New London running out of cash, mayor says - Fox 2 News Headlines

New London running out of cash, mayor says

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Connecticut State News Connecticut State News

NEW LONDON, Conn. (AP) - New London Mayor Daryl Justin Finizio has asked the state for help because the city is running out of cash and won't be able to make its $1.7 million payroll this week.

The Day of New London reports (http://bit.ly/1jCuNLi ) that Finizio disclosed the problem to the City Council on Monday. The mayor said he called Gov. Dannel P. Malloy and asked that the state expedite payment of $11 million in state education aid that's due to the city.

Finizio says Malloy agreed to the request and the city should be able to make its payroll by the end of this week.

A city consultant says the city's fund balance should be at least $13 million to equal two months of operating expenses, but the fund balance has withered to $400,000.

Information from: The Day, http://www.theday.com

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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