Vallejo, the Northern California city that sought Chapter 9 bankruptcy protection in 2008, is set to sell about $19 million in water-revenue bonds next week in its first municipal-debt sale since the filing.
Stockton, the bankrupt California city, will give an office building it had planned to use as a new city hall to Assured Guaranty Corp. as part of a deal to end their fight over how to restructure $164.7 million in bonds the company had insured.
San Bernardino, the bankrupt California city facing an inquiry by the U.S. Securities and Exchange Commission, masked its growing deficits by using funds meant for sewers, roads and construction to cover current expenses, according to city records.
Veolia Environnement SA’s water division has been awarded a 30-year contract through its North America subsidiary to manage water and wastewater systems for the Southern California city of Rialto and its water agency.
Eight current and former officials in the Southern California city of Bell were arrested in an investigation of high salaries that the leaders of the Los Angeles suburb are accused of paying themselves.
In Farmersville, California, a city of 11,000 in the agricultural San Joaquin Valley, firefighters sleep in the city council chambers, share a bathroom with the public and prepare meals in a city hall break room.
California, the most populous U.S. state, isn’t likely to see a wave of cities defaulting on payments to municipal bond holders, according to a study sought by Treasurer Bill Lockyer’s debt and advisory commission.