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Council approves $12.5M revenue anticipation note for Saint George Fire Protection District; district leaders cite cash-flow needs
Summary
The council authorized a $12.5 million revenue anticipation note for Saint George Fire Protection District No. 2 to provide temporary operational cash until property-tax receipts arrive; the measure drew comment from district commissioners raising response-time and station construction concerns.
The Metropolitan Council granted approval for Saint George Fire Protection District No. 2 to issue a revenue anticipation note not to exceed $12.5 million. The note is intended to address the fire district’s operational cash-flow gap while property-tax revenues are collected in the district’s typical revenue cycle.
The item was presented as a routine financial authorization; Councilman Hudson moved and Councilman Hurst seconded the motion to approve. The district’s president, Jason Turner, told the council the note “provides operational funds to simply pay people” while the district is in ongoing negotiations and legal matters. Jerry Tarleton, chief of the Saint George Fire Protection District, said the district regularly uses revenue anticipation notes because most property taxes are collected in the second quarter of the fiscal year and the district’s fiscal year begins Oct. 1. He said the practice has been standard practice for decades and the note will be used for operational expenses only.
Jim Morgan, identified as a Saint George commissioner, urged the council to scrutinize the district’s finances and expressed concern that a planned Bluebonnet fire station had not been built despite earlier promises tied to a 2015 property-tax measure. Morgan described current response times as “15 to 40 minutes” and asked where earlier property-tax revenues had been spent. The Fire Chief, Jerry Tarleton, disputed Morgan’s characterization and told the council the claims were “absolutely wrong,” describing internal conflicts and urging approval of the note because it supports normal cash-flow operations.
Council members and finance staff clarified the nature of the authorization: the district itself will issue the debt and be responsible for repayment; the action before the council is ministerial approval required by law when a local public subdivision issues debt. Finance staff told the council the district’s debt does not obligate the city-parish general fund.
What’s next: The district will execute the revenue anticipation note as authorized, and district leaders said they will continue to negotiate internal disputes and pursue station construction. Council members asked for continued transparency about station construction plans and use of property-tax proceeds.
