Council approves temporary interfund loan to support cash flow

The Maryville Town Council unanimously approved Resolution 25-34 Tuesday authorizing a temporary interfund loan to support municipal cash flow pursuant to Indiana law.
During discussion, a councilor raised concerns that the loan mechanism has been used repeatedly in prior years to manage cash-flow gaps and questioned long-term repayment prospects. The speaker suggested the recurring reliance on short-term loans could continue unless alternate actions are taken.
Council members carried the resolution by voice vote with no roll-call recorded in the meeting transcript; the motion carried and the resolution will allow the town to transfer funds between municipal accounts temporarily to cover timing differences in receipts and expenditures.
Clerk Treasurer Eric January and councilors did not provide a multi-year repayment schedule during the public meeting; one councilor urged the clerk’s office and affected departments to examine whether the loan repayment can increase over time to avoid perpetual rollover.
The resolution cites authority in the Indiana Code for temporary interfund transfers; the specific citation was referenced at the meeting as the state statute authorizing such loans. The council directed no immediate follow-up at the meeting beyond adopting the resolution.