bankruptcy
You know your municipality is in financial distress and headed for bankruptcy when ...

1. It has a negative net position and unfunded pension and health obligations that are multiple times the annual budget. (TRUE for Bridgeport)

2. It has little to no "rainy day fund". (TRUE for Bridgeport)

3. It has to frequently borrow to cover its normal cash needs. (TRUE for Bridgeport)

4. It defers making its scheduled pension and other retirement plan payments. (TRUE for Bridgeport)

5. Its credit ratings are low with a negative outlook. (TRUE for Bridgeport)

6. It is losing its tax base and has seemingly passed a "tipping point" in connection with its property tax rate. (TRUE for Bridgeport)

7. It has higher taxes, poorer performing schools, fewer public services, and no significant competitive advantages as compared to surrounding cities/towns. (TRUE for Bridgeport)

8. It has no credible and transparent plan to grow its tax base faster than the budget and restore the competitiveness of its property tax rate. (TRUE for Bridgeport)

9. It has a dysfunctional governance system that practices delay, denial and deception in connection with its financial challenges. (TRUE for Bridgeport)

10. The state where the municipality is located has its own financial challenges and is unwilling or unable to provide significant additional financial aid. (TRUE for Bridgeport)