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Hartford Bankruptcy Unlikely If Budget Passes, State House Leader Says

Submitted by jhartgen@abi.org on

The majority leader in Connecticut’s Democrat-controlled House of Representatives said he “can’t envision any scenario" in which Hartford would seek to declare bankruptcy if a bipartisan budget that provides a financial lifeline to the capital city becomes law, Bloomberg News reported yesterday. Matt Ritter, who represents Hartford and is the second-most-powerful Democrat in the Connecticut House, said that the budget would give the city about $20 million in aid from a fund for distressed municipalities and provide $20 million a year to cover costs on its bonds. Hartford would also be able to issue debt backed by Connecticut, which would allow it to save money by refinancing at lower rates.

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