Trustee says Austintown doesn’t need city’s deal


By Ed Runyan

AUSTINTOWN — Trustee Lisa Oles said the balanced $13.8 million budget trustees approved shows the township is financially solvent and in no need of a joint economic development agreement with the fiscally strapped city of Youngstown.

Oles said Monday night the township’s budget, which predicts a 4.5 percent increase in spending over the $13.2 million spent by trustees in 2007, includes no layoffs.

“We are financially healthy and are not interested in regionalization with any other government entities that are not as financially stable as we are,” Oles added.

She was referring to a JEDD that was proposed by Youngstown that would involve workers in Austintown and Boardman paying a 2 percent income tax to the city in exchange for lower economic development assistance from the city, continued expansion of water services into the townships, lowered income tax for everyone who works in Youngstown and a reduction in the city surcharge to township water users.

The plan also calls for another 0.25 percent income tax being charged and collected by the townships.

Both Youngstown and Boardman have announced budget shortfalls in recent months. Boardman has laid off workers. Youngstown is considering it.

Michael Kurish, Austintown’s fiscal officer, said the township appears to be on sound financial footing through 2010, but the year 2011 could be more problematic if the state doesn’t come up with a way to replace the personal tangible property tax money that will run out in 2010.

The state is phasing out that tax and providing replacement money to the government bodies and schools that get it now. The state has not guaranteed that it will replace the money after 2010, however, Kurish said. The township gets about $800,000 per year from the tax.

Oles said the majority of the spending increases are the result of standard pay and benefits increases to township workers.

Kurish said another part of the increase is the result of a larger amount of state grant money coming into the township this year for several construction projects being planned.

They are:

U$224,000 in grant money for a sidewalk project on Raccoon Road.

U$73,000 to be received for a a storm water project on Kimberly Drive and Baker Street.

U$250,000 in State Issue 2 grant money to be received for a storm water project on Ayrshire Boulevard and $172,000 for a storm water project on North Wickliffe Circle.

The township will spend an increased amount for road paving this year — around $400,000, compared to around $260,000 in 2007. With the increased cost of oil — a component in asphalt — it will take more money to pave the same number of streets as were done in 2007, Kurish said. The list of roads to be paved will be released later.

The township expects to need an additional $100,000 in salt for township roads in 2008 compared to 2007 because of the high usage in the first three months of this year, Kurish said. It is budgeting $298,876, compared to the $193,015 it spent in 2007.

The Austintown Police Department was approved for an increase of 2 percent overall — from $4.7 million to $4.8 million. One reason for the $93,653 increase is that three additional police officers were hired as promised by trustees when voters approved a replacement police levy in November 2006, Kurish said.

runyan@vindy.com

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