"I think the state will help them restructure debt, but they'll have to consolidate and eliminate entire [[and likely inefficiently structured or totally unnecessary) departments.'

Have you ever looked at the city budget? Most of the departments that people talk about dumping don't amount to squat in savings. Most of the general fund dollars go to police and fire. Others have large dollars amounts attached to them but are funded with federal dollars. DDOT is considered an enterprise fund and who's going to take on that? Same with Public Lighting.