Home » NEWS » Banking & Finance » City borrows money to cover payroll expenses

City borrows money to cover payroll expenses

NATCHEZ — The city of Natchez has borrowed $350,000 of its $400,000 tax-anticipation loan since December to help cover payroll expenses.

City Clerk Donnie Holloway tells The Natchez Democrat the city originally budgeted for the $400,000 tax-anticipation loan, but he said the city would not need the additional $50,000.

The Natchez Board of Aldermen approved taking out the loan for this fiscal year in early October.

The city received the loan, which is distributed in chunks as needed, from Trustmark National Bank at a 1.84 percent interest rate.

Holloway said the loan is needed to meet financial obligations until the city receives ad valorem taxes.

He said the loan is used solely to cover the city’s payroll for employees. He said $255,000 is paid out for payroll twice a month.


… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.

If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.

Click for more info

About Megan Wright

Leave a Reply