Lauderdale Co. to borrow $4.5M to shore up budget
Published 2:25 pm Thursday, September 23, 2010
Lauderdale County supervisors have voted to borrow $4.5 million to cover expenses during the lean months of October, November and December.
In the past, the county has borrowed money from other funds within the county, but supervisors were told Monday they could no longer do that.
County Administrator Joe McCraney says the shortfall was the result of several factors including the downturn in the economy and a state auditor’s requirement to bring all the county’s cash balances out of the red in 2010.
It’s called a tax anticipation loan, meaning that it has been borrowed against taxes that the county will begin to collect in January. McCraney says the loan will be paid off in March.
McCraney says the county may not use all the money.