Kevyn Orr’s misinformation campaign

By Cate Long
May 30, 2014

Detroit emergency manager Kevyn Orr appeared at Michigan’s annual Mackinac Conference, the gathering place for Michigan’s political elite. Orr (@MotownEM) had some stunning things to say:

Questions over $350 million in Detroit’s pensions

By Cate Long
April 28, 2014

Detroit’s emergency manager Kevyn Orr took a victory lap of sorts at a bankruptcy conference in Washington, D.C. The Bond Buyer reported:

A bankruptcy scorecard for Detroit

By Cate Long
April 17, 2014

Settlements in the Detroit bankruptcy case are arriving quickly. I thought that it might be useful to have a scorecard to tally the pieces. I took the chart above from the Detroit’s June 13, 2013 Proposal to Creditors (page 98). It lists the unsecured creditor claims. So far, Detroit has settled four unsecured liabilities valued at $4.107 billion for $1.213 billion, or 30 percent.

Detroit’s wildly accelerating bankruptcy process

By Cate Long
March 25, 2014

The technocratic governor of Michigan, Rick Snyder, and the emergency manager he appointed to restructure Detroit, Kevyn Orr, spoke at an event sponsored by the Manhattan Institute for Policy Research this week. Their relentless positivity contrasted with the creditor mess they had left behind in Detroit.

Did Michigan kill Detroit?

By Cate Long
March 19, 2014

After studying Detroit’s wrecked finances for several years, it was never clear if the city has been collecting the taxes it was entitled to within the law. Now a new report from the Michigan Municipal League suggests that the state gobbled up a portion of Detroit’s share of the state sales tax, adding severe stress to an already weak budget.

How much will Detroit bondholders suffer?

By Cate Long
February 25, 2014

Reactions to Detroit’s plan of adjustment

By Cate Long
February 24, 2014

Detroit’s plan of adjustment was filed on Friday by Emergency Manager Kevyn Orr (Plan of Adjustment Disclosure Statement):

‘There is no lien, there is no property interest, these creditors are like all others’

By Cate Long
February 20, 2014

A showdown between bond insurers and city attorneys in Detroit’s bankruptcy highlights the level of protection that secured bondholders have in Chapter 9 bankruptcy. Detroit attorneys argued that federal bankruptcy law trumps Michigan state law and that “secured” bonds could be impaired. From Chad Livengood of the Detroit News:

Detroit’s hasty plan of adjustment

By Cate Long
February 14, 2014

Having watched six municipal bankruptcies happen before Detroit filed for Chapter 9 protection, it was never clear why Michigan Governor Rick Snyder and Detroit Emergency Manager Keyvn Orr thought that they could conclude court proceedings in only fourteen months. Previous bankruptcies were much smaller and less complex, and each took several years to conclude.

The shadows of muniland

By Cate Long
February 4, 2014

There is a shadowy part of muniland. It is populated by liabilities that are absent from balance sheets and municipal debt that was contracted by circumventing the law.