Bond commission OKs city of St. George to borrow up to $1 million until tax vote
BATON ROUGE, La. (BRPROUD) – The state Bond Commission met on Wednesday, July 24 and voted to allow the city of St. George to borrow up to $1 million.
The commission’s vote was unanimous. The St. George Transition District sought the loan to cover expenses until it gains access to parish tax revenue.
The city of St. George plans to have a proposition for a 2% sales tax on the Dec. 7 election ballot. If approved, it would replace the 2% parish tax.
Chris Rials was one of the incorporators of the city. He said the city “has secured a loan with Hancock Whitney Bank. This will be paid back in less than a year as soon as we start seeing the remittance of that $1 million back to our account, that will be paid back immediately.”
St. George leaders looking for transfer of sale tax revenue
Interim Mayor Dustin Yates asked for the support of the commission on the measure. He said that the revenue anticipation note is “to get things off the ground, to get things going.”
Information from the Office of the State Treasurer said the approval is for an interest rate not to exceed 6.5%.
“This just simply allows the city to begin negotiating those transition of services, putting things out for bid, hiring a few people to get us going,” said Yates.
The city of St. George was allowed to incorporate after the Louisiana Supreme Court released a decision on April 26, 2024.
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