Bankruptcy

A massive restructuring of Detroit Public Schools to help the district avert bankruptcy cleared the Michigan Senate Tuesday.

With a potential default looming, Atlantic City is shutting down “non-essential” government services for at least a three-week period next month, its mayor said.

Several of the Supreme Court Justices seemed sympathetic with Puerto Rico’s complaints that a federal appeals court ruling striking down its debt recovery law for its utilities leaves it “in a no man’s land” where it “is not entitled to the benefits,” but “ is subject to the burdens” of Chapter 9.

Fitch Ratings says that California school general obligation bonds meet its “high bar” to determine if the revenue backing bonds would be considered special revenues in a bankruptcy, and therefore more secure.

The risky underpinnings of Chicago’s efforts to solve its $20 billion pension mess are taking center stage this week.

Sierra Club and other environmental groups filed a federal lawsuit to stop Colorado’s $1.8 billon P3 rebuild of I-70.

The Supreme Court will hear oral arguments Tuesday on whether Chapter 9 of the federal bankruptcy code, which does not apply to Puerto Rico, nevertheless preempts or makes illegal a law adopted by the commonwealth that would allow its utilities to restructure their debts.

Scranton, Pa., may finance its $31.5 million back-pay settlement with police and fire unions with a refunding of some of its $50 million stranded parking authority debt, officials said.

A bill to provide nearly $50 million in state funding to keep Detroit Public Schools open until the end of the school year is headed to the state Senate after clearing the House Thursday.

Senate Finance Committee chair Orrin Hatch, R-Utah, on Thursday called for Democrats and the administration to be more transparent and realistic, after proposing “unworkable” solutions to Puerto Rico’s crisis as Congress continues to work toward bipartisan legislation for the commonwealth.