Alabama's bankrupt Jefferson County has filed a 101-page plan that would force creditors to lose up to 70 cents on the dollar.

In 2011, the county underwent what's been called the largest government bankruptcy in U.S. history. It's in debt by about $4.2 billion.

Because of combination of corruption and poor management, the municipality was unable to repay money it borrowed to upgrade its sewage system.

The plan, unveiled over the weekend, would enable the county to get out of bankruptcy by Dec. 20. But it will pay a stiff price — residents will see big increases in their sewage bills.

The county has already had to lay off hundreds of works and cut services sharply. By defaulting on its debts, Jefferson County is also likely to have a lot of trouble borrowing again for years.

Its creditors, which include Wall Street companies like JPMorgan, will have to take big hits on the money they lent.

The plan must be approved by a bankruptcy judge.

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