Law and legal issues

Hillview, Ky, filed for Chapter 9 bankruptcy on Thursday listing its largest debt as an $11.4 million judgment for breach of contract; it also has $3.2 million of bond debt.

Detroit's finance director had no complaints Thursday about the steep premium the city paid to access the municipal market for the first time since exiting Chapter 9.

Michigan is putting the word out to struggling municipalities that a $5 million grant program is available to help fund special projects that could help free up tax revenue for key services.

Detroit will price its first post-bankruptcy borrowing Wednesday after a full-court press on investors that emphasized state backstops that won the deal an A rating.

The Chapter 11 bankruptcy filing of Clayton County, Ga.'s only hospital is a favorable credit factor for the county, according to Moody's Investors Service.

Car rental taxes collected for stadium bonds must be refunded after their use was found to violate the Arizona constitution, a Maricopa County Superior Court Judge Christopher Whitten has ruled.

The Vaccine & Gene Therapy Institute announced Friday that it will wind down operations by Oct. 1, leaving Port St. Lucie, Fla., on the hook for bond payments.

Bondholders could receive up to a 30% recovery on Nevada County, Calif. dirt bonds that went into default 23 years ago as part of a bankruptcy workout.

Pennsylvania issued a request for proposals to hire a law firm to initiate clawback from participants in the Harrisburg incinerator bond financing fiasco.

The Illinois Supreme Court will consider Chicago's appeal of a lower court ruling voiding its 2014 pension reform legislation under an expedited timetable leading to oral arguments this November.

Over 100 local state-side government officials signed a letter calling for Puerto Rico to be allowed to declare bankruptcy.

The authors of a California ballot initiative that would restructure public employee pensions said they will commission a legal review of the measure's "title and summary" before gathering signatures.

Lobbying efforts more than doubled in the second quarter of this year over pending legislation that would give Puerto Rico utilities and authorities access to Chapter 9 bankruptcy protection.

Wayne County's proposed consent agreement with the state requires the county to continue to make timely debt payments and enhances the government's power over collective bargaining.

The indictment of Pennsylvania Attorney General Kathleen Kane should have little effect on the prosecution of former Harrisburg Mayor Stephen Reed, legal observers say.

Are a statutory lien and other state-crafted protections on Detroit's first post-bankruptcy bond sale enough for investors assessing the city's long-term recovery?

Long Island, N.Y., governments will benefit from a New York state appellate court decision to allow a lawsuit to prevent the Long Island Power Authority from challenging the assessment on its Northport, N.Y. power plant, according to Moody's Investors Service.

Continuing patient losses and a 2014 Department of Justice settlement factored into Moody's two-notch downgrade for King's Daughters Medical Center in Kentucky.

Detroit emerged from bankruptcy poised to rebuild through major infrastructure projects, former emergency manager Kevyn Orr said in Boston.

The Rhode Island Commerce Corp. agrees to a $12.5 million proposed settlement with four defendants related to the 38 Studios fiasco.