Niles commission approves 7th version of fiscal recovery plan

NILES

The Niles Fiscal Oversight Commission approved the city’s seventh fiscal recovery plan despite concerns raised by two of the commission’s members, including John Davis, who voted against it.

The plan, written by Mayor Thomas Scarnecchia and approved 6-1 Thursday, provides a road map for cost-cutting and capital improvements over the next five years.

It includes two $5 increases in license plate fees and moving income-tax collection to the Regional Income Taxing Agency and eliminating the city’s income-tax department.

Davis said he doesn’t think switching to RITA will save the city $42,000 the first year. Scarnecchia, author of the recovery plan, has said the switch will save the city $42,000 per year without causing any layoffs.

Council President Robert Marino said he expects a union grievance to be filed over the elimination of the income-tax department, so that could stand in the way of department savings.

Both comments were aimed at pointing out ways in which the recovery plan might miss the mark. But Quentin Potter, fiscal commission chairman, said every fiscal plan has to be adjusted again and again, as evidence by the fact Niles has now made seven attempts to create a plan.

The other part of the plan that was questioned was the $1.2 million reimbursement to Niles the Mahoning Valley Sanitary District board approved in June. The money, if it comes, will go into the water-department fund.

Read more about it in Friday's Vindicator or on Vindy.com.