Lone Voice Opposed 2008 Budget

(posted Sept 11)

Only one man voiced his opposition to the Speedway Town Council concerning the proposed $11,489,000 budget at the September 10 meeting. He was concerned that his fixed income could not longer support his property tax increase. He said he has been faced with a tax increase for the last two years, and he was not sure if his income could with the rising trend.

Tom Guevara of Crowe Chizek explained the budget went up by a little less than 5 percent from last year's budget. If there is a consolation to taxpayers over rising property taxes, the county option income tax will essentially freeze the maximum levy for the general fund, police and fire pensions, and recreation funds at the 2007 level. Guevara explained the county option income tax that was recently passed by the city county council had two components of providing a cash flow to the town. The first component would replace $177,000 of property taxes with the revenue collected from local income tax and the additional .35 percent increase will generate about $970,000 to $1,000,000 for public safety. This money can be used toward paying police and fire pensions or public safety budget items. He said the fund will drop by one tenth of a percent the following year and that should provide a revenue of about $750,000. Guevara noted that the shift in assessment methods contributed to the town's loss of assessed valuation, and not business attrition. He noted the maximum levy has been set high to protect the town's revenue in case the Marion County reassessment lowers the town's assessed valuation.

Guevara noted Speedway's residents and business property owners are also assessed a tax rate by Unigov, township poor relief, Speedway Public Schools and the Speedway Public Library.