In another not surprising turn of events, the Obama administration has decided to overstep and will now give funding to Detroit. Even though we weren’t supposed to be bailing them out, it looks like we have another lie from the administration.
HUD Secretary Shaun Donovan, Transportation Secretary Anthony Foxx, Attorney General Eric Holder and White House Economic Council director Gene Sperling will announce later today that they will be spending $320 million on helping Detroit. These top administration officials will make the announcement from Detroit to show their support.
According to The Hill,
The aid includes money for housing rehabilitation and demolition, some $30 million targeted to fight crime and reduce the city's notoriously long emergency response times, and millions more to rehabilitate the city's transportation network.
The aid, which comes from existing federal spending that is being expedited, pledged and re-purposed, is designed to improve the safety and security of Detroit, which has been devastated by a rapid population decline — and corresponding loss of tax receipts.
The federal government will spend $24 million to rehabilitate buses and install security cameras onboard. Another $1.35 million will be devoted to creating a community policing program. The Federal Emergency Management Agency will also underwrite the hiring of 150 new firefighters, as well as new equipment to detect cases of arson.
The administration also hopes to help turn on neglected street lights, establish a police officer bike patrol, and grant $3 million for the hiring of new police officers.
Millions more will be spent on removing urban blight and cleaning up former industrial areas with concentrations of hazardous waste or pollution.
So we are going to try and save Detroit, again? How about that time back in July when Jay Carney said that the bankruptcy was “something local leaders and creditors are going to have to resolve, but we will be partners in an effort to assist the city and the state as they move forward”? He indicated that there would be no bailout coming. But surprising no one, the Obama administration has gone against its word and is now giving them a large amount of money. Instead of trying to let the states handle their own problems, the Obama administration is more than happy to step in and prove that they have no idea how to fix this issue.
The city owes its creditors roughly $18.5 billion. Let’s see if this is really going to help the city get back on its feet, or if this is just going to be another waste of tax payer money.
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