Dillon: I believe they are.

Levine: was that a contributing factor?

Dillon:One of them.

Levine: At no time prior to the spring of 2013 did you consider the unfunded liabilities of retirees.

Dillon: From day one the unfunded healthcare liability was number one with me but the retirement funds stayed the same and the actuaries said they were within a few percent of 80% funded and that was good enough considering how poorly funded so many other pensions are underfunded.

Levine: When did you believe the healthcare benefits were underfunded?

Dillon: The very first day I started.

Levine: Do you believe that the city could come to an agreement in the month between June 14th to July 19th

Dillon: Yes.

Levine: Did you think negotiations could work?

Dillon: I’ll tell you thing that mattered to me the most was the numbers in the recovery for the unsecured creditors. I could not believe anyone could walk out of the room with a negotiated deal.

Levine: Did you think there should be funding to try and spend some time to negotiate a settlement?

Dillon: I was not optimistic you could reach it out of court, the numbers kept getting worse. I did not see how the creditors could accept that. That had the biggest influence to me.

Levine: Did you ever sit down and negotiate personally with the stakeholders?

Dillon: It’s overly broad, I had some negotiations where we discussed various matters. I need more information.

Levine: :At any time did you think it was important to get out in front of this and negotiate?

Dillon: I don’t believe so. 

Jennifer Green is now cross examining Andy Dillon 

Green: You testified at one point you were left out of the recommendation.

Dillon: I was not consulted but I believe the governor decided he would do it himself.

Green: Who told you the pensions were so badly underfunded?

Dillon: I don’t recall.

Green: Do you know when?

Dillon: In the spring in talking with city consultants that said the numbers were not what we thought they were.

Green: Do you know if it was before Kevyn Orr became EM?