Pennsylvania lawmakers intend to extend the moratorium on bankruptcy for financially distressed cities, including Harrisburg, to Nov. 30, the Harrisburg Patriot-News reported today. Last year, lawmakers passed legislation that barred Harrisburg and other financially distressed third-class cities from filing for bankruptcy until July 1. But with that date fast approaching and Harrisburg still in the early stages of its financial recovery, GOP lawmakers apparently think an extension would be wise course of action. Harrisburg city officials considered having the option of filing for bankruptcy to be vital as a negotiating tool when they met with creditors in working through a solution to the more than $317 million debt it incurred as a result of a botched retrofit of the city incinerator.
