Last week, in negotiations with lawyers for bond insurer Syncora Guarantee, Jefferson County agreed to increase their debt payments. The insurer says their survival is being threatened by the county’s small payments.
Last year, Jefferson County attorneys agreed to pay $5.5 million a month towards their sewer debts. Also, debt payments to the insurer were reduced by $9 million. However, at a bankruptcy court hearing, the two parties agreed to a deal that would increase payments. According to the deal, money left over after covering the sewer system’s maintenance and operations will be returned to the sewer company, which will then distribute debt payments to its bondholders.
To learn more about settling debts through debt negotiations, contact the Birmingham debt negotiation attorney, Paula Greenway, by calling (205) 324-4000 today.