Berkeley, Sacramento among Calif. cities under review for Moody's downgrade

Berkeley, Sacramento among Calif. cities under review for Moody's downgrade - The Tell - MarketWatch

Moody’s said late Wednesday it’s reviewing the credit ratings of more than two dozen California cities for possible downgrades.
The credit rating agency said municipalities in the Golden state face more challenges than their peers elsewhere in overcoming their current fiscal challenges.
“Since the adoption of Proposition 13 in the late 1970′s, the cities’ inability to access their local property tax bases for increased operating funds led to diversification into even more economically- sensitive revenue sources, such as sales, business and hotel taxes,” the ratings agency said.

But its ok the US is on the mend,  the guy in the suit and tie told me so.