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City of San Bernardino Seeks Bankruptcy Protection

SAN BERNARDINO, Calif.— On Thursday night, the San Bernardino City Council voted to seek bankruptcy protection.  The Chapter 9 filing will make it the 3rd city in the California to seek protection.

San Bernardino is looking at a budget shortfall of $45.8 million, and has stopped paying some vendors so that it can focus on payroll first.

“This is probably the hardest decision this councilwoman will ever have to make in this chair,” Councilwoman Wendy McCammack said, according to the San Bernardino Sun.

According to the L.A. Times, Mayor Patrick Morris called the decision, passed on a 4-2 vote, a “stain” on the city. But he said the only other option was “draconian cuts” to all city services, including the police and fire departments.

The vote, instructed the city attorney to file for Chapter 9 bankruptcy protection, which covers municipalities.

 

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