Taxpayers in Sharon can take heart.

For the first time in several years, there is no tax increase included in the proposed budget, and Mayor David O. Ryan said the city will actually have a $75,000 surplus at the end of this year.

Ryan presented the 2004 budget of $8,478,773 to council Monday. The proposed budget includes 42.5 mills of taxes, which is what residents are currently paying.

Council unanimously approved the first reading of the budget.

The budget is tight, mostly because of a 32 percent -- or $298,268 -- increase in the cost of health insurance, Ryan said.

A positive fund balance is something the city hasn't had for several years. At the beginning of 2002, the city was actually in the hole $239,000. At the beginning of this year, the city had a $73,000 deficit.

"We've made great strides in the two years that I've been here I think," Ryan said. He said all of the department heads have been financially responsible and not spent any unnecessary money.

Another improvement Ryan cited is the roll-over of bills.

At the end of the year, the city will roll over about $200,000 in bills, city Finance Director Michael Gasparich said. He said the roll-over will be mostly from December bills.

In 2001, the city rolled over $486,000 into 2002. In 2002, the city rolled over $386,500 into 2003, Gasparich said.

There are no plans to decrease services in the city, and personnel will remain the same with the exception of possibly adding two positions at the sewer plant. If council approves the proposed budget, the two new employees will perform downspout testing and additional work required by the Environmental Protection Agency.

A mill is $1 for every $1,000 of a property's assessed 1970 market value. A mill generates $110,344 for the city.

With taxes set at 42.5 mills, a property assessed at $4,300 would cost the taxpayer about $182.

Councilman Raymond Fabian and Councilwoman Chris Outrakis complimented Ryan on the budget. Fabian said Ryan has good control of the finances and what things will cost.

Council members will hold a budget hearing at 4 p.m. Dec. 9. They are expected to adopt the budget at their regularly scheduled Dec. 18 meeting.

You can e-mail Herald Staff Writer Kristen Garrett at
kgarrett@sharonherald.com

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