The Culver Town Council members held a public hearing this week on an ordinance that would reestablish the Cumulative Capital Development Fund.
Clerk-Treasurer Karen Heim explained that the fund currently exists and the State allows the town to set a rate of up to $.05 per $100 of assessed valuation on a home to be used for capital purchases. Previously, that rate would drop over time, but with new legislation, once the town sets the rate in this reestablished rate, the rate will remain until it is changed by the State again or withdrawn.
The rate is currently $.0427 and the ordinance proposes a rate not to exceed $.05 per $100 of assessed valuation on a home.
Heim noted that infrastructure costs have come out of this fund, as well as matching funds for projects, funding for the sidewalk program, purchases for fire and EMS, and the commitment to the Marshall County Economic Development Corporation.
With this reestablished rate, the town could receive about $112,000. With the sliding rate from the previous reestablishment of the rate approved about 10 years ago, the town currently gets about $95,000.
Residents asked why this was happening now. Heim explained that this would help keep the rate for the life of the ordinance, and it will help with the budget process coming up in the next couple of months to plan funding for capital expenses in 2024.
Following the public hearing, the council members discussed the ordinance on first reading. Councilman Bill Githens stated that he did not support the ordinance as it is not the right time to do it with what residents are experiencing with the increase of assessed valuation on property taxes, and he does not want to raise taxes in an election year. Councilman Bill Hamm stated that he did not support the ordinance due to the current inflation period.
In the end, the council voted 3-2 in favor of the ordinance with members Bill Cleavenger, Sally Ricciardi and Rich West in favor, and Bill Githens and Bill Hamm against the motion. Since the first reading was not a unanimous vote and the second and third readings would not be held until the next meeting Tuesday, May 23, it delays the requirement of proper advertisement and misses the State’s filing deadline of May 31. Therefore, the ordinance will not be considered for adoption this year. It may instead be proposed in 2024 with taxes payable in 2025.
