On Detroit’s Bankruptcy

I felt compelled to write a few words about Detroit’s bankruptcy. I have hoped that Detroit would be able to stave off this sort of a move, however, reality now has taken over and I feel a sense of disappointment and sadness about my home city having to just throw up the white flag to the creditors and declare the city a lost cause.

Much ink or in this day and age — many kilobytes of electronic media has been used to tell the story of Detroit’s burden and woe, mostly by people who are not from this fine part of the Country. Most have been correct in their assessments — Ezra Kline, Ed Driscoll, and yes, even Vox Popoli. Now there is a rare form of agreement if there ever was one.

There has been much debate and quibble as the when the decline of Detroit actually started. Some of the weaker minded within the ranks of the so-called “right” of the ivory kind, like to point to the Mayors of the city, who were and are still, in fact black. Personally, I being an ivory type myself simply believe that corruption and entitlement mentality were the major contributors to the decline. In addition also, there has been a marked decline in population as well. This would happen to be because there seems to be a mentality among some of the residents of that city, which is best summed up as, “what is yours is mine, if I want to steal it.” Again, this points to the entitlement mentality of the good majority of the people in that city. It is important that not all of this sad mindset is black, as there are white, and Latino thieves there as well, especially in the southwest side of that city.

Again, it saddens me to see that once-fine city now a shadow of its former self. However, I also happen to know that from ruin come new ideas and hopefully, a rebirth. I just hope the Snyder and Kevin Orr know what they are doing — because the nightmarish alternative makes even my jaded 41-year-old blood run cold. I should be honest however, and tell you that my parents and I fled that city after our house was burglarized in 1989. That little fiasco was more than enough for my dear Mother who insisted that we were moving. Smart woman she is.

Now, I do have a bit of a quibble with those who say that President Obama told Detroit to “Drop Dead.” I feel that to be a bit intellectually dishonest and downright idiotic. If Obama, by executive order, ordered Detroit’s debt paid off, by the U.S. Treasury, the so-called “right” lead by Fox News Channel would have crucified him for it! So, Obama did the right thing, and kept his Federal Government big nose out of it, like he should have, and still the smear merchants on the right still have to fault with it.  If you’ll pardon my blunt vernacular; if anyone at needs to drop dead; it is the fucking idiotic, anine, partisan bullshit merchants  of the so-called right in this Country. Seriously guys, piss off already. Your contempt of the Detroit area; whether because of racial animosity or political is noted. We get it, you hate Democrats — I am no fan of them either. But to sit and engage in some of the most idiotic, self-serving, partisan, bullshit is just totally asinine and it speaks volumes of your true integrity. If anyone needs to drop dead, preferable of anal cancer or something of the better equivalency — it is you all.

….and that is my opinion.

Update: Here’s a good video about Detroit via The Reaction:

One quibble: Left out of this video, are the union contracts and other such corruption which were strangling Detroit’s growth. Just my two cents.

Update #2: Now a memeorandum thread.

 

Local News: The party is over in Detroit

I believe that this ties in with the stuff that is happening in the Obama White House.

Basically my friends, the progressive big Government party is over in Detroit and pretty much in America.

It is so bad in Detroit, that Mayor Dave Bing is calling it quits and not seeking relection.

The Story via The Detroit News:

Detroit — Mayor Dave Bing will not seek re-election to a second term as Detroit mayor, but said in a surprise announcement Tuesday he will create a committee to explore other opportunities, including a possible run for Wayne County executive.

Standing amid supporters at the Charles H. Wright Museum of African American History, Bing said he and his administration have put the city on the right path to restructuring, but that he’s begun to question whether the state truly wants to act as a partner after installing an emergency manager in Detroit.

Bing, 69, an NBA Hall of Famer and businessman, said Tuesday he and his administration have “worked diligently to restore integrity to the mayor’s office and rebuild our citizens’ trust in city government.”

