Mich. Gov. Snyder expected to announce deal for DIA, Detroit pensions
Sources: Snyder receives pledge of support from legislative leaders of both parties
Sources tell Local 4 to expect Gov. Rick Snyder to announce that a deal has been reached in principle when it comes to sending state monies to Detroit to back-fill pensions and save the artwork at the Detroit Institute of Arts.
Sources briefed on the bipartisan meetings told Local 4 the details have not been worked out, but Snyder has gotten a pledge of support from legislative leaders of both parties.
The monies could come from tobacco settlement cash, a state bond or a combination of both.
One Detroit legislator told Local 4 he expects it to be a combination of both but adds there are serious issues that need to be addressed.
For example, members of the Detroit delegation believe the current management of the Detroit pension boards will be ousted as part of any deal.
This is not an easy sell to the rest of the legislature, as 2014 is an election year and Detroit's financial crisis is viewed as Detroit's problem, due to decades of bad decisions and zero political will to do the responsible thing.
If the governor can get a deal through the legislature, will it make Detroit pensioners whole?
Sources told Local 4 there will still be sacrifices required by Detroit pensioners, but will not elaborate on exactly what those will be.