Hearing set on local income tax (06/14/07)

A public hearing has been set for 6 p.m. on Wednesday, July 11, for consideration of increasing Jay County's adjusted gross income tax from 1.5 percent to 3.15 percent, with most of the additional tax revenue going to provide property tax relief.

Jay County Council members scheduled the hearing Wednesday, two days after hearing a detailed review of changes in local government fiscal policy from an Indianapolis attorney.

Action by the Indiana General Assembly this year is aimed at providing property tax relief by providing local units of government - except schools - with additional income tax revenue.

If the tax increase is implemented by an Aug. 1 deadline, property taxpayers could see some relief in 2008. The state is phasing out much of its property tax replacement programs, with the Homestead Credit coming to an end in 19 months.

If implemented by the county council, the increase would add two tenths of a percent for budget growth, two tenths of a percent for a "rainy day" or stabilization fund, 1 percent for property tax replacement credits, and one-quarter of a percent for public safety programs.

The council will advertise the hearing at the 3.15 percent rate but could adjust the amount downward after the hearing.

The July 11 hearing is just the start of a busy budget-building calendar that will occupy the council over the next several weeks.

At 6 p.m. on Wednesday, Aug. 1, the council will meet with county department heads to review salary proposals for 2008. Then at 6 p.m. on Tuesday, Aug. 7, and Wednesday, Aug. 8, the council will review departmental budget proposals. A public hearing will be held at 6 p.m. on Wednesday, Aug. 22 for the 2008 county budget, with final adoption set for a meeting at 7 p.m. on Wednesday, Sept. 12.

All of those dates were established at Wednesday night's meeting.

In other business, the council:

•Appointed council member Gerald Kirby as its representative to the Jay County Regional Sewer District. Kirby holds a Class II certification in wastewater treatment.

•Reviewed the budget proposals of Jay County Development Corporation and Jay County Community Development.

•Approved additional appropriations for asphalt, coroner's office supplies, jail equipment and repair, jail medical costs, replacement equipment for the 911 program, and an addition to the highway garage.

•Suggested to elected officials and department heads that no more than a 3 percent pay increase be budgeted for 2008.[[In-content Ad]]