Alabama city files bankruptcy citing millions in debt

May 20, 2020


FAIRFIELD, Ala. (AP) — The Birmingham suburb of Fairfield has become the latest local government in Alabama to file for bankruptcy. 

News outlets report that the city of about 11,000 people filed for bankruptcy protection on Tuesday, citing as much as $10 million in liabilities.

Mayor Eddie Penny says the city needs a fresh start. Fairfield has been struggling with finances for years. The mayor says the pandemic only worsened the city's condition because several businesses have closed.

At least a dozen Alabama cities or counties have sought bankruptcy protection over the last three decades.