LA Schools Borrowed Over $1B to Pay Abuse Claimshttps://www.frontpagemag.com/la-schools-borrowed-over-1b-to-pay-abuse-claims/Another progressive policy is blowing up exactly as expected.
Last year I wrote about how California Dems had opened the door for endless billions in abuse claims.
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Costs for the LA school system alone are set to pass $1 billion.
With costs mounting for alleged sexual misconduct cases, the Los Angeles school board has approved $250 million in bonds — on top of $500 million already authorized less than a year ago — to fund payouts to victims.
The cost of both bond issues, including financing, is expected to be more than $1 billion, based on cost estimates provided by the district, and will be paid out of the district’s general fund over at least a decade. The gradual repayment will lessen an immediate budget strain.
The board’s unanimous action this week authorized the administration to purchase a new round of “judgment obligation bonds.” This special instrument is essentially a loan from investors that can be drawn down as needed to pay off sexual misconduct claims as they arise.
The additional money is needed, said L.A. schools Supt. Alberto Carvalho, because “we are exhausting funds available to us to satisfy sex and molestation cases that have been brought against the district, in many instances, reflecting cases that go back decades, that the district is not willing — not able — to successfully defend.
So, several years ago, Sacto passed what was supposed to be a, "Get the Catholic Church," bill that did away with the Statute of Limitations for sex abuse civil suits. Whatever $$$-travail it has caused the Catholic Church, because the bill had to be all-inclusive to be constitutional, it ensnared, potentially, every public school and juvenile detention facility in the state.
Brilliant!
