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Friday, July 19, 2013

This Is What 50 Years Of Mismanagement (Democratic) Looks Like

For the past 50 plus years the City of Detroit has been run by Democratic mayors. It is now bankrupt.  Most of the larger cities in the country are run by Democrats or in the case of New York City, Democrat leaning. You would think that the public would wake up to the threat posed by Democrats.

However, the public, at least the 50% plus that gets benefits from the Uncle Sugar will never give up on their money habit.  It is no different from a dope habit, the druggie never wants to stop its habit until he/she hits rock bottom. 

Detroit has hit bottom and it is time to reset the clock.  It is time for responsible leadership to make decisions that will let the city come out of bankruptcy and regain its past leadership.

If one wants to look at how bad management can effect a city, a state or a country, Detroit is a great case study. Democrats and RINO Republicans spend money like drunk sailors and so it has been in Motor City. 

We wrote a few years ago--if you want to see how the US will look in a few years, look at Detroit. It is not a pretty picture.

Conservative Tom


Detroit Files for Bankruptcy
Detroit, the cradle of America’s automobile industry and once the nation’s fourth-most-populous city, has filed for Chapter 9 bankruptcy, an official said on Thursday. It is the largest American city ever to take such a course.
The decision to turn to the federal courts, which required approval from both the emergency manager assigned to oversee the troubled city and from Gov. Rick Snyder, is also the largest municipal bankruptcy filing in the nation’s history in terms of debt.

READ MORE »

http://www.nytimes.com?emc=edit_na_20130718

3 comments:

  1. "City pension plans sued Snyder and Orr this week, contending a bankruptcy filing would conflict with a provision of the Michigan Constitution that bars any government in the state from reducing pension benefits. Two similar suits were filed in the same state court earlier this month on behalf of individual retirees and current workers."

    http://www.bloomberg.com/news/2013-07-18/detroit-becomes-biggest-u-s-city-to-file-for-bankruptcy.html

    Michigan is one of 7 states that has this provision in its state constitution. Under the undemocratic city manager law in Michigan, the citizens of Detroit are subject to this one man and have no recourse to his decisions. Nevertheless, we can hope that the court will hold the city manager subject to the Michigan state constitution.

    --David

    ReplyDelete
  2. The emergency manger's bankruptcy filing has been blocked by court order. They cannot override the Michigan state constitution. The order states…

    "The Governor is prohibited by Article IX Section 24 of the Michigan Constitution from authorizing an emergency manager under PA 436 to proceed under Chaper 9 in a manner which threatens to diminish or impair accrued pension benefits, and any such action by the Governor is without authority and in violation of Article IX Section 24 of the Michigan Constitution."

    http://www.reuters.com/article/2013/07/19/us-usa-detroit-ruling-idUSBRE96I11220130719

    Tom, I believe you consider yourself a "strict constructionist" when interpreting the powers of the executive branch. I have read closely Article V of the Michigan Constitution. I see absolutely nothing there that grants the Governor the power to appoint a city manager to displace the duly-elected mayor and city council, seize total control of the city government and yet remain 100% unaccountable to the voters of the city. A city does not need such a DICTATOR to file for bankruptcy. Stockton, CA and 30+ other cities in the U.S. have done it without the Governor usurping the authority of the city's elected officials.

    I request that you post and article on this topic, relevant portions of the Michigan Constitution, and your comments. Thank you.

    --David

    ReplyDelete
  3. Now that the state court has ruled the plan unconstitutional, the case has been kicked up to federal court on July 29…

    http://www.reuters.com/article/2013/07/22/us-usa-detroit-hearing-idUSBRE96L0MN20130722

    It appears that Orr is going to agree that his plan violates the Michigan state constitution, but the constitution is trumped by federal bankruptcy laws. With $18 billion on the table, I expect it will end up in the U.S. Supreme Court eventually.

    Meanwhile, Goldman Sachs is running this scam...

    http://www.nytimes.com/2013/07/21/business/a-shuffle-of-aluminum-but-to-banks-pure-gold.html?pagewanted=1&_r=1&smid=tw-share&

    Anybody who thinks the Wall Street banks don't own Congress, should consider that 2003 law they passed to allow the banks to control large quantities of the physical commodities at the same time that they placing derivative bets in the commodity markets. The potential for commodity price manipulation in this arrangement is so obvious that an orangutan could figure it out. Yeah, so they are having congressional hearings on it, but nothing will be done.

    --David

    ReplyDelete

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