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NOTIFICATION Corrigendum The following communication, received on 25 July 2018, is being circulated at the request of the delegation of Chile. Phytosanitary requirements governing the importation
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Chapter 9 - Community refers to a specific section of the U.S. Bankruptcy Code that allows municipalities, including cities and towns, to file for bankruptcy protection while continuing their operations and restructuring their debts.
Municipalities, such as cities, counties, towns, and other governmental units that are insolvent and unable to meet their debt obligations but wish to restructure their debts can file for Chapter 9 bankruptcy protection.
To fill out Chapter 9 - Community, a municipality must prepare a petition that includes information about its financial status, debts, and a plan for repaying creditors, along with relevant supporting documentation that complies with the bankruptcy code.
The purpose of Chapter 9 - Community is to provide a legal framework for municipalities to reorganize their debts and financial affairs, allowing them to continue operating essential services while repaying what they owe.
Municipalities must report information including their assets, liabilities, revenues, expenditures, and a detailed plan for the proposed debt restructuring.
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