Jefferson County bankruptcy settlement deal passes, possibly signaling the end to Chapter 9
Jefferson County has passed a deal with a Dublin bank to lower the interest rates on millions of dollars in school warrants, saving the county many more millions and inching itself one step closer to ending its Chapter 9 bankruptcy.
The agreement is set for final approval on Thursday, and if approved, the deal could motivate sewer creditors to reach a deal in settling the county's more than $3 billion sewer debt.
"Hopefully this will show again that we're serious about getting these matters settled and moving forward." David Carrington, president of the Jefferson County Commission said on Wednesday.
The proposed lowered interest rates on the school debt would save Jefferson County approximately $1 million per year in interest payments and would free taxpayers of any remaining debt altogether.
The county, in an unparalleled move, filed for bankruptcy in late 2011 after reporting over $4 billion of debt.