The city soon might begin offering an income tax incentive program to businesses looking to open in Heath.
Mayor Mark Johns said Tuesday during a community development committee meeting that he would like to pursue legislation that would allow this.
"This is another tool that we should put in our toolbox ... to bring more jobs into the city," he said.
The incentive would see the city repay a certain portion of the payroll income tax a new or expanding business would bring in.
Auditor Keith Alexander cited an example in Hilliard where that city gave a business bringing 900 employees a 50 percent incentive.
"They didn't give a true 100 percent abatement at any time," he said.
The city still would receive some revenue from the company locating in Heath, and that incentive would run out after a set period of time.
Heath's income tax is 1.5 percent, which employees of a participating business would pay. The city then would pay the company back an agreed-upon percentage of that revenue, Alexander said.
Johns said he plans to develop an ordinance to present to the finance committee as quickly as possible.
No tax dollars can go toward the incentive: The city would need to set aside money from fees to pay back the businesses.
"You're taking a quarter out of this pot to get a dollar in this (other) pot," he said. "I'm excited for the city to have the opportunity to offer this to incoming businesses."
Council members were supportive of Johns looking into the program, provided they will have the final say in approving its usage.
Also on Tuesday, the finance committee tabled a proposal that would give full possession of exercise equipment from the recreation center to its current management, Troy Ryan, three years earlier than originally agreed to.
Council members said they want more information, such as why he is asking for the equipment early.
"I'm against giving away city assets if we don't know what it's worth," Councilman Tim Kelley said.
The finance committee also announced that income tax collections are up by $149,000 through June, compared to 2010. Alexander said it is a good sign for the community.
During its regular meeting, the council approved the appropriation of $295,400 for the paving of the Wedgewood Drive neighborhood, which includes Maureen and Lancaster drives.
Mayor Mark Johns said Tuesday during a community development committee meeting that he would like to pursue legislation that would allow this.
"This is another tool that we should put in our toolbox ... to bring more jobs into the city," he said.
The incentive would see the city repay a certain portion of the payroll income tax a new or expanding business would bring in.
Auditor Keith Alexander cited an example in Hilliard where that city gave a business bringing 900 employees a 50 percent incentive.
"They didn't give a true 100 percent abatement at any time," he said.
The city still would receive some revenue from the company locating in Heath, and that incentive would run out after a set period of time.
Heath's income tax is 1.5 percent, which employees of a participating business would pay. The city then would pay the company back an agreed-upon percentage of that revenue, Alexander said.
Johns said he plans to develop an ordinance to present to the finance committee as quickly as possible.
No tax dollars can go toward the incentive: The city would need to set aside money from fees to pay back the businesses.
"You're taking a quarter out of this pot to get a dollar in this (other) pot," he said. "I'm excited for the city to have the opportunity to offer this to incoming businesses."
Council members were supportive of Johns looking into the program, provided they will have the final say in approving its usage.
Council members said they want more information, such as why he is asking for the equipment early.
"I'm against giving away city assets if we don't know what it's worth," Councilman Tim Kelley said.
The finance committee also announced that income tax collections are up by $149,000 through June, compared to 2010. Alexander said it is a good sign for the community.
During its regular meeting, the council approved the appropriation of $295,400 for the paving of the Wedgewood Drive neighborhood, which includes Maureen and Lancaster drives.
