As for Buffalo being bankrupt, I dont know anything about it, but a city can go bankrupt just like an individual.
If they don't get enough tax revenue to pay their bills, or they have borrowed too much money and can't pay it back, they file bankruptcy and default on their bills and on their bonds.
If they don't have money to pay their bills, there could be problems with getting streets snow plowed, maintaining the sewage and water treatment plants, paying the police which means greatly reduced police services, maintaining he schools and libraries......
Again, I have no idea if ths applies to Buffalo or not. Do your due dilligence.