The nation's largest bank, J.P. Morgan Chase, has pledged to invest $100 million in the city of Detroit. The considerable funds will go to repairing homes, training residents for jobs, new development, and blight removal. The funds will come in the form of loans and grants and will be used over five years.
Detroit, which is currently in bankruptcy, will continue to lobby for $200 million in state funding. Thus far, state lawmakers have been wary of using tax dollars to bail out Detroit. If the funding is approved, the city would not be forced to sell their art collection and would add money back into pension plans for city workers. The J.P. Morgan sum will also help reduce some of the pressure on legislatures.
J.P. Morgan's investment will go to community projects, putting $25 million in the hands of the Detroit Land Bank Authority and Detroit Blight Removal Task Force. Another $12.5 million will go to the residence job training, $7 million to small businesses, and $5.5 million to new developments, such as a new streetcar system.
Goldman Sachs is also throwing in their two cents, or in this case, $20 million. This money is set to aid Detroit with job creation and new developments.
This article is from the archive of our partner The Wire.