Lawmakers propose plan to give special committee oversight of Detroit for 20 years after bankruptcy

DETROIT (WXYZ) - State lawmakers are proposing a series of bills would give a special committee oversight of Detroit for as long as 20 years after the city emerges from bankruptcy. 

State Rep. John Walsh (R) of Livonia says the terms are part of a ten bill package the legislature will take up to provide state money in bankruptcy. 

Committee members would be appointed by the governor, state treasurer, state house speaker, state senate majority leader and Detroit mayor but not the Detroit city council. 

Walsh is seeking for the committee to have veto power over council and the mayor on financial matters.

Rep. Walsh says it would be similar to the oversight of New York City when it went through a financial crisis in the 1970s. 

The latest plan that lawmakers will consider is $195 million dollars in so-called rainy day funds to help protect the art from being sold at the Detroit Institute of Arts. It will also soften cuts to pensions for 23,500 Detroit retirees, part of the so-called grand bargain. 

The $195 million would be replaced by transfers from tobacco settlement money in the amount of $17 million a year over 20 years, according to Rep. Walsh.

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