Posted on 03/04/2012 1:31:38 PM PST by SmithL
So Stockton has suspended payments to its bondholders and is seeking to renegotiate its debts in hopes of averting a formal bankruptcy.
Sound familiar? It's what Greece, which also is head-over-heels in debt, is doing.
The parallels are uncanny. Stockton and Greece spent heavily to keep money flowing to those with political pull, and borrowed heavily, all in the name of societal improvement.
Stockton wanted to improve its poor municipal image – crime-ridden and corrupt. So it borrowed to build a new sports arena, a baseball park, a hotel and a marina – the latter so over the top that boaters visit just to gawk at its grandiosity – while giving extravagant benefits to its employees.
In doing so, it acquired a new nationwide image – one of profligacy.
Stockton assumed that a surge of revenues from the housing boom would go on forever – not unlike Vallejo, which did file for bankruptcy protection. When the housing bubble burst, it could not cover its debts and all the promises of wages and fringe benefits that it had promised to its politically powerful unions.
(Excerpt) Read more at sacbee.com ...
I’ve been reading about Stockton for several years now.
Have any Freepers lived there? or are they familiar with the city?
Where are the bad parts of Stockton? Are there any decent areas of Stockton?
is this city really as much of a hellhole as media stories are making it out to be?
N.W. Stockton - O.K.
Southwest - Life into your own hands
I know a resident who lives there, has a boat in a marina there and is familiar with the city issues. He says these projects such as the sports arena and grandiose marina complex are due to an out-of-control city manager who has a record of screwing up other cities as well and who has since been fired by the city council. City council was way slow to fire him though and now Stockton is stuck for all these financially disasterous projects.
Just bought a house in a small town south of Stockton 1 year ago.
I’ve been into Stockton a few times. It has a very large immigrant population.
I generally avoid going there, preferring the 8 mile drive south to less depressed/distressed locales.
Wouldn’t the city council have to vote to approve large projects like this? If they voted for them, then they’re responsible. If they didn’t vote for them and the city manager just built them, then they’re still responsible. They are elected, aren’t they? Aren’t they responsible for watching out for the taxpayer’s money? Tar and feathers. Come on California......why do you think God gave you the La Brea tar pits? Scoop some out and apply liberally to the liberals.
is this city really as much of a hellhole as media stories are making it out to be?
I worked in Stockton for several years - I had a fence topped by razor-wire surrounding my mfg plant, plus a 24 guard service, just to protect our employees and assets. Coming from Kansas, I was truly shocked there was a city like this in the U.S. While there were some nice suburbs, you could never be sure that one of your neighbors wasn't into illegal activity, and your neighborhood is always at risk of going bad. Abandoned houses, maybe turned into a meth-lab.
I lived about 30 miles outside of Stockton just to feel safe. Even there my property value was negatively impacted by sketchy neighbors.
Seriously, who cares?
You vote for the democrat party, you pay the consequence.
Stockton can drop dead until they vote the criminals out of power.
Yes yes yes on all counts, city council did a poor job riding herd on an out of control city manager apparently. And ultimately the citizens are responsible for the city council they elect. And I would guess a city like Stockton has about a 10 percent turnout for city council elections. The citizens of Stockton (and California) are getting exactly what they deserve. And the investors who bought Stockton municipal bonds to finance this stuff are going to get stuck as well.
You're right, my feelings exactly. A city very near Stockton, Riverbank, just recently had one of their city council members arrested for drunk driving and child endangerment after a 1 AM auto accident. This same politician had just previously survived a failed recall attempt after a repeated drug arrest while on parole in 2010. A lawsuit by other council members to have him removed was just dropped a few weeks ago. I would not be surprised if this man wins re-election. California is getting the exact leadership it deserves.
Wow, lots of yachts in the Stockton marina. Maybe that city manager used them as collateral for the bond holders for this badly needed project.
Wow! I have been to a lot of marinas but have never seen anything like that. Sure beats the slum that passes for a marina in Honolulu.
Why are there no windmills and solar panels on top of those poles?
OH Calcutta!!!
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