Steven Greenhut: Stockton Bankruptcy Ruling Not as Bad as It Looks

When it comes to pension reform, Steven Greenhut writes, I've long been a pessimist given the realities in the Capitol and courts. A federal judge's decision in part two of the Stockton bankruptcy case last Thursday, approving an exit plan that doesn't chip away at the city's looming pension debt, at first seems to warrant even more negativism. But it's probably not as bad as it seems for those who want these municipal debts tamed so that public services can be restored and residents aren't stuck with escalating tax burdens. Sure, Stockton officials chose not to reduce pensions, but other cities are free to address them in the future, thanks to the first part of the decision the judge issued early this month.