YOUNGSTOWN Mayor, official square off over tax



The mayor is 'absolutely convinced' that the chamber won't endorse the income tax.
By ROGER G. SMITH
CITY HALL REPORTER
YOUNGSTOWN -- The Youngstown/Warren Regional Chamber says it was trying to decide whether to support the proposed city income tax increase.
Mayor George M. McKelvey says it was all a charade.
McKelvey was raging Thursday about Tom Humphries, chamber president, and the chamber's approach on whether to endorse the proposed half-percent city income tax increase to 2.75 percent.
The chamber apparently isn't impressed with the mayor's approach, either.
Asked for data
The chamber asked McKelvey in August and September to provide: three years of city financial information and staffing levels; projections on finances and operations if the proposed tax passes or fails; and comparisons to other communities.
The chamber's governmental affairs committee wanted the data before advising the agency's full board on whether to support the tax increase, said Greg Sherlock, chamber spokesman. The agency used a similar process before supporting a sales tax in Mahoning County and an income tax increase in Warren, he said.
The city responded last week by asking the chamber for:
* A written outline and explanation of the process, plus the municipal finance experience of the committee members.
* Financial information, criteria and final analysis the committee used in the county and Warren cases.
* A written commitment that the city would get the chamber's endorsement if its need proved to be as great or greater than the other governments.
The reason for all those requests, McKelvey said, is that the city wanted to know the rules for endorsement in advance. The fear was that the chamber would use different criteria for Youngstown than the county or Warren, he said.
The root of those fears, McKelvey asserted, is that Humphries already has made public statements against the city's proposed tax.
That's why McKelvey said he found the chamber's request for endorsement-related information odd.
"It appeared to be a charade," he said. "Don't play games with us. We're working hard here. We don't have time to play games."
Sherlock denied that Humphries has ever made any public statement against the city's proposed tax. Sherlock said he couldn't be certain, but would be shocked if Humphries has made any private comments against the tax, either.
Humphries was not available to comment Thursday -- and Sherlock said Humphries wouldn't be responding anyway.
Fax shows position
Meantime, the city had heard nothing about the issue until a fax to chamber members was leaked to McKelvey on Wednesday.
The fax was a draft of the chamber's position. The draft says the chamber can't support the tax because the city failed to provide information.
The city must justify the tax increase, and the chamber doesn't have to justify its information request, the draft says.
The draft characterizes the city as reluctant to share data and calls for a full outside audit of city finances and operations. An audit showing that revenue is being spent responsibly should cause voters to reconsider voting against the tax, the draft concluded.
Sherlock said the chamber endorsement is still in process. Chamber's policy is not to comment on internal communications, he said.
The chamber expects to announce its position on the tax early next week after the agency's board meets Friday, he said.
McKelvey said the city financial records are all public and the chamber is welcome to gather them itself.
McKelvey said he will have his staff work all weekend compiling the information if the chamber agrees to use the same process it used in the past. He is willing to do that because he is certain the city's need for the tax will prove as great or greater than other issues.
Mayor's convinced
However, McKelvey said he doesn't expect that to happen because he is "absolutely convinced" that the chamber won't endorse the income tax under any circumstance.
He also took issue with the chamber's call for an outside audit. The state audits the city annually. In addition, McKelvey said layoffs of 26 firefighters or police officers -- and many more to come -- should tell the chamber all it needs to know about the city's financial condition.
Business is in more jeopardy if a city isn't safe than if the income tax increases, he said. Eighty percent of the half-percent tax increase will pay for firefighters and police officers.
McKelvey also pointed out that the chamber endorsed the past county sales tax and it failed.
When it comes to evaluating and endorsing tax issues, Humphries "should just shut up," McKelvey said.
rgsmith@vindy.com