Detroit declared bankruptcy.

[TheSocialGadfly]

I'll post this here as opposed to the political section, but I'm sure that the discussion will head that way anyway. This is sad news for such a once-bustling city, but this news comes as no surprise.

http://www.nytimes.com/2013/07/19/us...anted=all&_r=0

[kevinpate]

Somewhere tonight a Detroit creditor will wake up in a cold sweat and screaming, after having a nightmare that the bankruptcy judge awarded them 0.002 cents on the dollar and one year of personal services from Seth and Ash and 733 customers of American Pawn and Jewelry.

[Martin]

maybe omni consumer products will offer to bail them out? -M

[jn1780]

Very tip of the iceberg. Its going to be tough for cities to payout all the pensions going forward into the future as the baby boomers retire.

[Mel]

This comes as no shock. I think it would take a battalion of robocops to clean that joint up.

[OKCTalker]

Very tip of the iceberg. Its going to be tough for cities to payout all the pensions going forward into the future as the baby boomers retire.

And states. Illinois is at the top of the list. Props to NJ governor Christie for trying to clean things up there. The unions are mad at him because - like in Detroit - they have the most to lose.

[bluedogok]

Very tip of the iceberg. Its going to be tough for cities to payout all the pensions going forward into the future as the baby boomers retire.

And states. Illinois is at the top of the list. Props to NJ governor Christie for trying to clean things up there. The unions are mad at him because - like in Detroit - they have the most to lose.

They let people manipulate their own benefits for way too long, it will eventually bankrupt many governments across the country.

City Journal - Steven Malanga: The Pension Fund That Ate California

[venture]

This comes as no shock. I think it would take a battalion of robocops to clean that joint up.

Detroit is a neat city with a lot of fascinating neighborhoods...it just can't recover with all the debt and pensions racked up over the years. It sucks for retirees that legitimately put in their time and busted their butt and earned every dime. Unfortunately there are too many baby boomers retiring and it is stressing the systems all over.

I'm hopeful this is the first step to recover for Detroit. The auto industry is recovering and it is a major point of entry from trade with our biggest partner, not to mention the large natural gas reserves in Southern Michigan that can pay off too. It has a lot going for it if the trash can just be cleaned up. A strong and revitalized Detroit would do wonders for the rust belt. I remember the days when you would see miles and miles of semis from Flint to Detroit to Toledo moving American made products back and forth in that area on I-75. When I was visiting there a few years ago there were hardly any on 75 and it spoke volumes to the state of the economies up there. This past year the semis are slowly coming back and it is only a matter of time for things to finally get cranking up there.

[ljbab728]

I'll post this here as opposed to the political section, but I'm sure that the discussion will head that way anyway. This is sad news for such a once-bustling city, but this news comes as no surprise.

http://www.nytimes.com/2013/07/19/us...anted=all&_r=0

It's a very popular topic here. Someone beat you to it in the politics section.

http://www.okctalk.com/politics/3448...ankruptcy.html

[venture]

I like this thread better so far. The one over there turned to trash in 3 posts pretty much. :-P

[ljbab728]

I like this thread better so far. The one over there turned to trash in 3 posts pretty much. :-P

Just like most threads in the politics section. LOL

[OKCTalker]

Most of you probably know people with fantastic pensions and retirement benefits which started paying when they retired around age 40. One guy I know is a retired firefighter in a small metro town, and that describes his situation. To paraphrase kevinpate above, I'll bet this guy is one of millions who woke up this morning from similar sleepless, sweat-soaked night, wondering how long their benefits would last. Each case is different, but we know that they can't last very long.

[Martin]

Mich. judge rules Detroit bankruptcy unconstitutional

-M

[PennyQuilts]

Most of you probably know people with fantastic pensions and retirement benefits which started paying when they retired around age 40. One guy I know is a retired firefighter in a small metro town, and that describes his situation. To paraphrase kevinpate above, I'll bet this guy is one of millions who woke up this morning from similar sleepless, sweat-soaked night, wondering how long their benefits would last. Each case is different, but we know that they can't last very long.

I have a friend, not from Detroit, but from Chicago who has a public pension in six digits (firefighter). He is in his fifties and I imagine he is concerned. He's taking steps to pay off his home and get out of debt so that he can weather the storm that is probably coming.

[Jeepnokc]

Mich. judge rules Detroit bankruptcy unconstitutional

-M

This will be interesting because it was a state judge ruling. Not sure a state judge can make a ruling affecting the parties of a federal case. Seems to me that would be a question for the federal court judge to answer.

[Just the facts]

Very tip of the iceberg. Its going to be tough for cities to payout all the pensions going forward into the future as the baby boomers retire.

Oklahoma teachers' retirement fund lags, but still on target to be fully funded | News OK

It is closer to home than you know.

[mugofbeer]

I have a friend, not from Detroit, but from Chicago who has a public pension in six digits (firefighter). He is in his fifties and I imagine he is concerned. He's taking steps to pay off his home and get out of debt so that he can weather the storm that is probably coming.

Curious. Is this the annual payout or the total value of the pension account?

[rcjunkie]

Curious. Is this the annual payout or the total value of the pension account?

It has to be annually, I know/related to several OKC Firemen and Policemen and they draw 50,000--60,000 annually. I myself retired from the City Of OKC, was in a management position and I draw close to that.

[mugofbeer]

thanks. Let me guess, they can start doing this after 20 years?

[rcjunkie]

thanks. Let me guess, they can start doing this after 20 years?

Yes. OKC non-uniformed employees can retire with 25 years and draw half of their salary, plus another 2 percent for every year past that. Plus a generous benefit package.

[mugofbeer]

Yes. OKC non-uniformed employees can retire with 25 years and draw half of their salary, plus another 2 percent for every year past that. Plus a generous benefit package.

Generous is right!

[Plutonic Panda]

[jn1780]

Mich. judge rules Detroit bankruptcy unconstitutional

-M

She also declared gravity unconstitutional because it injures kids on the playground.

[Just the facts]

If Detroit can't declare bankruptcy what are the possible alternatives. There are lots of cities and states who will be most interested in the answer to that question.

[ljbab728]

If Detroit can't declare bankruptcy what are the possible alternatives. There are lots of cities and states who will be most interested in the answer to that question.

Secede from the USA?