Sunday, September 27, 2015

WIN THAT LOTTERY-----BUT BE QUICK ABOUT IT!



On September 15th Finance Director Joe Filippo let Council in on proposed changes to the city’s Income Tax Ordinance (Chapter 111).
Filippo explained:

"The state legislature wanted to make taxes uniform throughout the state.
RITA (the Regional Income Tax Agency) and CCA and others (municipal tax collection agencies) fought a lot of what the state wanted to do, including having the state in charge of tax collections.
The bill (passed by the legislature) makes a lot of items uniform throughout the state.”

The good news according to Filippo:

"Many (of the required changes) don’t effect us cash-wise."

Filippo wanted to give Council a heads up because the city has to become compliant with the new tax law by December 31, 2015.
To do that, Council will have to pass a set of new Income Tax Ordinances this fall.
One change that may impact taxpayers and the city alike: 

Our state legislators raised the bar for receiving a tax refund.  

While previously taxpayers were paid if they were owed at least a $1 refund, beginning in 2016 only refunds $10 or greater will be paid out.
The city gets to hold onto refund money under that amount.

One potential money loser for the city: occasional worker taxes

The old tax rule required non-residents who worked in the city for at least 12 days to pay tax on all of the income they earned in the city.
Starting in January 2016, however, non-residents won’t be subject to tax unless they work at least 20 days in the city and the first 20 days of income will be tax-free.

And, oh yes, some extra advice for our Finance Director:

If you are going to hit it big in the lottery, be sure to do it in 2015

Current Ordinance 111.0318 includes“lottery winnings of one million dollars ($1,000,000) or more” in taxable income.
Smaller lottery winnings, anything under $1 million, have been tax free, at least for city income taxes purposes.

The new state law, though, doesn’t contain a minimum threshold for taxing lottery winnings

Since the city’s taxing ordinance has to match the terms that our state legislators have dictated, that means come January 1st every dollar of lottery winnings will be subject to city income tax.

UNIQUE CAMPAIGN LITERATURE?
Campaign signs are beginning to sprout up in the city.

I have to wonder if some people are a bit confused about municipal boundary lines

There surely do seem to be a plethora of signs for Mayfield Village candidates planted in Highland Heights front yards.

One intriguing piece of what appears to be campaign literature was just forwarded to me.
It was mailed to a a local resident:















The Heritage Home Program’s website (http://heritagehomeprogram.org) states:

"We partner with Cuyahoga County, Lucas County, the Ohio Housing Finance Agency, and the Treasurer of State of Ohio to "buy down" the interest rate in order to make home rehab more affordable. ….
Over 20 years after the Program's inception, we have provided 9,000 homeowners with helpful technical advice on over $200 million in projects. Additionally, our program has facilitated over 1,200 low interest loans on projects totaling over $46 million in neighborhood reinvestment.”


The website lists the communities who offer Program services to their residents.
Highland Heights is listed as one of the Program's “Participating Communities".

So actually it is the City of Highland Heights that operates "in partnership" with the Heritage Homes Program….not "Mayor Coleman"

And if truth be told, at the Council meetings I attended at least, I recall the biggest and loudest booster of the program as being not Mayor Scott Coleman but Council President Cathy Murphy.

And, of course, it was the Highland Heights City Council who took action and passed the legislation enabling Highland Heights residents with 50+  year old homes to participate in the Program.
The mayor just signed that legislation once it was adopted.

 So what gives?

I’m scratching my head here.
It’s hard to believe there is some sort of quid pro quo involved----but the question remains:

Why the big glossy card, sent out during campaign season, lauding partnership with the mayor, by name?

Whatever the reality, it certainly might strike some residents as a political endorsement.
Which raises another question:

Do you suppose the mayor will list the Heritage Home organization as a contributor when he turns in his next campaign finance report?

As always, I guess we’ll just have to wait and see.