San Bernardino votes to file for bankruptcy protection

[jannyk]

Source: LA Times

The San Bernardino City Council votes to file for bankruptcy. Facing a $45-million budget shortfall and the prospect of not being able to pay city workers, the panel Tuesday voted to file municipal bankruptcy, the third California city to do so in recent weeks.

The vote came shortly after the interim city manager recommended seeking bankruptcy protection, saying the city may not be able to make payroll over the next three months. "We have an immediate cash flow issue," Andrea Miller told the mayor and seven-member council.

The dire fiscal situation remains even after the city negotiated $10 million in concessions from employees and slashed the workforce by 20% over the last four years.

If San Bernardino votes to declare bankruptcy, it would be the third California city to do so in recent weeks, joining Stockton and Mammoth Lakes. The council called special back-to-back budget meetings Tuesday and Wednesday, which are expected to attract a packed house at City Hall.

Read more: http://latimesblogs.latimes.com/lanow/2012/07/san-bernardino-files-for-bankruptcy-protection.html

[SunSeeker]

1. Another victim of the real estate implosion in CA.

San Bernardino County was really hit hard. Everyone I know there lost 40-50% of the equity in their home. There are ghost towns of abandoned foreclosed homes. It is so sad. And to make matters worse, it is a very red county, with teabaggers controlling a lot of local government. No doubt they will use the bankruptcy to really screw the city workers.

[kansas93]

2. Advice

This is something I hope you will take seriously. Every city, town and state that is run by tea party or GOP must start checking into private assets of their reps. Look for venture capital firms in the news that have gotten large funding for creation of jobs or projects or whatever else you can find. Get a team, you will need one.

[NBachers]

3. Sage advice, Kansas93, and welcome to Democratic Underground

So is your advice coming from a "vague feeling of unease," or do you have knowledge or experience that points thataway?

[SunSeeker]

7. Kansas93 is on to something, especially about San Bernardino.

http://www.democraticunderground.com/1014164120

[SunSeeker]

8. You mean a GOP city counsel like in San Bernardino spending a ton on a movie theater?

http://latimesblogs.latimes.com/lanow/2012/07/san-bernardino-bankruptcy.html

[Spitfire of ATJ]

4. My only question is, what took so long?

San Burn-a-hooter as it's known here is one of the most down and out major cities in California. One of the only things that's kept it afloat is the airport and the fact that it's on the way to somewhere else. Namely Big Bear and Palm Springs. This is the kind of place where cab drivers get mugged and prostitutes strut their stuff on a Tuesday night.

About 20 years ago they drained Seccombe Lake near the downtown area to dredge the built up silt and found weighed down corpses on the bottom. One was inside an old refrigerator. That was freaky. They had to have put it on a boat and floated it out there and then tossed it over. Makes you wonder if the person inside was still alive since they showed the fridge in the paper at the time and it was one of those old types with the latch handles.

One of the local jokes was the reason San Bernardino was so bad was because it was next to Rialto. I'm sure Rialto says the same in reverse.

Well,.....maybe not....

[coalition_unwilling]

5. First Stockton (last week), now San Berdoo. I wonder

who will be next?

[Spitfire of ATJ]

6. Irvine,....as a tax dodge.....