Posted at: 12/08/2012 3:26 PM
By: The Associated Press
CARLSBAD, N.M. (AP) - The city of Carlsbad's only school bus contractor has filed for Chapter 11 bankruptcy protection.
The Carlsbad Current-Argus reports that the filing will allow Ballard Bus Inc. to keep operating while restructuring and making payments to creditors.
Owners Harley and Debby Ballard say if they can't find a way to keep the company operational in the next couple of months, they may be forced to close their doors after 42 years in business.
The Ballards say continued cuts in state funding to private school bus contractors have put them in a financial hole.
The Ballards say Carlsbad is growing and all the bus routes are full and that going out of business could make it hard on working families that rely on the buses to get their children to and from school.
(Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)