Atlantic City decided to make its $1.8 million bond payment Monday to avoid default, Mayor Don Guardian said.
The resort has struggled as casinos have closed, taking jobs with them and leaving the city with a widening deficit. The state of New Jersey has cast doubt on the city's abilities to make payments like school district remittances.
"Financially, we're running on fumes," Guardian said. "Massive inherited legacy debt from years of bad decisions on all levels by government, ... we really are teetering on the edge."
The $1.8 million payment was due Monday. Asked whether the city rummaged through "the couch cushions" to come up with the money, the mayor said yes.