SAN FRANCISCO - The Vallejo, Calif., City Unified School District wants you to know it isn't declaring bankruptcy.

The district's municipal cousin, the city of Vallejo, last week decided to seek Chapter 9 bankruptcy protection. The city of 120,000 plans to file this week. Vallejo USD, which is not a part of the city government, quickly felt the impact of the city's decision, as nervous investors called to ask if their bonds would be repaid or else simply sold the bonds they held.

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