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ALERTS This contract is not intended for anything that is more properly classified as Public Works. This contract is limited to only those items expressly provided for in this contract. Do not use
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Chapter 9 is a specific chapter in the bankruptcy code that pertains to municipalities and their ability to restructure their debts.
Municipalities, such as cities and towns, are required to file for Chapter 9 bankruptcy if they are facing financial difficulties.
Filing for Chapter 9 bankruptcy involves submitting a petition to a federal bankruptcy court, outlining the municipality's financial situation.
The purpose of Chapter 9 is to provide financially distressed municipalities with a legal framework to reorganize their debts and continue providing essential services.
Information such as the municipality's assets, liabilities, and proposed debt restructuring plan must be reported in the Chapter 9 filing.
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