Mansfield set to lose $1M in 2013

MANSFIELD — Mansfield Finance Director Linn Steward said the city can expect to lose about $1 million in revenue in 2013, due to reductions in local government funds returned from the state, and elimination of the estate tax.

At a budget hearing to introduce a proposed tax budget for next year, Steward said the city will lose those funds because of decisions made at the state level, beyond the control of municipalities. Council is expected to approve the 2013 tax budget at its July 3 meeting.

The proposed figures reviewed by council Tuesday estimated the general fund balance at the start of next year at $2.15 million, down from $2.58 million this year.

Local tax revenues for 2013 are estimated at $15.0 million (up slightly from $14.9 million this year). But state revenues would plummet from $2.66 million this year to $1.61 million next year.

Charges for services would remain the same, at $70,455, but fines, licenses and permits are projected to increase slightly, from $2.08 million to $2.11 million.

Total revenues, including transfers, have been estimated at $21.57 million for 2013, down from $22.53 million this year.

“This could all change by the time we start the appropriations process in the fall. But this is what we know now,” Steward told council.

Mason Mount of Cliffbrook Drive told city officials he is concerned about the proposal in the city’s recently revised fiscal recovery plan to reduce Mansfield’s resident tax credit — the tax break given those who live within the city but work elsewhere — from 1 percent to 0.5 percent.

If the city makes that change, other municipalities will react by making their own adjustments, and some Mansfield residents will move away to live in places with lower income tax rates, Mount said.

“It’s going to be tit for tat,” he said. “What’s going to happen is Mansfield is going to have less revenue, and all the taxpayers will pay more taxes.”

His daughter, Deborah Mount, said she was surprised by state auditor’s estimates which projected only $289,481 annually from the reduction in the resident tax credit.

She suggested the city — which will consider installing one speed camera in a police vehicle — install more than one. That could increase revenues, as an alternative to a tax credit reduction, and could make streets safer, she said.

The proposed 0.25 percent increase in Mansfield’s income tax rate is projected to result in a large surplus in the safety fund in a few years.
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3 Responses to Mansfield set to lose $1M in 2013

  1. buckeyesyd says:

    Phil Sydnor · Top Commenter · School of Hard Knocks
    What’s Council gonna do about ALL of those people who are DOUBLE dipping, or those who are enjoying the summer off using their comp time?. I think it’s time to change their way of thinking with so many who are laid off or under employed while those who they work for don’t have the same perks!. I know one guy (someone I know) who works for the water department who is getting paid for doing 2 jobs and is taking the entire month of July off – wth?. We also have a gal collecting disability as a safety director when she already had money coming in from her OTHER City job – say it ain’t so!. IF I get a refute, maybe I should print her name?.

  2. buckeyesyd says:

    What they are saying so far on THEIR site –
    Matthew Smith · Business Service Representative at CenturyLink
    Is this part of the reason they’re imposing a new $15 fee when renewing tags? If about half of our residents drive, about 20,000 to put it lightly, pay that fee it’s an extra $300,000 in their pocket. They claim it’s for upkeep of roadways but let’s be honest. The roads are barely taken care of now and I don’t see that changing. Of it does I have a long list of roads that need work. I would also be satisfied with a list showing what roads they have maintained with this money.
    Reply · 3 · Like

    · Follow Post · 22 hours ago
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    Michael Smith · Penn Foster Career School
    Ur roads pretty nice…
    Reply · Like

    · 21 hours ago.Mark as spamReport as abuse
    Amy Mcguire · Kaplan University
    well, driving down Park Ave makes you feel like your in Bagdad!
    Reply · 3 · Like

    · 14 hours ago.Mark as spamReport as abuse
    Matthew Smith · Business Service Representative at CenturyLink
    I don’t know why our city claims they can’t pick up leaves, they can’t plow this road or that road but it appears somehow we have money to buy new cop cars almost every year. All this information should be public. I pay taxes. Where is it going?! Technically it’s our money. We say how we invest it in everything else, like a 401k plan and yet the city we live in doesn’t disclose information like this. It’s deceitful. If they wonder why tax increases get rejected maybe they should open up a little better.
    Reply · 2 · Like

    · 12 hours ago

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