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	<title>Pat Morris &#8211; CalWatchdog.com</title>
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		<title>San Berdoo declares bankruptcy</title>
		<link>https://calwatchdog.com/2012/07/11/san-berdoo-declares-bankruptcy/</link>
		
		<dc:creator><![CDATA[CalWatchdog Staff]]></dc:creator>
		<pubDate>Wed, 11 Jul 2012 16:56:48 +0000</pubDate>
				<category><![CDATA[Blog]]></category>
		<category><![CDATA[Gann Limit]]></category>
		<category><![CDATA[Jerry Brown]]></category>
		<category><![CDATA[Los Angeles]]></category>
		<category><![CDATA[Mammoth Lakes]]></category>
		<category><![CDATA[Pat Morris]]></category>
		<category><![CDATA[Proposition 30]]></category>
		<category><![CDATA[San Bernardino]]></category>
		<category><![CDATA[Stanton]]></category>
		<category><![CDATA[Stockton]]></category>
		<category><![CDATA[bankruptcy]]></category>
		<category><![CDATA[Brian Calle]]></category>
		<guid isPermaLink="false">http://www.calwatchdog.com/?p=30250</guid>

					<description><![CDATA[July 11, 2012 By John Seiler San Bernardino &#8212; San Berdoo to old-time Californios &#8212; just declared bankruptcy. The reason, reported the Sun: &#8220;In an earlier report to the council,]]></description>
										<content:encoded><![CDATA[<p><a href="http://www.calwatchdog.com/2011/08/11/judges-should-voluntarily-cut-own-pay/bankruptcy-court-4/" rel="attachment wp-att-21236"><img fetchpriority="high" decoding="async" class="aligncenter size-medium wp-image-21236" title="Bankruptcy Court" src="http://www.calwatchdog.com/wp-content/uploads/2011/08/Bankruptcy-Court-300x200.jpg" alt="" width="300" height="200" align="right" hspace="20" /></a>July 11, 2012</p>
<p>By John Seiler</p>
<p>San Bernardino &#8212; San Berdoo to old-time Californios &#8212; just declared bankruptcy. The reason, <a href="http://www.sbsun.com/ci_21044462/city-discuss-potential-bankruptcy-budget-options-today#ixzz20KgOiT8O" target="_blank" rel="noopener">reported the Sun</a>:</p>
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<p style="padding-left: 30px;"><em>&#8220;In an earlier report to the council, [Acting City Manager] Travis-Miller said the city has faced declining revenues and escalating retirement costs, with employee compensation accounting for about 75 percent of the city&#8217;s general fund spending.</em></p>
<p style="padding-left: 30px;"><em></em><em>&#8220;A bankruptcy filing would reopen negotiations on employee contracts but would not invalidate its pension payments, which Mayor Pat Morris and others have said are the main cause of the city&#8217;s financial problem.&#8221;</em></p>
<p><em></em>So even now, with the pensions causing the bankruptcy, the pensions won&#8217;t get changed. That shows the ultimate power of the government-worker unions: Their greed caused the bankruptcy, but even after the bankruptcy their greed remains unabated.</p>
<p>San Berdoo is the third California city to file for bankruptcy since Stockton did it on <a href="http://www.contracostatimes.com/bay-area-news/ci_20967616/stockton-declares-bankruptcy" target="_blank" rel="noopener">June 28</a>, and Mammoth Lakes <a href="http://latimesblogs.latimes.com/lanow/2012/07/mammoth-lakes-bankruptcy.html" target="_blank" rel="noopener">followed on July 2</a>.</p>
<p>That&#8217;s three city bankruptcies in 13 days, or one every 4.3 days. At that rate, 212 California municipalities out of <a href="http://en.wikipedia.org/wiki/List_of_cities_and_towns_in_California" target="_blank" rel="noopener">482</a> will file bankruptcy by the time Brown&#8217;s term ends in January 2015.</p>
<p>Brian Calle <a href="http://www.calwatchdog.com/2012/04/30/los-angeles-teeters-on-the-brink-of-bankruptcy/">also has reported on our site</a> on how Los Angeles is close to bankruptcy. And <a href="http://losangeles.cbslocal.com/2012/06/25/oc-city-faces-bankruptcy-unincorporation-as-revenues-plunge/" target="_blank" rel="noopener">Stanton</a> may be headed that way as well.</p>
<p>When he took office in January 2011, Brown immediately should have called a special election to enact a reform plank with two elements: 1) Restoring the <a href="http://www.caltax.org/member/digest/July2000/jul00-9.htm" target="_blank" rel="noopener">Gann Limit</a>, which limited spending increases to the increases in population plus inflation, but was repealed by misled voters in 1990. 2) Major pension reform.</p>
<p>Instead, he has been begging and maneuvering for an $8.5 billion tax increase, Proposition 30 on the November ballot, to pay for $5 billion in new splurge spending in his fiscal 2012-13 budget, which began on July 1. It will only make matters worse.</p>
<p>And Brown advanced a modest, 12-point pension-reform plan only in the Democratic-controlled Legislature, which has spiked it at the behest of its government-union masters.</p>
<p>The bankruptcies will continue.</p>
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