California budget may just be a short-term fix, after all
California has a budget, but how long will it last? And what will be done about the pension time bomb?
Don Facciano of the Ventura County Taxpayers Association believes the legislature will be back considering more cuts in a few months. Others think it may be a mid-year correction.
Meanwhile there is the question of pensions — a growing problem for state and local funds whose investments have fallen far short of future obligations and where there’s simply no cash to make catch-up contributions.
In the best-case scenario, California scrapes along budget-wise until the economy begins to turn around.
But even that scenario doesn’t attack the next looming fiscal monster — the pension mess.