Nobody really knows the endpoint,
And evaporating sales. Taxes. Cities, counties and state finances are in severe trouble. As the economy continues to limp along can extend 70 News radio's Charles Feldman in Mike Simpson brought this to Bill Haugland, He's senior vice president of the bipartisan Policy Center. Before that, he was a longtime Senate budget committee staffer and director. So Bill, it looks like everybody, too. Put it bluntly, is gone broke? Well, that's unfortunate, But that's true. About a third of the city's out. There already are beginning to not only Ella as you mentioned, but cities across the United States or furloughing are laying off central municipal workers. Nearly half are planning to institute higher increases. We've lost something like 1.8 million already employed in state and local government or the latest figures in July. That's up nearly a million over a year ago, so it is a very difficult situation that we're facing. At the state and local level, No question about it. So is there anything to do save doing what they're going to do for alone? Try and cut corners where they can because you don't have the sales tax revenue and things are coming in. People are unemployed. You have a lot of spending because we're in the pandemic. I guess you could try and depend on Washington to bail you out. But that hasn't happened yet. And there's a difference right between states and cities and the federal government. The federal government doesn't have to balance its budget. The states in the cities they do, correct and California to your credit. You began the year with almost a six In dollars surplus, and within four months you were in deficit by 54 billion, And as I understand, California has begin to process rating against the rainy day fund. That's one way to approach it. You can. You're gonna have to do some reductions in Des Paroles. I still believe I might that there will be federal assistance coming State. Local negotiations are ongoing. Picking up now right after Labor Day, so don't rule out the possibility there still won't be some assistance coming from the federal government whether it will be enough for not to avoid They're for loads are layoffs. I'm not sure the one thing that I really am interested in is and I'm taking some statistics here. L A has about 5% of the Kobe cases, at least by the end of July. That was the figure you have 4% of the population. And yet you had nearly 8% of the job losses. This pandemic has been particularly hard hit on America's largest urban areas, and it's disproportionately had headed more impact on jobs in the cities. And so is the consequences. You say revenues or not, They're think that Reason enough for the federal government to start to wake up to the realization that it has about here. It's not gonna be easy, but there's got to be some federal assistance coming to the states and cities and I believe that's still possible. I guess I'm an optimist here, Okay, but But, Bill I mean, look, I mean, there is a price to pay right? And if the federal government has to, and nobody really knows the endpoint, which is part of the problem, But if the federal government has to continue to give a kind of fiscal blood transfusion to all these states and all of these cities, how long Can that go on For realistically I get that they're gonna fit can print as much money as it wants. But there's a price. Well, of course, just today.