That makes sense. Except that LA isn’t in that big of a mess. It’s expected to have a budget surplus this year, and its pension funding is relatively healthy compared to many cities, and one of the best cities in the country for funding future retiree health care costs. The whole “LA is going bankrupt” originated with groups with a clear political agenda. Those predictions a few years ago look pretty foolish now.[/quote]
As you know, I also agree that special interests (large/powerful private corporations and entities who would benefit from the privatization of public services, cash flows, and assets) are behind the “every city/state is going broke because of the evil unions!” meme. I had also heard from more reliable sources that the city’s finances were in bad shape, but that was from some time ago, so just looked up the most recent budget announcement because of your post.
……
On April 22, 2013, Mayor Antonio Villaraigosa released his proposed budget for Fiscal Year 2013-14. The $7.7 billion spending plan is his eighth and final proposed budget as Mayor. It closes a previously estimated $216 million deficit and includes no employee furloughs or layoffs; provides a Reserve Fund of greater than five percent of general fund receipts; and dedicates a modest surplus, made up primarily of one-time revenues, towards critical infrastructure needs previously deferred due to the economic crisis.
It does indeed look like things are improving! 🙂 Thanks for indicating that things are getting better for them now; that is excellent news. Let’s hope it continues.
