Calif. City Weighs Fiscal Emergency to Avoid Ch. 9

Nov 17, 2013 11:56 AM

A Southern California city that declared bankruptcy more than a decade ago is trying to avoid repeating history.

The city of Desert Hot Springs, a modest bedroom community known for a number of boutique hotels and spas, will consider declaring a fiscal emergency Tuesday in a bid by municipal officials to drive contractors and labor to the bargaining table and stave off the specter of Chapter 9.

After spending too much for several years and drawing down reserves, the city now only has enough cash to pay its bills until March, said Bob Adams, interim city manager.


Most Popular