All expectations are that Harrisburg will miss its payment to Covanta, the incinerator operator, as reported widely in the municipal finance media. Concerning the city’s ability to file Chapter 9 without going through Act 47, see my post about Westfall’s Chapter 9. There are detailed and specific conditions when a municipality may file in Pennsylvania without going through the Act 47 first — mainly if there is an immediate threat or action by a creditor against the city. At this point it appears that the parties are working on forbearance and a workout strategy. Should a creditor press the city and the city files a petition, the risk is that the court would reduce the liability — as was done in Westfall’s case.  Another post details the various stages of this saga with useful information about Act 47 municipalities.