Law and legal issues

Oregon will be able to manage the immediate impact of the Oregon State Supreme Court’s restoration of the cost-of-living adjustment, Fitch Ratings said in a May 6 report.

An Oregon Supreme Court decision striking down cost-of-living reductions is credit negative for both the state and its municipalities, according to a Moody’s Investors Service report.

Ohio-based Promedica Health System Inc. must divest itself of another local hospital after the U.S. Supreme Court refused to hear the hospital’s appeal of a lower court ruling blocking the merger.

A sentencing recommendation of 15 years in prison for former Arkansas Treasurer Martha Shoffner prompts an objection from her lawyer.

A federal lawsuit seeks to stop Ohio from using toll revenue from the Ohio Turnpike to finance non-turnpike related highway projects.

Standard & Poor's kept Atlantic City on credit watch negative in a new report released April 30 as the struggling gambling hub seeks short-term options to avoid a long-term bankruptcy.

Michigan Gov. Rick Snyder says the Detroit schools can't move forward if burdened by their current "crushing" debt load. To that end, the governor wants to divide the Detroit school district into two entities.

A second federal lawsuit has been filed challenging the private activity bond financing for the All Aboard Florida train project; the latest suit comes from Martin County, Fla.

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.