Thanks for the table. That one is credible. Interesting to see how bad NYC is, the harbors and banking were always the anchor that maintained them. The solvency horizon for NYC is further out.
Now banking is Global and much of it is easily transferred to other physical locations. The harbor is still important.
BUT, the table shows Detroit’s solvency horizon as 2023 also??
The funny thing is that falling state taxes are bringing banking to Detroit. The city taxes are high for now but the state taxes have fallen enough for them to justify the move. JP Morgan has opened a regional HQ in Detroit, Quicken loans has transferred some 2000 people to their Detroit HQ, Ernst & Young has their building downtown. There’s also Compuware.
The big guys actually do just fine in Detroit because they can afford it. Its the little guys who can’t afford the high taxes, multiple layers of regulation, and army of inspectors they have to pay.
The table just shows solvency horizons for municipal pension systems. In other words, if Detroit had no other debts or expenses and is unable to increase income to its pension system, in 2023 it would no longer be able to pay out pensions to everyone that has been promised them.
Since Detroit has a whole lot more debts and expenses besides its pension system, and tax revenue is not sufficient to even cover its debt service, Detroit is already bankrupt.