In another of the seemingly never ending saga of failing Democrat ruled cities, Chicago received a triple notch downgrade in their credit rating.

 

"First the Motor City, then the Windy City.

 

In the same week the City of Detroit made national headlines by filing the largest municipal bankruptcy in national history, the City of Chicago made smaller headlines when Moody’s Investors Service announced it had hit the city with a nearly unprecedented triple-downgrade of its credit rating on general obligation bonds.

 

Chicago now has a credit rating four notches below New York and Los Angeles and below other large cities in the Midwest, including Milwaukee and Cleveland."

 

http://news.heartland.org/news...dys-credit-downgrade

 

http://www.governing.com/news/...ago-bond-rating.html

 

Yes, the pension benefits are a major problem. However, that is not the cause.  The cause being Democrat misrule for decades.  Democrats agreed to the pension benefits package negotiated with the unions.  Then, proceeded to NOT FUND the pension funds adequately.  Their partners in crime were the union leadership.  Funds that should have gone to the pension fund were spent on other projects.  Union leadership acquiesced because they knew that the problems would not surface during their leadership and union leadership pensions are funded separately from that of the rank and file -- funded out of union dues.

 

City after city, with decades of Democrat misrule, are suffering the same fate.  Yet, progressive apologists dream up separate explanations/excuses for each -- never the common thread for all those cities.   

TRUTH -- THE NEW HATE SPEECH!

Original Post

The bankruptcy in Detroit had to be held up waiting for Mr. Orr to make believe there was any alternative (to bankruptcy) and for some court hearings regarding Birmingham's bankruptcy.  He knew the pensioners and unions wouldn't cooperate in any way.

 

Now, the poor bankruptcy judge in Detroit will have years of rulings to make.  These are very important judgements because so many cities are lining up to dump liabilities regarding retiree pensions and healthcare benefits.

 

After all, when there's no money, there's no money. 

 

And in Chicago, the State of Illinois will be not able to help the city fiscally because they're in exactly the same shape as The City.

 

 

Originally Posted by Bamaman1:

The bankruptcy in Detroit had to be held up waiting for Mr. Orr to make believe there was any alternative (to bankruptcy) and for some court hearings regarding Birmingham's bankruptcy.  He knew the pensioners and unions wouldn't cooperate in any way.

 

Now, the poor bankruptcy judge in Detroit will have years of rulings to make.  These are very important judgements because so many cities are lining up to dump liabilities regarding retiree pensions and healthcare benefits.

 

After all, when there's no money, there's no money. 

 

And in Chicago, the State of Illinois will be not able to help the city fiscally because they're in exactly the same shape as The City.

 

 

____________________________

Detroit has some assets such as the Detroit Institute of Art that has artwork work billions.  Liberals are aghast at selling the art.  I'm aghast at letting pensioners and investors go penniless.

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