San Bernardino files for Chapter 9 bankruptcy

Aug 2, 2012, 6:46 PM

SAN BERNARDINO, Calif. (AP) – Officials in San Bernardino, Calif., which is facing an expected $45.8 million budget deficit this year, have formally filed for Chapter 9 bankruptcy protection, a move that city leaders approved last month.

Interim City Manager Andrea Travis-Miller said Wednesday that there would be “no immediate service reductions or changes in service to the community as a result of the filing.”

City officials are working on a plan for the city’s operational budget during bankruptcy. Once the plan is complete, reductions may occur, said Travis-Miller, who is aiming to submit a plan for the City Council’s consideration within the next three weeks.

The city of 210,000 people, about 60 miles east of Los Angeles, declared a fiscal emergency July 18. It has become the third California city to declare insolvency this year, joining Stockton and Mammoth Lakes.

After last month’s announcement, San Bernardino’s finances experienced increased stress when a dozen employees put in for retirement with hopes of cashing out accrued vacation and sick time. The announcement also has spurred vendors to demand cash instead of credit as payment.

Officials say the housing crisis devastated property and sales tax revenues, and the loss of state redevelopment funds took a toll on the city’s budget.

(Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

United States News

Brian Moynihan, CEO of Bank of America, is photographed during an interview at the Bank of America ...
Associated Press

BofA CEO: Struggling Americans feel they are in a recession

NEW YORK (AP) — The CEO of Bank of America said the recent debate over whether the U.S. economy is technically in a recession or not is missing the point. What matters is that current economic conditions are negatively impacting those who are most vulnerable. “Recession is a word. Whether we are in a recession […]
13 hours ago
Associated Press

US says SkyWest employee subjected to sexual harassment

DALLAS (AP) — The federal government is suing SkyWest Airlines on behalf of a former employee who says co-workers sexually harassed her, including asking her for sex and making explicit comments about rape in her presence. The U.S. Equal Employment Opportunity Commission said in a lawsuit filed Wednesday that SkyWest discriminated against the woman by […]
13 hours ago
Associated Press

Court: BIA owes damages for officer impregnating woman

HELENA, Mont. (AP) — The U.S. Bureau of Indian Affairs can be held responsible for damages awarded to a Montana woman who became pregnant after an on-duty BIA officer used the threat of criminal charges to coerce her into having sex, the Montana Supreme Court has ruled. The woman, identified by the initials L.B. in […]
13 hours ago
Rapper A$AP Rocky, right, appears in a Los Angeles Superior courtroom on Wednesday, Aug. 17, 2022, ...
Associated Press

A$AP Rocky pleads not guilty to firearm assault charges

LOS ANGELES (AP) — Rapper A$AP Rocky has pleaded not guilty to felony assault with a firearm charges stemming from a 2021 confrontation in Hollywood. He is accused of drawing a gun and firing it twice in the direction of a former friend during an argument in Hollywood in November 2021. He pleaded not guilty […]
13 hours ago
Associated Press

Companies plan $2.6B investment in major Alaska oil project

ANCHORAGE, Alaska (AP) — Two oil and gas companies have announced plans to invest $2.6 billion into developing a major oil field on Alaska’s North Slope. Australia-based Santos and Spain-based Repsol made the announcement, which was lauded by state political leaders, the Anchorage Daily News reported. Santos has a 51% stake in the Pikka project, […]
13 hours ago
Associated Press

Bombing at Kabul mosque kills 10, including prominent cleric

ISLAMABAD (AP) — A bombing at a mosque in the Afghan capital of Kabul during evening prayers on Wednesday killed at least 10 people, including a prominent cleric, an eyewitness and police said. There was no immediate claim of responsibility for the attack, the latest to strike the country in the year since the Taliban […]
13 hours ago

Sponsored Articles

...
Day & Night Air Conditioning, Heating and Plumbing

Ways to prevent clogged drains and what to do if you’re too late

While there are a variety of ways to prevent clogged drains, it's equally as important to know what to do when you're already too late.
...
Day & Night Air Conditioning, Heating and Plumbing

Most plumbing problems can be fixed with regular maintenance

Instead of waiting for a problem to happen, experts suggest getting a head start on your plumbing maintenance.
...
CANVAS ANNUITY

Best retirement savings rates hit 4.30%

Maximize your retirement savings with guaranteed fixed rates up to 4.30%. Did you know there is a financial product that can give you great interest rates as you build your retirement savings and provide you with a paycheck for life once you retire? It might sound too good to be true but it is not; this product is called an annuity.
San Bernardino files for Chapter 9 bankruptcy