Bankruptcy Looms For E911 District

After a court ruled that it owes a participating city $600,000 in back sales tax money, the Barry County (Mo.) E911 Board says it may have to declare bankruptcy to keep operating. County officials say the court decision comes at a time when surcharges have decreased $200,000 over the past two years because of the bad economy. The city of Monett sued in Oct. 2009, saying the county and E911 board were not remitting a portion of its 911 fees to the city, collectible under a state redevelopment law. Under that law, cities can claim a certain percentage of taxes and fees to pay for developing blighted areas within their town. In this case, Monett wanted to collect a portion of a 911 fee increase passed after the city implemented its redevelopment plan. A judge ruled for the city earlier this year, and at a recent E911 board meeting officials said they’ve cut spending as much as possible, but still need to provide 24-hour dispatching services. Read more about the situation here, and about the lawsuit here.