Friday, May 7, 2010

Los Angeles on the Brink of Bankruptcy

Los Angeles is facing a terminal fiscal crisis: Between now and 2014 the city will likely declare bankruptcy. Yet Mayor Antonio Villaraigosa and the City Council have been either unable or unwilling to face this fact.

According to the city's own forecasts, in the next four years annual pension and post-retirement health-care costs will increase by about $2.5 billion if no action is taken by the city government. Even if Mr. Villaraigosa were to enact drastic pension reform today—which he shows no signs of doing—the city would only save a few hundred million per year.

Los Angeles's fiscal woes can ...

1 comment:

  1. File Personal Bankruptcy.
    I dont get that actually which one is the best option chapter13 or chapter7 .....????

    ReplyDelete