Strongsville Loses a $1 Million Tax Next Year -- Can the Budget Handle It?

Officials try to balance expenses against declining revenue


The end of estate taxes in Ohio will take a big chunk out of Strongsville's revenue stream next year, officials said.

Mayor Tom Perciak said the change in state law will cost the city about $1 million in 2013, and every year after that. 

The state is also reducing the money it gives to cities through the Local Government Fund -- about $500,000 a year in Strongsville, Finance Director Joe Dubovec said -- and the Commercial Activity Tax, about $350,000 a year.

That's a total of almost $2 million less revenue than the city is used to getting.

Still, the general fund will squeak by with a $3,300 surplus -- without touching the $7.4 million balance it will carry into 2013.

Dubovec said income tax collections this year are up about 4 percent over 2011.

"What we're doing with economic development is working," he said. "We're up about $1 million so far this year."

A number of area cities joined together to fight the end of the estate tax, but were not successful.

Strongsville City Council agreed in April to spend $5,000 to join the Council to Protect Ohio's Communities, a coalition organized by Shaker Heights.

Richard October 09, 2012 at 02:40 PM
It is absolutely amazing to me how many people stand around with their hands out. This tax was nothing more than legalized STEALING. It was a tax on assets that had already been taxed. How many times should assets be taxed? Well, according to some, if the assets belong to the more afluent, tax them until it's gone!!! I applaud the end of this tax. And it has abslolutely nothing to do with rich, poor, or otherwise. It was an unfair tax because it taxed already taxed monies. Good for Ohio!!
lyn October 09, 2012 at 02:54 PM
Apparently you do not know or understand what this tax is. This has to do with taxing what you pass on to your children,.. when you die. . Taxes have already been paid, at least once on this money.
lyn October 09, 2012 at 03:08 PM
I don't think you understand what this tax is. It has to do with taxing what you pass on to your children,.. when you die. Taxes have already been paid, at least once on this money.
Cassifur October 09, 2012 at 10:10 PM
Cassifur, I absolutely agree with all comments. How many times does our money get taxed. Good riddance. Let them live within their budget as we have to do
John Wells October 09, 2012 at 10:26 PM
The tax is a rip-off. I'm just glad Perciak has been spending money prudently knowing that this was coming to an end. I would hate to see him spend money on anything that wasnt absolutely necessary! Yeah right


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