Rome, now teetering on the brink of a Detroit-style bankruptcy, has served Italy's new prime minister his first major political headache, the Wall Street Journal reported today. On the first day of his premiership, Matteo Renzi had to withdraw a decree, promulgated by his predecessor, that would have helped the city of Rome fill an €816 million ($1.17 billion) budget gap, after filibustering by opposition lawmakers in the Parliament on Wednesday signaled the bill had little likelihood of passing. Rome must now face unpalatable choices — such as cutting public services, raising taxes or delaying payments to suppliers — to gain time as it search for ways to close a budget gap. If it fails, the city could be placed under an administrator tasked with selling off city assets, such as its utilities.
