the past decade. The Snyder administration is making the wrong funding choices in the bankruptcy, helping the Wall Street bankers first and spending another $100 million on lawyers and consultants. Widows and survivors of police and fire fighters will see their benefits cut. Contracts with small businesses will not be paid. And Michigan public employees, including those who don’t receive Social Security will see their pensions cut. These are the wrong priorities.
What’s it mean?
Bankruptcy will increase economic hardship for broad portions of middle class Michiganders, including small businesses and retirees on fixed incomes whose pensions could be cut.
The bankruptcy case is continuing and we are going to argue in court that pensions are legally protected by the state constitution.
Get the facts at TruthAboutDetroit.com.
Watch the Video
The bankruptcy in Detroit is not solely a Detroit crisis; it is an American crisis. Financially devastated cities all across our nation are now struggling for their survival. The outcome in Detroit affects all of us and that’s why the American Federation of State, County and Municipal Employees (AFSCME) is calling for an urban agenda to strengthen our great cities. AFSCME will not give up on Detroit or the workers who built the city — and neither should you.
– Lee Saunders, AFSCME President
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Put city workers and retirees ahead of Wall St. profits. Stand with Detroit.
Stand with Detroit if you believe in fairness for retired cops, fire fighters, librarians, bus drivers and city employees across Detroit – over profits for Wall Street.
Stand with Detroit if you believe that those who have played by the rules and worked hard to serve their city for their entire lives shouldn’t be the ones sacrificing the most.
Stand with Detroit if you believe bond insurers and Wall Street executives have no business getting paid before retirees get their $900/mo. pension.
In the News
Get the latest on the financial crisis in Detroit.
Detroit pension funds ask for quick appeal of bankruptcy eligibility
The city’s pension funds asked a federal appeals court to fast-track a fight to overturn Detroit’s eligibility for bankruptcy relief, arguing the “stakes could not be higher.”
The Detroit News, December 27, 2013
Billions in Debt, Detroit Faces Millions in Bills for Bankruptcy
Even as it wrestles with $18 billion of debt, Detroit has already been billed more than $19.1 million by firms hired to sort through that debt, search for ways to restructure it, and now guide the city through court.
The New York Times, October 7, 2013
Detroit retirees file complaint to halt Orr’s health care plan
Groups representing thousands of Detroit retirees filed a complaint this morning seeking to block a new health care plan emergency manager Kevyn Orr unveiled last week that will raise costs for retirees.
Detroit Free Press, October 22, 2013
Detroiters worry about crime, city’s direction and don’t like Orr, poll finds
The city of Detroit is on the wrong track. Crime is its biggest problem. And Detroiters think hiring Kevyn Orr to fix its finances was a bad move.
Detroit Free Press, September 23, 2013
Gov. Rick Snyder agrees to testify in Detroit bankruptcy
Gov. Snyder originally said he would not agree to testify, but changed his position when it became clear the bankruptcy judge did not like that answer.
Click on Detroit, September 10, 2013
Detroit retirees face changes in pension and health care
Donald Smith is one of 21,000 retirees facing cuts in their pensions and health care coverage. He’s invited Gov. Snyder to see what life is like living on a modest pension.
ABC 7 Action News, September 16, 2013