CHICAGO — Menasha, Wis., will call $6.9 million of general obligation notes issued for its now-shuttered steam utility plant next month as officials weigh an offer from WPPI Energy to purchase the utility’s distribution assets in a deal that would help the city repay $23 million of defaulted bond anticipation notes.

The steam plant debt has strained city finances and hurt Menasha’s near-term ability to access the tax-exempt market following its Sept. 1 default on the steam plant Bans. The city’s appropriation pledge backs up the revenue pledge. A group of investors filed a lawsuit over the default in an attempt to make the city stand behind its pledge.

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