Legal

The proposals were quickly dismissed by Detroits emergency manager, Kevyn Orr, who said any sale would not only kill a proposal to pump $816 million into the citys underfunded pension systems, it would also hurt residents.

The new deal would increase to $916 million the amount the plan would contribute to reduce cuts to retiree benefits.

New Jersey is rated three steps below benchmark debt, with a negative outlook. A one-step downgrade would place it with California and Illinois in the single-A category.

In the Calpers case, S&P and Moodys base part of their arguments on a California law that they say protects them against retaliation for expressing opinions.

The measure aimed at restoring retirement funds for laborers and municipal workers passed today in Springfield, the capital, by a vote of 73 to 41 and moved to the Senate.

Now, it would be up to the city to decide how to raise revenue for pensions.