Vallejo is Bankrupt

 

May 6, 2008

By Marc Garman

 

In a shocker tonight Vallejo's City Council unanimously voted to file for Chapter 9 bankruptcy protection. Many expected a 5-2 vote against such an action.  Tom Bartee stated that he would vote for bankruptcy in what turned out to be the first surprise of the evening.  The ensuing landslide of support for moving Vallejo into bankruptcy is sure to send a strong message to the public safety unions.

 
 

While the unions have been vocal in their claims that their independent audit indicates the city is not insolvent, city bankruptcy attorney Marc Levinson seemed to feel confident that the courts would recognize Vallejo's financial condition as being within the parameters for bankruptcy. Expect a fight from the unions on this point.

 

"I have turned over every rock." said Mayor Osby Davis "We don't have the ability to pay our debts...it's time to do something different."

 

We at VIB can only salute every member of Vallejo's City Council.  Tonight they stood up and gave Vallejo a chance.  Bankruptcy is no cause for jubliation.  It means we have a chance to rebuild our city.  

 

Let's Get Started 

 

Expect video interviews up later today.