- Some services could be reduced
- The city could choose to raise taxes
- There could be big changes with union contracts
- Pensions for retirees likely will not be altered, but those for current workers could be reduced
- Detroit-owned assets might be put up for sale, but the city cannot be forced to sell assets
How long will it take?
Mr. Orr has told The Wall Street Journal he hopes to steer Detroit out of bankruptcy court in a record six to eight months. Other municipal bankruptcy experts have said they don’t think that is possible. Recent municipal bankruptcies, such as Jefferson County, Ala., or Stockton, Calif., have taken more than a year to emerge from court or are still in the process.
Full article at the Wall Street Journal: What Chapter 9 Bankruptcy Means for Detroit
(The Wall Street Journal is often gated, so if you’re unable to access the article try a search of Google news using the headline)