Birmingham Bankruptcy

The biggest civic bankruptcy in America is official with Jefferson County, AL (Birmingham, AL) filing for Chapter 9 last week. Harrisburg, PA had held this dubious honor. The full impact of the filing will not be known until a judge approves the move at hearing next month and the county learns how much of its $4.15 billion in debts will still have to be paid. In the short run, legal expenses will skyrocket.