He cited his administration’s successes, including keeping GM headquarters in Detroit; restoring Cobo Center as a host for the North American International Auto Show; improving transportation options; demolishing vacant blighted properties; and creating an authority to fix public lighting. He said his administration has worked to cut expenses and increase revenues “even before” the appointment of Emergency Manager Kevyn Orr.

“Detroit’s serious financial challenges have been 40 years in the making,” he said. “We have found ways to overcome some of the hurdles… change is occurring in our city.”

Bing wavered on his decision for months. On Tuesday, he said he’s decided to form an exploratory committee to consider other opportunities to serve the region through public office, including a challenge to Wayne County Executive Robert Ficano next year.

“The city was in pain when we came on board,” Bing said. “It pained me to see it in this condition. However, there’s still a lot of work to be done. It will not be completed by the end of my term. I will continue to work for the advancement of this city and this region. Cooperation is vital to Detroit’s success.”

Why did Bing toss in the towel? Well, it might have something to do with this here; an Editoral from the Detroit News:

Consider Kevyn Orr’s assessment of Detroit’s financial crisis as equal parts warning siren and leverage. The city’s emergency manager is giving residents and city workers a heads-up that what’s coming won’t be pretty or painless. He’s also establishing his bargaining position as he begins difficult negotiations with creditors to reduce Detroit’s crushing debt.

All of the intended audiences should take him seriously.

Orr’s report, the first since he took over in late March, is intended, in his words, as a “sobering wake-up call about the dire financial straits” of the city. The numbers are bleak: Detroit has a $326 million accumulated deficit that is expected to grow by another $60 million by June 30; $15 billion in short- and long-term debt, and $2 billion in infrastructure needs just for the public lighting and water departments.

Its $1.23 billion in revenue is $200 million less than four years ago.

“We’re not playing,” Orr told The Detroit News. “The city is insolvent.”

Meanwhile, health care costs for both retirees and active workers are soaring and the pension funds may be deeply underfunded.

What Orr needs residents, employees and creditors to wake up to is the reality that this crisis can’t simply be managed away. Orr used the word “insolvent” in his report for a reason: Detroit can’t keep operating unless drastic changes are put in place.

“We can’t cut enough” to balance the budget, Orr said. “We have to negotiate with stakeholders.”

I recommend that you go read the rest of that one above. It just does not look really bad; it is really bad. I see why Bing decided not to be the Mayor when all the wrangling of the city’s finances is finally done. This is not a good time for the City of Detroit at all. I believe that they will overcome the problems; but there is no doubt, people are going to suffer and suffer badly.

About that Marathon Oil refinery fire near my house

I guess you all might have heard that there was a fire at the Marathon Oil refinery near my house. Surprise

Here’s a picture:

The News-Herald, WXYZ-TV in Detroit, CBS in Detroit are all are reporting on it.

Here is what I know from the local reporting here: It was a diesel tank and a diesel tanker truck that was being filled; hence the small fire and a whole lot of smoke! Sick If that had been a tank something dealing with gasoline; it would have been much worse. WhewAnyhow, something caused a spark and hence the fire.

Now, judging from the headlines, in the blogosphere, this was a HORRIBLE EVENT! Just look: (via memeorandum)

Jim Hoft / The Gateway Pundit: EXPLOSION ROCKS SOUTHWEST DETROIT – Refinery Catches on Fire (Video)

Susie Madrak / Crooks and Liars: Explosion Reported At Detroit Tar Sands Refinery

David Sands / The Huffington Post: Detroit Refinery, Owned By Marathon, Reveals Another Side Of The ‘Tar Sands Oil’ Debate

Ahem… Well, it was a little overdone. 🙄

Um, Guys? Here’s the story from the local CBS Station:

A spokesman for Marathon Petroleum says no injuries have been reported after a fire broke out at a refinery in Detroit.

