Orr: Deal needed to keep pension funding levels
DETROIT (AP) — State-appointed emergency manager Kevyn Orr says both Detroit pension systems need to agree to his restructuring plan to fund them in order for it to work.
Orr said Friday that foundations pledging $365 million to help buffer cutbacks to pensions while protecting city-owned artwork from being sold to pay off creditors "are looking to get this thing done."
He filed his plan of adjustment Friday in federal court. The plan is Detroit's blueprint for emerging from bankruptcy.
Orr said the foundation money and other funding for pensions could be pulled back if systems for both general city employees and police and firefighters don't approve his plan.
Under it, police and fire retirees would get a least 90 percent of their pensions. Other retirees would receive at least 70 percent.