Montgomery moratorium on payday loan stores to remain in effect - KFVS12 News & Weather Cape Girardeau, Carbondale, Poplar Bluff

Montgomery moratorium on new payday loan stores to remain in effect

MONTGOMERY, AL (WSFA) -

It was three months ago when the Montgomery City Council imposed a temporary ban on new payday loan and cash advance stores. After the council meeting Tuesday, it looks like the ban will remain in place for a while longer.

Every council member but one supported the moratorium on granting licenses to new title loan companies three months ago. Arch Lee abstained because he lobbies on behalf of those kinds of businesses.

Other council members argued that there were already too many of these businesses in and around Montgomery and that the presence of so many of them would hurt other businesses coming into Montgomery and hurt economic development.

Councilman Richard Bolinger believes some extra time will enable the city to best serve the interests of the city and these businesses.

In other council business, the mayor updated the council on increased sales tax revenues for the first two months of the fiscal year -- a jump of close to $650. He attributed this to a number of big events in the Capital City and speculated that it might be awhile before we see an increase like that again.

The council also decided to table the issue of whether to grant a liquor license to bar owner Mike Watson.

Watson is in the process of finishing a new bar called Graham Woods Pub on Fairview Avenue in Cloverdale, but the owner of a competing bar, 1048 Jazz and Blues, contends the pub should not be granted a license, because it is not yet up to code.

Copyright 2013 WSFA 12 News. All rights reserved.

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