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McDonald council OKs pay increases

Also takes away income tax forgiveness policy

McDONALD — At its final meeting of the year, village council approved pay increases for various employees effective Jan. 1.

Council gave final reading last week to an ordinance granting 5% pay increases to village employees, which include 10 office staff, full-time water and road department workers and a part-time building / zoning inspector, whose monthly pay will increase from $550 to $577.50. Pay for the other employees varies based on years of experience, according to the ordinance.

Mayor Ray Lewis said rental inspections pay the salary of the building inspector, so there is no additional drain on the budget.

The fire chief’s pay will increase from $629 to $1,250 per month. Lewis said the fire department has increased its revenue and there has been a shifting of funds, so the impact to the budget will be minimal. He said the village is also no longer paying for an assistant fire chief, which will save money.

The fiscal officer’s pay will increase from $19.60 to $20.58 per hour.

INCOME TAX

Council also gave final reading to a change in the income tax forgiveness policy that states residents who work outside the village and pay income tax elsewhere still will need to pay a percentage to McDonald.

Lewis said residents who work in other municipalities now receive a 2% credit for forgiveness on the income tax paid to the other municipality.

“The majority of our residents who are working are not currently paying village income tax,” Lewis said.

Of the village’s 3,000 residents, approximately 1,200 tax returns are from residents paying some form of income tax. The majority of these 1,200 taxpayers do not work in the village and pay income tax to another municipality, Lewis said.

Lewis said the decrease in jobs in the community has negatively impacted the village’s municipal income tax collections. He said that with the closing of McDonald Steel, the village has seen an approximate $200,000 loss in tax revenue from the employees who worked there.

Councilman Don Smith, chairman of the finance / capital improvement committee, explained that someone working in Lordstown, which has an income tax rate of 1.5%, will get a credit of 1%, but will need to pay 0.5% to McDonald.

Smith said for those working in Niles, Girard or Warren, where the income tax is 2% or more, the village will only give credit for 1%, with the other 1% to be paid to McDonald.

Smith said in 2023, the village had 1,443 income tax filers, of which 1,203 paid other municipalities and 240 paid McDonald income tax.

Lewis said that means 960 residents did not pay any income tax that year to the village.

In addition, for the first time, the village is having residents pay for the cost of trash collection.

Smith said previously the village covered trash collection costs. Smith said trash collection is approximately $14 per month or $45 a quarter.

Ohio Valley provides trash collection,

“If we want to remain a solvent municipality, we are limited in options. Village Council is leaving no stone unturned in looking at all avenues to generate revenue,” Lewis said.

FAREWELL TO MEMBERS

Village council recognized councilmen Kyle Joynes and Chad Jones, who are both ending their time on council Dec. 31.

Neither chose to seek reelection in the November general election.

Joynes was appointed to council to fill an opening and served six years and Jones served four years

Brian Bosheff won in the Nov. 4 election and will fill one of the seats. Re-elected to council were council members Kerry Reckard and John Metzinger.

No one else filed to fill the other open seat, so council is taking applications and letters of interest through Dec. 31 at the village municipal building to the attention of the mayor’s office from interested residents.

Council plans to review applicants at the Jan. 7 organizational meeting and hope to have someone in place before February.

Council also is seeking Ohio Public Works Commission funds for the paving of Seventh Street in 2026.

Council also approved an amendment to the rental inspection policy that landlords must schedule an inspection with the building inspector’s office by Feb. 15 of each year for the required annual inspections.

Starting at $3.23/week.

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