DETROIT (WXYZ) - Detroit Emergency Manager Kevyn Orr will take the witness stand in bankruptcy court today.
It will be the third attempt to settle loans that were taken out in 2005 to cover Detroit employee pension fund payments.
If approved by Judge Steven Rhodes, Detroit will pay $85 million dollars to Bank of America and UBS.
The first settlement attempt slated the city to pay $235 million and $165 million respectively but in January Judge Rhodes ruled those amounts were too high .
In 2009, Detroit pledged city revenue from the three city casinos to pay the loan. Orr in the past has said this cash flow is necessary to get city services back on track.
Detroit retirees facing cuts in their pensions, object to today's proposed deal and will argue their opposition later this year when Detroit's Plan of Adjustment is taken up by the court.
Bond insurer Syncora is also objecting because it would have to cover the bank's losses. The hearing is expected to last most of the day