Pennsylvania's Capital Declares Bankruptcy 12.91K Jim Newell 10/12/11 01:02PM Filed to: the economy the economy Cities Harrisburg Pennsylvania Bankruptcy Appic Tweetg The city of Harrisburg, Pennsylvania filed for Chapter 9 bankruptcy today, thanks to "overwhelming debt" related to a revamping of the city's incinerator. Municipal bankruptcies of this size are quite rare! Stupid incinerator.