There being five (5) yea votes and no (0) nay votes thereon, said ordinance was declared duly passed and it was so ordered.

A copy of the ordinance, having been placed on the desks of each member of Council prior to introduction, was read by title.

Vice Mayor Byington explained that this is the annual budget ordinance, which appropriates the city's funding for 2018. This ordinance is required under Section 6.05 of the City Charter and, when adopted, provides formal authorization to the city manager to spend public dollars in providing city services.

The total city budget is divided into five primary parts with budgeted spending in each as follows:

The City Manager and Finance Director then made a presentation on the budget.

Mr. Klopsch referenced a PowerPoint presentation on the 2018 budget and reviewed the following:

A chart was referenced showing the budgeted and actual spending from 2008 to present. The chart shows that spending decreased over the first six years of that time period and has gradually increased since then. However, the 2017 spending is nearly identical to what the city spent in 2008, nine years prior, demonstrating tight cost controls. The figures account for all city spending, except for the three Enterprise Utilities.

Mr. Klopsch displayed graphs for Income Tax receipts, Property Tax receipts and Estate Tax receipts.

The Municipal Income Tax is a major revenue source that the city relies on to provide some growth each year to deal with the modest annual cost increases. Over the past ten or so years, other communities around Oakwood have raised their income tax rates. Historically, Oakwood has given a 100% tax credit for taxes paid to other jurisdictions. When the other cities tax rates increase Oakwood loses revenue. There have been over 20 communities over the past few years where the tax rate has been increased. The cumulative effect of this is about an $800,000 loss in annual revenue.

The city of Oakwood has two voted property tax issues. Of the property tax bill that Oakwood residents(awaiting confirmation)        pay, only about 8% comes to the city for city services, but it is an important 8%. The hope is to simply renew the two property tax levies for the next 7-8 years, and not ask for new money.

The Estate Tax produced a significant source of revenue for the city over a period of many years, but it was eliminated in 2013.

A full 56% of the local municipal tax paid by Oakwood residents is remitted to the taxing jurisdictions where Oakwood citizens work, and Oakwood loses more revenue every time another community raises their tax rate. This is a growing problem and something that needs to be addressed.