Law and legal issues

Chapter 9 guru James Spiotto says states are increasingly realizing the importance of early intervention in their distressed cities to avoid the crisis of a municipal bankruptcy where everyone loses.

With a lawsuit between its two ski resorts settled, Park City, Utah, has earned a Standard & Poor’s upgrade on its sales-tax revenue bonds to AA-minus from A-plus.

Two Houston attorneys were named special prosecutors to look into criminal charges against Texas Attorney General Ken Paxton, who has admitted to violating state securities law prior to his election last November.

Maverick County, Texas, faces an uncertain future after losing the operator of its $42 million private detention center that defaulted on its debt amid a federal corruption investigation and missing audits.

The head of Wayne County, Mich., home of Detroit, has unveiled a recovery plan with deep cuts – including wiping out retiree health care – in an effort to avoid bankruptcy.

Harrisburg, Pa., has settled with its former attorney, Mark Schwartz, agreeing to pay him $80,000.

A California appellate court's decision could reduce the economic flexibility of local governments and water utilities that analysts are already concerned could struggle to raise revenue in the arid conditions.

Jefferson County, Ala., can proceed with an appeal related to the county’s bankruptcy exit plan, the 11th Circuit Court of Appeals in Atlanta ruled Wednesday.

Rhode Island's serious financial challenges extend well beyond the headline 38 Studios bond financing controversy, said a report by Gurtin Fixed Income Management.

Michigan Gov. Rick Snyder signed legislation designed to ease Detroit's first post-bankruptcy appearance in the debt market.

A proposal to relieve Detroit Public Schools of a big chunk of its bond debt could increase education costs statewide, a public policy group warns.

Illinois Gov. Bruce Rauner's promotion of Chapter 9 as an option for some local governments may hinder efforts to help resolve fiscal struggles in a way that protects bondholders, Fitch Ratings warned.

Martin County, Fla., decided April 14 to hire Chicago-based McDermott, Will & Emery to institute litigation against the All Aboard Florida passenger train project.

Fitch ratings has revised the outlook to stable from negative for $414.4 million of North Las Vegas, Nev., bonds, and affirmed the rating at B.

Municipalities are getting themselves into trouble by borrowing to cover operating deficits, Federal Reserve Bank of New York president and chief executive officer William Dudley told attendees at a closed-doors workshop Tuesday.

The San Bernardino, Calif., firefighter’s union filed two lawsuits, living up to a promise to litigate issues over its contract with the city, which has been in Chapter 9 bankruptcy for three years.

The St. Louis public agency helping in efforts to build a new stadium for the Rams football team is seeking clarity from the courts over whether the city can contribute financially to the project without a public vote.

The Georgia Supreme Court will not reconsider its decision to validate $200 million in bonds for the Atlanta Falcons' new $1.4 billion stadium, clearing the way for the financing to be marketed.

The new Florida Development Finance Corp. board on Tuesday delayed reconfirming the agency's decision to be the conduit for $1.75 billion in private activity bonds for the All Aboard Florida train project.

Daytona Beach, Fla.-based Halifax Hospital plans to issue about $112 million of revenue refunding bonds boosted by two rating upgrades.