San Bernadino Bankruptcy

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August-29-13, 07:33 AM
renf

San Bernadino Bankruptcy

http://www.nytimes.com/2013/08/29/us...ptcy.html?_r=0
The judge in California, after much deliberation, approved the bankruptcy petition of the city of San Bernardino. This appears to be at least a short run victory for those who wish to solve the financial problems of troubled cities by reducing their pension obligations. Will this set an example for other troubled cities in bankruptcy or at the cusp of bankruptcy?
August-29-13, 03:38 PM
Wesley Mouch

Quote:

Originally Posted by renf

http://www.nytimes.com/2013/08/29/us...ptcy.html?_r=0
The judge in California, after much deliberation, approved the bankruptcy petition of the city of San Bernardino. This appears to be at least a short run victory for those who wish to solve the financial problems of troubled cities by reducing their pension obligations. Will this set an example for other troubled cities in bankruptcy or at the cusp of bankruptcy?

To the degree that the pensions are excessive, well that's OK. Nothing wrong with reasonable adjustments that protect the reasonable needs to reasonable retirees. Adjustments that cut down excessive pensions is good for all [[except for abusive users who are getting more than their fair share at taxpayer expense.)
August-29-13, 03:46 PM
Hermod

Quote:

Originally Posted by Wesley Mouch

To the degree that the pensions are excessive, well that's OK. Nothing wrong with reasonable adjustments that protect the reasonable needs to reasonable retirees. Adjustments that cut down excessive pensions is good for all [[except for abusive users who are getting more than their fair share at taxpayer expense.)

Wes: That is the crux of the matter in defining "fair share". The left wing whackos [[some of which infest DYes) are always saying that the upper level taxpayers need to pay their "fair share". What exactly is a "fair share" pension or tax rate? Can you define it? What are the suburbs "fair share" of the cost of running Detroit?
August-29-13, 05:44 PM
Gistok

Quote:

Originally Posted by Hermod

Wes: That is the crux of the matter in defining "fair share". The left wing whackos [[some of which infest DYes) are always saying that the upper level taxpayers need to pay their "fair share". What exactly is a "fair share" pension or tax rate? Can you define it? What are the suburbs "fair share" of the cost of running Detroit?

So then what is the position of right wing whackos?? :confused:

[[I'm assuming that whackos are not the exclusive realm of either side...)
August-29-13, 06:19 PM
Goose

Quote:

Originally Posted by Gistok

So then what is the position of right wing whackos?? :confused:

[[I'm assuming that whackos are not the exclusive realm of either side...)

well, a flat tax would be more "fair" as everyone pays the same RATE... [[and rich people pay more as they have more)......

but that wouldn't promote wealth redistribution as effectively as the left would like.......
August-29-13, 08:00 PM
Novine

Yup, nothing says "fair" than taxing low-income people into poverty so the rich can get richer.
August-29-13, 09:37 PM
BankruptcyGuy

Quote:

Originally Posted by renf

http://www.nytimes.com/2013/08/29/us...ptcy.html?_r=0
The judge in California, after much deliberation, approved the bankruptcy petition of the city of San Bernardino. This appears to be at least a short run victory for those who wish to solve the financial problems of troubled cities by reducing their pension obligations. Will this set an example for other troubled cities in bankruptcy or at the cusp of bankruptcy?

As predicted, this [[or an approval of a plan that does not fully pay CALPERS) will likely be appealed, all the way to the U.S. Supreme Court.

The interesting thing is that CALPERS is funded to a much greater extent than either Detroit pension fund. CALPERS isn't out of money; they just are going to try to stick it to San Bernadino, so that no other city can use Chapter 9 as an option.
August-30-13, 04:48 AM
Hermod

Quote:

Originally Posted by BankruptcyGuy

As predicted, this [[or an approval of a plan that does not fully pay CALPERS) will likely be appealed, all the way to the U.S. Supreme Court.

The interesting thing is that CALPERS is funded to a much greater extent than either Detroit pension fund. CALPERS isn't out of money; they just are going to try to stick it to San Bernadino, so that no other city can use Chapter 9 as an option.

Because if San Berdoo prevails and gets out from under, half the cities in the US will be lined up outside the courthouses.