Why do people put things they can't afford on their credit cards?
"Those bonds, known as CABs, are unlike typical bonds, where a school district is required to make immediate and regular payments. Instead, CABs allow districts to defer payments well into the future - by which time lots of interest has accrued.
Perhaps the best example of the CAB issue is suburban San Diego's Poway Unified School District, which borrowed a little more than $100 million. But 'debt service will be almost $1 billion,' Lockyer says."
Perhaps the best example of the CAB issue is suburban San Diego's Poway Unified School District, which borrowed a little more than $100 million. But 'debt service will be almost $1 billion,' Lockyer says."