Skip to comments.Our View: Democrats bow to labor on bankruptcy (Stockton & other CA cities)
Posted on 06/08/2012 12:38:27 AM PDT by Olog-hai
Despite objections from the mayors of California's ten largest cities, the Assembly last week approved Assembly Bill 1692 by Fremont Assemblyman Bob Wieckowski. The bill will make it harder for cities to seek bankruptcy protection.
It reneges on a carefully crafted compromise measure approved just six months ago that requires financially beleaguered cities to enter into good-faith negotiations with their creditorsincluding most significantly, public employee unionsbefore filing for bankruptcy protection.
Stockton was in the midst of that mediation when the bill to undo it began moving in the Legislature.
Just how bad are things in Stockton? Well how's this for openers: Last week, banks repossessed its new downtown City Hall. It was not unexpected. The banks already had repossessed three city parking garages after Stockton suspended bond payments in February. In the end, the city didn't even have the money to move into its new City Hall completely. To date, only Stockton's information technology department actually occupies it. City officials are hoping they can remain in the building as tenants.
Some observers say Stockton may have been able to keep its City Hall and parking garages had it been allowed to file for bankruptcy protection months ago. But the mandatory mediation process the Legislature approved and Stockton entered into with its creditors forced delay. So as Stockton moves through difficult negotiations, Assembly Democrats, pushed by their public employee union allies, approved the Wieckowski bill.
Other cities on the brink like Stockton are watching. Assembly Democrats who approved the Wieckowski bill have shown they won't hesitate to break a deal if that's what their powerful public union sponsors want. Now this noxious piece of legislation moves to the state Senate. Will President Pro Tem Darrell Steinberg and Senate Democrats break from the mold?
(Excerpt) Read more at mercedsunstar.com ...
Q: Why is it always windy in the delta?
A: Because Stockton sucks.
So what happens when the money just runs out?/rhetoric
It doesn’t sound like a good place to try to sell a house.
The unions start expropriating everybody? In California that just might get upheld in the courts. After all. their income comes from taxpayers so taxpayers owe hem so maybe they just foreclose on the taxpayers, individually and collectively.
A $1/bottle special tax on wine and beer will solve everything. /s
Politicians' salaries are why public employee pensions are at risk! /s
Another blames payoffs to political backers but ignores the obvious: the millions public employee unions funnel into campaigns cycle after cycle.
And, lastly, it's a right-wing media conspiracy. /s
I would hope the cities involved in the prior compromise will fight this bill in court if it reaches Moonbeam and he signs it.
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