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Detroit lets the state step in

By | April 6, 2012, 9:59 AM PDT

Detroit leaders, polemically divided in true Detroit fashion, approved a so-called consent agreement last Wednesday. Monica Davey of The New York Times asked, “Can a city that has fallen so far be saved?”

Davey writes:

A giant plot of land — 139 square miles — with only half the residents it once had, Detroit has watched in recent years as tax revenues have slipped too low to support its costs, its debts have swelled to a stunning $12 billion, and, this spring, its money nearly ran out.

Now, after months of wrangling over how and when and whether the State of Michigan should intervene to stem the hemorrhaging finances, officials here said that a historic deal, approved Wednesday, granting the state oversight powers puts Detroit on a path to recovery at last.

A nine-member financial advisory board will be appointed - reporting budget shortfalls and hiring a program management director as task master. The agreements will reopen union contract talks and allow deep cuts as well.

Another strategy is being laid on the table - one that has union leaders furious: privatizing some city services and consolidating departments.

Other US cities have opted for smaller government and a frozen tax base with mixed results. Sarah Koenig of This American Life recently reported from Trenton, New Jersey, where governor Chris Christie has made some of the most dramatic budget cuts in the country. A third of the police force was laid off. Unsurprisingly, crime skyrocketed.

In Detroit, residents are used to failing streetlights, irregular bus schedules and an oft allusive police force. For a city that was once fourth-largest in the nation, it now stands as a uniquely fitting symbol of America. It invokes hope and skepticism, celebrates rich local culture and exemplifies a long history of racism.

Young entrepreneurs and families are excited by the affordability of property - excited by a place that has yet to define itself again.

But the political gridlock also renders change something of a mirage for many. Detroit resident Neal Holmes, 40, considered the agreement: “If it can revitalize Detroit, then good; this can be such a beautiful city. But we’ll see. I’m thinking right now it could be a gift — or a curse.”

[via The New York Times; This American Life]

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Rachel James

About Rachel James

Rachel James is a contributing editor for SmartPlanet.

Rachel James

Rachel James

Contributing Editor

Rachel James is a radio documentary producer and multimedia journalist based in Brooklyn, New York. She has worked with Radiolab and This American Life, contributed to WNYC's Talk To Me, Down East Magazine, KALW's Crosscurrents and the Third Coast International Audio Festival. She holds a degree from the University of Toronto and is a graduate of the radio program at the Salt Institute for Documentary Studies.

Follow her on Twitter.

Rachel James

Rachel James

Rachel does not have financial holdings that would influence how or what she covers.

She writes for SmartPlanet and is not an employee of CBS.

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Over due.
This should have been done decades ago.

At this point they should consider moving people into consolidated neighborhoods and bull dozing large areas to reduce the costs for police and fire coverage. It would simplify other services like buses, trash pickup and winter plowing.

Then they can rebuild from scratch.
Posted by Hates Idiots
6th Apr 2012
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http://is.gd/ATBkdG
Posted by fgcfgcfvcf
7th Apr 2012
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