California's Lockyer Says State Should Diversify Bonds It Issues.

The article reports on the suggestion of California treasurer Bill Lockyer that as the state prepares to increase its debt load, it should consider diversifying the types of bonds that it issues. Lockyer stresses that the issued bonds can be diversified by creating new general obligation (GO) bond credits. It should study the use of GO bonds backed with dedicated revenues including a pledge of the personal income tax, and consider backing bonds with a statewide property tax levy.