BENTON – The Franklin County Board Tuesday approved a resolution issuing tax anticipation warrants that will temporarily help the county boost its finances due to the state not paying reimbursement payments to the county for probation and the juvenile detention center.
The resolution will allow the county to borrow in advance of its first corporate tax installment it will get in September. That’s according to the Benton Evening News.
County Treasurer Keith Jones says the county will purchase the warrants from a local bank at 3 percent interest. The county wants to borrow $500,000. Jones says you can borrow up to 85 percent of the levied amount, which is about $1.3 million. He says the county could get $1.1 million with the bond issue lasting 90 days.
Repayment will depend on when the tax bills go out. They should go out by the end of June. Tax bills were due in August and October of last year.
The board is expected to hold a special meeting next week to approve the resolution for the warrants and an ordinance.Tweet