Community

Concerns Voiced Over Proposed Income Tax Hike in Martins Ferry

Kailey Carpino

Purple City residents heard about how conditions in Martins Ferry might improve if voters approve a 1% income tax increase in the Nov. 7 election.

Martins Ferry City Council hosted a town hall on Monday, and residents voiced some concerns over the proposed tax hike.

Residents will vote to either raise the city income tax to 2% or for the tax to remain at 1%.

Solicitor Paul Stecker clarified that the income tax increase would only apply to taxable income, which does not include retirement benefits or government benefits such as Social Security. He also said that if passed, the increase will go into effect on Jan. 1.

Several residents questioned why council is seeking to raise the income tax to 2% instead of 1.5%.

Council President Kristine Davis said the city administration considered this, but 1.5% would only pay bills and not cover larger efforts such as sewer system repairs and demolition projects. Davis also said she was concerned that the city would have to raise taxes again in a few years.

"We did go 'round and 'round making that decision," she said.

Davis also said people can see the need for the increased income tax just by walking down the street.

"I think we all know that we have sewers that are falling in. If you don't, I'll tell you right now we have storm sewers. We have streets in terrible need, streets that are slipping off the hills. I think most of us could walk a block and see a house that needs torn down," she said.

Residents also had questions about the Regional Income Tax Agency and how the system works.

Stecker said the income tax is currently collected through RITA, and the city pays RITA 3% for its services. He said the service could be done in-house, but the city would have to pay for resources and pay the wages and benefits of the tax collector, which would cost the city more overall.

Several residents said that raising the income tax could discourage people from coming to Martins Ferry.

Auditor Jack Regis said that, if it is approved, the additional income tax will help demolish dilapidated buildings and homes to make the city look better. He hopes that will encourage more people to want to live and work in Martins Ferry.

Regis said if the income tax increase passes, he hopes to meet with council and city officials immediately to break down where the funding will go. He plans to allot certain percentages for different projects and departments, such as the street department and demolition projects.

Mayor John Davies said if the income tax increase does not pass, the city will have to make cuts to services and personnel. He noted that the city already has combined some jobs to save money.

Davis echoed this statement.

"At this point, some of the resolutions are we can reduce services to continue within the budget, or we can raise some more income," she said.

Councilman Thomas Burns said cash flow is a big problem in the city.

"We got ourselves in between a rock and a hard place," he said.

Davis clarified that the city cannot legally place city money in any investments with risks.

Residents questioned why the city is raising the income tax instead of raising property taxes.

Davies said that people who work in the city but do not live there will also pay the income tax and benefit from its uses.

"We have multiple people who come in to work in the dairy, work in the hospital, work in the bakery who do not live in the city, and they're going to pay tax, too," he said. "If you have an industrial accident, who responds? Our police department, our safety forces. Why should you pay for that? Why should property tax pay to cover this?"

Davies said deciding to raise an income tax or property tax is always a difficult decision.

"It's a double-edged sword. No matter which way you go, it's painful," he said.

Davis encouraged all residents to vote regardless of their opinion on the issue.

"Obviously, the people who are here are worried about that, concerned about what's going on, and you are voters. If you see your neighbors, people in your family that don't vote, tell them to get out and vote. That's the only way you make your voice heard," she said.