October 21 Announcements and Calls for Action
Events today requests your immediate attention. Please make a commitment to call or email council and demand they reject Emergency Manager Order #17, details below, and to join in the mass action at the federal courthouse this Wed Oct 23rd.
1. IMMEDIATE ACTION:
Call/Email City Council, Attend 2p Council Meeting TODAY!
Demand Council Reject Emergency Manager Order #17!
PLEASE FORWARD WIDELY THIS MORNING
City Council is meeting on this issue Monday, October 21 at 2pm at the CAYMC.
There are press conferences scheduled for 11am (Michigan Forward) and 1pm (Moratorium Now!) outside of the Spirit of Detroit (see below)
$350 million Emergency Manager ORDER puts Banks before People
Monday Detroit City Council is meeting to accept or reject and counter the proposed $350 million Debtor in Possession (DIP) deal with Barclays Capital put forth by Emergency Manager Order #17
Summary of EmergencyManager Order No. 17
The ORDER is 18 pages of state-of-the-art municipal finance legalese that documents 3 transactions.
Dependent upon the Bankruptcy Courts approval:
1) The big British finance bank Barclays will loan Detroit $350 million
2) Detroit will immediately pay the even bigger (Jones Day client) Bank of America/Merrill Lynch and the other Wall Street ‘counterparties’ on interest rate ‘swaps’ to the tune of $250 million; and
3) Barclays will then move to the head of the bankruptcy line, with a “senior secured superpriority Chapter 9 debtor financing” … “Quality of Life Note” secured by a first-priority lien on every asset Detroit (i.e., Jones Day) sells that is worth more than $10 million.In other words, the Detroit Water & Sewerage Department, and any other asset they can sell at that level.
Call, Email or Attend Monday to Urge council members to reject the deal for the following reasons:
1. This agreement would set a dangerous precedent.
Essentially allowing wealthy big banks to jump to the front of the creditors line while retired seniors are facing drastic cuts in the retirement income they depend on.
2. Wall Street’s Swaps have already cost the city unnecessary millions.
This deal is giveaway to the same banks that helped get Detroit into this mess in the first place.
3. This is a clear effort to help the banks get around bankruptcy Judge Steven Rhodes’ August 2013 ruling on secured debt.
When the bankruptcy judge recently ruled that these banks had wait in line just like the rest of the people in Detroit, the bankers worked out a special deal with Kevyn Orr.
4. This deal puts Detroit in a very vulnerable position, with terms that leave Barclays far too much control and power.
If the city ceases to be under the control of an emergency manager for 30 days, for example, it would be considered a default unless Barclays determines that a transition advisory board or consent agreement ensure continued financial responsibility.
5. Elected officials are morally, ethically and legally responsible for protecting the rights and needs of the residents of Detroit.
It’s time to stand up for the people of Detroit against bullying banks. We should be negotiating with the banks to release Detroit from the bad swap deals without termination fees, not taking out expensive loans to pay them off.
Call/email City Council
Council President Saunteel Jenkins, (313) 224-4248 (office), E-mail: email@example.com
Council President Pro Tem André L. Spivey
, (313) 224-4841 (office), E-mail: CouncilmanSpivey@detroitmi.gov
Council Member Kenneth V. Cockrel, Jr, (313) 224-4505 (office), E-mail: Kenneth.Cockrel@detroitmi.gov
Council Member Brenda Jones, (313) 224-1245 (office)
, E-mail: firstname.lastname@example.org
Council Member James Tate, (313) 224-1027 (office), E-mail: email@example.com
Council Member JoAnn Watson, (313) 224-4535 (office), E-mail: WatsonJ@detroitmi.gov
2. 10AM Rally – ATU Bus Drivers – possible “sick-day” today.