Shane Pochard tells The Associated Press the fire occurred Saturday evening in one of the small tanks at the Marathon Petroleum refinery. He says the fire has been put out.  Pochard says there are no reports of any injuries to employees or contractors.

If there was any sort of explosion around here at all, I did not hear it at all. I dont know There are two things that usually never get by me and that are noises and smells. NerdIf anything out of the ordinary happens, I usually know about it. Now, keep in mind; I am a little to the south of that location. In fact, we used to pass that refinery every Friday, when my parents and my grandmother would go grocery shopping in Lincoln Park, back years ago, when I was a kid living in Detroit.  I remember driving by there, and there were times; when that place reeked with odor! Sick  It really has not been that bad as of late, that I can remember anyhow. ConfusedThinking

So, to everyone who was thinking this was SOME HORRIBLY TRAGIC EVENT!!!111 ELEVENTY!!!! SurpriseRaised EyebrowAt wits endDohNailbitingHypnotized

I had to laugh at the headlines:

http://www.youtube.com/watch?v=C_Kh7nLplWo

Relax man, it was small refinery that was quickly put out. Nobody was hurt and nothing major was damaged; an diesel tank and a tanker truck….maybe. Everything is a-okay in Detroit. We’re all still alive here! HappyWinkingBig GrinBatting EyelashesLaughingWave Maybe a little crazy… SillyPartySighPhbbbtttCowboy But, happy nonetheless! WhistlingDancing

Someone needs to tell Warren, Michigan Mayor James Fouts to please calm down!

Man, talk about an angry man!

In a profanity-filled tirade being investigated by Michigan State Police, Warren Mayor James Fouts blasts two former employees, complaining about litigation and his online profile.

In a recorded telephone conversation between the mayor and an appointee — a copy of which was obtained by The Macomb Daily — Fouts said of one of the former workers: “If I had a baseball bat, I’d beat the f—– down to the f—— ground. I mean, it would take me just a little bit to get a f—— gun and blow his f—— head out. That’s how p—– off I am.”

During the first taped call, Fouts complains about an online public forum about Warren, the City Council’s involvement in a money transfer and political headaches.

via Warren Mayor James Fouts blasts ex-employees in tirade – The Macomb Daily.

Hey James, calm it down a little man! Take deep breaths...one, two, three…. four. Now, listen. I know you are angry. But, look:  You are the Mayor of a city, not dictator of the world.

There are more saner ways of handling your problems.  You know, like Lawyers? Might want to look into one.

(H/T Deadline Detroit)

UpdatedBREAKING NEWS – Local Story: Eighth grade student brings gun to school, kills himself, because he was bullied – Police and School officials now saying bullying not the cause

I suppose the Gun Control nuts will just love this:

SOUTHGATE — An eighth-grader at Davidson Middle School shot and killed himself in a bathroom this morning, school officials said.

Students told The News-Herald Newspapers the teen said he was depressed because he was being bullied. One classmate, who said he spoke to the student prior to the shooting, said the teen said he was thinking of taking his life.

The school was placed on lockdown at about 8:30 a.m. Although school Supt. William Grusecki was unavailable for comment, his office said the lockdown was due to a “situation with a student.”

A press conference was scheduled for 11:30 a.m. to address the situation.

News outlets are reporting the student shot himself in the head and left a note.

An eighth-grader inside the school said he was in class and heard a shot. He said the it sounded like glass breaking and a teacher rushed to a bathroom.

Students were visibly shaken as they were led out of the school. Parents were called to come and pick them up

via SOUTHGATE: Davidson Middle School reeling from student’s suicide – thenewsherald.com.

What I want to know is, where the hell was the school at, to stop such bullying? For those who do not know; Southgate, Michigan is right next door to my city here in Lincoln Park. It is less the a mile away. I would go over there and see if I could get pictures; but Southgate is a bit of a tough city to outsiders. They are known to arrest people that they do not like the looks of, so I will stay away from the scene.

