Lawmakers hold hearing on Detroit bankruptcy, Mayor Mike Duggan testifies

LANSING, Mich. (WXYZ/AP) - Michigan Lawmakers have an ambitious schedule to pass state aid for Detroit in Bankruptcy Court. 

A special House Committee heard from Detroit Mayor Mike Duggan and Detroit City Council President Brenda Jones. 

The Committee and both House and Senate could vote on the package of bills by the middle of next week. 

The Mayor is concerned about 20 years of state financial oversight with a special 7 member commission appointed by state officials. 

The Mayor would also have one seat. The City Council would have no appointments. 

The Mayor testified if Detroit demonstrates sound financial management, the commission's power to veto Detroit financial decisions should be reduced, similar to oversight in New York City in the wake of a financial crisis in the 1970s. 

The plan includes $195 million in state money that would be used to save the collection from being sold at the Detroit Institute of Arts and softening the cuts to Detroit retiree pensions. 

That is part of the "grand bargain" that also includes money from a dozen private foundations for a total $916 million. 

Several retiree groups will support Detroit's Plan of Adjustment as part of the deal.  

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