By Felix Hoover

For YourNewsColumbus.com

Posted 07-02-09

 

 

The call for a half-cent increase in the city income tax is driven by simple math, not threats, Mayor Michael B. Coleman said Tuesday morning at City Hall.

 

He assembled a group of journalists from the black media to pitch a three-point plan for creating jobs; reforming government over 10 years to save at least $100 million; and raising additional revenue.

 

"Our goal is to maintain city services and not lose what we have, because if we lose what we have, it might not come back," Coleman said.

 

The tax would bring in an estimated $100 million, about $15 million less than the projected deficit for next year, he said.

 

"We can handle the $15 million; we think we know how to do this, (but) the only way to handle $115 million is massive cuts," Coleman said.

 

Entire departments, including Recreation & Park, are at risk of elimination should the tax measure be defeated, he said.

 

Of a dozen recreation facilities marked for closure in recent months, a handful have been spared through the end of the year by federal stimulus money, as well as philanthropic foundations and church and civic organizations. The tax hike will allow all but one or two to be restored to normal service, he said. He would not disclose which might remain closed, but said reasons other than budget would be the deciding factors.

 

Passage of the tax also would allow continuation of code enforcement and regular refuse collection, the mayor said.

 

Part of the presentation was to justify holding a special election in August, which will cost about $500,000, instead of waiting until the to regular election in November.

 

If voters were to reject the tax hike, the city would have a few extra months to prepare a budget with even more drastic cuts than have already been enacted the past few years.

 

The city has nearly a third fewer civilian employees than in 2000, when Coleman became mayor, he said.

 

Although the city has a substantial capital fund to pay for neighborhood infrastructure projects, those dollars cannot legally be used to hire police officers and firefighters.

 

Coleman also asserted that an income-tax hike is a fair means of increasing revenue because it allows people who work in the city to pick up a major part of the tab.

 

Some income is exempt from city tax, including pensions and Social Security, interest from savings accounts, dividends or capital gains, disability benefits, military pay, income for those under 18, veterans benefits and 401(k) distributions.