Wednesday, September 6, 2017

Restitution For City Retirees Under 65 are on the Horizon - Detroit Police get $3.8M in Drug Fighting Equipment - New Housing Projects for Homeless

By Richard C. Clement 


At the Detroit City Council Budget, Audit, and Finance committee meeting held on September 6, 2017 at the Coleman S. Young Municipal Center, the committee set in place the plan to help repair the financial damage to the retirees on health care costs. Committee members Gabe Leland, Janee Ayres, and Committee Chair George Cushingberry Jr  reviewed a possible solution. The proposal is to help all retirees under 65 because they are not eligible for Medicare. The committee discussed the best way to help with health care cost is to get group rate health insurance by adjusting the Voluntary Employee Benefit Agreement (VEBA) that was negotiated in the bankruptcy.  

City of Detroit Auditor General
Mark Lockridge
The end result would be lower health care costs for retirees and, that would be a major step in the road to financial recovery for Detroit.  On December 31st, the City of Detroit will exit all State of Michigan financial control and that will give city leadership the power to negotiate fees to sustain and elevate a better quality of life for Detroit residents.


City of Detroit Financial Team


This action was a result of a letter from Council President Brenda Jones on behalf of the Retirees to use the budget surplus as a funding source to restore the cuts suffered by them in the Bankruptcy Proceedings. The letter was sent to the Legislative Policy Division and sent to the BFA committee for their detailed review. Other funding sources are not off the table and will be brought up in committee meetings before November. On other news the Detroit Police Department’s Drug Enforcement Program was appropriated $3.8 million dollars to purchase police equipment or services that are eligible to use in Local Forfeiture funding. 


New and Livable Housing in Detroit


Finally homelessness and affordable housing issues were addressed by three projects authorized by the committee.  The first one was for Kamper and Stevens to rehabilitate the exiting Kamper building and Stevens building containing 165 units of senior housing with 145 one bedroom units and sixteen two bedroom units. The next project was by Norstar development USA to create the Gardenview estates on the former Herman Gardens Housing Projects. This project will create 97 one and two story townhomes units. The final project is by Detroit Central City CMH, Inc. to develop the Saint Rita Apartments. Project. This development will consist of 26 units of rehabbed living conditions.

For more information please contact the members of the Budget Audit and Finance committee and Stay tuned for more information.


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