So Detroit Files for Bankruptcy

What, it can't loan money to itself to get out of its hole?

Gov. Rick Snyder justified approving the historic filing by reciting a litany of the city’s ills, including more than $18 billion in debt, maxed-out tax rates, the highest murder rate in 40 years, 78,000 abandoned buildings and a half-century of residential flight. He said the city failed to provide basic services to residents or pay creditors.

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"There were no other viable alternatives," Snyder told reporters Thursday. "We have a great city but a city that has been going downhill for 60 years."

Just a coincidence I'm sure, but Detroit hasn't had a Republican mayor for ... sixty-one years.

It will be interesting to see if Obama inserts himself into this bankruptcy proceeding and screws the secured bondholders in favor of the unions.  Again.  (ETA:  Walter Russell Mead says "No.")

Edited to add:


And, of course, this classic from Steven:


UPDATE #4: Michigan AG challenges judge's ruling that Detroit bankruptcy is unconstitutional

An Ingham County judge says Thursday's historic Detroit bankruptcy filing violates the Michigan Constitution and state law and must be withdrawn.

But Attorney General Bill Schuette said he will appeal Circuit Judge Rosemarie Aquilina’s Friday rulings and seek emergency consideration by the Michigan Court of Appeals. He wants her orders stayed pending the appeals, he said in a news release.

There's more.

Apparently Judge Aquilina is a "wise Latina woman with the richness of her experiences," instead of someone who, you know, cares about rule of law.