Thursday, March 12, 2009

Markets in Everything: Selling Stimulus Cash

Pasadena Star-News: A few California cities have found an alternate way to use their federal stimulus money: selling it to other cities for cash. (MP: At a pretty steep 30-35% discount.)

Metropolitan Transportation Authority has allocated a minimum of $500,000 in federal stimulus funds to each of the 88 cities in the county for transportation-related projects. Several smaller cities, some without shovel-ready projects, are making deals with others to sell or swap such funds and replenish their general funds.

The city of Bradbury is working on a deal to sell its $500,000 share of federal funding doled out by the MTA to the city of Torrance for $315,000 in cash for its general fund. La Habra Heights has sold its $500,000 in federal funds to the city of Westlake Village for $310,000 cash. Irwindale sold its $500,000 to Westlake Village, for $325,000 cash.


HT: Club for Growth

6 Comments:

At 3/12/2009 1:06 PM, Blogger ExtremeHobo said...

Ill take $1000 for $600 plz!

 
At 3/12/2009 5:30 PM, Anonymous diz said...

Why are cities without shove ready projects being awarded stimulus cash?

 
At 3/12/2009 5:37 PM, Blogger randian said...

Standard factoring deals aren't done at such discounts, but since it's not their money they're spending, and government employees are generally economically illiterate anyway, I'm not surprised to see this. I am surprised it's legal.

 
At 3/12/2009 5:39 PM, Anonymous cuchieddie said...

My brother lives in Westlake Village. Its a very upscale upper middle class community. I guess they need the cash to pay for all of the illegal mexicans who are cutting their lawns and blowing their leaves.

 
At 3/14/2009 9:35 AM, Blogger OBloodyHell said...

This comment has been removed by the author.

 
At 3/14/2009 9:36 AM, Blogger OBloodyHell said...

> Why are cities without shove ready projects being awarded stimulus cash?

'Cause it's a government solution to a problem?

> I am surprised it's legal.

I'm not. SEE ABOVE.

> I guess they need the cash to pay for all of the illegal mexicans who are cutting their lawns and blowing their leaves.

Oh, yeah, it's getting paid out directly to homeowners, instead.

Geeez. Get your head out of your ASS. This is an indictment of the whole bailout, you moron, AS WELL AS the people advocating it.

Oh, yeah, and dipshits like you who aren't yelling at your Socialist representatives and senators for spending money like they had trillions of it lying in a mattress somewhere in a house about to catch fire.

Yeesh.

>:-/

 

Post a Comment

Links to this post:

Create a Link

<< Home