The latest on California politics and government
By Dan Walters
April 30, 2013
California’s state and local governments are at least $648 billion in debt and the total could surpass $1.1 trillion — depending on how pension liabilities are calculated — according to a data compilation by a conservative think tank.
The report was published by the California Public Policy Center, which is based in Southern California and concentrates its work on public employee unions and public pension liabilities. It’s also a target of criticism by unions and other liberal groups, which accuse it of being part of a right-wing conspiracy to attack unions and public employees.
Anticipating that criticism, the organization took great pains to base its debt calculations on official data, including pension funds’ own estimates of their unfunded liabilities, deviating from that methodology only on speculating about potentially higher pension debts.
The heavily footnoted report says the state’s official debt stands at $132.6 billion, with general obligation bonds more than half the total. Other state debts include $27.8 billion in “budgetary borrowings” that Gov. Jerry Brown has described as a “wall of debt,” $10.9 billion owed to the federal government for unemployment insurance benefits, and $11.3 billion in lease-revenue bonds.
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