In his first national interview since he filed the largest municipal bankruptcy in U.S. history, Detroit Emergency Manager Kevyn Orr said he could not wait any longer to solve the city's long-term debt problems.
"This is a problem that has been more than 60 years in the making," Orr told CNBC's "The Kudlow Report" on Thursday. "There's $18 billion of debt total. Even if we took $200 million a year out of a $100 billion budget, which we can't do, it would take 68 years to pay off that debt."
Orr confirmed reports that the city had agreed to a settlement that would tap into $11 million a month in casino revenue. Under the deal, Detroit would pay a $344-million swap with a $255-million debtor-in-possession loan.
"We have an agreement in principle to get to our casino revenue and to relieve some of our secured debt," he said.
The Emergency Manager said negotiations will continue with the city's creditors to free-up cash flow and relieve some of the city's multibillion-dollar debt.