46 U.S. cities have filed for bankruptcy since 1980
Central Falls, RI stares down 'painful' bankruptcy
By ERIKA NIEDOWSKI, Associated Press
9:16 a.m., July 10, 2011
CENTRAL FALLS, R.I. Rhode Island's most distressed city is on the cusp of declaring bankruptcy, a relatively rare step for municipalities even in tough financial times.
Central Falls, a city of 19,000 residents north of Providence, is being run by a state receiver who is trying to cut the budget and renegotiate costly union contracts. Without major concessions, state receiver Robert G. Flanders Jr. says bankruptcy is a very real possibility.
Not too many cities or towns have gone that route. Since 1980, only about 46 have filed for federal bankruptcy protection. (Out of more than 18,000 cites, towns, villages, etc.)
Richard Levin, an attorney who has been advising the City Council in Harrisburg, Pa., which has been flirting with bankruptcy, calls the process "difficult, painful and wrenching."
http://www.signonsandiego.com/news/2011 ... ruptcy/?ap
