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San Diego City Employees pension fund ailing
Response to 42, jv I didn't make a statement either way on whether I think the city would qualify for or have a bk petition approved. I was responding to Don's post in which he said " As far as we know, the city is paying its bills". I have no idea whether the city is paying it's bills or not or what it's cash flow is either. Don appears to believe the bills are still being paid and I'm sure he has better sources than eiither one of us. Do you have something other than anecdotal evidence that payments are not being made that you can share? Remember the code says not paying its debts as they become due. If employees are not receiving their pay when due or vendors are not receiving payment when due, that's one thing. But I don't know if not paving the streets,closing libraries reducing staff ect would be applicable in a bk. Unfortunately for San Diego, I think the OC board of supervisors is alot smarter than the San Diego city government.— January 1, 2009 6:03 p.m.
San Diego City Employees pension fund ailing
response to #29 jv, I'm not a bk attorney but I don't think it's "anything the court does- within reason - goes" in a chapter 9 bk. From the US courts chapter 9 bankruptcy section: "Due to statutory limitations placed upon the power of the court in a municipal debt adjustment proceeding, the court is far less involved in the conduct of a municipal bankruptcy case (and in the operation of the municipal entity) while the debtor's financial affairs are undergoing reorganization." "The functions of the bankruptcy court in chapter 9 cases are generally limited to approving the petition (if the debtor is eligible), confirming a plan of debt adjustment, and ensuring implementation of the plan. As a practical matter, however, the municipality may consent to have the court exercise jurisdiction in many of the traditional areas of court oversight in bankruptcy, in order to obtain the protection of court orders and eliminate the need for multiple forums to decide issues." I read the 2nd section as saying that any court action beyond approval, confirmation and implementation is up to the city. Here is another interesting section of the code, in particular the last line: "The municipal debtor has broad powers to use its property, raise taxes, and make expenditures as it sees fit. It is also permitted to adjust burdensome non-debt contractual relationships under the power to reject executory contracts and unexpired leases, subject to court approval, and it has the same avoiding powers as other debtors. Municipalities may also reject collective bargaining agreements and retiree benefit plans without going through the usual procedures required in chapter 11 cases." Here's the link, it makes interesting reading. http://www.uscourts.gov/bankruptcycourts/bankrupt…— January 1, 2009 12:18 p.m.
San Diego City Employees pension fund ailing
Response to # 19 Don, There are some specific eligibility requirements for chapter 9 one of which is "the municipality must be insolvent, as defined in 11 U.S.C. § 101(32)": "Municipal insolvency is defined as "financial condition such that the municipality is-- (i) generally not paying its debts as they become due unless such debts are the subject of a bona fide dispute; or (ii) unable to pay its debts as they become due". The city may not providing the services it should and the infrastructure may be a mess(it is), but if they are still "paying the bills" it doesn't appear as if bk is an option.....yet.— January 1, 2009 11:55 a.m.
More Copley Competition:McClatchy's Miami Herald Reportedly on the Block
Tribune just filed chapter 11. I guess sam zell couldn't cover that 1 billion in interest he has coming due Do you think maybe now he's questioning the decision to take the company private?? I wonder how this will affect Tribune's ability to sell the Cubs and Wrigley Field and the regional cable sports nework?— December 8, 2008 10:57 a.m.
100 Best Singers, 1 Great Drummer
Darleen Love- you probably would know her better for playing Danny Glover's wife in the Lethal Weapon movies— November 22, 2008 5:35 p.m.
San Diego Unemployment Rate Rises to 6.8% in October from 6.5% in September and 4.8% a Year Ago
Actually, an AP story had the rates at 8.2% and 6.5%. Not a big deal really, unless you're one of the extra 20000 or so jobless in that extra .2%.— November 21, 2008 8:30 p.m.
City Pension Fund Is Only 58 Percent Funded, Council Will Learn Tomorrow. Will It and Mayor Listen?
by JohnnyVegas: "BK is coming, I guarantee that. Sanders won't file on his watch, he will just pass the buck while San Diego's deficits grow bigger and bigger." "BTW, since Mike lost I am going on record today, right here right now = San Diego will never be able to dig out of the unfunded pension and retiree healthcare liabilities and will file BK, sooner or later." "BTW-I have a C-Note that says San Diego files BK within 12 months-who wants some of that action???????" Make up your mind, JV.You're starting to sound more and more like fumber every day. You make valid points sometimes, but sometimes it just looks as if you're just a blog version of someone who likes to hear himself talk. Circumstances didn't change that much in 2 weeks. Pick a stance and stick with it. If you really are a lawyer them I'm sure you have had a little experience at being wrong.— November 13, 2008 10:42 a.m.
What's the first concert you saw?
June, 1972 when I was 15. I saw Zeppelin not once but twice. First time was at the Sports Arena and then a couple of weeks later I was visiting my cousin in Az. and he got tickets from some radio station. I can still remember the arena being dark and hearing Plant's wail from The Immigrant Song. Saw Zeppelin 4 or 5 more times and still the first 2 were the best. If I remember correctly, the original lineup of the James Gang was the opening act.— November 6, 2008 11:58 a.m.
John Kaheny defends rising pensions in San Diego
Actually, I believe Anon92107 is a non issue.— November 4, 2008 12:34 p.m.
John Kaheny defends rising pensions in San Diego
#15: The Dow will decline to about 4,500 within the next year. It will take at least 10 years to reach the 8,000 level again." Whatever you're smokin, I think you need another bowl.— October 31, 2008 10:26 a.m.