During a special meeting Friday afternoon, Whitley County Fiscal Court voted to borrow $208,000 in order to pay for a paving project so they can get $208,000 in funding from the state to repay the loan.
“There has been a change in policy over the last year or two in the way the state reimburses you for grant projects,” Whitley County Judge-Executive Pat White Jr. told the fiscal court.
“We sent invoices but they won’t reimburse until we have actually paid the vendor. We actually have to have the canceled check where the payment has been finalized.”
The fiscal year ends on June 30, and White noted that the county doesn’t have the funds to float the $208,000, which is necessitating the borrowing of the $208,000.
The fiscal court approved a 60-day lease to borrow the money from the Kentucky Association of Counties (KACO), which will be repaid using the money that is reimbursed from Frankfort for the paving project.
White said the roadwork was done in the spring and involved the paving or repaving of three to four miles of portions of four roadways including: Cane Creek Road, Long Bottom Road, Nolan Drive and Westwood Road.