Trustees trying to resolve budget shortfall

Two trustees praised the ideas of the third trustee.

By D.A. WILKINSON

VINDICATOR STAFF WRITER

BOARDMAN — Stay tuned for more discussion on the township’s sagging revenue.

Township trustees met Sunday afternoon but came to no agreement on its 2008 spending.

Robyn Gallitto, the chairwoman of the trustees, and new trustee Larry Moliterno said they thought they would be discussing the township’s shortfall tonight.

The trustees will meet at 6 p.m.

Trustee Kathy Miller presented five lengthy ideas at the Sunday session. About 100 people, including township workers, attended the session.

The trustees have set a spending plan of $19 million with revenue of $15 million. The township has a $4 million reserve.

About 60 percent of township voters last year rejected a 4.1-mill levy that would have generated about $4 million a year.

Miller’s ideas were based on the premise that the township will not receive any inheritance tax this year. That would reduce the township’s estimated revenue to $14 million.

The tax has brought in about $1.2 million a year. Gallitto said.

“There has never been a year when we have received zero in inheritance tax,” she said.

Still, Gallitto and Moliterno praised Miller’s ideas.

Miller suggested that department heads get a funding allocation and then return spending proposals back to the board.

The other ideas were:

UAdopt items from a state performance audit that could result in savings. Miller said that there could be up to $1.2 million in savings, although some $506,000 would have to be negotiated with township workers. Those costs could include increased health care contributions, higher co-pays on medical care and cutting of non-safety workers by 50 percent.

U Adopt spending of $8.6 million that would go into effect April 1. Miller said that would work out to the township spending $28,709 a day instead of the $52,500 spent a day in 2007.

UAsk all employees to take a 20 percent pay reduction and make a 25 percent health care contribution. Gallitto said the idea “had been put out to employees, and it was not well received.”

Moliterno pointed out he has been a trustee for a only few weeks. He said the trustees may eventually come up with a plan to put before voters in a special election in August or in November.

Gallitto said that the township is changing.

Foreclosure sales and abandoned homes have occurred in the township.

In better economic times, Gallitto said the public has come to expect a high level of service from the township government.

Now, financially speaking, she said, “We’ve come to our day of reckoning.”