Anne Arundel County Executive John R. Leopold has authorized an early disbursement of property tax revenue and other funds to the city of Annapolis, allowing the city to keep paying its bills.

Despite passing a balanced budget this year, Annapolis has struggled to take in enough tax receipts and other revenue to meet expenses. The city obtained a $10 million credit line after Mayor Joshua J. Cohen warned the city was in danger of not being able to meet payroll and pay other debts.

Last month, the city council approved a measure to allow the city to borrow up to $16 million, but officials say updated projections indicate that the additional debt would likely be "significantly less" than the extra $6 million authorized.

The $875,000 advance from the county to the city represents $750,000 in property tax revenue and $125,000 of the city's profit share from the Eisenhower Golf Course. The city is scheduled to receive the balance of more than $17 million in property tax revenue from the county by October.

"When our capital city needs help, we are more than willing to oblige," Leopold said in a statement.

Cohen said in a statement: "The lack of cash in our reserves has posed a lingering challenge. I appreciate John working with us to get the cash flowing so we can pay our bills more quickly."

nicole.fuller@baltsun.com