Saturday, May 31, 2014

Dertroit's UNDERFUNDED pensions caused the problem. Now they can do it again!-------MichiganVotes Weekly Vote Report

May 23, 2014, MichiganVotes Weekly Vote Report [Michigan Capitol Confidential]
May 23, 2014, MichiganVotes Weekly Vote Report

Detroit bailout

House Bill 5574, Give Detroit $195 million: Passed 74 to 36 in the House
To appropriate $194.8 million for a gift to Detroit, which is related to a potential bankruptcy settlement.
House Bill 5568, Limit but allow new Detroit employee traditional pensions: Passed 85 to 25 in the House
To limit the normal contributions to Detroit employee retirement benefits, but let the city continue to enroll new hires in a "defined benefit" system that creates underfunding risks for taxpayers. The normal contribution caps would be 7 percent for pensions and 2 percent for retirement health savings accounts. The bill also restricts "pension spiking" and "13th check" extra-benefit schemes. It was introduced as a condition for the state giving Detroit $195 million, and originally would have prohibited creating new unfunded pension liability risks with each new hire.
Who Voted "Yes" and Who Voted "No"
SOURCE:, a free, non-partisan website created by the Mackinac Center for Public Policy, providing concise, non-partisan, plain-English descriptions of every bill and vote in the Michigan House and Senate. Please visit

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