STATE : Butte County OKs State Bailout
- Share via
OROVILLE, Calif. — Butte County supervisors, hoping to avoid the nation’s first county bankruptcy, narrowly approved the $11.1-million bailout today offered by Gov. George Deukmejian.
The five-member board voted 3 to 2 to accept the Republican governor’s proposal, which local officials said will avert immediate bankruptcy but which will leave next year in doubt.
Under the agreement, Deukmejian proposed deferring $6.3 million owed the state for fire protection services, postponed the state’s demand for payment of $2 million matching share for a new Butte County jail and offered a $1.15-million direct cash grant.
The proposal also calls for the county to raise $1.65 million by raising local fees, including property tax collections and jail booking fees.
Sign up for Essential California
The most important California stories and recommendations in your inbox every morning.
You may occasionally receive promotional content from the Los Angeles Times.
