Quote:
Originally Posted by Pete R
Isn't Cali going bankrupt? I'd imagine those fines are only the tip of the iceberg.
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As of today, municipalities and cities can declare BK but states cannot.
I expect that to change when they start defaulting on payments to the tune of tens of billions and the feds refuse to bail them out over and over.
California will not be able to cover all their liabilities as far as union pensions, no matter how much they cut or raise taxes.
They are projecting a $25 billion shortfall but that does not include the estimated $52 billion in unfunded union pensions.
It was Brown who gave them collective bargaining power and they took it to the limit to the point where it will kill the state. Maybe more.