Central Falls Goes Broke

Jacki Lyden in for Tom Ashbrook

The Rhode Island city of Central Falls is broke. Its cops and firemen wait to get paid. Is this the future for cities and states around the country?

Central Falls, Rhode Island a proud and historic place whose motto is “city with a bright future” took the rare step this week, for a municipality –- of filing for bankruptcy.

The city hasn’t been paying its pensions for years — and doesn’t plan to do so. The public employees have been told: get a lawyer.

How Central Falls became a city with a troubled future may be an object lesson for may other municipalities around the country who are in dire straits.

This hour On Point: The American community, struggling.
-Jacki Lyden

Guests:

John Hill, staff writer for the Providence Journal.

Marta Martinez, director of communications for Progresso Latino, the only non-profit social services provider in Central Falls.

Billy Folsom, mechanic for the City of Costa Mesa, California. Boardmember of the Costa Mesa City Employees Association.

John Garvey, acting chief of the Central Falls Fire Department.

Robert Flanders, state-appointed receiver for the City of Central Falls

Ryan Holeywell, staff writer for Governing Magazine and author of the blog ‘Fed Watch.’

More:

[googlemap title="Central Falls, Rhode Island" url="http://maps.google.com/maps?q=central+falls+ri&oe=utf-8&rls=org.mozilla:en-US:official&client=firefox-a&um=1&ie=UTF-8&hq=&hnear=0x89e442920b3d8ae9:0x4954daec0d831efd,Central+Falls,+RI&gl=us&ei=EYU5Tqy7PIqRgQefg_nOBg&sa=X&oi=geocode_result&ct=image&resnum=2&ved=0CC8Q8gEwAQ" width="500" height="350" ]

NBC Nightly News did a story on Central Falls, which you can find here.

Central Falls proposing reduction in Police and Fire budget
http://youtu.be/sildkJzmC0A

Central Falls residents concerned about public safety cuts
http://youtu.be/M42NVfUkb_0

The Buzz: Central Falls bankruptcy
http://youtu.be/4BJ4AET3CCQ