Facing a deficit in 2013, Mayor Lydia Mihalik continues her battle with the city's finances. To make matters worse, the current quarter percent income tax is set to sunset at the end of this year, leaving the city with a two million dollar problem.
To start Tuesday night's meeting, Mayor Mihalik restated the administration's stance of a new, permanent quarter percent income tax. After some debate, all of the councilmen agreed with the administration's proposal, but for Councilman Ronald Monday, a permanent quarter percent tax just isn't enough, that's why he motioned to add a five year quarter percent tax for capital improvements.
Councilman K.C. Collette also made a motion during the meeting and received similar support for his proposal to add a permanent quarter percent tax. Collette says it's not that the city doesn't need capital improvements, rather it's that council and city administration need to let the voters know what the money will go towards.
Happy with the progress made at Tuesday night's meeting, Mayor Mihalik is hopeful that residents will be voting on an issue that will improve the city's budget problems. Although nothing has made its way on to the ballot yet, Mihalik's battle with the budget may be over soon.
Council will discuss and vote on the two issues at next week's city council meeting. If approved, one or both of the issues would find their way to the election ballot in November.