largest municpal bankruptcy

Jefferson County Bankruptcy
6:35 pm
Sun June 30, 2013

Jefferson County Files Bankruptcy Exit Plan

Jefferson County attorneys have filed a plan to exit the largest municipal bankruptcy in American history.
Credit rollingstone.com

Attorneys for Jefferson County have filed a 101-page plan to exit the largest municipal bankruptcy in American history.

The plan calls for cutting the county's $4.2 billion debt by more than $1.2 billion and raising sewer rates annually by 7.41 percent for four years. Rates would rise by 3.49 percent annually for an undetermined amount of years after that.

The plan must be approved by Thomas Bennett, U.S. Bankruptcy Judge for the Northern District of Alabama.

Read more
Jefferson County Bankruptcy
5:18 pm
Thu June 27, 2013

Jefferson Co. Commission Approves Bankruptcy Plan

Jefferson County commissioners have approved a plan to exit the largest municipal bankruptcy in U.S. history.
Credit jeffconline.jccal.org / Jefferson County Commission

Jefferson County commissioners have approved a plan to exit the largest municipal bankruptcy in U.S. history.

The panel approved the plan on a 4-1 vote Thursday. It's due to be filed with a federal judge Sunday.

Most of the $4.2 billion debt stems from bonds that funded sewer system repairs, and the plan includes sewer fee hikes of 7.4 percent for four years and 3.4 percent for 40 years.

Commissioner George Bowman opposed the plan, which he says puts too much of a burden on people in his district.

Read more