The city of La Porte may still have to borrow money this year to meet expenses if the property tax bills are combined into one collection in the fall.
At least that was a concern expressed by Mayor Blair Milo during a city council meeting Monday.
On April 10 new legislation authored by State Rep. Tom Dermody, R-La Porte, came into effect, allowing La Porte County to send out its first real tax bill in years by combining both bills for a fall collection. The measure will effectively stop provisional bills in the county.
On Monday, Milo said the combined bills may solve the tax issue, but could create some temporary problems with the city, which usually has two tax dispersals in a year.
Dermody's bill is expected to end the tax situation in the county, whose delayed bill payments forced many municipalities to borrow money for meeting cash flow needs.
The city of La Porte has paid more than $730,000 in interest since the county-wide tax situation began....
http://www.heraldargus.com/articles/2013/04/16/news/local/doc516cb2d4531bf108420265.txt
