To Pay New York Pension Fund, Cities Borrow From It First...Yikes.

[dixiegrrrrl]

This will not end well.

ALBANY — When New York State officials agreed to allow local governments to use an unusual borrowing plan to put off a portion of their pension obligations, fiscal watchdogs scoffed at the arrangement, calling it irresponsible and unwise.

And now, their fears are being realized: cities throughout the state, wealthy towns such as Southampton and East Hampton, counties like Nassau and Suffolk, and other public employers like the Westchester Medical Center and the New York Public Library are all managing their rising pension bills by borrowing from the very same $140 billion pension fund to which they owe money.

Original link leads to pay for view NT Times page.
Here is link to Denninger's site which posted the above:

http://market-ticker.org/akcs-www?post=202655

[liberal N proud]

1. Robbing from Peter to pay ....

Peter?

Sorry Paul.

[golfguru]

2. I hope you sold your gold positions in time at good profit?

I hope you paid attention to my rants that gold was in a bubble.

[dixiegrrrrl]

3. I have no gold ..but..

a friend of mine does and sold...yesterday.
Gold will be heading back up, for sure.
I do have a small amount of silver, in various forms.

[golfguru]

4. Gold & Silver will be worth 25 times in 40 years

but it is better to avoid those when in a parabolic mode. I had stashed
away some silver coins from the 60's and recently sold them for 28 times
face value.