“No! No, not Detroit! No! No, please! Anything but that! No! No!”

In a report to be presented to Michigan’s treasurer on Monday, Kevyn D. Orr, the emergency manager appointed in March to take over operations here, described long-term obligations of at least $15 billion, unsustainable cash flow shortages and miserably low credit ratings that make it difficult to borrow.

More:

“No one should underestimate the severity of the financial crisis,” Mr. Orr said in a statement issued by his office on Sunday. “The path Detroit has followed for more than 40 years is unsustainable and only a complete restructuring of the city’s finances and operations will allow Detroit to regain its footing and return to a path of prosperity.”

And:

“It’s not as bad as what they’re trying to make it out to be,” Edward L. McNeil, a local official for the American Federation of State, County and Municipal Employees, said on Sunday. Mr. McNeil had not viewed a copy of Mr. Orr’s report, which was not made public until late Sunday, but he said he had grown accustomed to overly negative assessments of Detroit by the state and its representatives.

“All of this was a cooked deal for them to take control of the city and take the assets,” Mr. McNeil said. “This has been a sham.”

(Subject line hattip.)

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