Chapter 9 City of Detroit, Michigan, Case No
Total Page:16
File Type:pdf, Size:1020Kb
UNITED STATES BANKRUPTCY COURT EASTERN DISTRICT OF MICHIGAN SOUTHERN DIVISION In re: Chapter 9 City of Detroit, Michigan, Case No. 13-53846 Debtor. Hon. Steven W. Rhodes _______________________________/ Notice Regarding Interviews of Expert Witness Applicants Notice is given that the following individuals who have submitted applications to serve as an expert witness on the issue of the feasibility of the City’s plan of adjustment will be interviewed on April 18, 2014 at the times indicated below in Room 100 of the Theodore Levin U. S. Courthouse, 231 W. Lafayette Blvd. in Detroit, Michigan: Dean Kaplan 9:00 a.m. The PFM Group Richard Ravitch 10:00 a.m. Peter J. Hammer 11:00 a.m. William A. Brandt, Jr. 1:30 p.m. Development Specialists, Inc. Martha Kopacz 2:30 p.m. Phoenix Management Services LLC A copy of the application submitted by each of these applicants is attached to this notice. The Court has selected the following two attorneys who were nominated by the creditor parties to participate in the interview process: Guy S. Neal (Financial Nominee) Barbara A. Patek (Labor Nominee) One attorney for the City may also participate in the interviews. Signed on April 14, 2014 /s/ Steven Rhodes Steven Rhodes United States Bankruptcy Judge 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 1 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 2 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 3 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 4 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 5 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 6 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 7 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 8 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 9 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 10 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 11 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 12 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 13 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 14 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 15 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 16 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 17 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 18 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 19 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 20 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 21 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 22 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 23 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 24 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 25 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 26 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 27 of 322 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 28 of 322 Two Logan Square 215 567-6100 Suite 1600 215 567-4180 fax 18th & Arch Streets www.pfm.com Philadelphia, PA Public Financial Management, Inc. 19103-2770 PFM Asset Management, LLC PFM Advisors April 9, 2014 The Honorable Steven W. Rhodes United States Bankruptcy Court Eastern District of Michigan Southern Division Re: Case No. 13-53846 In re: City of Detroit, Michigan, Debtor Order Regarding the Solicitation of Applications to Serve as the Court’s Expert Witness on the Issue of Feasibility Honorable Judge Rhodes: I am writing on behalf of Public Financial Management, Inc. (PFM) to apply to serve as the Court’s Expert Witness on the Issue of Feasibility of the City of Detroit’s plan of adjustment. As I will outline in the application below, I – along with other members of my team – meet and exceed all of the qualifications set forth in the Court’s order: PFM has strong qualifications in municipal finance, budgeting and planning and can provide an opinion regarding the feasibility of the City’s plan of adjustment and the reasonableness of the assumptions that underlie the City’s cash flow forecasts and projections. PFM has deep expertise in -- and understanding of -- local government budgets, particularly budgeting and multi-year financial planning for economically and fiscally-distressed cities. Members of our team have been involved in some of the most significant municipal turnaround efforts in the United States over the last two decades, including the financial renaissance of Philadelphia and Pittsburgh, and have advised Chapter 9 governments such as the City of Vallejo and Jefferson County. PFM and its professionals are able to deliver an opinion that is based on sufficient facts and data and is the product of reliable principles and methods and the application of those principles and methods to the facts of the case. It is what we do every day in our work with cities around the country. PFM can exercise fair, unbiased and independent judgment in the assignment – independence and integrity are at the core of the firm’s mission. Our team has years of practical experience in working with distressed cities as former officials and hands-on advisors. We have more than just an academic or professional trade group view of municipal finance – we have been in the trenches as municipal finance officials and appointed financial overseers, and understand the real world dimensions of what is feasible and what is not in achieving sustainable recovery. 1 13-53846-swr Doc 4068 Filed 04/14/14 Entered 04/14/14 15:26:01 Page 29 of 322 April 9, 2014 The Honorable Steven W. Rhodes United States Bankruptcy Court Given our career-long commitments to excellence in local government, we also see this opportunity to contribute to the City’s future in an independent, constructive, and practical role to be extraordinarily important and personally meaningful. Our team is fully prepared to develop a report and provide testimony in deposition and at trial that will be concise and understandable in addressing the sophisticated and complex matters related to the feasibility of the plan of adjustment and to the reasonableness of the City’s assumptions regarding its revenues, expenses and plan payments. PFM recognizes that budgets and municipal finance are more than just numbers, and regularly works with local governments to explain the underlying issues and assumptions in a city’s finances to larger audiences of varying stakeholders. PFM has the resources and capacity to accomplish the assignment within the schedule adopted by the Court for the hearing on confirmation of the City’s plan. With more than 500 employees in the firm and more than 25 professionals in our Management & Budget Consulting practice alone, PFM stands ready to meet the Court’s schedule. We have no disqualifying connections or conflicts of interest with any party in interest and we are willing to forego any prospective retention or engagement that might result in a conflict of interest in the case, subject to clarification of parameters with the Court during the interview and selection process. Statement Disclosing Why the Applicant is Interested in the Appointment PFM is the nation's leading financial advisor to public entities. The firm has been the nation’s number one ranked financial advisor since 1998, having advised on over 780 financings totaling over $46 billion 2013 alone. Founded in 1975, PFM has 33 offices nationally and 85 partners with specialties in the areas of financial advisory, investment management, investment consulting and management and budget consulting. PFM is well-respected for providing public sector clients with highly professional, client-focused advisory services free of conflicts. Our focus is on independence, integrity and initiative. As a firm, we work with state and local governments across the nation on a daily basis. We understand the unique and significant challenges that Detroit and other economically and fiscally distressed municipalities face. Within PFM, the Management & Budget Consulting practice, within which I lead our firm’s turnaround services, has a specific focus on working with public agencies to achieve economic and fiscal sustainability.