The White House announced on Friday a $320 million bailout, er, aid package for the bankrupt city of Detroit because of "exceptional" circumstances. But to adapt President Obama, every broke city believes in its own exceptionalism, and now others will want a financial infusion too.
The federal funds, which were cobbled together from programs including TARP and the Federal Emergency Management Agency, are supposedly intended to encourage private investment. The aid includes $150 million to remove blight and spur redevelopment; $30 million for public safety and to hire 150 firefighters; and $140 million to improve transportation. The Administration is also offering its technical expertise to help overhaul the city's dysfunctional computer systems. Let's hope those aren't the same guys who designed the ObamaCare exchanges.
Foundations such as Kresge, Ford, Knight and Skillman have already poured more than $70 million this year into initiatives to rebuild Detroit. Kresge alone has committed $35 million for the city's new street-car system and $150 million over five years to implement the Detroit Future City plan to revive downtrodden neighborhoods. Two weeks ago, NCB Capital Impact and Kresge announced a $30.25 million fund to support development along the street-car line.
Businesses have also chipped in. The Downtown Detroit Partnership, which includes Penske Automotive, Quicken Loans, Ford, GM and Chrysler, is donating 100 new police cars and 23 ambulances. All of this private philanthropy preceded the Obama Administration's pledged assistance.
Emergency manager Kevyn Orr has welcomed the Obama Administration's assistance while insisting that the cash infusion will not affect his plans to restructure the city in bankruptcy. That's nice of him to say, but federal cash is never free. Grants from the Transportation and Housing and Urban Development Departments will require the city to pay prevailing union wages, which will jack up costs.Read the rest HERE and view a related video below:
Here is a 'typical' example of how Detroit got where it is today:
REVEALED: DETROIT GAVE $2 BILLION IN UNDISCLOSED UNION-BROKERED BONUSES
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2 comments:
hahahaha..."No Detroit Bailout"...another LIE from Obama.
Oh wait...lets call it..Aid because of "exceptional circumstances"...and what's that?..Perhaps Detroit Polls MISMANAGEMENT and UNION ASS KISSING?
BTW...This $300 million is a drop in the bucket of what is to come later on...mark my words.
What makes us think that this 'bail out' won't be wasted on union thugs paybacks?
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