It’s not really my game anymore, but is anybody checking to see if New Mexico has this problem:

School districts, towns and cities across Florida were cut off from their money after the State Board of Administration, manager of the Local Government Investment Pool, halted withdrawals Nov. 29 to stem a run on the fund. Participants pulled out almost half the pool’s $27 billion in assets after learning it held $1.5 billion of downgraded and defaulted debt tainted by the collapse of the subprime mortgage market.

Thousands of schools, towns and fire departments across the U.S. keep their cash in state- and county-run public accounts. Modeled after private money-market funds, the funds are supposed to invest in safe, liquid, short-term debt.

Via Atrios.