State proposal could borrow millions from cities
The plan would affect cities, counties, towns and some other local districts. Under a ballot measure passed in 2004, the state would be required to repay the money in three years with interest.
The 8 percent loss would come as local agencies are already cutting police, public works, parks and other services.
The League of California Cities alerted local leaders to the proposal last week. Chris McKenzie, the league's executive director, called the borrowing plan irresponsible, saying it would make more public safety cuts likely because local governments are already burdened with cutbacks. The league is urging Gov. Arnold Schwarzenegger to reject the idea.
It isn't their money. Thus ends civilization.