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Tue, Feb 09 2010 

Published: December 06, 2008 01:29 am    print this story  

LOIT looks like dead issue

By CHRIS MORRIS
Chris.Morris@newsandtribune.com

It looks like Floyd County workers won’t be paying an extra tax in 2009.

After narrowly passing a Local Option Income Tax — or LOIT — by a 4-3 vote at its November meeting, the Floyd County Council has had a change of heart.

A second reading and vote is required before the tax becomes law. The vote will likely look much different than the one taken last month.

“I’m telling people I’m voting no,” said council President Larry McAllister, who voted for the tax last month. “I made a mistake. I should have never brought it up at this time.”

A second reading and vote will take place at 6 p.m. Tuesday in the assembly room of the City-County Building.

The vote went along party lines with McAllister, Tom Pickett, Ted Heavrin and Carol Shope — all

Democrats — voting for the tax and Republicans Dana Fendley, Lana Aebersold and John Schellenberger voting against.

The tax was passed in two parts. Part A — totaling 1 percent — would go back to homeowners in the form of property tax relief, while Part B — .25 percent — would generate around $4 million in new revenue for public safety, police and fire. The $4 million will have to be split with the city.

FOP Lodge 99 President Paul Haub, who spoke in favor of the tax, said at last month’s meeting that statistics show a city the size of New Albany — around 37,000 people — needs 90 police officers on the street. The city has 60 and he said that is not enough to fight a growing criminal population.

“We do not have the bodies to deal with the criminal element in this city,” Haub said.

However, Haub’s plea, along with other New Albany and Floyd County police officers, did not persuade Aebersold on voting for the new tax.

“I definitely won’t be changing my vote,” Aebersold said. “The community cannot afford another tax at this time. We’re just going to have to figure out a way to do more with less.”

Aebersold said she is proud of the work the council has done to add county police officers and increase their pay over the past two years.

“We do a lot for police,” she said. “We do the best we can and we appreciate them. But we can’t put more tax on people for more police service.”

McAllister expects LOIT to be brought up again, but not in the near future.

“We will have to see what the state is going to do. But I already know that answer: nothing,” McAllister said. “I think we’ll eventually have to have a public safety tax.”

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