This is the latest of a continuing series on why California is broke. For the previous two posts, go HERE and HERE.
Greece was recently bailed out by the EU, mainly Germany, because it was insolvent with a national debt of 216 billion Euros (approx. $277 billion). The state of California is three times the size of Greece in both geographical area and population — and like Greece, California is also broke.
It is not just the state that is insolvent, California’s cities are also broke. More than 2 years ago, on May 23, 2008, Vallejo became the largest California city to seek bankruptcy protectiona week after it rejected an offer by labor unions for $10 million in pay cuts. The Northern California city listed assets of $500 million to $1 billion and debt of $100 million to $500 million in its Chapter 9 filing in U.S. Bankruptcy Court. On July 13, 2010, Oakland – the 8th largest city in California which ranks 5th worst in the U.S. for violent crime - faced with a deficit of $42 million for fiscal year 2010, laid off 80 police officers.
Here’s another reason why California and its cities are broke. Their so-called governments are corrupt and comprised of thieves.
The city of Bell in Southern California has a population of 38,000 with a 16% unemployment rate. But its city manager draws an annual salary of $800,000, with an automatic 12% yearly increase; the police chief makes over $450,000 per year, and the salary for the part-time city council is $100,000 a year!
I’m moving to Bell, California and running for City Council. A report by the LA Times sparked a protest at last night’s council meeting when it was learned that the Bell, California city manager makes nearly $800,000 dollars annually. That’s not all, the police chief of the 38,000 resident Town makes over $450,000 per year and each city council member rakes in $100,000 for their part time gig. Good work if you can get it. Bell is a mostly Hispanic town of just under 40,000 people about 10 miles southeast of Los Angeles. At the City Council meeting last night it was like the final scene of Frankenstein, pitchforks and torches. The crowd showed up to call for the resignations of the Mayor, City Manager, and other city officials. When the crowd arrived and began to fill the venue, council members adjourned for a private session. The attorney for the city said they were not allowed to talk about salaries without advance notice. At one point the Fire Department wanted to cancel the meeting because the crowd had become so large they were blocking the door. The “brave” city council returned saying that they would have a report on salaries at the next meeting and they would take public comments at that time. Somebody please get a video. The meeting will be held July 26th. The Los Angeles County DA has opened an investigation into the Bell, California city officials pay. State Assemblyman Hector De La Torre says that state law limits council members salaries to several hundred dollars per month. I don’t think that adds up to nearly $100,000 per year. You can read more about this abuse of power here. The Mayor of Bell, California said in an interview that “Our streets are cleaner, we have lovely parks, better lighting throughout the area, our community is better. These things just don’t happen, they happen because he had a vision and made it happen.” Yep, that should fix it. Probably the most outrageous of all is the Bell, California City Manager’s $800,000 per year salary; not to mention his automatic 12% raise annually. Chief Administrative Officer Robert Rizzo earns $787,637 to be exact. While the Police Chief pulls in $457,000, way more than even the Los Angeles Police Chief.
Predatory Lending is a major contributor to the economic turmoil we are currently experiencing.
Here is an example of what I am talking about:
Scott Veerkamp / Predatory Lending (Franklin Township School Board Member.)
Please review this information from U.S. Senator Jeff Merkley regarding deceptive lending practices:
“Steering payments were made to brokers who enticed unsuspecting homeowners into deceptive and expensive mortgages. These secret bonus payments, often called Yield Spread Premiums, turned home mortgages into a SCAM.”
The Center for Responsible Lending says YSP “steals equity from struggling families.”
1. Scott collected nearly $10,000 on two separate mortgages using YSP and junk fees. 2. This is an average of $5,000 per loan. 3. The median value of the properties was $135,000. 4. Clearly, this type of lending represents a major ripoff for consumers.
This is the latest of a continuing series on why California is broke. For the previous two posts, go HERE and HERE.
Should we be surprised? This is Mexican corrupt politics in the U.S. The hispanic population of Bell is currently 90%.
Wow! Well, whoever they learned it from, they don’t have a corner on the market when it comes to greed in this country.
Nuttin’ like gummint jobs… gettin’ paid twice or three times what you would if you actually did something.
Of course, that doesn’t include military people… they’re always paid crap while left/liberal bureaucrats make the fat cash, for some reason.
Re: Ripoff Report / “Kickbacks”
Predatory Lending is a major contributor to the economic turmoil we are currently experiencing.
Here is an example of what I am talking about:
Scott Veerkamp / Predatory Lending (Franklin Township School Board Member.)
Please review this information from U.S. Senator Jeff Merkley regarding deceptive lending practices:
“Steering payments were made to brokers who enticed unsuspecting homeowners into deceptive and expensive mortgages. These secret bonus payments, often called Yield Spread Premiums, turned home mortgages into a SCAM.”
The Center for Responsible Lending says YSP “steals equity from struggling families.”
1. Scott collected nearly $10,000 on two separate mortgages using YSP and junk fees. 2. This is an average of $5,000 per loan. 3. The median value of the properties was $135,000. 4. Clearly, this type of lending represents a major ripoff for consumers.
http://merkley.senate.gov/newsroom/press/release/?id=A09C6A80-537A-4EB1-83C5-31925F046B6F