What will happen to San Bernardino upon filing for bankruptcy?

Bankruptcy would mean that the city can stop servicing its debt and can focus on paying for services. The city has already laid off some 20 percent of its workforce and cut salaries. It is a wakeup call and a lesson for all of the US.

Want government services? Fine. Then expect to pay for them. The US has been stuck for years now in constantly slashing taxes based on the ridiculous concept that every additional cut yields greater revenue, and all cuts in employment or purchasing create lots of new jobs.

We are now seeing the results of taxpayer greed come home to roost. Here’s info on the three California cities that have now had to file for bankruptcy protection from creditors. It will mean that cities wishing to raise funding for public works projects will find it increasingly difficult. Assets will have to be sold. Layoffs will ensue. City services will be impacted.

There is a sweet spot in the middle where revenues support cities doing what it takes to provide residents a safe, pleasant environment, good schools, public safety, highway maintenance, etc. Under-fund those vital areas and you get a city from Hell. Residents want to flee, but can’t get a decent price for their property. Tax too much and revenues suffer because residents seek housing elsewhere. How California ever digs itself out of the mess Grover Norquist made of it, I do not know.