An effort by deep-pocketed philanthropists to save the bankrupt city of Detroit's art treasures culminated Friday when Michigan Gov. Rick Snyder authorized $195 million in state help.
The bill signing in Detroit was part of what's dubbed the Grand Bargain. The deal also includes $366 million from foundations and a $100 million fundraising pledge by the Detroit Institute of Arts.
Over the two-decade plan, the contributions are valued at $816 million and will help limit cuts to city retiree pensions if the restructuring plan is approved. Retirees have until July 11 to vote on the proposal, which includes the foundation funding promises.
Kresge Foundation President Rip Rapson says the overall well-being of the city couldn't be dismissed. The Kellogg Foundation and the Ford Foundation are among those involved.
Michigan Gov. Rick Snyder is urging Detroit pensioners to vote in favor of a restructuring plan for the bankrupt city.
Snyder told The Associated Press on Friday that if they vote no, "they're much worse off financially."
The governor made the comments ahead of a bill signing that will authorize $195 million in state help for Detroit, part of what's been called the `Grand Bargain.'
The state contribution and pledges from foundations would save the city's art treasures and help avoid deeper cuts to retiree pensions if the restructuring plan is approved in bankruptcy court. Retirees have until July 11 to vote on the proposal, which includes the state and foundation funding promise.
Snyder says the bill signing is an "important milestone" toward in resolving the bankruptcy.