Friday, March 12, 2010
San Diego County is getting millions of dollars back in borrowed tax revenue. The state took the money to help close a $24 billion budget shortfall.
SAN DIEGO The county will receive about 70 million dollars in repayments, the city of San Diego 35 million dollars.
The money was borrowed from local property tax revenue generated this fiscal year. The state can only borrow property tax money under special circumstances, for example, when a fiscal emergency is declared.
City of San Diego Council President Ben Hueso says cities were successful in getting the repayment early because they worked together.
“We created a loan pool and the League of Cities negotiated a loan form a private banking institute that was able to put our money back into our general funds.”
The state can only borrow property tax money twice in a 10 year period.