The city of Mammoth Lakes, CA. After a costly lawsuit, the city now faces the possibility of bankruptcy.
Things aren't looking too sunny in the snowy ski resort town of Mammoth Lakes. The city government could be headed for bankruptcy unless it can pay off a $43 million debt, which amounts to almost three times the annual operating budget for this small town of about 8,000 people.
Long considered a popular winter destination for many Southern Californians, the city owes the massive sum to real estate developer Mammoth Lakes Land Acquisition, the result of a lawsuit dating back to 1997.
Mammoth Lakes Mayor Jo Bacon joins the show to discuss the town's future.
Jo Bacon is mayor of Mammoth Lakes.