Truth in Accounting has released an analysis of cities in the state of Michigan, including Detroit. Two page summaries for each of the 10 local governments can be found here.
Michigan owes more than it owns. Truth in Accounting’s (TIA) thorough analysis of state finances (below) shows Michigan does not have enough available assets to cover its debt.
- “Taxpayer Burden” is each Michigan taxpayer’s share of state debt, after available assets are tapped
- TIA analyzes both state assets and liabilities, not merely pension debt
- Most state debt in the “Taxpayer Burden” is unpaid retirement promises
- Michigan has the 9th worst “Taxpayer Burden” of all 50 states
- Retirement debt is essentially a state’s ‘credit card balance,’ showing unpaid retirement contributions from prior years
- Unfunded pensions leave future taxpayers with the bill for services they did not receive
- States hide retirement debt from public view. See Hidden Retirement Debt: MI vs US average 2009-2013
See more about Michigan finances at the Michigan Financial State of the State
Link to MI CAFR: Michigan Comprehensive Annual Financial Report
Publishing Entity: Michigan State Budget Office