It is currently that time of the year when cities, including Vinton, put together their budget for the next fiscal year which runs from July1, 2008 to June 30, 2009. We do not have too many capital project planned right now. The only thing we are looking at is the Maple Lane Storm Shelter which will be financed through a FEMA grant and funds set aside from TIF projects.
We are also waiting for the results of our Local Option Sales Tax (LOST) referendum on January 29. The LOST allows a local jurisdiction to add one cent to taxable sales and that money is returned to the city or county for use in the local jurisdiction.
The city hopes to put half of the money received, about $250,000 toward street improvements. We have no other way to receive money for these improvements other than borrowing money which will increase the tax levy for debt service. There are several streets that need to be repaired, so the city will probably need to get the funding either by borrowing or through the LOST. Since another 25 percent of the LOST revenue goes toward property tax relief, the city plans to lower the tax levy by one dollar per $1000.
We'll see how things go and budget accordingly!