We often associate bankruptcy with individuals, companies, or corporations, but almost never with cities. In fact, in 2013, Detroit notoriously became the largest U.S. city to ever file for bankruptcy.
In California, cities like Stockton, San Bernardino, Vallejo have done the same thing. This is called municipal bankruptcy. And many cities in California are now preparing for it.
With the impact of the coronavirus and recent riots, many cities in California and across the nation are now facing the same issue.
I sat down with Laurie Davies, the mayor of Laguna Niguel, to offer some perspective on what it looks like when a city goes bankrupt. How exactly will it impact the day-to-day life of the resident? And what can we do to prevent our city from going bankrupt? Welcome to California Insider.