Recent Stories

03

Aug

2015

Sandra Svoboda

Detroit Exit Financing Bonds to be Re-Sold with “A” Rating

The Standard and Poor’s agency is rating some Detroit bonds as investment grade, specifically the $245 million in exit financing issued last year as part of bankruptcy proceedings. The rating agency assigned the “A” rating largely based on a new Michigan law that pledges Detroit’s income tax revenue to secure the bonds for investors. Barclay’s Capital currently holds the bonds, and the city pays a variable interest rate. Here’s more from WDET’s Sandra Svoboda.

28

Jul

2015

Sandra Svoboda

First post-bankruptcy bond rating expected this week for Detroit

Detroit city officials are waiting for rating agencies to determine essentially how much it will cost to borrow $245 million for the so-called “exit financing” that was approved as part of Detroit’s post-bankruptcy financial plan. The bonds will be publicly sold on Aug. 19. Before then, Mayor Mike Duggan will attend information sessions for potential investors. One will be held Aug. 11 in Detroit, and another on Aug. 13 in New York City.

14

Jul

2015

The Center for Michigan

Parks in Post-Bankruptcy Detroit

The Plan of Adjustment provided $10 million for Detroit’s parks, writes Bridge Magazine’s Bill McGraw, which means improvements at dozens of parks around the city this summer. A tripling the number of workers tending them. Growing corporate support. A collection of volunteer park lovers adopting green space in Detroit neighborhoods and caring for parks that the city still is not able to reach. The city is closing some parks, but as McGraw travels around the city and speaks with residents and officials, he finds that parks in Detroit are a “good news” story.

29

Jun

2015

Sandra Svoboda

Detroit’s Bankruptcy Judge Advising Puerto Rico

Officials in Puerto Rico are hearing from Detroit’s former bankruptcy judge about how Chapter 9 works and how it allowed Detroit to restructure its debt, including pensions. Now-retired Judge Steven Rhodes is advising the Commonwealth about federal bankruptcy law. With its roughly $70 billion in bond debt and $35 billion in unfunded pension obligations, Puerto Rico has nearly five times the obligations Detroit did when the city filed for bankruptcy two years ago. Rhodes spoke with WDET’s Sandra Svoboda.

16

Jun

2015

Michigan Radio

Does the Great Lakes Water Authority Need State Approval?

One state legislator says the process of creating a regional authority to manage southeast Michigan’s water needs to start from scratch. Michigan Radio’s Sarah Cwiek reports State Rep. Kurt Heise (R-Plymouth Township) says the arrangement is “not a real authority”—because only the state legislature can create such arrangements. Heise plans to re-introduce legislation to create a new authority.

16

Jun

2015

Michigan Radio

On Michigan Radio: Water deal reached…but not all problems solved

It’s official: Detroit and the suburbs have struck a water deal. Leaders voted to let Detroit lease its massive, crumbling water and sewer system to a new, regional board called the Great Lakes Water Authority. The deal was originally cooked up as part of Detroit’s bankruptcy, as a way for the city to fix its water system – which is in serious need of expensive improvements – and for the Detroit Water and Sewerage Department to pay down what it owes the city’s retirees. Here’s Michigan Radio’s story about the agreement and the issues that remain.

16

Jun

2015

Sandra Svoboda

Macomb County Exec: New Water Authority Will Cost Region Millions in Rate Hikes.

The new Great Lakes Water Authority is leasing Detroit’s pipeline system which provides water to most of southeastern Michigan. By every account it’s an historic bit of cooperation in a tri-county area where officials spent decades battling over water rates. But not everyone’s a fan. Macomb County voted against creating the authority. County Executive Mark Hackel tells WDET’s Quinn Klinefelter that the new water authority is mainly a device to help keep Detroit out of bankruptcy, one he says will result in tens of millions of dollars in rate hikes.

Have a question about bankruptcy?

Ask it

About

Next Chapter Detroit is a place to explore and understand the city’s bankruptcy, its impact on people and neighborhoods and its long-term implications. Powered by coverage and conversations from the media outlets of the Detroit Journalism Cooperative, the site provides fact-based reporting from trusted sources and opportunities for citizen engagement.

WDET’s Sandra Svoboda is your site guide. A veteran Detroit journalist and 24-year area resident, she’ll share stories, add insight and ask questions to help decode the bankruptcy process and the city’s restructuring.

Learn More
Join Our Mailing List