In December, The D Runs Out of Cash

[p69rrh51]

Bankruptcy FINALLY!! No BS, no crying just to bend over and take it on all sides!

[Wesley Mouch]

It all ties back to the "using credit cards to pay your electric bill" discussion in the other thread.

Just keep kicking that can down the road...

And that seems to be the goal. Resist all changes. Delay and hope the storm passes.

[313WX]

And that seems to be the goal...Delay and hope the storm passes.

Yep.

Instead of dumping the debts now, we're accumulating more debt with no way to ever pay back the debt.

I mean, you can drive as fast as you may, but you can't out run a tornado. The tornado may not hit you until a few miles down the road, but it will catch up to you.

[313WX]

http://www.detroitnews.com/article/2...ing-bond-funds

Union leaders, Detroit residents balk at state threat of withholding bond funds

Detroit - Union leaders and city residents had harsh words for state leaders who are threatening to hold up Detroit's effort to draw down on borrowed money to help stave off fiscal insolvency.

Ed McNeil, special assistant to Al Garrett for AFSCME Local 25, said he's heard several times the sky is falling and Detroit is going to run out of cash. McNeil said he's tired of it and it's time for state leaders to get away from Detroit.

"How many times do we run out of cash before someone asks the real question: What the heck is going on? I am sick and tired of this kind of rhetoric that's going on. There's games being played," McNeil said during today's council session. "Somebody in Detroit has got to stand up and fight. We need everybody to stand up and say we're not going to take this no more from anybody else. We're going to get the people out of Lansing out of Detroit . … If we get them the heck out of here, we won't be broke."

[corktownyuppie]

. We're going to get the people out of Lansing out of Detroit… If we get them the heck out of here, we won't be broke."

In other news: Up is now down, hot is now cold, and the Cubs just won the World Series.

[Wesley Mouch]

The anti-state people have a point. There has been a lot of crying wolf. Each time, something was done to avoid a crash.

Grateful, you'd think they'd be.

No -- denial. See -- every time they claim there's a wolf, its really nothing.

I say go outside and see for yourself. We're done helping. Cause the helping has only enabled denial.

[Zacha341]

Yep! We see this kind of thing played out at the local and national level: a crisis is used for political gain or leverage!

Eventually there's the day of reckoning where the issue itself needs to be addressed!

It's starting to sound like the "boy that cried wolf" syndrome everytime a cut is needed.

[Zacha341]

What few tax payers who remain...

Of course the state isn't going to let that happen, so the taxpayers of Detroit will be on the hook for it.

[Zacha341]

A position and worldview we already see expressed and embraced at the national level...

It all ties back to the "using credit cards to pay your electric bill" discussion in the other thread.

Just keep kicking that can down the road...

[Honky Tonk]

"If we get them the heck out of here, we won't be broke."

Can someone please explain to me the rational behind that? The State is somehow causing Detroit to be broke?

[renf]

Do state officials have to approve Detroit's entering the federal bankruptcy process or can city officials opt for federal bankruptcy, perhaps by inactions?

Thanks.

[Hypestyles]

i'm sick of the drama and obfuscation. I want full transparency. I don't want any more 11th hour bond sales. I want the quickest route to a comprehensive, pragmatic financial management plan for the city. The 2013 city elections are coming up, and I suspect there will be more posturing from the current cast and those yet to surface..

[michimoby]

"If we get them the heck out of here, we won't be broke."

Can someone please explain to me the rational behind that? The State is somehow causing Detroit to be broke?

The best analogy I can provide:

You give your child a toy to play with. The child throws the toy around, uses it to beat up the dog, sets it on fire.

You take away the toy because the child doesn't know how to properly use it, and you promise to give it back as long as the child promises that he will behave, gets better grades, etc.

The child refuses, and instead DEMANDS you return the toy. Throws a hissy fit -- after all, it's THEIR toy, not YOURS. "If I had my toy, I wouldn't kick and scream like this!!"


....not a perfect analogy, but you get the idea.

[Honky Tonk]

The best analogy I can provide:

You give your child a toy to play with. The child throws the toy around, uses it to beat up the dog, sets it on fire.

You take away the toy because the child doesn't know how to properly use it, and you promise to give it back as long as the child promises that he will behave, gets better grades, etc.

The child refuses, and instead DEMANDS you return the toy. Throws a hissy fit -- after all, it's THEIR toy, not YOURS. "If I had my toy, I wouldn't kick and scream like this!!"

....not a perfect analogy, but you get the idea.

Thanx, I get your explaination, but if the State said "Screw it, let's go, they're on their own...", and left today, chances are the City is still going belly-up anyway. As I've said before, I don't see any tangible plan in place, or even the start of one, for recovery. You can't possibly expect the State or the Feds to just keep handing over cash because "this is Detroit".

[Hermod]

Thanx, I get your explaination, but if the State said "Screw it, let's go, they're on their own...", and left today, chances are the City is still going belly-up anyway. As I've said before, I don't see any tangible plan in place, or even the start of one, for recovery. You can't possibly expect the State or the Feds to just keep handing over cash because "this is Detroit".

The state owes the city unlimited funds because all of those eeeeevulllllll suburbanites ran away with all of the city's tax monies and they should have a special tax placed on them to give the money back to the city.

[Wesley Mouch]

Yep! We see this kind of thing played out at the local and national level: a crisis is used for political gain or leverage!

Eventually there's the day of reckoning where the issue itself needs to be addressed!

This is why EFM is preferred over bankruptcy by politicians. Power is the coin of the realm. Bankruptcy provides fewer options for state or local officials. EM/EFM world is a joy-ride of power.

I think Synder et. al. in Lansing are mostly engaging in Detroit for the right reasons -- impact on state -- Detroiters are Michiganders as well -- but I can also see why local official chafe at State power in their playground. Its quite natural to resist loss of power for a politician.

Us -- the publc -- should be smarter, except for those who know their perks will be at risk. No more retirements at over 100% of pay. Oh well. Too bad for you.

[trotwood]

If my memory is serving me correctly, didn't the media say that Detroit was supposed to run out of money last April? and last November before that? I am not denying Detroit's vast deficit I am just saying that i have heard this song before.

Seems we hear this every other month or so

[mfehan]

The state owes the city unlimited funds because all of those eeeeevulllllll suburbanites ran away with all of the city's tax monies and they should have a special tax placed on them to give the money back to the city.

Nice, blame the suburbanites. I have friends that moved from Detroit to Pheonix, we should probably tax them too for "running away with all the city's tax money".

[Honky Tonk]

Nice, blame the suburbanites. I have friends that moved from Detroit to Pheonix, we should probably tax them too for "running away with all the city's tax money".

That's RIGHT! I propose the "Abandonment Tax".