Tuesday, June 02, 2009

Belt and Suspenders

The SacBee has the story:

What started as a municipal bankruptcy in the city of Vallejo has morphed into an all-out fight between California's local governments and unions over the sanctity of labor contracts vs. the autonomy of cities and counties.

Next battle zone: the floor of the state Assembly, where legislation requiring local governments to get state approval to file for bankruptcy protection is headed for a vote later this week.

This won't be the last imbroglio spawned by the state's fiscal turmoil. But it is likely to be among the hottest.

The bill by Assemblyman Tony Mendoza, D-Artesia, is sponsored by the California Professional Firefighters and supported by nearly three dozen labor organizations in the state and AARP – groups worried about labor contracts or pensions potentially being affected by bankruptcy filings.
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This is so wrong on so many levels. Permission from the State to file municipal bankruptcy? Changing bankruptcy law to exempt labor from modification? This is why California is so screwed.

10 comments:

Jean ValJean said...

Well, the FIRST thing I would to to fix it would be to get the suspenders out of the way...

Rob Dawg said...

But, but, but... then her pants would fall down!

averagerainfall said...

Not when they're made of skin-tight Lycra™ ;-)

Mr. Outspoken said...

Getting her pants out of the way would be the second thing I would fix.

Rob Dawg said...

"Oh, I'm sorry, I didn't realize I was your first."

"If you hadn't been in such a hurry, I could have taken off my pantyhose, dummy." [rimshot]

Sadly, while we joke the firefighters are literally legislating the State into insolvency.

Mr. Outspoken said...

Yahoo is touting that April existing home sales are up 6.7% after the government paid any first time buyers $8000 to buy a house before November. Then at the end of the article they mention that prices are down 15%, the second highest drop on record.

They also mention that the Midwest led the way. The Midwest has the cheapest housing where the $8,000 credit will go the furthest. It's articles like these have me still question the rally.

Rob Dawg said...

Mr. O,
It's all smoke, mirrors and pig lipstick at this point. Can I buy some of those Buffalo or Detroit houses for $5000 and pocket the difference?

Agent #777 said...

Dawg, I have been around long enough to know that this is not even the first time you have used that picture - not that I am complaining, mind you.

Son of Brock Landers said...

what side is the media taking? I would think they'd smartly take side with the state (taxpayer) since it's not like state union ees advertise in their papers. they usually defend unions though, except the unions they have to deal with.

Aaron said...

I think housing will explode upward with a modest 10% gain next year. ;)

j/kin aside....who is putting money into this market? The dow just touched the 200 MA and all the pundits are saying it's a great time to buy stocks? sure so the phat cats can sell into any little rally the sheeples create. BTW volume has been light on this recent climb to these new highs which seems to indicate we have a good 10% correction coming.

FAZ is looking good. Got in at 4.32 and 4.36 on Monday. Looks good for a nice gain