MAHONING CO. Panel: Prepare for cuts

Commissioners said cuts must be made even if the sales tax is renewed.
By BOB JACKSON
VINDICATOR COURTHOUSE REPORTER
YOUNGSTOWN -- Mahoning County commissioners want to make sure department heads hear their message loud and clear when it comes to the 2005 budget.
Cuts must be made, regardless of whether a 0.5 percent county sales tax is renewed by voters in November.
That's because even if the tax is renewed, a change in state law will keep the county from collecting revenue for the first three months in 2005. By the time they can resume collection April 1, just more than $3 million will have been lost, said Joseph Caruso, assistant county administrator.
"So even if it passes in November, there is going to be less money available next year," Caruso said. "Departments still are going to have to tighten belts and make cuts."
Voting results
If voters reject the tax, as they did in the March primary election, the county will lose about $13 million from its general fund. The tax, which expires Dec. 31, accounts for about 25 percent of the county's overall annual general fund money.
"It will be devastating if we lose that revenue," Commissioner David Ludt said.
Caruso said he's beginning the process now of preparing the county's budget for next year. Department heads are being asked to submit their 2005 funding wish lists to commissioners for consideration.
Commissioner Vicki Allen Sherlock cautioned department heads to consider the looming loss of funds when they submit their requests.
"There always seems to be this belief that, no matter what we say, the money is just going to be there," Sherlock said. "That is not the case, and people had better budget accordingly."
How to prepare
Commissioner Ed Reese suggested that each department be required to submit two budgets -- one based on the sales tax passing and one based on it being defeated. That way, the commissioners will be able to get a budget in place next year no matter which way the vote goes in November.
The county has a second 0.5 percent sales tax that doesn't expire until December 2007. It generates the same amount of money as that one that expires this year and will not be affected by the new law.
Commissioners are considering whether to seek renewal of just the expiring tax in November or to consolidate the two taxes into a 1 percent measure. They also are mulling whether to seek approval of the tax for five years, 10 years or for a continuing time.
Reese said no decision has been made on the levy amount or time limit.
bjackson@vindy.com