Detroit expecting $195M lump sum from Michigan
DETROIT (AP) — The city of Detroit's latest plan to get out of bankruptcy includes a lump-sum payment of about $195 million from the state to shore up pensions and prevent the sale of city-owned art.
The money would be invested and grow over time and carry a 20-year value of $350 million.
But it's not a done deal. The Republican-controlled Legislature still needs to embrace it, and Detroit's bankruptcy plan would have to be approved by a judge by the end of September. Foundations and philanthropists also have to kick in millions of dollars.
The details emerged Monday in the city's latest strategy to get out of bankruptcy. The amended plan comes a week before ballots are sent to thousands of creditors, including roughly 30,000 retirees and current city employees.