The Birmingham, Ala., water department is blasting the proposed $1.9 billion refinancing deal that Jefferson County leaders say is key to getting the county out of bankruptcy, arguing that the deal could leave the county worse off as sewer debt payments climb over a 40-year repayment period, Dow Jones Daily Bankruptcy Review reported today. In court papers filed on Monday, lawyers for Birmingham Water Works, which handles payments from the Jefferson County sewer system customers, said that the county’s proposed refinancing deal commits it to paying “very high interest rates” and doesn't alleviate enough of its debt burden.
