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UCSD POLICY AND PROCEDURE MANUAL PAYROLL Section: 3957-Page 1 Effective: 08/20/1992 Supersedes: 04/08/1985 Review Date: TBD Issuing Office: General Accounting DivisionIndexWhats NewSearchOther SourcesAlphabetical
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Chapter 9 of the U.S. Bankruptcy Code provides for reorganization of municipalities, specifically cities and towns.
Municipalities such as cities and towns that are facing financial distress and are unable to meet their financial obligations.
Chapter 9 bankruptcy requires a municipality to develop a plan to reorganize its debts and obtain approval from creditors and the court.
The purpose of chapter 9 is to provide financially distressed municipalities with a way to restructure their debts and continue providing essential services to their residents.
Municipalities must report detailed information about their financial situation, debts, assets, and proposed reorganization plan.
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