The Latest: Atlantic City makes $1.8M bond payment

ATLANTIC CITY, N.J. (AP) - The Latest on Atlantic City’s collapsing financial situation (all times local):

11:10 a.m.

Atlantic City’s mayor says the cash-strapped city has made a $1.8 million bond payment.

Republican Mayor Don Guardian said the city made the payment at 10 a.m. Monday after considering the effects on cities around the state and Atlantic City if it didn’t pay up.

But Guardian says the city is “running on fumes” as state leaders continue to argue over plans to help the struggling city avoid bankruptcy.

The state Senate has passed a takeover plan supported by Republican Gov. Chris Christie and Democratic Senate President Steve Sweeney, but Democratic Assembly Speaker Vincent Prieto has refused to put it up for a vote in that chamber, partly because it would allow the state to break union contracts.

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1 a.m.

Atlantic City’s mayor is poised to announce whether the seaside gambling resort will make a $1.8 million bond payment.

If it’s not made, the city will become the first New Jersey municipality to default on its debt in 78 years.

Republican Mayor Don Guardian will make the announcement at a Monday morning news conference. The payment technically was supposed to be made on Sunday, but the city gets an extra day since the payment date fell on a weekend.

The city is expected to receive its next tax payments on Monday. But Guardian says it’s unclear if there will be enough cash to make the bond payment and cover payroll.

Guardian’s announcement comes as state leaders continue to argue over plans to help the struggling city avoid bankruptcy.