Cle Elum files for bankruptcy over $26 million development dispute

Cle Elum has a budget of $5 million in 2025 and officials said the city cannot afford the payment to the company.

CLE ELUM, Wash. — The city of Cle Elum filed for Chapter 9 bankruptcy Tuesday, citing a nearly $26 million debt stemming from a years-old development dispute.

City council members voted unanimously Monday night to move forward with bankruptcy proceedings, which allow municipalities to reorganize their debts under court supervision. 

“I think the city made a herculean effort in going through mediation. … At this point, there is no choice but to proceed with bankruptcy,” Councilmember Steven Cook said during the special

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