Atlanta Public Schools To Borrow $60M Due To Late Tax Collections
ALISON GUILLORY / WABE
The Atlanta Board of Education unanimously decided Thursday to borrow $60 million to pay expenses since Fulton County is late collecting property taxes.
This is the third consecutive year Atlanta Public Schools has taken out this kind of loan, called a Tax Anticipation Note (TAN).
“Luckily, a tax collection order was issued [by Fulton County], and we anticipate that tax notices will go out sometime in mid-September, and hopefully, revenue will start pouring in,” said school board chair Jason Esteves.
The fixed-rate loan from First Citizens Bank will cost APS $260,000 in interest. The district has already paid $750,000 on interest and fees for previous TANs.
“Atlanta Public Schools will put in close to — or over — a million dollars in interest and fees in obtaining Tax Anticipation Notes,” Esteves said. “We are not alone in that. Other municipalities and school systems in Fulton County have had to do that because of issues with assessments and tax notices going out on time.”
Esteves expects APS will receive the revenue in October or November.
A note of disclosure: The Atlanta Board of Education holds WABE’s broadcast license.
Correction: The spelling of school board chair Jason Esteves’ name has been corrected.
Top Stories
