Harrisburg mayoral candidate Eric Papenfuse has suggested entering bankruptcy would hand control of the city over to an unelected federal judge, but that’s just not true.
Even in a Chapter 11 bankruptcy for businesses, the judge does not take over operation of the company, notes Widener law professor Juliet Moringiello. In a Chapter 9 filing for municipalities, the powers of the judge are even more limited.
Separating fact from fiction is not always easy as bankruptcy becomes a talking point in the Harrisburg mayoral election.
The Patriot-News has talked to a number of bankruptcy experts, including people involved with the Harrisburg Receiver’s negotiations who spoke on condition of anonymity because they are not authorized to speak on the record about the process.
The hundreds of supporters entering the front door at the Keyser Valley Community Center on Sunday to see Democrat Bill Courtright formally announce his campaign for mayor of Scranton received smiles and handshakes from the candidate himself.
Bruce Springsteen’s “Glory Days” played in the background as Mr. Courtright focused on themes of “returning the luster” and reaching out to the people of his hometown – a place of staggering municipal debt and significant skepticism about city leadership.
The city’s current tax collector and a former city councilman, Mr. Courtright, 55, of 126 Ridgeview Drive, said he will bring commitment, competence and character to City Hall.
Without going into a lot of detail, he also offered insights into his immediate priorities if elected mayor, calling for an in-depth analysis of the city’s finances and plans to create a panel of community leaders to help solve the city’s problems.