Stockton is no longer the largest city to declare bankruptcy.
Governor Rick Snyder of Detroit has authorized the city’s bankruptcy filing, thus making the Michigan city (pop. 700,000) the biggest city in the country to go under. Detroit, once an iconic and thriving industrial town, has been crippled by decades of population loss, shrinking tax base, and long-term financial problems.
A county judge is preparing to hear arguments Monday from retirees seeking to halt the bankruptcy filing. The Chapter 9 filing could take years to sort out and will likely set precedents for other cities across the nation.