> In the US, cities manage their own municipal services including water supplies. The state only intervenes when the city runs out of money to provide basic ser

> In the US, cities manage their own municipal services including water supplies. The state only intervenes when the city runs out of money to provide basic services to their inhabitants -- and this happens very rarely. In most of the country, if the city runs out of money, the city runs up a debt. And if the city can't pay the debt, the city goes bankrupt. No state intervention to protect creditors. They took on the risk when they lent the money. And it is only money. The idea that muni bond holders are so important that cities should have fiscal solutions forced on them from above to prevent a debt default? That's a Michigan thing. And now we know what that Michigan idea can lead to.