Mich. House Approves $195-Million for Art and Pensions Plan

Michigan lawmakers overwhelmingly passed legislation Thursday to contribute $194.8-million in state money to a largely foundation-funded plan to resolve Detroit’s bankruptcy, the Detroit Free Press and The New York Times write.

The 103-7 vote in the Republican-led Michigan House marks a major step forward for the so-called grand bargain to help close the city’s multibillion-dollar pension gap while protecting the Detroit Institute of Arts collection from a sale to satisfy creditors.

Several major private foundations have put up $366-million for the plan, under which the city-owned art museum would be turned over to an independent nonprofit. The institute itself pledged $100-million.

Legislators also approved a measure Thursday that would bar the museum from seeking additional property-tax revenues from residents of three Detroit-area counties after 2022, when a levy supporting the institute that was approved by voters in 2012 expires.