Bring in the EFM!

[313WX]

Detroit is a creature of the state of Michigan. The state constitution trumps any other law or charter that's in effect [[Although even Detroit's city charter guarantees the pensions as well). If Detroit claims insolvency, the money to pay for the pensions can't be pulled out of its rear end. The liability would be shifted to the state of Michigan, even if the pensioners sued the city of Detroit.

There is a reason, after all, why the state of Michigan is doing everything to prevent a Detroit bankruptcy, besides the legal costs.

[Wesley Mouch]

Detroit is a creature of the state of Michigan. ... There is a reason, after all, why the state of Michigan is doing everything to prevent a Detroit bankruptcy, besides the legal costs.

I get the idea -- but I thought Michigan's Home Rule act made cities here more independent. From the ever-accurate wikipedia:
The Home Rule City Act was enacted by the Michigan Legislature as Public Act 279 of 1909. This statute provides the framework by which a new city may become incorporated and provide for its own government by adopting a city charter. It also provides for the method by which an existing city may amend or revise its city charter."

If the city is incorporated and provides its own governance, why would the State be on the hook for Detroit's finances? It seems counter-intuitive to make the State responsible for the actions of an independent governmental unit -- albeit one that functions under State laws.