Log InJoin 

Major Automakers Looking To Bail Out Detroit

Major Automakers Looking To Bail Out Detroit

General Motors, Ford and Chrysler, which have their headquarters in the Detroit area, are joining with other Detroit-based businesses. In response to current fiscal short falls they will be donating $8 million for new ambulances and police cars.

According to a state government report, Detroit is running a $100 million budget deficit for the current fiscal year and has $14 billion in long-term debt and liabilities. As a result, Detroit's emergency services which operates 19 ambulances when fully operational is currently running 10 to 14 ambulances for the prior three month period. This mean fewer ambulances are driving more miles, some of which have 300,000 or more, breaking down more often in becoming less reliable.

State-appointed emergency manager Kevyn Orr, which recently took over running Detroit, will have sweeping powers to lay off workers, modify union contracts, and consolidate or close entire city departments. Drastic times call for drastic measures and significant government cutbacks in addition to business donations may see Detroit through the worst of times.

Image by: Brave Heart