Jefferson County, Alabama’s, sewer-debt holders may win the right to vote on the county’s debt-reduction plan following a hearing on the matter today, the final legal hurdle before a judge decides whether to end the county’s $4 billion bankruptcy, Bloomberg News reported today. Bankruptcy Judge Thomas Bennett is scheduled to consider a timeline that would wind down the second-biggest U.S. municipal bankruptcy. The county and a group of sewer-warrant holders seek to send creditors a disclosure statement describing how they will be affected by the debt-reduction plan and giving them an Oct. 7 deadline to vote. Judge Bennett would take that vote into account when deciding whether to approve the plan in November and allow the county to exit bankruptcy by year’s end.