If I were the parents of this child, who killed himself; I would sue the parents of the children, who did the bullying. I would also sue the school district for not protecting my child from such bullying. It is very obvious that someone, somewhere in that school, knew that this was going on and turned and looked the other way.

Furthermore, I believe that the parents of the children, who did the bullying, ought to be held accountable for their children’s actions. The parents ought to be charged, in the case, with first degree murder.

Now, as for the gun rights people, vs the Gun Rights people; I really do not believe it would have mattered here. Most likely, this kid got this gun from his Dad’s collection, and took it to school and killed himself. No amount of gun laws, would have prevented this one at all. I should also point out, that this school, according to the Detroit News, does not have metal detectors, as it is an older school and not only that; it is a rather nice area. Southgate, Michigan is not really known for school violence; after all, it is not Detroit. Countdown to being called a racist in 5….4…3…..2….

In closing: First off, my prayers to the people involved, including the family of the deceased child. 🙁 Also, something needs to be done about bullying, it is just that simple. This is what caused the Columbine school shooting and a few tragic others. It needs to be dealt with and quickly, before anyone else gets shot.

Update: Police and school officials are now saying bullying was not the cause of the Suicide. I hold this is high suspicion, I think someone is trying to cover their behinds. Here is the video of the presser from earlier: (via WXYZ-TV)

Racism at VDare.com towards Detroit

A perfect example of which can be found below here:

So what happened to Detroit? MLK’s “Dream” came true…America’s founding principles of liberty, equality, and democracy came true for black people, and full citizenship and civil rights were extended to millions of African-Americans, who had previously been marginalized and excluded from the mainstream of American life.

And the result was Detroit as it exists in 2013.

via Caught In The Black Undertow: Detroit—And America? | VDARE.com.

That is not the half of it; go read the rest, at the link above. There is more nuanced racism in that article linked above than you can shake a picture of George Wallace at! Like I have written many times here before, Detroit’s problems are much deeper and more problematic, than skin color. Anyone who writes anything other than this; is one of two things:

  1. A racist bigot
  2. A misinformed rube
  3. Both.

Like I have also said before; if you are not from this area, you should seriously look into shutting the hell up about the City of Detroit. I, for one, as a citizen of Michigan and a former citizen of Detroit, of 19 years, I can tell you that the problems are much deeper than skin. The problems are of political and cultural nature; not race. Admittedly, the problems are of an entitlement sort, but to place the core issue of the problems on skin color just shows the racist bias of the person writing the article.

There are just as many white people, who are poor, by the way — and Latinos, who are taking part of that entitlement mentality, as there are blacks, who are taking part as well. It is not solely the blacks. Again, this goes back to the racist bigoted assumptions of the those who do not live in the City of Detroit. Hence my suggestion that these people please shut the hell up.

Follow up to previous: HotAir.com’s racism towards Detroit

Just a quick follow-up to my earlier posting.

Because my last posting on what I felt was just straight up racism towards Detroit by so-called “Conservatives” was so long, I think the point might have been lost.

So here’s the “straight talk” style point of my posting:

If you have an issue with Detroit: Fine, Dandy — So do I. If you say that Detroit’s problems are due to White AND black Democrats and Detroit leaders, kicking the can down the road for years and years; kind of like what our national leaders are doing now too — I will most likely agree with you, wholeheartedly!

But, if you get in the comments section of a so-called “Conservative” “Christian” blog and you hurl racist invective in the comments section and say that Detroit’s problems are due to skin pigmentation; I am going to call you out for the racist bigoted jerk that you truly are. This is what I did with HotAir.com and I would have done it, if the nonsense would have come from National Review, The American Conservative, VDare or anywhere else — including DailyKos or any of the left-wing websites out there. Period, end of story.

So, there, THAT, and only that is my point of that earlier posting. It was long, it has gotten me some nasty e-mails from some very stupid people on the right. But, you know what? It was worth every last minute of my time and every bit worth of the bandwidth spent to call these idiot hypocritical jackasses out for what they truly are, and that is that they are nothing more than a bunch of minority hating jerks.

