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Glenwood residents miffed about tax hike

News

March 11th, 2015 by Ric Hanson

The discussion got a little heated during a meeting Tuesday night of the Glenwood City Council, when several residents in the crowd of more five-dozen complained about the Council’s vote to raise property taxes in order to replenish the city’s general fund and to pay for two street projects on the south side of town. According to the Omaha World-Herald, residents alleged mismanagement on the part of city officials led to the general fund being drained. Some residents also said that the council should try cutting the budget instead of raising taxes, and that the proposed street projects should be more modest.

Exactly how much residents will be taxed has not been determined. The council voted to allow itself to tax property owners in town up to 46 cents per year per $1,000 of value, meaning an owner of a $100,000 home would pay as much as $46 more per year in property taxes. The council will vote later on exactly what the tax hike will be. The council needed to vote on the tax increase Tuesday night in order to finalize its budget, which is due to the state Friday.

The vote was unanimous, but some council members expressed misgivings, saying they felt forced to vote for it at the last minute. The two street projects cover about four blocks of Vine Street and a block of Railroad Avenue. The two projects total about $1.2 million but, with 80 percent of the cost covered by state and federal money, the city would pay $260,000. Landowners along the two street projects will also pay an assessment to help fund the project — to total 9 percent of the city’s costs. Some landowners along the route say that is unfair.But City Administrator Brian Kissel says some properties are getting new curbs, gutters, sidewalks and driveway approaches. The people who are receiving that benefit are being charged the assessment.

Another concern for those at the meeting is the money designated to replenish the general fund. The city says doing so is necessary because the city spent nearly $200,000 on the town’s library after its roof collapsed in late 2012, and another $150,000 has already been spent on the two street projects. The city has a general fund balance of $100,000, Kissel said. But officials want to get that to about $300,000.