Petersburg tells regional partners they’ll get paid soon

Posted at 8:04 PM, Sep 27, 2016
and last updated 2016-09-27 20:49:47-04

PETERSBURG, Va. -- Regional partners of the financially struggling City of Petersburg were advised they might see a payment for delinquent bills.

Current regional partners that the city owes money includes South Central Wastewater Authority, Appomattox River Water Authority, Central Virginia Waste Management, Riverside Regional Jail, Crater Criminal Justice Academy, and Crater Youth Care Commission.

Acting City Manager Dironna Moore Belton told the regional partners to expect a partial payment in October, according to sources close to the matter.

Jeff Gore with Heft Wiley & Gore, a law firm representing several of the partners, issued this statement to CBS 6:

"The City appears committed to meeting its financial obligations for these important and necessary services going forward and to starting to pay down past due amounts dating back to the 2016 fiscal year... We appreciate the plan the city presented, however we have to reserve judgment until we see whether the City follows through on these commitments."

It was during the Monday meeting, sources tell CBS 6 that Belton alluded to the city acquiring short-term financing through a tax anticipation note.

Sources also say long-term financing is in the works, possibly by the end of the year, which would be an amount sufficient enough to take care of most of the city's debt and which could be paid back over a five-year period.

Tuesday afternoon, Belton released this statement to CBS 6:

"I am hopeful that as we see the effects of the City Council's decision to cut $12 million for the budget, we will continue to make strides towards paying down our debt."

Several homeowners walking into City Hall to pay bills said they believe the city is making progress towards paying back all the money they owe.

"If Petersburg gets the short term loan and people pay their taxes, and we'll be able to catch up on some of those bills, we'll be able to pay the loan back," one said.

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