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NILES -- The City Council president and three other members of the fiscal oversight commission April 19 turned down the mayor's latest fiscal recovery plan.
The sixth version of the plan -- requested by the Niles Fiscal Planning and Supervision Commission when elements of the fifth version did not pan out -- should contain solutions to spending the city is likely to face in the near future, Council President Robert Marino said.
The commission canceled a March meeting to give the administration more time to work on the plan.
A member of the commission himself, Mayor Tom Scarnecchia voted for his plan, as did Commissioner Quentin Potter and former longtime councilman Fremont Camerino.
"I am disappointed. I thought it was a good plan. We communicated with the (state-appointed fiscal supervisors) about the plan and we all thought it was viable. We brought it forward based on their recommendation," Scarnecchia said.
Tim Lintner, one of the supervisors, said the city could have positive fund balances with the plan, according to projections. But, projections are precarious by nature, and projected balances of about $1.9 million in 2021 are dependent on zero surprises, not leaving a lot of wiggle room in the budget, Lintner said.
While the plan -- a requirement placed on the city after Ohio Auditor Dave Yost placed the city in fiscal emergency in 2014 because of several deficit funds -- contained cost saving measures, it did not address anticipated expenses, Marino said.
The commission requested an amendment to the plan when an element of the fifth version -- leasing the Niles Wellness Center to make up for $160,000 in expenses the revenue there did not cover -- did not come to fruition. The new plan covered that shortfall with the creation of a labor pool to relieve the general fund of $150,000 to $170,000 a year, along with $10,000 in cuts at the center and $20,000 in projected new revenue sources.
However, the city is bound to have new expenses once an analysis of the city's buildings is complete, Marino said.
A preliminary report submitted to the city from Phillips Sekanick Architects Inc., shows repairs at the city's safety complex -- which houses the police and fire departments and the Niles Municipal Court -- could amount to more than $1 million. The firm, being paid nearly $15,000, is assessing 14 city buildings. After the analysis, the firm is going to work with the city to create an action plan.
With the level of cash the projects are likely to cost, the commission didn't have "real" numbers, fiscal commission member John Davis said, so he voted "no."
"I promise, we will not get out of fiscal emergency with this plan," Davis said.
The next fiscal commission meeting will not be scheduled until the administration first knows the extent of the buildings' problems, and has time to work on an amendment to the recovery plan to address how the city will handle the issues.
Potter said he recognized Scarnecchia submitted a plan addressing the issues the commission wanted addressed.
"This plan is as good as we asked for in February. But here we are in April and a lot of things have happened and this plan doesn't cover it," Potter said.