Stockton, Calif.'s annual budget deficits may total almost $100 million after 10 years even if it got all of the cuts it sought before filing for bankruptcy, a city forecast showed, Bloomberg News reported yesterday. The forecast assumes the city would take no additional actions, which is unrealistic, David Millican, a management consultant for the city, testified today in Sacramento. Bankruptcy Judge Christopher M. Klein is presiding over a hearing to decide whether Stockton is eligible to remain in bankruptcy, where it is shielded from paying many of its debts. Guy Neal, an attorney for creditors opposed to the bankruptcy, cross-examined Millican about the forecast in an effort to bolster the argument that Stockton should be denied court protection. Annual deficits under the forecast start at $700,000 and climb to $17.6 million in 2021, Neal said. The deficits would add up to $99.8 million after 10 years.