I call out haters of white people in the black community and I will call out haters of blacks in the White Community. Because the answer the problems in Detroit is NOT the bigoted stupidity of the White Right, that is for sure. My cousin died in Detroit, because of the corrupt police officers in Detroit, not because of black skin. Did progressive politics play at part in that corruption? Maybe. But for me to sit here and blame the entire city’s downfall on skin pigmentation, is dumb at best. I know there are blacks who do it; and they’re dumb too! They blame “Whitey” for the city’s problems, which is scapegoating. That too, is stupidity on stilts!

Anyhow, I just wanted to clear a couple of things up, that’s all. 😀

Noted cowardly anonymous blogger slams Detroit

hotair
All Racism, All the time?

It’s a pretty provocative headline. But, it’s sorta true and sorta not.

I have written before about Detroit’s problems, so, I know full well of what goes on around here. I also happen to know that Detroit’s Auto companies sales are up too.

Anyhow, I guess Governor Snyder, in between supposedly bringing in jobs for this state, is appointing an emergency manager in for the City of Detroit. Quoting the Detroit News, a right-leaning newspaper, by the way:

Snyder said the city has not been able to solve its financial crisis and that outside help is needed. Today “is a day to call all hands on deck… to say there’s been too much fighting, too much blame, not enough resources, not enough people working together. The key answer I believe all of us want to get to is growing the city of Detroit.”…

The review team found Detroit’s cash-flow deficit is nearly $100 million. That’s on top of an accumulated deficit of $327 million. The city also has $14.9 billion worth of unfunded pension and employment retirement liabilities, according to the review team report. In five years, it needs $1.9 billion to begin making payments on the debt…

Greg Bowens, a political expert and former press secretary for former mayor Dennis Archer, said an emergency manager would be a devastating blow for the morale for the people of Detroit.

“In the end, it means the governor does not have the faith in the people of Detroit to govern themselves in a responsible manner,” Bowens said.

So, yes, Detroit has a cash flow problem and now the Republican statist is now going to try to solve those problems. Ah yes, fake conservatism at it’s finest.

That’s not what’s half bad about it; you have this anonymous coward blogger, from the state who’s mayor wants to ban everything that is good and enjoyable by its people. Said coward writes:

Why … yes, that’s what it means. I can’t believe there’s any serious constituency outside Detroit that would disagree, and Detroiters themselves would disagree only out of pure pride. The city’s a byword for terminal liberal sclerosis. How can this be a blow to their morale when their morale’s already reached this point? Look no further than their statuary to see that they’re desperate for a savior to ride in and impose order on a dystopian nightmare.

Yeah, and I suppose your little city up there is a capitalist utopia too right, Jeremy? Please. 🙄  The only reason why the Communist Party of America is not running New York City is because the citizens of the suburbs would not allow it and the Republican Party of New York State would stage a massive revolt. I suppose the only thing the City of Detroit’s people should do is just hang their hands and allow an outsider come and run roughshod over the City and impose his Faux-Republican style of Nanny-State Government. What a moron! 🙄

What’s more: Check out some of the racist comments over on HotAir, now:

Continue reading “Noted cowardly anonymous blogger slams Detroit”

Good News: Detroit automobile sales are up!

As a son of retired General Motors worker, this always strikes me as very good news:

DETROIT- General Motors Co. announced today that it sold 224,314 vehicles in the United States in February, up 7 percent compared with a year ago.

Retail sales and fleet sales were both up 7 percent. The fleet mix was 25 percent of total sales, equal to a year ago, officials said.

“The housing sector has now joined auto sales in propelling the U.S. economy forward,” said Kurt McNeil, vice president of U.S. sales operations. “More importantly, the recovery in new home construction is reinforcing the underlying improvement in auto buying conditions, especially for pickups.

