Dead High Speed Rail Got ANOTHER $600 Million in Bonds

Guv Newsom killed the high speed rail from Los Angeles to San Fran.  The bond measure said the money had to go to the full route.  The sponsors of the bond measure admitted they lied about the route, the ridership, the time schedule and the costs.  With all of these known and proven lies, with the Governor killing the project—now a slow train from Bakersfield to Modesto—the State Treasurer still sold $600 million on bonds for this Madoff sized scam.

Today’s sale was highly popular with 10 broker-dealers that submitted bids for two separate bid groups: Bid Group A for $420.79 million of bonds maturing in 2022 and 2029; and Bid Group B for $422 million of bonds maturing in 2024 and 2026. Wells Fargo Bank submitted the winning bid for Bid Group A and Jefferies, LLC submitted the winning bid for Bid Group B.    

   
The bond acts that received the largest amount of bond proceeds include:

  1. Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century of 2008 – $600 million

Will someone sue the State and ask for criminal action against those involved in the sale of the train bonds—in violation of the bond measure that passed in 2008?  Why would a bank buy bonds that knowingly violated the law?  Maybe Wells Fargo needed the brownie points for the billions in fines it has already paid—and the billions more they can pay based on current liabilities.

This is why you should always vote NO on bonds and tax increases—government will abuse you and your money.

high speed rail train

Treasurer Fiona Ma Announces Sale Today of $843 Million in Taxable General Obligation Bonds to Fund Certain Voter-Approved Projects

 

State Treasurer Fiona Ma,  3/26/19

SACRAMENTO – California State Treasurer Fiona Ma announced the results of today’s competitively bid sale of approximately $843 million of State of California Federally Taxable Various Purpose General Obligation (GO) Bonds.

“Today’s bonds will provide funding for sixteen different bond acts approved from 2002-2018,” said State Treasurer Fiona Ma. “As State Treasurer, I am responsible under state law for the sale of bonds in accordance with bond acts approved by the voters of the State of California.”

(See chart below for the financed bond acts and amounts funded).

Today’s sale was highly popular with 10 broker-dealers that submitted bids for two separate bid groups: Bid Group A for $420.79 million of bonds maturing in 2022 and 2029; and Bid Group B for $422 million of bonds maturing in 2024 and 2026. Wells Fargo Bank submitted the winning bid for Bid Group A and Jefferies, LLC submitted the winning bid for Bid Group B.    

   
The bond acts that received the largest amount of bond proceeds include:

1.    Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century of 2008 – $600 million

 

2.    California Stem Cell Research and Cures Bond Act of 2004 – $156.1 million

 

3.    Housing and Emergency Shelter Trust Fund Act of 2006 – $21 million

 

4.    Veterans Housing and Homeless Prevention Bond Act of 2014 – $18.7 million

 

5.    Water Quality, Supply, and Infrastructure Improvement Act of 2014 – $17.1 million


GO Bonds of the State of California are supported by the full faith and credit of the State of California.  Holders of the State’s GO bonds do not assume any specific project risk related to any of the projects financed or refinanced.

 

About Stephen Frank

Stephen Frank is the publisher and editor of California Political News and Views. He speaks all over California and appears as a guest on several radio shows each week. He has also served as a guest host on radio talk shows. He is a fulltime political consultant.