Tuesday, February 15, 2011

State of the City Address 2011

Cities and businesses have to spend money to make money, but in the State of the City address Monday Mayor Kim Wolf said there’s no money to be spent.
Wolfe has no plans for additional revenue source in this year’s budget proposal until the Home Rule Board meets and approves the occupational tax.
The holding factor for the city’s budget is the occupation tax proposal. The city plans to tax 1 percent of the income for each person who works in Huntington. This could mean an outrage for non-residents of Huntington who work in the city.
The 1 percent tax will replace the $3 user fee, so residents could pay up to a couple thousand dollars a year, compared to the couple hundred residents were paying with the user fee.
Wolfe said the budget does not look good for the upcoming year, and municipalities’ budgets are not expected to look good until 2012.
“Nobody wants more taxes, but in order to have service you have to pay taxes,” said Sandra Clements, District 5 city council member. “Huntington provides the job to let you live outside the city, so you have to pay.”
Clements said those non-residents who fall under the occupation tax use the services when they are in the city, they use the roads to get to their job, and the Huntington Fire Department would respond just as much as the police department would respond.
The occupational tax is not the only tax reform that was involved in the package passed last summer. City Council Member Mark Bates said there was also a 1 percent sales tax included that would be added to the 6 percent sales tax. Bates said the 1 percent sales tax would go to reduce the B & O tax by 50 percent on retail and service businesses as well as complete elimination of the manufacturing B & O tax.
“With all we’ve done, it has not been enough,” Wolfe said.
Wolfe said additional cuts across all departments were in this year’s plan. The city has already cut a few paid holidays, and plans to reduce more. Wolfe said the city has consistently reduced staff from public works and administrative jobs, and reduced salaries 10 percent since 2010. Budget cuts are nothing new this year, as they were a point focused on in previous years.
An open and capable government was on last year’s agenda, and was elaborated on this year. The city hopes to hire a bureau supervisor to attend to day-to-day operations and make use of Marshall University students to expand the relationship between the university and city hall.
Also proposed is new software that will streamline function and result in more efficient business. With an electronic customer satisfactory survey proposed, residents will have a chance to voice their opinions, and get more efficient communication with the local government.
Wolfe said the city has had one of the most productive years with notable successes. The police department has an overall reduction in crime for three years in a row. The Drug Market Intervention program has led to a 19 percent increase in residents that feel safe at night. The Fire Department has a 13 percent increase in number of calls responded to and added three new pieces of equipment.
The city plans to work on beautification with new landscaping, planters, new lights and help on storefronts. Wolfe said that the pedestrian corridor project has been provided with a $200,000 stimulus fund that will provide connection for tourists, foot traffic for locals and development in construction.
Wolfe stresses that this exhaustive process will take time, but the end product will be stronger and provide better service.
“No longer be afraid to make changes necessary to improve our city,” Wolfe said. “We as a city are moving.”

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