Friday, March 01, 2013

An update on Detroit

Detroit

Motoring towards disaster 

Mar 1st 2013, 20:35 by N.L. | CHICAGO 

"THERE is probably no city that is more financially challenged in the entire United States." So says Rick Snyder, the Republican governor of Michigan, in reference to Detroit. Today Mr Snyder announced plans to have an emergency manager take over the city.

Detroit can appeal, but on March 12th the governor is likely to appoint a new boss who will supersede the city’s elected officials (their authority will be suspended). He will have the power to cut spending, alter labour contracts and sell city assets. This is nothing new for Michigan—five cities are already under state oversight. Detroit, though, would be the largest. [More...]