10 am Rally at Coleman A. Young Municipal Center called by bus driver’s Amalgamated Transportation Union Local 26 also a threat of sick-day mass call in today. Concerns bus drivers could participate in a “Sick-Out” on Monday
DETROIT (WXYZ) – The union that represents Detroit Department of Transportation [DDOT] drivers says they will hold a news conference on Monday morning. The union wants to make the public aware of the concerns they have for the personal security of their drivers, especially in the overnight hours.There are also concerns the drivers could participate in a “Sick-Out” on Monday. This could cause some major transportation issues for riders. DDOT advises riders to have an alternative form of transportation on Monday.
Read more: http://www.wxyz.com/dpp/news/region/detroit/possible-ddot-sick-out-could-cause-major-issues-for-riders-monday-morning#ixzz2i6VT7aIP
3. Wed 10.23 Bankruptcy Eligibility Mass Action
One Wed October 23rd A federal judge will decide on whether or not city of Detroit retirees, who served their city for years, will have to take cuts or eliminate pensions that average only $19,000 a year. Demonstrate at the Eligibility Hearing on Snyder & Orr’s Bankruptcy Filing for the City of Detroit. Weds., Oct. 23, 2013, 8:00 a.m. Federal Courthouse 231 W. Lafayette, Detroit.
It is time to take a stand! Come out and make your voice heard. Demand:
- Cancel the debt payments to the BANKS which have destroyed our communities – Make the banks pay for the rebuilding of Detroit!
- Stop all attacks on City workers’ pensions, benefits and union contracts
- Stop the privatization of City jobs, services and assets
- Restore federal grant funds to serve Detroiters – under control of City workers, not private corporations
- Stop the $62 million looting of Detroit by Jones Day and other Wall Street consultants
- End unconstitutional, anti-democratic, racist Emergency Management
8AM ACTION! PROTESTS ALL DAY AND THROUGH THE WEEK
Wednesday is the first day of the Eligibility Hearing on Snyder & Orr’s Bankruptcy Filing for the City of Detroit. Detroiters Resisting Emergency Management, Michigan Forward, many Unions, National Action Network, The Boggs Center, Moratorium NOW Coalition and many other groups are moving together to STAND UP for DEMOCRACY on October 23 at the federal courthouse.
WHAT’S GOING ON?
Unfair and Unequal Development?
IT IS NOT JUST ONE THING!
RACE AND THE DISPLACEMENT OF POWER AND PEOPLE ARE CENTRAL TO THE STRATEGY BEING EMPLOYED
5 WAYS THE STATE, CORPORATIONS AND BANKS ARE RECREATING THE CITY IN THEIR OWN IMAGE, FOR THEIR OWN BENEFIT:
1. OUR SCHOOLS – DPS have been under Emergency Management since 2009. The State-created separate and unequal EAA is funded by $ that are supposed to go to our children.
2. OUR LAND – DETROIT IS BUILT ON STOLEN LAND – A small group of individuals and institutions are grabbing land with private plans for development (new arenas, streetcars) supported with public funds that benefit a few and not ALL Detroiters.
3. OUR HOUSES and PENSIONS – The foreclosure crisis caused tens of thousands to loose their homes. Now the same banks that benefited from the bailout are benefiting from bankruptcy while Detroiters pensions are threatened.
4. OUR RESOURCES – The lease of Belle Isle, the battle over Detroit’s Water and Sewerage Dept. and the shift of public resources and assets, our commons, to private ownership.
5. OUR DEMOCRACY – EMERGENCY MANAGEMENT is ILLEGITIMATE and is being used along with other legislation, like Right to Work, to eliminate our rights and make money off the restructuring of Detroit.
5 WAYS TO RESIST
1. LEARN THE FACTS – Major media is broken. Research, ask questions, Ask for others opinion.
2. TALK TO YOUR NEIGHBORS – Network, build relationships. Things are happening quickly and the media is broken.
3. SPEAK TRUTH TO POWER – The media is broken. Speak your mind into the public record and at the grocery store
4. VOTE ON NOV. 5th – If we don’t vote, the candidates that support the State’s agenda will win.
5. JOIN THE RESISTANCE OCT 23rd!!!