Posted on 02/01/2010 7:41:55 AM PST by TigerLikesRooster
Posted on Sun, Jan. 31, 2010
Miami leaders fear a financial meltdown
BY CHARLES RABIN AND MICHAEL SALLAH
crabin@MiamiHerald.com
Facing a widening financial crisis, Miami leaders are already projecting a $45 million budget shortfall this year that could force the city to deplete its reserves and sell key assets to stay afloat.
Rising costs, slumping property tax collections and ever-growing pension obligations are feeding a meltdown that's now forcing administrators to look for drastic new sources of income not needed since the state took over Miami's books 14 years ago.
``We understand the gravity of the situation,'' said Miami Mayor Tomás Regalado.
The findings harken to the bleak days of the mid 1990s, when it was discovered Miami was using bond money shuffled through various accounts to try to cover a $68 million hole.
Today, a reserve that brimmed with $141 million in 2003 could plummet to less than $10 million by the time commissioners are finished with this year's budget in September, projections show. If that happens, Miami will break its own financial integrity laws -- prompting some officials to fear another painful state takeover.
``Unbelievable,'' said County Commissioner Carlos Gimenez, who was Miami's city manager when its reserves peaked in 2003. ``They forgot the lessons of the past.''
(Excerpt) Read more at miamiherald.com ...
P!
Coming soon to an Urban Socialist Ghetto near you.
“Juw-know, deez place iz een beeg truble, amigo.”
-Tomas Relagado
“we here in city hall have met with our staff of 4000 advisors and assistants and we see nothing to cut in administrative costs...”
//sarc
They should plug the hole with drug money. They have plenty of that down there. /s
They need to commission a $2 million study, and the result is whatever they ask for it to be.
Here is the best solution: import several hundred thousand Haitians.
(Rising costs, slumping property tax collections and ever-growing pension obligations are feeding a meltdown that’s now forcing administrators to look for drastic new sources of income not needed since the state took over Miami’s books 14 years ago.)
Most relevant part: “...ever-growing pension obligations...forcing administrators to look for drastic sources of income.”
So in order to fund ridiculous pensions to public unions, they’re looking to increase taxes. How about reneging on the pension obligations, or changing them to direct contribution, not direct benefit plans, like we have in the private sector?
I guess the feeding and health care of everything that floats in is more important than American Citizens and sound business practices they were entrusted with ,Hint Jail the embezzlers then cut spending!
And how many dollars are eaten up by Non-taxpayers? Illegals, welfare recipients, anchor babies....how about a publication of THAT figure!
They'd better get in line behind the other corrupt governments that have driven our towns and states into a financial ditch...
Then ask yourself, how much has government at all levels reduced the size of these bloated, ever growing state, federal, city and county governments?
Oklahoma state deficit largest in U.S.
The National Conference of State Legislatures' November update of state budgets listed Oklahoma with an 18.5% deficit, making it the largest in the United States.
http://www.examiner.com/x-32951-Tulsa-Conservative-Examiner~y2009m12d21-Oklahoma-state-deficit-largest-in-US
Didn’t the du%^@!es vote a bunch of spending on a new baseball stadium last year though?
Great... I smell a county tax hike coming.
Send them a few million more illegal aliens/Haitians. To hear the squatter support squad tell it, that’s all that’s needed to bring any US city to prosperity.
More correctly, they ignored the lessons of the past as well as the fundamental laws of economics.
No problem. Just borrow from California.
They main source of income for Miami in the 80s was cocaine.
When cornered Iran's ruling terrorist despots will try and widen the coming war (and or domestic coup) by attacking Israel to somehow win over Arab/Muslim support.
He may want to move up the eventual confrontation which is bound to happen.
The question is whether U.S. has well thought-out plan and made sufficient preparation. I am not keen on his executive skill as many of us do.
Dam# now Texas has to fortify the Red River amongst other things.
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