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Inaction not a choice as street group mulls tax options

Staff Writer

Friday, May 16, 2008

Although it was agreed the city could not wait another year to address Middletown's crumbling roads, the group tasked with forming a comprehensive streets improvement plan could not reach consensus on how to fund it.

The subcommittee met Thursday, May 15, and discussed income tax increases to pay for street repairs and repaving, including a permanent 0.25-percent income tax increase; a 10-year, 0.25-percent income tax increase; a permanent 0.5-percent income tax increase; and a five-year 0.5-percent income tax increase that would revert to a permanent 0.25-percent income tax.

Extras

Councilman Bill Becker, subcommittee chairman, said the proposed options were "not the final product, but only the beginning." He said the city needs to do a combination of "thoroughfares, feeder streets and neighborhoods throughout the city."

Each 0.25-percent of city income tax would raise about $3 million per year in additional revenues, according to officials. City Engineer David Duritsch has said it would cost about $120 million to repave city streets, which does not include curbs and gutters.

City Manager Judy Gilleland and Becker expressed reservations about going for an income tax increase more than 0.25 percent due to the current economic condition of the city and region. They also felt this was not a good time for the city to have an income tax of more than 2 percent. It currently is 1.75 percent.

The subcommittee is slated to make a presentation that may include its recommendation to Council at its June 17 meeting.

The subcommittee next meets at 4 p.m. Wednesday, May 28, at the Middletown City Building, One Donham Plaza.

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