SACRAMENTO, Calif. (AP) — Gov. Jerry Brown says it’s time to start paying down California’s debt, which he calls a drag on the state and its economy.
Including accounting gimmicks, temporary loans and delayed payments, the state’s debt from past “budgetary borrowing” is $34.7 billion.
California also must repay $81 billion in bonds already sold for public works projects, while an additional $48.2 billion in bonds have been authorized but not yet sold.
Not even included in the governor’s debt total is an estimated $181 billion worth of unfunded pension obligations and retiree health costs owed for decades into the future.
In releasing his revised budget plan earlier this week, Brown said he does not want to continue “the gimmicks of the past.” Instead, he wants to eliminate $29 billion of debt by 2015.
(Copyright 2011 by The Associated Press. All Rights Reserved.)