[Southsider2k12]

http://www.southbendtribune.com/news/local...018b58fce8.html

y Stan Maddux Tribune correspondent

MICHIGAN CITY — Riverboat funds are being used to help close a $5.8 million budget shortfall this year in Michigan City caused partly by a loss in revenue from the statewide property tax restructuring.
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The city council adopted an ordinance Tuesday night that directs $2.4 million in casino proceeds into the general fund for operating expenses.

The measure also reduces expenses by $1.7 million and allocates one million dollars into the general fund from the city's share of proceeds from the LaPorte County Economic Development Income Tax or CEDIT.

The budget cuts included 15 positions in various departments being eliminated or reduced to part-time, officials said.

The rest of the budget hole was filled by withholding one million for the annual coverage of medical costs for the city, which is self-insured.