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The largest US city to ever file for bankruptcy might be forced to sell some of its most priceless assets.
To try and stay afloat international auction house Christie's saying that will.
Appraised part of the Detroit Institute of Arts collection that's the DI EA in Michigan.
Including hundreds of famous works like three pieces by Vincent van go you see here.
The motor city is -- dire financial situation.
Unemployment rate eighteen point 6% 40% of the city street lights were not working and the first quarter of this year.
Only a third of the ambulances were in service long term debt and liabilities fifteen billion.
That includes three and a half billion and unfunded pensions and five and a half billion and underfunded health benefits for thousands of its retired workers critics say selling off the artwork.
Would not even make a dent in the city's debt at this point.
We could -- the -- of the DI's value the value who works in the -- collection for whatever the sum it is and the tensions still won't get a penny because -- -- just then lined up with and behind other creditors.
-- -- because the president of -- -- -- group LLC and you do hear about how you doing good morning to you when we have so -- gonna go -- gonna see what everything's -- night in Detroit does -- -- that's always the first step in bankruptcy whether it's it's individual bankruptcy or city that's going -- -- -- -- figure out what their assets are -- so this should not scare every art lover in Detroit just because they're going in assessing how much money they actually have what the assets are worth.
Go look at delay in the Detroit -- how much is a land -- How much to the airport -- -- the -- the airport Detroit as well the city does so this isn't normal procedure in -- bankruptcy to find out how -- -- -- you look at the -- -- museum you look at the parking lots downtown -- look at the airport you put all that together.
Can't go I mean this stuff could.
That they could if sold adoption could bring in hundreds of millions of dollars but you.
Are not a fan of selling so I'm not this is the short term fix because let's assume -- they bring in hundreds of millions of dollars I just mentioned fifteen billion dollars I mean it's not gonna put to death and that number what it till the only Detroit it's that -- for any other bank of city for that matter bill.
Is too big how people live -- bring -- -- bring in revenue.
How do you bring in revenue you're gonna do that if nobody living in the -- if you take away our take a look at sports teams whoever it might be nobody want to live there you have no revenue coming into the -- -- -- -- -- -- an -- part of the -- -- -- -- everywhere in America.
Behind Detroit you have huge cities like Chicago.
There's a list of 25 I believe right now that could be facing.
A similar situation on the map that we're just when he cities alone right there all the red dots represent want.
No Compton California Fresno California Harrisburg Pennsylvania.
What are they doing now.
To avoid being Detroit well I think this is a very important time -- -- -- -- lot of people are watching Detroit because we've never had it city this floors with a chapter nine bankruptcy.
So lot of these other cities are watching what who -- the guys basically running this is going to do.
You look at Chicago for example 2008.
They sold off their their parking meters for over a billion dollars to a private investor and they've had issues with that exists it is actually worth probably double that.
So you're gonna see a lot of cities start privatize -- -- airports the sewage water rights just bringing cash but again longer term this may not be the best move -- you think the judge in Detroit to ours or perhaps an arbiter and any of these other cities including Chicago if it reaches that point.
About the unfunded liabilities that they're there on the hope for right now for all -- union contracts that goes back decades.
Unfortunately the union workers I think there and actually get rid of some of these contracts because they're never -- to be able to make of the unfunded liabilities in my mind is too much out there what are image in Detroit what three and a half billion plus five and a billion that's what nine billion dollars worth Detroit a couple of nine million dollars at the same kind of keep the city running you can't cut all services just to pay the retired.
-- the straight to the unions in Detroit is significant to Americans back to the auto industry and again in the history their 42 different unions in -- operating now we'll see with the judged us.
Okay Matt if you wanna get van -- you might have a better than I was faced -- as well McAuliffe thank you -- viewers at home shoot me an email -- foxnews.com.
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Just need one line and a question remarkable get to it tomorrow.
Matt thank you thanks -- here's --
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