Towns going bankrupt, community impact?????

[POINTER94]

This is a strange question, but especially directed to you folks in Michigan, what happens when a town or city goes bankrupt. I know there were about 20 of these in Michigan that went this route to get out of debt. The ideal place for me to live is in a town that I foresee going bankrupt in the next year or two, and want to know what the impact to residents is. I know that the state comes in to provide some kind of bailout but what about local taxes. I have heard that they typically don’t go up.<br /><br />Any Feedback. This is a new condition to the American community so I would appreciate any facts you may have.

 

[SoulWinner]

Re: Towns going bankrupt, community impact?????

That's a new one on me there Doug. I don't see how the town could come after the townspeople for more money. I reckon they would cut some of the services though....

 

[roscoe]

Re: Towns going bankrupt, community impact?????

Been brewing for quite awhile, but haven't heard much lately.<br />It all depends on what the courts say when presented with the issue. I don't think this has happened before in WI, for a city of this size.<br /><br />Worst case senario, the courts decree that all debts must be paid.<br />Then what services are that left will be cut, and taxes will likely go up. Then the state laws that regulate taxes kick in.<br /><br />Could be a real mess, or might get fixed without too much financial burden on you.<br /><br />Anyone have a crystal ball?

 

[Scaaty]

Re: Towns going bankrupt, community impact?????

Let one of the way overpaid sports players or some way overpaid hollywood punk come in and buy ya out. I heard that you can get up at sunrise on Ted Turners property in Colorado, ride a horse as fast as ya can all day, and at sundown you will still be on his property.

 

[mattttt25]

Re: Towns going bankrupt, community impact?????

don't know what would happen if a city or town went bankrupt, but i know there is a big case in maine of cities and towns just closing. can't support their local govt and services, so they just close. it's happened all over maine, more than you can imagine. the state somehow claims the area as state land, and i'm sure applies some sort of jurisdiction over the area, but basically the people left are living with zero services. i'm sure a google search can explain it better.

 

[Bob in Calif.]

Re: Towns going bankrupt, community impact?????

The same thing is going on here in Calipornia. Most of us have to live on a budget, so I don't know why these "tax and spend" idiots can't get get it into their micro-brain's they should have to also. <br /><br />Fortunatly the town I live in here is quite well managed. It is less than 6000 people, but it has always had a surplus at the end of the physical year!!!! It is one of the smallest towns on the SF Peninsula, but one of the best run, for sure.<br /><br />We contract thru the Sheriff's Office for law enforcement, but we have our own fully paid, full time fire department. (they make nice $$$ too)<br /><br />But again, it isn't cheap to live here either.<br /><br />...Bob in Calif...