Central Falls, Rhode Island filed for bankruptcy on Monday, August 1, 2011. It is the second local government in the country to file for bankruptcy protection this year. The other local government was Boise County, Idaho (not where the state capital of Boise is located) which filed for bankruptcy protection in March 2011.
On the watch list is Jefferson County, Alabama. The county put off a special meeting which was to be held Thursday, July 28, 2011 and in which officials were planning to consider filing what would be the largest bankruptcy in municipal history (having more than $3 billion in debt).
