Posted on 01/23/2011 9:11:43 AM PST by SmithL
Buried in Gov. Jerry Brown's new state budget proposal – one aimed at closing chronic operating deficits – is a decision to suspend sales of state bonds, at least for six months, this coming spring.
It's an implicit, and long overdue, official recognition that California has built itself a mountain of debt over the last decade, much of it acquired to paper over its budget deficits, and needs a breather.
Some of the debt is official – bonds issued by the state and local governments, with and without voter approval, to pay for public works, subsidize private development projects, refinance short-term borrowing and pay for such dubious purposes as stem cell research.
Some of it is unofficial, such as billions of dollars in deferrals of state payments to school districts with a promise to catch up later.
Some of it is virtually hidden, such as hundreds of billions of dollars in unfunded liabilities for local and state employees' pensions and retiree health care.
At the outside, California's state and local governments may be a trillion dollars in debt, but it's at least a half-trillion dollars – the difference being actuarial assumptions of long-term pension and health care obligations.
(Excerpt) Read more at sacbee.com ...
Thank you for posting this... my ire is not directed at you...
That f-*$#%-ing idiot Walters advocated for the Democrat spending practices of California for decades, now this f-*$#%-ing idiot cheerleader for every leftist stupidity in California has the nerve to even open his trap on the matter?
RRRR!
One of the main reason we escaped California lefty were the legions of brain dead leftists like Comrade Dan and the hard left that controls the local media . Even Rush’s old radio station In Sactown is far left now.
Jerry Brown is suspending bond sales for six months because no one in their right mind would buy them.
LOL! Nailed it. For what we are about to receive may we be truly thankful. Jerry has no good choices (politically speaking). Someone’s ricebowl is gonna get broken.
The best thing Republicans could do at the state level is all resign en masse.
They don’t have enough votes to do anything.
They need to all run for local county and city races and turn up the heat from the local level.
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