This is a story from Bloomberg News. You have not seen it in the TV news, your local newspaper or any legislator denouncing these numbers as inaccurate.

“Using the higher pension gap number, State Budget Solutions said California is in the biggest financial hole — with total debt of more than $612 billion. New York follows with $305 billion of debt, and then Texas, with total debt of $283 billion. Vermont has the lowest amount of total debt at just over $6 billion.

The group also looked at the financial shape of states using the Pew pension projections. It came up with a total debt of $2 trillion for all states.

California still owes the most under the alternative computation, but the state’s total debt drops significantly, to $307 billion. With the Pew numbers, New Jersey follows with $183 billion of debt and Illinois is next at $150 billion.”

This years we paid $306 million in interest to the Feds on the money we borrowed to keep sending out unemployment checks.Next year it will be over $500 million–while we will owe the Feds $14 billion principal.

According to State Controller Chiang in the first 90 days of this fiscal year we are $17.6 billion in deficit–we borrowed $5.4 billion and stole $12 billion from Trust Funds to cover that.

California is in a Depression and it is getting worse by the day.

Debts of states over $4 trillion: Budget group

10/24/11

CLICK ON BLUE HEADLINE TO SEE COMPLETE STORY

“California still owes the most under the alternative computation, but the state’s total debt drops significantly, to $307 billion. With the Pew numbers, New Jersey follows with $183 billion of debt and Illinois is next at $150 billion.

According to the analysis, California has also borrowed the most from the federal government to pay for unemployment benefits, $8.6 billion. Michigan was next, taking out $3.1 billion, and then New York, borrowing $2.9 billion.

As unemployment shot up, some states could not pay for the surge in demand for jobless benefits. The federal government loosened its lending rules to keep states from having to cut other areas of their budgets. But last month the U.S. government again began charging interest on the outstanding loans and may levy extra taxes on businesses in states with outstanding loans.”

Previous Post

Next Post

Got something to say? Post a comment.

 
By posting you agree to our Terms of Use and Privacy Policy