A Kentucky town is some hot water with the IRS.

Tax officials say Raceland, in Greenup County, didn't pay its 2006-2007 federal taxes, so the IRS seized nearly one hundred thousand dollars from the city.

At an emergency meeting, Raceland's mayor blamed the IRS for not sending out proper payment notices, but city council members are blaming poor communication among city officials.

Raceland officials plan on borrowing 75,000 dollars from a bank to help get the city through the fiscal year.