The Puerto Rico Oversight, Management, and Economic Stability Act (PROMESA) is the federal legislation that was enacted to provide a special bankruptcy framework for Puerto Rico because Puerto Rico is ineligible to file for Chapter 9 of the Bankruptcy Code. 48 U.S.C. §§2101 et seq. An important component of PROMESA is the establishment of a Financial Oversight Board (FOB) with oversight powers over the financial affairs of the Puerto Rican government and sole authority over the Puerto Rico bankruptcy cases. 28 U.S.C. §§2121(b), 2121(d), and 2124(j)(1).

The Puerto Rico bankruptcy cases are consequential not only for people of Puerto Rico, but also for the other citizens of the United States. The Puerto Rico bankruptcy cases are consequential for Puerto Ricans because they will leave an indelible mark on the Puerto Rican economy and Puerto Rican society for the foreseeable future. The Puerto Rican bankruptcy cases are consequential for the United States and the public debt markets because they are the largest municipal bankruptcy cases that have been filed in the history of the United States. Heather Long, Puerto Rico Files for Biggest US Municipal Bankruptcy, CNN Business (May 3, 2017).