How Detroit ruling affects California cities

Dan the Man sorts it out in the Modesto Bee:

“The potential fallout is immense,” he writes. “If pensions can be reduced in bankruptcy, California cities, struggling with ever-increasing demands for pension fund payments, will use it as leverage to demand concessions from their unions.”

More than that; knowing they can now lighten their largest millstone, more cities will opt for bankruptcy. And emerge fiscally stronger, thus better able to serve the public good. Detroit may have done them all a favor.

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    Michael Fitzgerald

    Mike Fitzgerald is The Record’s award-winning metro columnist. His column runs in the paper three times a week. Born in San Francisco, he was raised in Stockton. His column covers diverse beats including, sometimes, the offbeat. Read Full
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