La Marque council moves to voter‑approval tax rate after finance director warns of cash shortfall

The La Marque City Council voted 4–1 on Sept. 8 to adopt a voter‑approval tax rate of 0.452161 (45.2161 cents per $100 of assessed value) after City Manager Barbara Holly and new Finance Director Worth Ferguson outlined a financial rescue plan for the city.

City Manager Barbara Holly told the council the city’s cash accounts have been pooled so that “our tax receipts, our debt service, our utility payments, hotel‑motel tax, and our savings account … was put into one ball of wax,” and that the consolidated position leaves the city with roughly $3.3 million in several bank and investment accounts but more than $5.1 million in immediately needed obligations. Holly said auditors reported the city ended fiscal 2023–24 “with a negative unrestricted general fund balance,” a finding she described as “unheard of.”

Holly and Finance Director Worth Ferguson presented a three‑part plan: (1) immediate steps to get cash on hand to pay bills already due, (2) measures to fund operations month‑to‑month through December, and (3) structural changes to restore stability for future years. Ferguson said the city would pursue a combination of short‑term loans (including a maintenance‑tax note against next year’s property tax receipts or a loan secured by expected FEMA reimbursements), a possible interfund agreement with the Economic Development Corporation,…