While there are many moving parts to the restructuring, the pension agreement is viewed as a centerpiece.
In all, 67,000 pensioners will decide if they agree with the four-and-a-half percent cut that the city says is necessary to move forward to solvency.
Lawmakers introduced legislation late Thursday to use about $195 million from Michigan’s savings account to help bankrupt Detroit.
“Kevyn Orr is in the governor’s office right now, calling in individual lawmakers, trying to explain why they need to vote yes,”
Two-thirds say it’s OK for Michigan to use $350 million in state money to help retirees.
The details were in Detroit’s latest strategy plan filed Monday.
Chants of “they owe us” broke out, followed by rousing choruses of “Make them pay.”
“In the 14 years I was deputy county executive in Wayne County, we had 100 percent defined contributions, in my nine years as the CEO of the Detroit Medical Center, we had 100 percent defined contributions,” Mayor Mike Duggan said.
Kevyn Orr is in Lansing updating lawmakers on the city’s bankruptcy as they consider a potential vote on a financial bailout to help Detroit emerge from insolvency.
In a statement, the mediators say the terms are “fair and balanced” and provide security for workers and economic feasibility for Detroit.