Jefferson County, Ala. (WIAT) - Federal Judge Thomas Bennett cleared the way for Jefferson County to officially enter into Chapter 9 Bankruptcy.
The order Overrules objections filed by The Bank of New York Mellon which sought to stave off Chapter 9 and forcing the County to resume negotiations with creditors over the counties multi-billion dollar sewer debt.
The order ensures that the county may continue to operate while reorganizing the debt.
While the order does not specify the amount of debt that Jefferson County will still have to pay, it does find that Jefferson County did negotiate in good faith with creditors to reduce its debt obligations.
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