Detroit is considering tapping into some of the $1.2 billion in water and sewer revenue earmarked for repairs and instead apply it to city pension or healthcare costs, the city's emergency manager has said in a court proceeding, Reuters reported yesterday. "I didn't say we would take any capital; I said we will — we would -— consider it," Detroit Emergency Manager Kevyn Orr said in response to a line of questioning in a sworn deposition on Monday. Orr would not offer details about any planned alternative uses for funds currently slated for upgrades to the water and sewage department. But he acknowledged there likely would be restrictions on the use of water and sewer revenues based on promises Detroit made when selling more than $5 billion in water and sewer revenue bonds.
