Unions Want $100M In Federal Money To Aid Detroit Pension Deal

Union leaders in Detroit want $100 million in federal funding earmarked for homeowner assistance to help make up a $3.5 billion shortfall in the retirement system for city workers, The Wall Street Journal reported Wednesday.

Under the plan being discussed by federal and state officials, Michigan would give Detroit $100 million earmarked for the state from a U.S. Treasury Department fund established in 2010 to provide relief to struggling homeowners in the wake of the housing crisis, according to the report.

Officials familiar with the discussions told The Wall Street Journal that Detroit emergency manager Kevyn Orr could use the unspent funding earmarked for blight elimination to help reduce pension cuts for city employees.

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