Bedford City Council unanimously passed a proposal Monday strongly opposing legislation in the Ohio General Assembly aimed at repealing an income tax measure that could cost Bedford more than one-half million dollars in lost revenue.
House Bill 197, which was passed in March, had in it a temporary rule called Section 29. The rule required employers in municipalities to continue to withhold income taxes during the pandemic, even if the employees worked from home instead of at the office. Finance Director Frank Gambosi said if the state legislature repeals this rule, Bedford could lose a large portion of tax revenues.
“The city of Bedford would stand at an economic hardship in regards to this, looking at refunds of approximately $650,000 analyzing our top 10 taxpayers,” said Gambosi.
There are two current pieces of legislation aimed at trying to repeal the rule. The first is Senate Bill 352, and it was introduced by State Sen. Kristina Roegner, R-Hudson. The second is House Bill 754. Without the legislation, Section 29 is set to expire 30 days after the end of Governor Mike DeWine’s COVID-19 emergency declaration, but the new legislation would possibly cause it to end sooner.
In the meantime, Gambosi and his team have been hosting budget hearings for the coming year, but they are having to deal with many more variables and uncertainties than are normal due to COVID-19. At a meeting this summer, Gambosi warned that next year’s budget will be heavily affected by lack of income tax since many people have been out of work this year, and also since unemployment is not taxable. On top of that, he said taxes on business profits will also be lower since many were forced to close at some point during the year due to the pandemic.
The annual lighting of the Bedford Commons for the holidays will be different this year due to the virus. City Manager Mike Mallis said there will be no refreshments or Santa Claus and was recommending that people watch the live-stream of it and not come down to the square in person.
“Please, when we send the information out, take advantage of it,” Mallis said. “Watch it (the lighting) online and simply sit back and have a cup of hot chocolate, and you can watch the square get lit like it typically does and then schedule a time when you and your family can come down safely, and social distance safely.”
Residents can tune in to the city’s YouTube channel at 5:50 p.m. on Wednesday, Nov. 25 for a message from Mayor Stan Koci followed by a live-stream of the holiday lighting. The decorations are set to stay up until January 8th.
During the portion of the meeting when citizens’ emails are read to the board, Cathy Chaich, the president of the Bedford Downtown Alliance, reminded residents that Nov. 28 is the 11th Annual Small Business Saturday, and how very important it is to support local businesses, especially during the pandemic.
“The holidays might look a little different this year, but we can still show up for each other…” she said. “Supporting our local businesses makes a big impact. Spend your money where your heart is — in Bedford.”
Ward 3 Representative Vic Fluharty reminded council that the Bedford City Schools Foundation will be holding a silent auction to benefit a scholarship fund for Bedford students. This year the auction will be virtual. For more information go to bcsf.cbo.io
In other business:
- The replacement of lighting on Willis and Taylor Streets with LED lights is almost completed
- The council approved both the purchase of a new valve maintenance trailer and also two new Ford Explorers for the Fire Department. The older Fire Department vehicles that were replaced had more than 100,000 miles a piece, and will be used in other departments.