Orange County’s financial crisis that became visible last month when the State of California sued the county for using $73.5 million of education money to balance its budget continues to swirl. Shortly thereafter, it was reported (here) the Auditor-Controller resigned in December after disclosing a $30,146,000 shortfall in “Reserves for Contingencies”, his Assistant turned down the [...]
READ MORE »
The liquidity of the Orange County Treasurer’s Investment Pool was hammered last week when the City of Tustin withdrew $40 million and the State of California announced its intentions to soon pull out another $90 million. It was also reported that no other member of the Auditor-Controller bureaucracy is willing to accept the head job, [...]
READ MORE »
In another abrupt surprise, the highly respected Chairman of the Orange County’s Treasury Oversight Committee resigned on Monday, April 16, 2012. It seems he was being asked to read into the public record at a meeting of the Orange County Board of Supervisors, a letter written by county Treasurer, Shari Freidenrich stating that she had [...]
READ MORE »
Like the Titanic a hundred years ago that ignored warnings and ran full-speed into a massive iceberg, Orange County is taking enormous financial risks rather than addressing their gapping cash-flow deficit. To stay afloat the county resorted to making $518 million illiquid and unsecured interest rate wagers funded mostly from the payroll and savings account funds [...]
READ MORE »
Written by 