Atlantic City could run out of money within weeks as Borgata Casino and Spa threatens to stop making tax payments.
Borgata, the state’s top grossing casino, said that it will stop making real estate taxes payment to Atlantic City until the city pays back $62.5 million in court-ordered refunds for overpayments made in 2009 and 2010, which the city missed to pay in December.
In addition to the 2009 and 2010 refunds, Atlantic City also owes Borgata more than $88 million covering taxes for 2011 to 2015. The city missed to pay the settlement in December 2014.
The casino operator’s decision comes after Superior Court Judge Julio Mendez granted a motion Friday declaring that the city must pay the Borgata for tax for the said years, which was upheld by previous court rulings.