Monday, March 25, 2013

Detroit taken over by Emergency Manager

No one is happy, but it has been a long time coming. [Link]
Resistance, however, is building among some more vocal opponents, like the city’s Council of Baptist Pastors, which has called for a lawsuit to block Mr. Orr’s appointment.
The president of the Detroit chapter of the N.A.A.C.P., the Rev. Wendell Anthony, said he expected to see protests in the coming week. “It’s not about how we should brace for Mr. Orr,” he said. “Mr. Orr should brace for Detroit.”
Reaction to Mr. Orr’s arrival has been more favorable among business leaders and other community groups. And even as some union leaders worry about job cuts, others hope for a dialogue that minimizes reductions.
Mr. Orr, for his part, said he was eager to begin fruitful negotiations, while at the same time reserving the possibility of a bankruptcy filing that would void city contracts.
“You never want to enter a situation by taking anything off the table,” he said. “You have to be honest.”
He can expect the same candor in return from the chiefs of the police and fire unions, groups that have absorbed repeated personnel and budget cuts despite increases in homicides and arsons.
“Our numbers have been driven into the ground,” said Mark Diaz, the president of the Detroit Police Officers Association, which has seen its ranks fall below 2,000 officers. “I hate to say we’re at rock bottom, but I hope we’re at rock bottom.”
The firefighters’ union is currently suing the city for “failure to provide safe fire response in the city” because there are only about 40 stations left to cover nearly 140 square miles. And the head of the union, Daniel F. McNamara, worries that Mr. Orr could cut even more. “This person has the ability to tear up our contracts, to come in and not listen to anyone,” Mr. McNamara said.
Emergency managers in other Michigan cities have sold assets, privatized services and eliminated entire government departments. But Detroit has been struggling financially on a much larger scale. The state’s review team said its cash shortfall could reach $100 million by June.
Still, there has been stubborn resistance to privatization from residents and unions, suggesting that Mr. Orr is in for protracted battles on possible moves like selling off the city’s water and sewerage department.
“We will not let him do it,” said Michael Mulholland, an official with Afscme Local 207, which represents 900 city workers. “As they say, when hell freezes over, I’ll fight on the ice.”
Mr. Orr played down the prospect of confrontation and said his first priority would be addressing basic needs like turning on streetlights that have gone dark because of budget cuts. He acknowledges that residents have heard those promises before and are skeptical that the state can provide what the city has not delivered.
“I’m not a political animal,” he said. “I’m a restructuring professional, and I’m going to function in that capacity.”


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