Detroit Bankruptcy

Michigan Public Radio Network

Detroit officially exits bankruptcy

At the stroke of midnight, the city of Detroit officially exits of bankruptcy. Governor Rick Snyder has signed the order terminating the city’s emergency manager, and officially transferring control to the mayor and the city council.

The action is something of a formality since Detroit Mayor Mike Duggan has had control over most day-to-day operations for months now.

michigan.gov

Snyder: Pensioner approval of grand bargain sets Detroit up for faster recovery

Gov. Rick Snyder is praising Detroit pensioners for approving the city's bankruptcy restructuring plan.

The so-called "grand bargain" is designed to prevent deep cuts to retirement benefits and protect city-owned artwork at the Detroit Institute of Arts.

Snyder says the vote this week makes it more likely the city will emerge from bankruptcy soon.

Wikimedia

Detroit's emergency manager is praising workers and retirees who approved pension cuts as a way to get the city out of bankruptcy. 

Results filed late Monday show the changes were endorsed by a landslide.

The tally gives the city a boost as Judge Steven Rhodes determines whether Detroit's overall strategy to scrub billions in debt is fair and feasible to all creditors.

Trial starts Aug. 14. Emergency manager Kevyn Orr says retirees made an "informed, positive decision."

Wikipedia

Detroit due to report results from pension vote   The city of Detroit is expected to report the results of voting on pension cuts by retirees and former and current workers. The outcome will have an impact on the city's bankruptcy case, which goes to trial on August. 14th.

Wikipedia

An effort by deep-pocketed philanthropists to save the bankrupt city of Detroit's art treasures culminated today when Michigan Governor Rick Snyder authorized $195 million in state help. The bill signing in Detroit was part of what's dubbed the Grand Bargain. The deal also includes $366 million from foundations and a $100 million fundraising pledge by the Detroit Institute of Arts.

Wikipedia

Detroit City Council has reaffirmed its approval to move artwork threatened by the city's bankruptcy into a charitable trust. 

The Detroit Institute of Arts
Michael Barera / Wikimedia Commons

General Motors, Ford and Chrysler are stepping into Detroit's bankruptcy picture by pledging $26 million to help support retiree pensions while keeping the city's art treasures off the auction block.

The Detroit Institute of Arts, Gov. Rick Snyder and representatives from the automakers announced the donation Monday at the art museum.

Jason Mrachina / Flickr.com

Valuable art is back on the docket in Detroit's bankruptcy case. 

Wikipedia

Chrysler, Ford Motor and General Motors are interested in preserving art and shoring up pensions in Detroit's bankruptcy case.  

 

     

Wikipedia

Detroit's latest plan to get out of bankruptcy includes a lump-sum payment of about $195 million from the state to shore up pensions and prevent the sale of city-owned art. 

wikimedia commons

Detroit EM tries to sell bailout to lawmakers

Detroit Emergency Manager Kevyn Orr is spending a couple of days in Lansing for closed-door meetings with state officials. He's primary mission is to convince reluctant state lawmakers to support the Detroit bailout package.

The state's share, which would have to be approved by the Legislature, is $350 million dollars. That would help mitigate cuts to pension benefits as part of the city's bankruptcy, and
ensure the assets of the Detroit Institute of Arts are safe from the auction block.

Wikipedia

Pressure is building for Michigan lawmakers to commit $350 million to Detroit pensions after the bankrupt city reached tentative agreements with pension funds and a retiree group. The deals are tied to Detroit getting money from the state over 20 years, along with $466 million in private money, all to shore up pensions.

Wikipedia

The Detroit pension fund that covers all retirees except former police officers and firefighters says it has reached a tentative agreement with the bankrupt city. Tina Bassett, a spokeswoman for the city's general pension fund, says retirees would see a 4.5 percent cut and their cost-of-living payments would be eliminated under a deal reached late Tuesday.

Carlos Osorio / AP

DETROIT (AP) - The office Detroit's state-appointed emergency manager Kevyn Orr says the blueprint for the city's restructuring through and after bankruptcy is expected to be filed Friday in federal court.       Bankruptcy Judge Steven Rhodes had set a March 1 deadline for the long-awaited plan of adjustment. The plan will spell out how individual creditors will be treated as Orr reduces the city's $18 billion debt.       Spokesman Bill Nowling says Orr's office plans to file the plan with the court Friday.

DETROIT (AP) — The city of Detroit says it will file a plan to emerge from bankruptcy next week, just days before a March 1 deadline.

Snyder announces plan to shield DIA assets from Detroit bankruptcy

By Rick Pluta

Governor Rick Snyder has proposed committing up to $350 million to help mitigate cuts to Detroit pension benefits – as well as keep assets of the Detroit Institute of Arts off the auction block.

The state’s offer would play out over 20 years and would match money raised from private donations to make sure DIA paintings, sculptures, and other works of art don’t get sold off to pay pension benefits that are central to the bankruptcy negotiations.