San Bernardino Files For Chapter 9 Bankruptcy

SAN BERNARDINO (AP) — San Bernardino officials have filed an emergency petition for Chapter 9 bankruptcy in response to the $45.8 million budget shortfall the city faces this year, making official a move the City Council approved last month.

Interim City Manager Andrea Travis-Miller said Tuesday’s filing won’t affect essential service to the community, and there are no immediate reductions or changes planned.

She said city officials are working on a plan for the city’s operational budget during bankruptcy, and once the plan is complete reductions may occur.

Travis-Miller hopes to submit a plan for the City Council’s consideration within the next three weeks.

The city of 210,000 residents declared a fiscal emergency July 18.

San Bernardino became the third California city to declare insolvency this year, joining Stockton and Mammoth Lakes.

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 This material may not be published, broadcast, rewritten or redistributed.)

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