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Jefferson Co. Commission Approves Bankruptcy Plan
Jefferson County Commission

Jefferson County commissioners have approved a plan to exit the largest municipal bankruptcy in U.S. history.

The panel approved the plan on a 4-1 vote Thursday. It's due to be filed with a federal judge Sunday.

Most of the $4.2 billion debt stems from bonds that funded sewer system repairs, and the plan includes sewer fee hikes of 7.4 percent for four years and 3.4 percent for 40 years.

Commissioner George Bowman opposed the plan, which he says puts too much of a burden on people in his district.

Separately, a federal bankruptcy judge in Birmingham stopped litigation on lawsuits related to the sewer system.

The judge says complaints can be raised during the process for confirming the plan to get the county out of bankruptcy.

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