A federal judge has approved Detroit’s bankruptcy plan to end the largest municipal filing in U.S. history.
The Detroit Free Press reported on Friday that Judge Steven Rhodes ruled that Detroit's comprehensive restructuring plan is fair and the city is now relieved of more than $7 billion in unsecured liabilities.
The Associated Press noted that the decision to approve the plan comes 16 months after the Motor City filed for Chapter 9 bankruptcy.
"What happened in Detroit must never happen again," Judge Rhodes said before making a plea to Detroit residents.
"Move past your anger. Move past it and join in the work that is necessary to fix this city. Help your city leaders do that. It is your city,” he said.
The approval is a major shot in the arm for the city, but it came at a cost. Retirees accepted pension cuts by 4.5 percent and two bond insurers dropped their objections after the city offered to give them cash and real estate.
Detroit can now start the rebuilding process after suffering a massive decline in population, businesses shuttering, and entire neighborhoods turning into ghost towns.
Another piece of good news for the city is that the deal saved the Detroit Institute of Arts from having to sell off its famous collection valued at around $867 million.