Posted on 08/31/2016 3:37:38 AM PDT by AreaMan
The roads in Illinois are in decay. This may be the first state to go bankrupt. The question is not if, but when. State unions are so greedy that they are destroying the very state. This is exactly how Rome fell — government employees against the people.
Seven states have constitutional provisions that state employee pensions must come BEFORE everything, including debt payments. Since the legislature in New Jersey was Democrat, they fought Governor Christie on pension reform. Their solution? On the ballot in November, there will be a provision to amend the state Constitution to put employee pensions before everything else. The people are generally kept ignorant of what that means to property taxes and the future of the state. Therefore, the average person will say, “Sure, I should get my pension, so they should also.”
Turn out Lights
Illinois should declare bankruptcy. It is simply inevitable. There is absolutely no hope for Illinois whatsoever. Every year they will have to pay more and more. If the state who manages the pension money loses, well, the taxpayers have to cover those losses as well. The governor tried to stop the downgrade of expectations for earnings in the pension fund from 7.5% to 7%, which means they have to raise taxes and/or cut service by almost a half-billion.
It’s time to just turnout the lights in Illinois. Welcome to the Sovereign Debt Crisis. This is the contagion you will finally start to hear about, but only after the elections. Why spoil the party?
My only hope is that maybe they can rebuild after it all collapses.
The roads in Illinois are in decent shape, compared to Michigan. But Michigan is on a firmer footing.
They might able to, if they first revert to a territory and then be readmitted into the union after cleaning up their books.
However, don’t be surprised if the game plan is to subvert state sovereignty and have the feds rescue the state in exchange for taking the state over. I can see that, at some point, if enough states allow their authority to be taken away, that a Constitution convention is used to take the authority of the rest.
What?!?!
Just think of all those flags we'll have to recall....or can we just cover one of the stars until they get their sh*t together?
So what is up with I-43 in Wisconsin north of Grafton and south of Sheboygan while we are picking on a state’s roads?
A year ago, I got off the highway after hitting that section going north because I thought something had broken on my truck or trailer. F350 Dually Crew Cab Lariat with a 36’ gooseneck enclosed trailer. Nothing was wrong.
This year, flew into Milwaukee and drove a rental car over the same road and it was still the same, but the highway from Sheboygan up to Manitowoc is being repaved. That section was a little rough but nowhere near the condition of the stretch south of it. Actually, it was smooth when considering the other.
I know it is Federal, but the state has some pull on these projects. Just who in this area crapped on someone in the federal government?
The people are generally kept ignorant of what that means to property taxes
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Property taxes are local in Illinois (by county) I live in a central Illinois red county and haven’t had a property tax increase since I bought my house 24 years ago, as a matter of fact I had one decrease.
Raise the property tax in Cook county 1000%, that ought to take care of Cook county’s problem, at least delay the reckoning for a few more years.
Are HUD properties, projects and other federally owned buildings subject to property taxes? I honestly don’t know.
If not, it would explain much.
Everything is going digital, so a star and stripe can go blank when a state stops being a state.
——if they first revert to a territory——
Interesting concept.
I think your thoughts are correct
States can not file under Chapter 9.
L
I thought there is no provision for states to declare bankruptcy .
There is only so much tax you can squeeze out of derelict old factories and crumbly old rail roads. Most of the real commerce around Chicago has already moved out to the loops and to points south. What they will do instead is raise the income tax, the sales tax, and various excise taxes. Just be grateful the founders were wise enough to deny state governments the right to coin money. If only they had done the same for the federal government.
7 states... that’s insanity. That’s 1/7 of the country.
I knew things were bad. Well, the way to deal with future sovereign debt crisis is to buy gold and silver before everyone realizes it is about to hit the fan.
I only have a tiny bit, but I guess when the divorce is final in June, I need to get more. (I’m going to avoid rocking the boat financially since I have a legal separation agreement)
Good idea. Me, I’m going mobile. No more house, no more property taxes.
Dangerous if SHTF: oil supply and prices might get compromised.
Of course there are multiple ways things could play out. I consider the first year or two of SHTF/RWOL to be critical: a lot of dumb helpless sheeple and a lot of violent human animals will die in the first year or two of that.
Public employee unions are parasites.
Eventually they will kill the host.
If you support Democrats this is the world you created.
Currently, states cannot declare bankruptcy:
But you can be sure that IL and other states in similar circumstances will go to the federal gubmint with hat in hand. Think porkulus. The states will seek a big infusion of cash, claiming it will be used that it be used for Medicaid, infrastructure and the like, but instead it will be diverted to prop up state employee pensions (AKA Democrat voters).
Hopefully, the GOP will grow a spine and stop such nonsense from happening. It’s immoral to punish taxpayers in fiscally responsible states from bearing the burden of government leeches in reckless states.
I live in Illinois and I was talking to my representative a couple of weeks ago and mentioned this to him.
He looked at me and said, "what, you mean sell of state assets?
I told him that that's what judges order in individual bankruptcies, and you'd have thought that I'd suggested he slit his throat.
Illinois owns a ton of property. Getting rid of most of this would bring in a lot of capital and greatly reduce expenses.
It's how things operate in the real world so it probably wouldn't have a chance in a government.
It’s easy to point fingers at the state legislature for inept handling, and the Dems for just plain being stupid and short sighted. They are mind numbingly dense nonproductive members of society that should not breed.
But, step back and look at those impacted. The cops who risk their lives, and just do not make a whole lot. The firemen, the Dept of Motor Vehicles workers who file titles, administer tests, handle tax applications, deeds, the scores of clerks, engineers, mid-level managers who make the state run. They do not get rich, the work is drudgery, but secure. That’s the trade-off. Steady, boring work at low pay - but it is secure.
Now the secure part; isn’t.
In case anyone is interested, the “seven states” mentioned in the article are Alaska, Arizona, Hawaii, Illinois, Louisiana, Michigan, and New York.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.