A new organization formed to fight Detroit bankruptcy plans to reduce the pension and healthcare of retired Detroit Police Department (DPD) personnel. The Retired Detroit Police Members Association (RDPMA) has retained Lynn Brimer and Meredith Taunt to represent them.
Lynn Brimer, lead legal counsel for RDPMA, explains the national importance of the negotiations, “Detroit is nationally significant because there is no precedent where the bankruptcy court has issued an opinion with respect to the authority of a municipality to reduce pension and retiree benefits for police and firefighters. Prior cases have reached negotiated settlements between the municipalities and the retirees,” emphasizes Brimer.
“If there is a judicial determination in Detroit, the door swings open for other municipalities to reduce retiree pensions as well,” notes Brimer.
Brimer, a seasoned bankruptcy lawyer, adds, “While the goal is to negotiate a settlement, the general fear is that Detroit bankruptcy officials say the underfunding of the pension funds is so significant and therefore unsecured pensions constitute such a large portion of Detroit’s debt that a settlement will not be possible.”
RDPMA plans to collaborate with all retiree groups and hopes that everyone can work together to craft the best resolution for all retirees and the City of Detroit. The plan is to work with the other retiree organizations involved in the Detroit bankruptcy.