Course blog for American University PERF-570, Fall 2014
As the City of Detroit faces bankruptcy, the Detroit Institute of Arts faces a huge threat of selling their collection to pay debts. In spite of this, DIA has motioned a plan to not only preserve their collection, but lift Detroit out of bankruptcy through the collective effort of private corporations, state government, and the community in what is called the Grand Bargain! DIA’s Board pledged to raise $100 million solely for the pension fund so the pension cut for retirees would be far less. This is a great case in how the different types of entities: for-profit, not-for-profit, and government agencies can act in cooperation for Civic issues. Through the innovation and skills of the Board, the potential outcomes are much greater than originally foreseen of losing the art collection and forcing a significant cut on retiree pensions. It is a notable story to follow and an accord has yet to be met.