City Council hears mixed financial news

DAVE MOSIER/independent editor

Van Wert City Council heard some mixed news on city finances from City Auditor Martha Balyeat during its first meeting in August on Monday. It was also the first meeting starting at 6:30 p.m. because of recent Council rule changes.

Balyeat noted the city was $185,000 ahead of 2016, and up $79,000 in withholding income tax, which the auditor said was a plus.

“I would view any increase in withholding tax as a plus, because that’s from people that are receiving a paycheck that their employers are withholding taxes from,” Balyeat noted.

The bad news is, even with the recent increases in withholding taxes, the city is still on target for only a 3 percent increase in income taxes. If that holds true, Balyeat said, Van Wert is on track for a $1 million shortfall by the end of 2019.

Part of the problem is the decrease in state funding, which is down $10,000 this year, with another cut of $26,000 projected for next year, essentially bringing the amount the city receives in Local Government Funds to zero, Balyeat said.

The city auditor said that shortfall is added to the approximately $600,000 in state revenue cuts already experienced by the city.

The city’s income could also be seriously affected by legislation introduced in the Ohio General Assembly that would prohibit municipalities from taxing non-residents, such as those people who live elsewhere, but work at local businesses, such as Eaton Corporation and Federal-Mogul Corporation.

Mayor Mazur said passage of such legislation would be devastating to many municipalities, noting that it would likely lead to bankruptcy for Van Wert.

Also Monday, Safety-Service Director Jay Fleming said the street painting projects were wrapping up for the summer, but also noted the Woodland Avenue project has been delayed for some gas main work by Dominion Gas.

Fleming also noted that The Van Wert County Foundation and Alexander & Bebout would be doing some improvements in Fountain Park now that the Summer Music Series concerts are over.

The safety-service director also announced that the last brush pick-up of the season will be on August 28, and urged city residents to get brush to the curb prior to that date.

Councilman At-Large Bill Marshall, who chairs Council’s Health-Safety-Service Committee, reported on code enforcement issues, noting that the city experienced a record year in code violations, with more than 700 violations filed so far this year for various reasons, such as junk vehicles, trash, and weed issues.

City Law Director John Hatcher said he feels city residents are more responsive now than they used to be when code violations are filed, but there are still a number of repeat offenders.

Marshall said he wonders, though, if current enforcement efforts are actually working. Balyeat added that it seems as if the same people are having money added to their property taxes because the city has had to mow their grass or clean up junk issues.

Hatcher said he wanted to meet with Marshall and City Engineering Supervisor Bill Lawson, who handles code violation issues, to improve enforcement efforts in this area.

Council also gave final approval to a change in the trash collection ordinance mandating that trash and recycling collection be done on the same day. The measure passed 5-2, with Council members Ken Markward and Steve Trittschuh voting “no.”

The law director also noted this was the first meeting for Council’s new consent agenda, adding that Council members need to provide him with items for the consent agenda several days before a Council meeting. Items such as supplemental appropriations and fund transfers, as well as business that is approved on an annual basis, are typically among the items that would appear on the consent agenda.

Council also prepared legislation to transfer Memorial Park on West Main Street to American Legion Post 178. The ordinance will be read three times prior to passage.

Councilman At-Large Jon Tomlinson noted that playground areas at the new Franklin Park are now open, but the City has also reported three incidents of vandalism at the park, a situation that could result in security cameras being installed at the park.

The next meeting of Van Wert City Council will be held at 7:30 p.m. Monday, August 28, in Council Chambers on the second floor of the Municipal Building, 515 E. Main St.