facebooktwitterRSS
- Advertisement -
  • Most Commentedmost commented up
  • Most Emailedmost emailed up
  • Popularmost popular up
- Advertisement -
 

« News Home

GREENVILLE, PA. State approves emergency loan



Published: Wed, September 11, 2002 @ 12:00 a.m.



The borough faces a $1.62 million deficit.

By LAURI GALENTINE

VINDICATOR CORRESPONDENT

GREENVILLE, Pa. -- Borough council will soon receive some state money to help meet this year's operating expenses.

The state Department of Community and Economic Development approved the borough's request for a no-interest emergency loan from Act 47 funds.

Council members accepted the $660,000 loan during their meeting Tuesday night.

Greenville was granted a distressed-municipality status earlier this year after an audit showed the town facing a $1.62 million deficit.

Included in that debt is a default on a 2001 Tax Anticipation Loan that makes it impossible for the borough to seek another loan through a bank to make ends meet.

Still short

Council went to court in February for approval of a 5-mill tax increase on top of the 1.17-mill increase that took effect on the first of the year, but that isn't enough to cover the bills, said borough manager Kenneth Weaver.

"We're currently running below budget," said councilman David P. Henderson, "but the difficulty is going to come in January, February and March."

Weaver thinks the difficult times would come much sooner if council didn't get the emergency funds.

"We could probably get through this month, but after that we wouldn't have the money" to pay bills, he said.

"The expenditures are under where they should be at this time of year, but the revenues coming in aren't going to cover expenses this year," Weaver said.

Loan details

Council President Richard S. Houpt said the money should come through in the next 30 days.

Terms call for the loan to be repaid by June 30, 2003, Weaver said, but the payments will be worked into the financial recovery plan that council and a state appointed coordinator are developing.




Comments

Use the comment form below to begin a discussion about this content.


News
Opinion
Entertainment
Sports
Marketplace
Classifieds
Records
Discussions
Community
Help
Forms
Neighbors

HomeTerms of UsePrivacy StatementAdvertiseStaff DirectoryHelp
© 2014 Vindy.com. All rights reserved. A service of The Vindicator.
107 Vindicator Square. Youngstown, OH 44503

Phone Main: 330.747.1471 • Interactive Advertising: 330.740.2955 • Classified Advertising: 330.746.6565
Sponsored Links: Vindy Wheels | Vindy Jobs | Vindy Homes | Pittsburgh International Airport