TITLE: Title
A Motion by the Trotwood City Council to schedule a Public Hearing and authorize the Law Director to prepare legislation proposing the renewal of a five (5) year income tax levy for an additional one-half of one percent (0.5%) for the purpose of resurfacing roadways, and declaring that the question be submitted to the electors at the election to be held May 4, 2027.
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PURPOSE: Schedule Public Hearing and draft legislation
DEPARTMENT: Administration
CONTACT INFORMATION: Quincy Pope, City Manager
INFORMATION: In March and May of 2019, City administration presented a detailed strategy that would address Trotwood’s failing streets for the long-term. The strategy included a five-year temporary income tax increase. In the short-term, Trotwood’s current revenue stream for streets ($400,000) only allows the City to resurface approximately two-three miles of roads each year. The goal is to resurface neighborhood streets, in addition to the main arterial roadways. This will require the continued help of the voters.
During presentations to City Council, it was overwhelmingly decided increasing the income tax rate is the most equitable option, which causes all users of our roadways to contribute to our resurfacing and maintenance cost. Other advantages to this option are: It would be a temporary increase and raising the income tax percentage impacts EARNED INCOME only such as wages, rental or self-employment. Seniors or those with pension, social security, dividend interest and capital gains will not be affected.
On November 8, 2022, this levy passed by 162 votes; a vote of 3,447 FOR the income tax and 3,285 AGAINST the income tax. With the levy ending December 31, 2027, City Manager Pope would like Council to consider placing a renewal question on the May 4, 2027 ballot.
FISCAL & STAFF IMPACT: This temporary income tax levy would generate approximately $1.5 million in additional revenue.
RECOMMENDATION: Recommend Approval