NOSLEEP Loc: Calgary

Protection.

Union destruction...

http://www.cbc.ca/news/business/story/2013/07/18/detroit-bankruptcy.html

Detroit on Thursday became the largest city in U.S. history to file for bankruptcy, as the state-appointed emergency manager filed for Chapter 9 protection.

Kevin Orr, a bankruptcy expert, was hired by the state in March to lead Detroit out of a fiscal free-fall and made the filing Thursday in federal bankruptcy court.

A number of factors — most notably steep population and tax base falls — have been blamed on Detroit's tumble toward insolvency.

Losing residents

Detroit lost a quarter-million residents between 2000 and 2010. A population that in the 1950s reached 1.8 million is struggling to stay above 700,000. Much of the middle-class and scores of businesses also have fled Detroit, taking their tax dollars with them.

Orr was unable to convince a host of creditors, the city's union and pension boards to take pennies on the dollar to help facilitate the city's massive financial restructuring.

He laid out his plans in June meetings with debt holders, in which his team warned there was a 50-50 chance of a bankruptcy filing.

Some creditors were asked to take about 10 cents on the dollar of what the city owed them. Underfunded pension claims would have received less than the 10 cents on the dollar under that plan.

A team of financial experts put together by Orr said that proposal was Detroit's one shot to permanently fix its fiscal problems.

If the bankruptcy filing is approved, city assets could be liquidated to satisfy demands for payment.

Detroit's budget deficit is believed to be more than $380 million. Orr has said long-term debt was more than $14 billion and could be between $17 billion and $20 billion.

eye2eye Loc: Chicago, Illinois

It could also be that people are leaving because the homicide rate per capita is the highest in the nation. Even higher than Chicago if you can believe that.

Country's Mama Loc: Michigan

I can't believe I am getting my news on chit-chat. I have been watching this unfold and couldn't resist checking it out when I saw the topic listed in new topics. Detroit has been having problems for a long time. There are some really neat things about Detroit though and I would hate to see them lose some of the great assets that they have. One that has been talked about liquidating is their Art Museum.

Hal81 Loc: Bucks County, Pa.

Its not only Detroit thats in deep doo doo. Philly Just closed 22 schools, they have been closeing Fire houses. Cutting down on police. People dont pay their taxes and many never pay their finds. The under ground water system is over one hundread years old. Water main breaks almost weekly. The city has very little tax bace most all industry moved out to avoid the crime. Three or four murders every night. Bank robbereys every day. Home invations. Inocent very young kids being shot in the cross fire of gang wars.

Pepper Loc: Planet Earth Country USA

I guess if you must liquidate you’d want to start with those things which would have the least amount of impact on the people and so I’d probably agree that the art museum would be at the top of the list.

NOSLEEP Loc: Calgary

What the Hell is wrong with Detroit?

http://www.youtube.com/watch?v=iu2TaYPYVy4

tlbuljac Loc: Oklahoma

hard to believe the city of Detroit is filing bankruptcy when the night before the Major League Home Run Derby Detroit was host to (I believe) the Los Angeles Angels and the damn stadium looked as though it was completely full....somebody has the money

Hal81 Loc: Bucks County, Pa.

There was a Detrot offical on Tv Tonight saying when they take down all the abandon buildings Detroit will be the greenest city in the US. All grass.

Bruce with a Canon Loc: Islip

ouch!

NOSLEEP Loc: Calgary

Decades of Liberal Democratic rule and economic policies have brought this once great city to its knees.
47 percent of the owners of Detroit’s 305,000 properties didn’t pay their property taxes in 2012.

Cut &paste:
"Once the fourth largest city in the nation, and home to its largest industry, Detroit’s population has been cut in half, from 1.5 million in 1970, to less than 700,000 in 2012. Median household income is $27,862 compared to the state median of $48,669. The poverty level is 36.2 percent compared to a statewide level of 15.7. The murder rate is 11 times that of New York City, and the unemployment rate is above 18 percent, more than double the national average. Detroit Public Schools (DPS) have been under emergency management since 2008. In late February, the state review board revealed that the city faces a short-term cash $327 million budget deficit and an estimated $14 billion in long-term debt, primarily driven by unfunded pension and retirement health care obligations

ole sarg Loc: south florida

Regardless of which party was or is in power. AS Detroit lost population, industrial base and its tax base it could not sustain its infrastructure nor services.

ole sarg Loc: south florida

Regardless of which party was or is in power. AS Detroit lost population, industrial base and its tax base it could not sustain its infrastructure nor services.

heyrob Loc: Western Washington

Funny how you tout the liberal agenda, and now when that agenda is playing out, just as it is on a national level, it's "Regardless of which party was or is in power".

That's a cop out Sarg, liberal policies are what led to the mass exodus of the population and industrial tax base from Detroit and as the population that remained became poorer and poorer, the crime rate rose in direct correlation to that decline in wealth. Is that the fault of the rich, of course not, it's the fault of policies that reward hard work and success with higher and higher taxes, which eventually cause those carrying that burden to flee to friendlier locals. Leaving a government with less and less resources and the inevitable collapse that is happening now. So it's not "regardless" who's in power, it's because of the tax and spend liberals who are in power.

Danilo Loc: Las Vegas

I think you paint a dismally accurate picture, heyrob. The ruthless graft and political theft of taxpayer funds can be added to this. The only more corrupt city government in this country is Chicago, but it hasn't yet suffered the mass exodus of the productive tax base Detroit has...I believe, however, it will, given time.
I remember Gray Davis, California's former governor, saying "it's not that we overspent, it's that we were underfunded." There's the liberal logic in a nutshell.

AUminer Loc: Brandon, Ms

And unlike the Federal bailout of the auto industry through a special bankruptcy, the unions will have to get in line with all the other creditors and let a Judge decide on a payment plan!