Rosy Picture Painted For California Cities & Counties
Sonora, CA — What a difference a year makes!
Sonora City Administrator Greg Applegate spent his Wednesday attending the League of California Cities Annual Legislative Event in Sacramento.
A year ago Applegate says the mood was contentous and confrontational as Governor Schwarzenegger was threatening to take his proposed budget to the populace.
This year it was a far different story as California will be reaping an unanticipated tax revenue windfall of $7.5 to $9 billion. Because of that, Standard and Poor´s on Wednesday raised its rating on the state´s general obligation bonds from “A” to “A Plus” and its rating on lease-supported debt from “A-Minus” to “A.”
So what does that mean for California cities? Applegate says he is hopeful the state will adopt a “hands off” policy; anotherwards no more “robbing Peter to pay Paul.” In the long run, Applegate feels all California cities will directly benefit from the windfall and the improved Wall Street ratings.
Written by Bill Johnson