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Title: Rand Paul: Obama Will Bail Out Detroit 'Over My Dead Body'
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URL Source: http://www.huffingtonpost.com/2013/ ... 24801.html?utm_hp_ref=politics
Published: Jul 19, 2013
Author: Huffington Compost
Post Date: 2013-07-19 21:33:11 by A K A Stone
Keywords: None
Views: 5390
Comments: 16
If President Barack Obama offers to bail out Detroit, be certain that Sen. Rand Paul (R-Ky.) will do all he can to stop it. In an interview with Breitbart Friday, Paul declared that he will oppose any attempts by the federal government to save the struggling city. "I basically say [Obama] is bailing them out over my dead body because we don’t have any money in Washington," he told the conservative news site. Paul added that bankruptcy can often lead to positive change ("You get to start over," the senator reasoned) and that state and local leaders are the ones who need to make the right choices to get Detroit back on its feet. Obama can't send the message that the federal government will save any and all failing cities and states, he said. After decades of trouble, Detroit became the biggest U.S. city to file for bankruptcy Thursday. "Only one feasible path offers a way out," Michigan Gov. Rick Snyder said of the decision, according to the Associated Press. Though Paul insists that Obama has made "indications that Detroit can be expected to be bailed out," the White House has not mentioned such a move. As USA Today's David Jackson pointed out Friday, Obama's administration has "made clear for months not to expect any sort of federal bailout for the now-bankrupt city." Bill Nowling, spokesman for Detroit Emergency Manager Kevyn Orr, told the Detroit News that White House officials seemed clear about their intentions during an April meeting with city leaders. “There was never a formal ask, but I think the way it was portrayed to me that it was pretty clear there was going to be no bailout ...akin to what we saw in scope and intent for the autos or for Wall Street,” he said. In response to Detroit's bankruptcy filing, the White House said this week that Obama and his senior advisers will be monitoring the situation in Michigan, adding that it would "continue to partner with Detroit as it tries to recover and maintain its status as one of America's great cities."
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#2. To: A K A Stone (#0)
"So goes Detroit, so goes the nation"....
Once again California leads the nation in D&R political corruption, pandering to illegal aliens, unions & "minorities". On Thursday, the city of Detroit filed for bankruptcy protection after being saddled with debts totaling more than $18.5 billion. That makes Detroit the largest city in the United States ever to file for bankruptcy — the previous record was held by Stockton, California, which was half the size and owed $26 million. The previous debt record, meanwhile, went to Jefferson County, Alabama, which owed $4 billion when it filed for bankruptcy in 2011. Governing Magazine has a useful interactive map showing all of the cities, towns, countries, utilities, and other municipalities that have filed for bankruptcy since 2010. There are 36 in all: All told, 8 cities and towns have filed for bankruptcy since 2010 — and two of the filings were rejected: – Detroit An additional 28 utilities, water districts, hospital authorities, and other municipal units have also gone bankrupt in the wake of the financial crisis. But even if Detroit’s not alone, the sheer size of the city makes this case unprecedented. Over at Reuters, Cate Long explains: Prior cases in Central Falls, Rhode Island and Vallejo, California treated bondholders carefully. They still needed to maintain access to the the bond markets for short and long-term funding. But the bankruptcy of Jefferson County, Alabama, where bondholders are taking between 20 and 85 percent haircuts, has changed the rules for municipal bondholders. Now the blood has begun to flow. … The process of restructuring [Detroit's] liabilities began with the bankruptcy filing today. It may last up to two years and involve a lot of litigation. New precedents about the treatment of bondholders, swaps counterparties, employees and pensioners will likely be developed. Conflicts will arise between the Michigan Constitution and federal bankruptcy law. The fights and protests may be vicious.
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#5. To: Brian S, *Crime and Corruption* (#2)
"So goes Detroit, so goes the nation"....
Detroit isn’t alone. The U.S. cities that have gone bankrupt, in one map
– San Bernardino, Calif.
– Mammoth Lakes, Calf. (Dismissed)
– Stockton, Calif.
– Jefferson County, Ala.
– Harrisburg, Pa. (Dismissed)
– Central Falls, R.I.
– Boise County, Idaho (Dismissed)
SAN BERNARDINO: Bankruptcy judge wants to keep case on track
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