Attorneys for Jefferson County have just filed a plan to exit Chapter 9 bankruptcy. The plan was filed Sunday afternoon and outlines the county's strategy for leaving bankruptcy by the end of the year.
The 101 page plan includes seven agreements with different creditors. It reduces the more than three billion dollar sewer debt to 1.89 billion. But the plan does call for higher sewer rates to pay for the debt that will be refinanced and necessary sewer capital improvement projects.
The federal bankruptcy judge will hold a confirmation hearing on the plan by August 6. The plan must then be voted on by the creditor groups.
There must also be a public hearing under Alabama law on refinancing the debt before the plan goes into affect in late November or December.
Stay for ABC 33/40 for the very latest on this developing story.