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Growing Calls to Bail Out Detroit

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    Detroit City Council President Pro-Tem Gary Brown on why the city should not be bailed out.

  • Duration 5:59
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Joining me now Gary Brown Detroit City Council president pro town.

Welcome to show it is great to have you here.

We played this very controversy -- sound from the City Council woman who says should be a quid pro quo for Detroit.

Detroit went 75%.

For president Barack Obama they should get a bail out do you agree.

Now I do not agree and I don't think that's the consensus of the majority of counsel I can look out my window right across the street at General Motors.

And -- would happen with their structured bankruptcy when the federal government got involved.

When the federal government got involved there of the CFO lost his job the board of directors lost -- job than there were restrictions to the money coming in.

And so I don't want the federal government in the city county building and I don't want to state in the city county -- and the city of -- -- leadership in the city of Detroit knows what the problems are we know what the solutions are scary question is do we have the political wearing to make the difficult decision.

And the right I wanna -- next you know I think the federal government the state -- yeah.

When -- here and -- our problems the track record here is not good and we have years of overspending.

And really frankly.

Incredibly embarrassing stories about -- is just out today the previous -- using.

That an airplane that at his own leisure and -- new personal travel.

We've got to sit a terrible financial track record.

Look at it per capita income in the -- 25000 below the US average in Detroit unemployment is 18% almost 19%.

This is City Council -- as a city management have it under control are at have you guys just lost control.

Now we -- we certainly have it under control.

We have -- issues but the city of Detroit is not falling off into the Detroit River.

The Philanthropic community is doing well that the business community the corporate community in the city Detroit.

We don't we don't have any.

Vacancies for new young people that are trying to move into the downtown area and to midtown into court town.

Certainly and -- government.

Is broken we have to become.

A better partner with our business community.

To fix some of the -- of the trite but we know what the solutions are.

We know the problems are -- we have as political leaders in the city Detroit the political will to make the tough decisions.

To right size the financial ship and become a better partner to help -- corporate business community.

I'll grow Detroit.

What if you're doing such a good job -- -- in the last 25% of your population.

Over the past decade now just repeat that -- you're having some technical issues there with your IFB.

But we couldn't help but you -- in researching this story.

That the city is the last 25% of its population -- -- they're not that long ago.

Lots of people leaving.

-- -- just can't seem to get the economy going lots of efforts to -- Citi.

And it's -- help frankly from the state of Michigan.

Why can't you get this back on track.

Well like every urban area in the country where we're suffering.

From the foreclosure that -- it just about every major city.

In the country.

We live and die by property taxes by sales taxes in my income tax and they're all coming -- shorter than anticipated basically.

Because of the property values in the city of Detroit.

But -- you know is starting to pick up around the country certainly Michigan is starting to pick up.

We just need a little more time in order to get our financial house in order.

In order to grow our economy so that I -- vibrant city of Detroit.

I've heard that before that's what they say in Washington we need more time to get our fiscal house in order I don't know how much time you want.

What do you make more sense -- look I know that you are probably playing.

All kinds a different groups are kinda different political groups who want to have their voice.

Wouldn't make more sense just to let the state come in and run this thing that's what they suggested have a financial officer come and say.

Here's what's happening we're gonna fix it this way and get it done instead of for years dangling over your own fiscal clip.

Yet -- unfortunately the way the state law as written any emergency manager can't go into union contracts and unilaterally.

Change down.

And so -- eight financial -- emergency manager coming into the city of Detroit.

Brand new it's gonna probably set us back a year.

We just need them you know -- have the political will to -- to make these decisions and get it done we know what needs to be done do we have the political will to get it done.

And I I don't want to sound like a broken record but it is really as simple as that an emergency manager can't do anymore.

Then what we're doing right now with the tools that would be available to them.

What was the first set.

That you think you need to take that that you haven't been able to.

Our -- I want you to -- -- -- what is the step that you -- what's the most important single most important thing you would do.

To fix the situation if you could.

Buy it's it's addressed public safety people are not moving into the city and -- in the -- -- because it's not perceived to be safe that's number one number two.

We have to -- educating our kids although we have L I have a lot of new young people moving into the city try to won't be young forever they will get -- -- have families they must have a way to educate kids.

And then thirdly we have to be -- it to deliver.

-- adequate level of services for taxpayer taxes paid and so again the business the corporate community.

They're rolling along their booming city government -- to fix itself so that we can become a partner to create an environment.

For businesses to.

Create the jobs and not I hear a lot of -- a lot of -- -- long term talk talk about.

Long term goals -- all sound great but your face an eight point four million deficit.

At the end of fiscal year 2012 long way -- -- What should come back and maybe we'll have that conversation Leary when you aren't having IFB troubles really appreciate your coming on the show thank you so much.

Thanks for having me.

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