Vallejo files for bankruptcy to deal with budget shortfall

AP via CoCoTimes ^ | 5/23/8

[LuxMaker]

I don’t think its union contracts that caused it. It was borrowing and more borrowing, with one administration leaving the mess for the next administration and no one bothering to clean it up.

If you are a politician and even attempt to clean it up I highly suspect that politician will be tarred and feathered as it will step on many many toes to do so. In essence that politician will be demonized for stopping and/or slowing the feeding at the trough.

[happinesswithoutpeace]

Check this out.

[dennisw]

Very good news in a certain way. The Feds are far and away the worst but all over America on all levels of government (state county city) sweetheart union contracts need to be adjusted downward. Most especially pensions

You know why lawyers love to become judges? Much less pressure and outlandish pensions after ten years and less. In many places that’s how the judge racket works

[dennisw]

Thanks for the ping and this bankruptcy needs to be repeated all over the USA to get Gubbermint expenses on salaries benefits pensions under control and in line with the private sector

[brivette]

Myy wife and I were married in this town, 36 years ago.

[happinesswithoutpeace]

No prob. I hear what you are saying. This will be interesting to say the least. I don’t really know how this stuff works. I mean a municipality filing for chapter 9 has to be a lot different in court as opposed to corporate or personal entities. What the heck do they do? Liquidate? The bondholders need $$$ and the unions won’t shut up. With Chapter 9 do all labor contracts go out the window?

I am going to have to read up on the fed bankruptcy code.

This seems like the start of something big across the state.

[Syncro]

Interesting story the other day about the SF school district.

They sent out over 300 pink slips to teachers in the spring

Now it seems they have found $20 Million in a “rainy day” fund so have rescinded the lay off notices.

I wonder how many other dark little corners hold millions (billions?) of dollars in secret so as to substantiate more and more taxes and fees

Speaking of which, Arnold was pushing some fee and on TV yesterday he was making fun of an adversary who didn't want the new “tax.”

The guy should have gone up to the mic and explained how Arnold was ripping us off, but instead he just stayed in the background and giggled.