"Gov. Arnold Schwarzenegger, the state controller and treasurer decided Monday to delay $2.9 billion a month in payments to school districts and counties sooner than expected so the state can meet debt and pension obligations." That's right, they are not paying for schools, not paying for health care, not paying for transportation, not paying for help for the poor in the worst recession in 80 years. But they are paying the retroactively enhanced pensions, and the debts run up by a generation of tax cutting spenders. And the federal government just voted to help reduce the level of public school layoffs caused by the soaring cost of teacher pensions by increasing school subsidies, and offset it by cutting food stamps.
This isn’t happening by itself, due to “circumstances beyond our control.” Those debts and pension enhancements were a choice by Generation Greed. The decision to pay them, rather than declare bankruptcy and negotiate shared sacrifice with everyone starting at zero, is another, similar choice. Among many such choices.