The lead role of Michigan Republicans in solving Detroit’s record bankruptcy is dispelling decades of suburban antipathy and may validate Governor Rick Snyder’s gamble of asking his party to help the insolvent city.
Richard Ravitch, who helped New York weather its fiscal crisis in the 1970s, was named by the judge overseeing Detroit’s record municipal bankruptcy as a court consultant on that city’s debt-cutting plan.
Detroit’s bankruptcy judge will interview five candidates so he can choose one to help decide whether the city’s debt-adjustment plan is viable, including Richard Ravitch, who helped New York City resolve its fiscal crisis in the 1970s.
Wall Street bankers perceive New York’s $9 billion budget deficit as an opportunity to propose financing deals that may worsen the state’s long-term fiscal condition, Lieutenant Governor Richard Ravitch said.
Richard Ravitch, who helped steer New York City out of a fiscal crisis in the 1970s, said the federal government should track states’ debt and fiscal health while insisting they improve budgeting and meet obligations such as pensions as the price of getting U.S. aid.
New York , approaching its borrowing limit, needs new revenue sources to maintain its transportation system and back debt for projects such as replacing the Tappan Zee Bridge , Lieutenant Governor Richard Ravitch said.
U.S. state revenue isn’t rising fast enough to keep up with the cost of funding pensions, health care and public works projects, underscoring financial strains that persist during the economic recovery, according to a report.
New York state relies on gimmicks and nonrecurring revenue to pay for rising pension costs and the most-generous Medicaid benefits in the U.S., said a group led by former Federal Reserve Chairman Paul Volcker and former Lieutenant Governor Richard Ravitch.