Posted on 07/26/2011 11:52:51 AM PDT by dragnet2
http://news.yahoo.com/ala-county-readies-possible-record-bankruptcy-155646239.html
BIRMINGHAM, Ala. (AP) — Alabama's largest county began laying the groundwork Tuesday for what would be largest U.S. municipal bankruptcy
Officials in Jefferson County hope to avoid new layoffs but may have to raise sewer rates or trim public services. On Tuesday, county commissioners approved resolutions to hire prominent bankruptcy lawyers and to sell bonds later in case money is needed to emerge from a Chapter 9 bankruptcy, the type that can be filed by governments.
Jefferson County's bankruptcy filing would be nearly twice as large as the record one filed by Orange County, Calif., in 1994
The county already has laid-off hundreds of workers and reduced services because of problems unrelated to the bankruptcy threat, and commissioners said they did not anticipate additional immediate reductions should the county file for bankruptcy.
The county — the state's historic economic hub with some 658,000 residents — has been trying to avoid filing bankruptcy since 2008.
Loan payments skyrocketed because of increasing interest rates as global credit markets struggled, and the county could no longer afford to repay the money. In the meantime, a string of elected officials, public employees and business people were convicted of rigging the sweetheart deals that helped put the county in dire straits.
As if the sewer debt wasn't enough, the county has another major problem: Jefferson County already has laid off about 550 of its 2,300 workers and scaled back government services because courts struck down an occupational tax and business license that provided more than $74 million annually for its operating budget. Callers to a main county telephone number now get a recording telling them the automated system has been taken out of service because of the budget and to look up department numbers the old-fashioned way, in a phone book.
Good to see you here!
Do you have room for Mr. del and I when we are homeless?
I seem to recall basically a white government during Bush's 8 years that literally rolled out the red carpet for tens of millions of illegal aliens, during war time no less.
This has choked off our hospitals, jails, social services, schools, health-care, created epic fraud, crime etc,....all on the backs of the tax payers...
Mismanagement and embezzlement, not illegal immigration, has squandered the resources of the county's taxpayers.
Jefferson County needs to sell off its parks, fire the groundskeepers, and pay its bills.
Every single person involved in those deals should be swinging from ropes. We don't punish corrupt government officials AND those who participate nearly harshly enough.
ENLIGHTEN ME...
What does that have to do with 40 years of Black Democrat corruption in Birmingham?
My family left Mud Creek/Dry Creek in 1840-50s went to Walker and Lawrence.
Wish you luck!
Wrong! Jefferson County was ordered by a federal judge to build an elaborate new sewer system. Then all the corrupt politicians jumped on board and skimmed off as much money as they could steal.
County government are an unnecessary layer of corruption and waste imposed by socialists to move power and self determination away from locals. Disolve it and let the locals handle their own public business.
Watta "coincidence" that the judicial decision was made as the political sharks were circling the waters. Wonder what his cut was.
The judge who is appointed or selected to serve over the BK of the county can choose which obligations to honor and which to let go.
Given the history of fraud and misrepresentation by Wall Street of interest rate swap instruments to municipal governments, I rather think that JPM is going to take a haircut before little old ladies’ muni bonds.
This has choked off our hospitals, jails, social services, schools, health-care, created epic fraud, crime etc,....all on the backs of the tax payers...
Mismanagement and embezzlement, not illegal immigration, has squandered the resources of the county's taxpayers.
I responded to the comment about the black government down south. What I said above has affected the *entire* nation, including ALL counties in Alabama.
Of course, people such as you will attempt to minimize this epic government sponsored betrayal, at every opportunity.
These figures have likely tripled...
_________________________________________________________
Birmingham Business Journal February 9, 2007
Illegals raise county’s health costs
Cooper Green Hospital has spent $6.7 million in uncompensated health care for undocumented immigrants over the past 16 months.
From September 2005 to September 2006, some 7,700 illegal immigrants visited the hospital, according to Cooper Green officials.
Jefferson County’s safety-net hospital assumed $5 million in uncompensated charges from those visits. In the first quarter of fiscal year 2007, which ended Jan. 31, Cooper Green incurred $1.7 million in uncompensated care losses from 2,700 visits from undocumented immigrants.
Are there any county supported parks in that county?
EVen if there were, selling a park wouldn’t so much as make a dent in that debt.
We have an RV:)
This happening in a Red state is PITIFUL and DISGUSTING! Get your act together Alabama. Yes it is one district but it not even a purple state.
Governor Robert Bentley
Hopefully this guy will be voted out as Governor. He is responsible for everything in his state and allowing a district in his state is go bankrupt is just awful.
Don’t think the federal judge was getting a cut. IIRC it was an EPA order because of the treatment plants dumping overflow into the Cahaba River.
Kind of out of touch over there in Italy, huh? I didn't vote for Bentley in the primary, but did in the general. He's only been in office six months. He's a republican and despite some missteps he's doing a fair job so far. He signed the new illegal immigrant law (stronger than Arizona's) that has the liberals up in arms.
Jefferson County's sewer debt problem has been developing for many years. It was initiated by EPA, upheld by a federal judge, and exacerbated by greedy, corrupt and incompetant politicians who saw a chance to skim a few pennies while allowing greedy, corrupt and very competant Wall Street bankers to suck the county dry.
Probably the biggest mistake was made by Larry Langford (now in federal prison for a different crime) while he was president of the county commision. He engineered a swap of fixed rate bonds for variable interest bonds which wound up resetting to a much higher rate.
I actually am not stationed in Italy anymore. I am at the Naval Academy but anyway. I still think this guy should not be able to continue as he can’t manage a state. It is like having five children but one of them steals from the store and ends up in juvenile detention center. You certainly can’t say you are a good parent.
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