Skip to comments.Koch Brothers group prepares to fight Detroit deal
Posted on 05/20/2014 4:46:09 PM PDT by shove_it
LANSING, Mich. (AP) Americans for Prosperity, the conservative advocacy group supported by the Koch brothers, has launched an effort to torpedo a proposed settlement in the Detroit bankruptcy case, potentially complicating chances for completing the deal just as its prospects seemed to be improving.
The organization, formed to fight big government and spending, is contacting 90,000 conservatives in Michigan and encouraging them to rally against a plan to provide $195 million in state money to help settle Detroit pension holders' claims in the case, a key element of the deal.
The group has threatened to run ads against members of the Republican-controlled Legislature who vote in favor of the appropriation before the state's August primary. An initial legislative vote may come this week...
(Excerpt) Read more at news.yahoo.com ...
I spent 35 years with my German owned company, was guaranteed a pension and health care following my retirement in 2007.
A month ago I received a notice that ThyssenKrupp was filing bankruptsy on behalf of their holding, the Budd Company (my ex employer). TK sold off all the physical assetts of The Budd Company to MartinRea back in 2006 but maintained the pension and healthcare obligations for all it's existing and future pensioners.
NOW they want to divest themselves of that financial obligation by taking their case to the Bankruptsy Court..........
That's just wrong and serves no purpose but to fuel the hatred that middle class America feels towards corporate America...........
As a side note, I'm not union, never was. TK's pension obligation is higher for the non-union employees and management personnel than it is for the UAW retirees........We're ALL about to get screwed!
We’re ALL about to get screwed!
If the only way they can get any where close to honoring the financial commitment to the retirees, is a Govt. Bail out, I say give them a one time Bail out so we can move past this. Otherwise, the unions or special interest groups will feed on that bitterness and encourage less cooperation during Detroit’s eventual recovery.
The problem is that if we here in Michigan don’t, taxpayers nationwide will and that will throw the floodgates open. Detroit’s financial troubles are minimal compared to the mountain of debt in places like Chicago and LA.
Not only will the feds bail out cities nationwide, the democrats will get credit for each and every one.
There are lots of other real options but nobody wants to talk about them.
BTW I agree about the retirees. The fault for this mess falls at the feet of union leadership and politicians.
My neighbor was a salaried Chrysler employee and he lost his pension as well.
I’m almost certain that YOU are ok, because there is Fed insurance for this, unless you were, as they say, “highly compensated”. Of course, 20 years from now that will be the equivalent of making more than 20K today.
What hurts about the Detroit situation, is that the vast majority of these people were NOT retired early, didn’t double-dip or spike their pension with a “ceremonial” job the last year or two of their employment/pre-retirement. Most of them are working schlubs. And, people seem to forget, if I’m not mistaken, many (police/fire) DON’T get social security. That, also, was stolen by the Dems.
No, not stolen. And it was Ronald Reagan that signed the law that prevents government workers from double dipping.
So some politician promises a pension , and when they cannot perform, I need to pitch in to make the politician not a liar?
What’s needed now is for pensions for government employees to be abolished for all new hires. New employees should get 401Ks like the rest of us.
These are public sector unions. Tax payer dollars funding the union pensions.
Where is the union! Why aren’t they stepping up? The retirees paid enough into them all their lives. Okay, so, the Republican governor and legislature are approving a bailout and letting the unions keep their money so they can give it to the Democrat candidates to campaign against Republicans? Does this make sense?
The problem is that these bailouts are never, ever a one time thing. Detroit can drop dead as far as I’m concerned. And the Pubs in the House won’t approve one thin dime for them right now.
LOL you just keep telling yourself you won’t bail them out and I’ll keep wishing for a unicorn.
We will agree to disagree then. I don’t think there’s any way the House Republican caucus would allocate money to bail out Detroit. I know I’d do everything in my power to stop it.
But hey, it’s Michigan taxpayer money. If you want to hand it over to a bunch of public sector union thugs that your business. See how many consevative Representatives it buys.
The only action that can save Detroit needs to come from the residents of Detroit. And that, my friend, ain’t gonna happen. Those folks voted for this for decades. Now lt them reap the consequences of their folly.
Reagan’s speech had nothing to do with bailing out cities that had been run into the ground by decades of mismanagement and corruption.
I don’t care if the sluggardly thugs who thought they could vote themselves other people’s money forever starve to death in the streets. It’s not my fault they were dumb enough to believe politicians or couldn’t do the math themselves. Stupid is supposed to hurt.
Sow the wind, reap the whirlwind.
Like I said, if the taxpayers of Michigan want to hand their money over to the folks who literally destroyed a great American city in order to stave off the inevitable for a couple more years that’s their business. But no federal dollars, ever.