Governor backs plan to give bankrupt Detroit $350M - FOX 13 News

Governor backs plan to give bankrupt Detroit $350M

Posted: Updated:

LANSING, Mich. (AP) - Michigan Gov. Rick Snyder is backing a plan to commit $350 million in state funds to shore up Detroit's pension funds and prevent city-owned art from being sold during they city's bankruptcy.

The Republican joined legislative leaders on Wednesday in announcing a plan that would provide as much as $350 million over 20 years.

The money would match the roughly $330 million that charitable foundations have pledged so far to help the debt-ridden city. Detroit's debt is estimated at $18 billion or more, including $3.5 billion in underfunded pension obligations.

Snyder says the money wouldn't be a bailout. He says it would simply help Detroit quickly settle its bankruptcy.

Republican legislative leaders say the plan will be a tough sell in the Legislature, but that it's better than a protracted legal fight.

Detroit Institute of Arts released this statement in response to the governor's announcement:
 
"Governor Snyder's announcement is continued good news for the City of Detroit, its pensioners and the DIA. Support from the Governor and legislative leadership, the foundation community and our supporters underscores the importance of the DIA in building a strong, healthy city and state. We are working hard to play an active and thoughtful role in this ongoing process that will allow for a significant contribution to this effort and ensure long-term support for the City's pension funds and sustainability for the DIA. While there has been a great deal of speculation as to the DIA's participation in this effort, the DIA remains focused on continuing conversations with the mediation team, state, county and city officials, our board members, staff and supporters to determine how we can be as productive and supportive as possible in this process, with the ultimate goal of a balanced, achievable solution that provides for strong DIA involvement in this emerging plan and ensures the museum's ability to meet its immediate budget commitments and long-term endowment needs."
  • Local NewsLocal NewsMore>>

  • Let It Rip: Gun range age limits; school start times

    Let It Rip: Gun range age limits; school start times

    Thursday, August 28 2014 11:07 PM EDT2014-08-29 03:07:25 GMT
    Part 1: Gun range age limits - how young is too young? Part 2: School start times - are children waking up too early? Part 3: Charlie Langton asks about school start times on the road.
    Part 1: Gun range age limits - how young is too young? Part 2: School start times - are children waking up too early? Part 3: Charlie Langton asks about school start times on the road.
  • City of Detroit has aggressive plan for overgrown grass

    City of Detroit has aggressive plan for overgrown grass

    Thursday, August 28 2014 10:47 PM EDT2014-08-29 02:47:18 GMT
    On Detroit's east side, residents are concerned about the tall grass.In some neighborhoods children have to walk in the street because the growing grass is a growing problem.
    On Detroit's east side, residents are concerned about the tall grass.In some neighborhoods children have to walk in the street because the growing grass is a growing problem.
  • Five hospitalized in 15-car accident on M-14

    Five hospitalized in 15-car accident on M-14

    Thursday, August 28 2014 10:12 PM EDT2014-08-29 02:12:57 GMT
    A large crash involving multiple vehicles has shut down east bound M-14 at Main Street in Ann Arbor.The freeway in that direction is closed for first responders, investigation and cleanup for at least two hours. Stay with Fox 2 for more information as it becomes available.
    A large crash involving multiple vehicles has shut down east bound M-14 at Main Street in Ann Arbor.The freeway in that direction is closed for first responders, investigation and cleanup for at least two hours. Stay with Fox 2 for more information as it becomes available.
  • Download the FOX 2 Apps


  • FOX 2 News Five-Day Forecast
Powered by WorldNow

FOX 13 / WTVT-TV
3213 West Kennedy Blvd.
Tampa, Florida 33609
Main: (813) 876-1313
Newsroom: (813) 870-9630
Fax: (813) 871-3135

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | New Terms of Service What's new | Ad Choices