Friday, May 28, 2010

It's probably George Bush's fault

CNN/Money with an article on the next municipalities to go belly up.

Here's the brief version of the areas in question

Jefferson County, Ala.

Jefferson County, Alabama's most populous county, with some 665,000 residents, is shouldering about $5 billion of debt, most of which was issued to overhaul its sewer system in the mid-1990s. But the county's real troubles stem from a 2003 refinancing of the original fixed-rate bonds and a corrupt local government that accepted kickbacks in exchange for mangling the county's portfolio.

Harrisburg, Penn.

Pennsylvania's capital owes $68 million in bond interest payments this year -- $3 million or so more than its entire annual budget. The Harrisburg Authority, the governing body that issued the bonds to construct a state-of-the-art trash incinerator, has already been unable to make several payments, and now the county government, which footed the bill last year for a $775,000 swap fee, is suing for the funds.

Detroit

To make up for a 2010 budget shortfall of $280 million, Detroit issued $250 million of 20-year municipal notes in March. The issuance followed on the heels of a warning from city officials that if its financial state didn't improve, it could be forced to declare bankruptcy. Nonetheless, demand for the bonds was high, thanks in large part to a guarantee that the state would make the payments if the city became insolvent. Michigan has already proved that it has few qualms about stepping in. In early 2009 the state took over the Detroit Public School System, which was facing a budget deficit of more than $300 million. Now a governor-appointed "emergency financial manager" oversees every penny spent.


If you were to guess what parties have run these cities for the past half millennium or so would you guess republicans or democrats?

Let's face it, Detroit is a given. There hasn't been a republican in city government there since the advent of the wheel.

But honestly I wasn't sure about Harrisburg and Jeff Co. so I did some research. Here is what wiki has on the current Harrisburg city council........


1 Gloria Martin-Roberts 2004 Dem
2 Patty Kim* 2004 Dem
3 Brad Koplinski 2007 Dem
4 Susan Brown Wilson 2007 Dem
5 Wanda D. Williams 2004 Dem
6 Eugenia G. Smith 2010 Dem
7 Kelly D. Summerford 2010 Dem

With that kind of representation, I'm surprised there's even an "R" in any of their names.

What about the mayor?


Stephen R. Reed Jan 5, 1982 - Jan 4, 2010 Democrat
Linda D. Thompson Jan 4, 2010–Present Democrat

How about Jefferson County. Surely, there has to be at least one republican. In fact, republicans have had a 3-2 majority on the commission since 2006. but here's the skinny on Jeff. Co....
Since Collins assumed the commission presidency in November 2006, when she led a majority of three Republicans, her tenure has been rocky.

The county soon was consumed by a financial mess, driven by complex financial deals made during the leadership of her predecessor, Democrat Larry Langford, the former commissioner and Birmingham mayor who was convicted in October of 60 counts of corruption related to some of those deals.

In the midst of that quagmire and arguments over whether the county should seek protection in what would be largest government bankruptcy in U.S. history, Collins broke rank with her fellow Republicans -- Jim Carns and Bobby Humphryes -- and formed a majority coalition with the commission's two Democrats.

Once again democrats lead the charge of running a county into the ground.

The bottom line is this. If you want your city/state/country to turn into festering, puss filled, cesspool, then vote for liberals. They'll do all the work for you.

1 comment:

Anonymous said...

Whereever government puts itself in the position of solving social ills, the social ills will intensify. Why do people believe that govt incompetance would be limited to the post office, DMV, or the public schools. BTW, I think public employees are fine. It's the monopolistic nature of government that makes them act incompetantly. And why would anyone want to enrtust social engineering to such incompetance.