Hartford Bankruptcy Unlikely If Budget Passes, State House Leader Says
- City would get $40 million extra under state spending plan
- Review board would oversee Hartford’s finances and contracts
Why Connecticut's Budget Is in Crisis
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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.
Matt Ritter, who represents Hartford and is the second-most-powerful Democrat in the House, said 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.