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Frontline Strategies’ Mark Standriff on the impact of the union on the struggling city in California.
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Union of Stockton California launched an all out intimidation campaign against the Stockton city manageable -- It -- It began when manager -- -- the police union to renegotiate pension benefits and announced possible layoffs as well three months later.
But police unit -- house next -- -- they started noisy renovations -- plaster billboards with these postal phone number on him.
Even put a -- a bumper sticker on his -- about -- intimidation.
Now this device has ruled out pension reform and in retire and the police union agreed to sell a house next door -- November 2050.
-- -- with Frontline strategist joins us now from Sacramento.
-- on pullbacks successful.
Union thuggery my go too far.
-- -- -- And I think you're seeing this -- -- being played out -- throughout the state of California even a throughout the rest of the nation we've been dealing with for some time you know what's interesting.
That there is actually a law firm out there that represents roughly a 120 of the public safety unions around the state of California I forget their exact name but I think it sounds like.
Dewey Cheatham and -- That unfortunately has put on their well their web site of the actual playbook of intimidation tactics which include things.
Like work stoppages like -- having police officers going into neighborhoods.
Looking for minor crime victims and information and basically it's scaring the public into thinking that.
If we put less police officers on the street we don't get in these pension benefits it's just gonna be more trouble for the city's.
Like -- doctor that Stockton is bankrupt isn't.
I mean.
Yes -- I'm not sure that I think they have actually declared bankruptcy or they're about -- but that totally insolvent.
And but police pensions would just Juan.
Of the reasons why they are insolvent.
So now if they don't reform police pensions they're still gonna -- the same amount of money there's still gonna higher and higher people.
What happens to the city of Stockton.
Well.
You -- basically we're looking at a scenario let's see because I -- California I have to use Hollywood is an example you've got an Armageddon movie let's call it budget getting.
And we got these pension asteroid that's careening toward the city of Stockton right now.
But unfortunately instead of doing the Smart brave courageous thing and finding a way to get out -- -- destroy this pension asteroid.
You've got public union -- are trying to force the city manager to basically move the earth out of the way.
-- you know would be both know that that's never gonna work and unfortunately that's a day of reckoning that's coming.
For cities like Stockton and San Bernardino that they they just can't avoid anymore what about the state as a whole governor brown and -- -- state -- the state just last week he said look no we've we've finished with a deficit we're okay we're we're in the black actually that's what he said well yes it.
If if you if you look at the actual numbers behind that.
Part of eliminating that budget deficit men pushing off.
Payments toward bond obligations for another years that -- took a couple of billion dollars off the back in there.
And what's also interesting is that you know it's easy to claim that you've got a budget surplus when you -- six billion dollars more the taxpayers' money.
Thanks to prop thirty but hidden in this prop thirty funding.
Means that that the governor is now going to backfill.
Pension payments and salaries two state union workers you know something that was not part of the profits and that's addressing this profitability.
Raised taxes that was in the November election and he -- back dated to January.
They're gonna bring in an extra six billion dollars a -- -- -- telling us that some of that extra revenue will simply go towards paying state woke -- pensions as opposed to.
Reinvigorating the health service all the education system right.
Yes it and it also goes towards eliminating if you would -- furlough Fridays that Arnold Schwarzenegger had posted trying to.
He -- this this is state -- payment problem down.
But unfortunately.
The probable that Jerry Brown solid footing -- -- California's no -- to sobriety financially not at all.
Not at all no -- -- an end -- -- it's all these pie in the sky promises the other thing that's not being talked about is that.
All of these promises only hold until roughly about July when they have to come up with.
Another budget revision and it looks like you know -- -- California standing with its its current revenue projections.
But we're gonna fall short and -- what's gonna happen then you know again we we we gone off the edge of the cliff.
Right now Stewart in here in California unfortunately.
Nobody wants to deal with that reality they're too busy trying to pick out what kind of parachute they're gonna land have you at last question have you ever considered moving.
Out of state no no no I told you this before Stewart -- -- here for the long haul because -- -- -- tried to turn California from a right to perk state.
Back into a right to work state.
Interest and Motley behind you got -- -- standard -- pleasure thanks for joining us again project as always thank you Stuart --
