Biloxi says Secretary of State owes city $1.2 million - WLOX.com - The News for South Mississippi

Biloxi says Secretary of State owes city $1.2 million

The city of Biloxi says the Secretary of State's office owes it $1.2 million from leases paid by the Golden Nugget. (Photo source: WLOX News) The city of Biloxi says the Secretary of State's office owes it $1.2 million from leases paid by the Golden Nugget. (Photo source: WLOX News)
BILOXI, MS (WLOX) -

The City of Biloxi and the Institutions of Higher Learning are joining forces against the Secretary of State in Chancery Court to get money they say they are owed.

The city is arguing that the Secretary of State owes the city $1.2 million in tidelands rent from the Golden Nugget property at Point Cadet.

"It's not going to cease any city functions but it is a cash flow issue, like, any business," said city attorney Gerald Blessey. "We've been paid for 14 years and all of a sudden, the Secretary of State decides he's going to hold our money hostage, which is outrageous."

The Secretary of State, IHL and the city are co-landlords for the property as part of a Chancery Court order 15 years ago. The money is paid by Golden Nugget to the Secretary of State's office, which then divides the money as per court order.

The city, being the biggest property owner, gets $2.7 million a year upfront. The rest is divided between the city, IHL and Secretary of State.

On Thursday, Blessey went before Chancery Judge Jennifer Schloegel to ask the Secretary of State's office be removed as trustee and replaced either by the city or by an independent party.

Blessey says Secretary of State Delbert Hosemann transferred the money in April, which was held in trust, to help the state Legislature meet a budget shortfall.

"Whatever the secretary's differences with the legislature are, that's his problem," Blessey said. "He shouldn't be blaming this on the Legislature. He should have paid the city and IHL the money that was been owed all year."

Going forward, the city proposes to divide the funds that would normally go to the Secretary of State's office between the IHL and the city until the payments are caught up.

Blessey says that all parties will submit documents in two weeks and if the decision is in the city's favor, it would likely be made by mid September.

The Secretary of State's office could appeal the decision and delay any final decision.

Copyright 2016 WLOX. All rights reserved.

  • NEWSMore>>

  • Pascagoula Mayor says DOD or Congress should include funding for city when awarding contracts

    Pascagoula Mayor says DOD or Congress should include funding for city when awarding contracts

    Thursday, April 19 2018 10:50 PM EDT2018-04-20 02:50:46 GMT
    The sign heading in to Pascagoula. (Photo source: WLOX)The sign heading in to Pascagoula. (Photo source: WLOX)

    Pascagoula Mayor Dane Maxwell is in our nation's capital this week meeting with department heads. He said he thinks the Department of Defense or Congress should foot the bill for Pascagoula's aging infrastructure and some public departments.

    More >>

    Pascagoula Mayor Dane Maxwell is in our nation's capital this week meeting with department heads. He said he thinks the Department of Defense or Congress should foot the bill for Pascagoula's aging infrastructure and some public departments.

    More >>
  • Man killed in Pearl River County car crash

    Man killed in Pearl River County car crash

    Thursday, April 19 2018 10:49 PM EDT2018-04-20 02:49:13 GMT
    Officials say the victim was a 71-year-old man from Moundville, Alabama. (Photo Source: File)Officials say the victim was a 71-year-old man from Moundville, Alabama. (Photo Source: File)
    Officials say the victim was a 71-year-old man from Mandeville, Alabama. (Photo Source: File)Officials say the victim was a 71-year-old man from Mandeville, Alabama. (Photo Source: File)
    A man was pronounced dead after a single car accident in Pearl River County.  On April 19, Mississippi Highway Patrol investigated a fatal crash on I-59 around 7:30 p.m.  The victim was identified as a 71-year-old male from Moundville, AL. He was reportedly traveling north on I-59 in a 2003 Toyota Tundra. Officials say the Toyota went off of the right side of the road, overturned and collided with trees. The driver of the vehicle was pronounced dead at the ...More >>
    A man was pronounced dead after a single car accident in Pearl River County.  On April 19, Mississippi Highway Patrol investigated a fatal crash on I-59 around 7:30 p.m.  The victim was identified as a 71-year-old male from Moundville, AL. He was reportedly traveling north on I-59 in a 2003 Toyota Tundra. Officials say the Toyota went off of the right side of the road, overturned and collided with trees. The driver of the vehicle was pronounced dead at the ...More >>
  • Self-Defense: Six points to strike first in an attack

    Self-Defense: Six points to strike first in an attack

    Thursday, April 19 2018 10:40 PM EDT2018-04-20 02:40:34 GMT
    Alan Belcher MMA in Ocean Springs (photo credit: WLOX)Alan Belcher MMA in Ocean Springs (photo credit: WLOX)
    Alan Belcher MMA in Ocean Springs (photo credit: WLOX)Alan Belcher MMA in Ocean Springs (photo credit: WLOX)

    Staggering statistics reveal how often women are targets of assault. One thing you can do to protect yourself is learn to fight back.

    More >>

    Staggering statistics reveal how often women are targets of assault. One thing you can do to protect yourself is learn to fight back.

    More >>
Powered by Frankly