All four GM brands posted higher year-over-year sales: Cadillac was up 20 percent; Buick was up 15 percent; GMC was up 10 percent, and Chevrolet was up 5 percent.

via GM: Cadillac, Buick lead to 7% February sales increase | MLive.com.

This is great news. I just hope the Detroit can keep up the sales and help spur the economy back to what it was, or at least as close as we can get it.

 

The Price of Fascism

Please note: When I write this here, I am not doing it to bad mouth anyone at all. Least of all the UAW or the General Motors or Chrysler workers. It simply is not their fault that the companies that they work for were horribly mismanaged for many years and are now not doing so hot.

As much as I like the fact that my Father did not lose his retirement from General Motors and gets his medical benefits via the UAW’s program that they set up for him. I must acknowledge the truth and the truth is that General Motors and Chrysler were bailed out by the United States Government. One of the tenets of fascism is, in fact, the mingling of private industry and Government.

When the mingling of private industry and Government take place a price is paid. First of all, a company loses its freedom to conduct business as it sees fit. Second of all, the people of said Country usually pay a price in their wallets. Such as the case with General Motors, which happens to be because General Motors was and still is a poorly managed company.

The story via The Detroit News, which is a Conservative/Libertarian slanted newspaper:

Washington — The U.S. Treasury has begun selling the remainder of its 19 percent stake in General Motors Co.

On Jan. 18, the Treasury filed a written trading plan to sell its remaining 300 million shares of stock in the Detroit automaker. It plans to exit completely by March 2014 and said it could immediately begin selling small numbers of shares on the open market.

In a report to Congress, the Treasury said it had net proceeds of $156.4 million in January for the sale of GM stock during eight full trading days.

GM’s stock price ranged between $27.61 and $29.16 during the period, meaning Treasury sold at least 5.4 million shares, depending on the prices it received.

On a quarterly basis, the Treasury plans to disclose how many share of GM stock it has sold and will report monthly its proceeds from the sale.

In December, the Treasury sold 200 million shares of its GM stock to the Detroit automaker for $5.5 billion, or $27.50 a share.

But, of course, there is a cost:

The government needs to get $72 per share for its remaining shares to break even on its $49.5 billion GM bailout. It initially held a 61 percent stake before selling about half of its shares in GM’s November 2010 IPO at $33 a share.

At current prices, the Treasury would lose more than $12 billion on its GM bailout.

Last week, the Treasury Department said its estimate of losses on the $85 billion auto bailout fell by 16 percent, or $4 billion, in large part because of a rebound in General Motors Co.’s stock price.

The Obama administration said in a report to Congress that its projected auto losses fell to $20.3 billion, from its prior quarterly estimate of $24.3 billion.

The Treasury in 2009 initially forecast it would lose $44 billion on its bailout of GM, Chrysler Group LLC and their finance arms. That forecast fell to $30 billion by the end of 2009 and fell as low as $14.3 billion in 2011.

The Treasury still holds a 74 percent stake in Ally Financial, the Detroit-based auto finance firm, as part of a $17.2 billion bailout, but hopes to eventually break even. Ally is shedding its foreign operations as part of its efforts to repay taxpayers.

I bolded some parts of the quoted text above to give you idea of what I am talking about. Up there where it says, “The Treasury”, that means really “The American Taxpayer.” Anytime the United States Treasury is involved in any sort of bailout of private industry, your tax dollars are being used to bail out said company. That is not hatred of President Obama or the Democrats, that is the honest reality of the situation.

Again, this has not about having an axe to grind with the UAW, GM or Chrysler. This is simply a explanation of what happens when Government gets involved with the rescue of two auto companies that were in fact, headed for bankruptcy. The truth is that the American people lost on this deal and lost bad. As much as I respect the history of the UAW and of General Motors, in regards to my family — I must write the truth and this my friends, is the ugly truth.