Good article on the likelihood of local governments defaulting on their debt or filing for bankruptcy. Despite the challenging fiscal environment today, the vast majority of local governments are not likely to do either, if history serves as a guide for the future.
Good article on the restrictions of a Chap 9 bankruptcy. Relief for Municipalities in Financial Dire Straits. Chapter 9 balances federalism with states' sovereignty. Andrew Tenzer and Robert Britton, New York Law Journal, September 27,
SmartMoney says stadium bond represent too high a percentage % of all defaulting muni bonds. BondView CEO, Robert Kane quoted " of all stadium bonds traded in the last 30 days, 78% held just 2 our of 5 star ratings. 9/15/10
Despite recent headlines warning that deteriorating state and local finances will lead to bond defaults, a Treasury Department advisory committee has determined the municipal market "appears to be in reasonably good condition."