Twisted Titan
13th March 2012, 07:13 PM
Harrisburg to skip bond payments due next week | PennLive.com (http://www.pennlive.com/midstate/index.ssf/2012/03/harrisburg_to_skip_bond_paymen.html)
The state-appointed financial custodian (http://www.pennlive.com/midstate/index.ssf/2012/02/harrisburg_receiver_david_unko_8.html) of the troubled Pennsylvania capital says Harrisburg won’t make looming installment payments on two series of general obligation bonds and notes.
The custodian, David Unkovic, said today in a statement that the city is skipping almost $5.3 million in payments to ensure there’s enough money to continue essential services there.
The payments are due Thursday.
He says his first priority is to ensure that services such as police and fire are maintained.
Unkovic was installed as part of an unprecedented four-month-old state law designed to address Harrisburg’s financial problems (http://www.pennlive.com/harrisburg-debt/), driven by a $300 million debt on its municipal trash incinerator. City officials have tried unsuccessfully to seek federal bankruptcy protection.
The state-appointed financial custodian (http://www.pennlive.com/midstate/index.ssf/2012/02/harrisburg_receiver_david_unko_8.html) of the troubled Pennsylvania capital says Harrisburg won’t make looming installment payments on two series of general obligation bonds and notes.
The custodian, David Unkovic, said today in a statement that the city is skipping almost $5.3 million in payments to ensure there’s enough money to continue essential services there.
The payments are due Thursday.
He says his first priority is to ensure that services such as police and fire are maintained.
Unkovic was installed as part of an unprecedented four-month-old state law designed to address Harrisburg’s financial problems (http://www.pennlive.com/harrisburg-debt/), driven by a $300 million debt on its municipal trash incinerator. City officials have tried unsuccessfully to seek federal bankruptcy protection.