The city of Stockton, Calif., will leave bankruptcy protection today, bringing to a close years of cost-cutting efforts that affected bondholders, taxpayers and its retired employees, Dow Jones Daily Bankruptcy Review reported today. Stockton City manager Kurt Wilson said that the milestone will enable the city, which was hit hard by the housing crash, to move "forward toward recovery." The city, located about 80 miles inland from San Francisco, is getting out of bankruptcy after more than two years. During the case, voters approved a new 3/4-cent sales tax increase to pay for more police officers, while more than 1,000 workers and retirees who had $538 million in claims against the city also agreed to accept one-time payments worth $5.1 million instead. Bankruptcy Judge Christopher Klein approved the city's reorganization plan in October.
