•Jefferson County, Alabama to Put One-Third of Workers on Leave as Money Runs Out

Discussion in 'Economics' started by ByLoSellHi, Jul 21, 2009.

  1. I was down there in 2006, and it was hopping, with new roads and new subdivisions being built everywhere.

    At moments like these, I'm glad I was able to reign in unrealistic business models and sales' pitches, because that 20,000 per acre land is probably going for less than 8,000 now.

    Landis, I will make money on this info, as I now know exactly to do with options on very sophisticated financial instruments that leveraged Jefferson County, Alabama debt obligations that I will now have the opportunity to exercise or not.

    All you can do is read this article and dream.


    Jefferson County, Alabama, to Put One-Third of Workers on Leave
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    By Kathleen Edwards

    July 21 (Bloomberg) --
    Jefferson County, Alabama, the state’s most-populous county, will run out of money and plans on Aug. 1 to put as many as 1,200 employees on unpaid leave, the president of the county commission said.

    The six-week furlough of more than one-third of the county’s workforce will allow enough time for the Legislature or the state Supreme Court to reinstate an occupational tax that was struck down on constitutional grounds, commission president Bettye Fine Collins said today.

    Jefferson County, home to Birmingham, has been teetering on the brink of bankruptcy since last year when interest rates on $3 billion of the county’s sewer debt soared as high as 10 percent amid Wall Street’s credit crunch. The crisis intensified in June when a circuit court prohibited the county from spending the $75 million annually generated by the tax.

    To contact the reporter on this story: Kathleen Edwards in Birmingham, Alabama, at .
  2. All of Indiana is insulted by that last statement
  3. Tide31


    With all the talk about Cali and LA having similiar problems, I had to laugh tonight when I read that LA wants to open a criminal probe into how much was spent on police action at the Staples Center and elsewhere during Michael Jackson's tribute. They spent $1.4mm total that week. Sandwiches for cops for $70k. There were 3200 cops. Here's why I got a chuckle: they are going to spend more money investigating and this is what they'll find. It is estimated that between 350-400k people came into the city on those days. With hotels, restaurants, shops, transportation, etc... I think it would be safe to say the average person spent $100. Some a lot more. 400k x $100 is $40mm total in expenditures. 40mm x .06 (tax rate, Cali may be higher?) = $2.4mm. LA made $1mm that day. This is why cities fight for the Olympics. Just thought this was interesting and see how long it takes for them to figure this out.
  4. No way Ind. is as bad as Alabama. No way.
  5. the1


    You obviously haven't been to New Mexico. :D


  6. Well, they still have their guns! lol



    Registered: May 2009
    Posts: 114

    07-06-09 09:26 PM

    Unlike 99.99% of the retard right, at least Martin Feldstein was honorable enough and smart enough to realize the beginning of the economic death spiral the republican nuts were planning.

    As for Californias problems?

    Back to the retard right, Ahnald and and their constitutional amendment limiting property taxes.

    And let's not forget all the taxes the Federal govt. leeches off CA to pass onto welfare collecting retard right states.

    A CA default would be a great lesson to shut up the trailer park states. No more welfare payments from the Feds.
  7. Isn't Birminham, Alabama the place where the Mayor was trading derivitatives against the city's (or county's) municipal debt? I think the dude lost $1/2 billion or more. And he never even ever bothered to stopped by here to bitch about how everything sucks.

    A quick google, bang, there he is-

    Mayor Larry Lanford arrested on federal charges


    I assume at least 50% of the residents voted this guy in. What can you say?
  8. ER9


    i'm gonna assume that was a typo and that you actually meant several countries in South America. :D
  9. MattF


    heck, South America in and of itself would probably qualify :)
  10. Subprime American cities and counties are literally running out of money.

    Is this going to be a replay of the mortgage crisis, and will Alt-A, and then prime cities and counties be next?

    (Wait, California is what designation, as a state?)
    #10     Jul 22, 2009