Pa. Extends Harrisburg Bankruptcy Ban

Pennsylvania lawmakers over the weekend extended the bankruptcy ban for distressed capital Harrisburg by another five months to Nov. 30, despite opposition to the measure by the city’s state-appointed receiver.  Gov. Tom Corbett was expected to sign the measure, which the General Assembly attached as an amendment to the state’s fiscal code. The controversial bill affects a city mired in roughly $310 million of bond debt mostly tied to a costly incinerator retrofit. Receiver William Lynch, a retired Air Force major general, wants to avoid bankruptcy but feels the threat of a Chapter 9 filing could help force major creditors to make concessions.

Bond Buyer


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s