California Cities Irked by Borrowing Plan - WSJ.com: "California Gov. Arnold Schwarzenegger, in his efforts to find funds to balance the state budget, has proposed borrowing $2 billion from municipal governments over the next fiscal year, a tactic that is rankling local officials up and down the state.
Mr. Schwarzenegger is invoking a 2004 law that lets the state demand loans of 8% of property-tax revenue from cities, counties and special districts. Under the law, the state must repay the municipalities with interest within three years."
---------
And then what? The cities cut services and ask more from the few remaining real estate developers?
No comments:
Post a Comment