P.M. BRIEFING : Philadelphia Is Going Broke

From Times Wire Services

The city's chief accounting officer says Philadelphia will be broke in nine months, despite plans to borrow heavily this summer.

"There is an estimation that we'll run out of cash as a city, even with all the loans being purchased from outside investors, in May," Controller Jonathan A. Saidel said Monday.

Saidel, quoted on KYW-AM, said he was told this by the mayor, treasurer and finance director, who have recently refused to discuss the city's finances.

Mayor W. Wilson Goode and Finance Director Betsy Reveal had said that without new local taxes and more state money, the city might be unable to pay its bills within 18 months.

As in past summers, the city is preparing to borrow millions of dollars. Reveal said the amount this year could be as much as $450 million, about $150 million more than projected.

Copyright © 2019, Los Angeles Times
EDITION: California | U.S. & World