North Canton Leaders Celebrate as Voters Back Income Tax Increase
(This story has been revised to fix an error. A 0.5% hike in income tax will generate $5 for every $1,000 earned.)
North Canton — Residents of the city have endorsed Issue 4, which will permanently raise the local income tax rate from 1.5% to 2%, starting January 1st.
The non-official tally shows 1,854 votes for the tax hike versus 1,517 against.
Following the rejection of tax hikes aimed at funding the fire station in both November and March of the previous year, city officials were elated with Tuesday’s outcomes.
"I'm thrilled. I simply wanted to express my gratitude to the voters of North Canton for making their voices heard," stated Mayor Stephan Wilder.
As this passes, the voters are contributing to constructing the community we all aspire to be part of and one that will benefit future generations... This is a positive step for North Canton moving forward and ensuring vital services for our residents,” remarked Council President Matthew Stroia, At Large. "I am extremely enthusiastic about North Canton’s prospects. The outcome was significant; I believe the proposal we crafted was quite equitable. It greatly assists those on fixed incomes and senior citizens who have been particularly affected by rising property taxes. There is considerable excitement among everyone involved.
Every North Canton resident whether they work in North Canton or another city as well as non-residents who work in North Canton will have to pay the 0.5% increase or $5 more for every $1,000 in income. The credit the city gives to its residents who work in other cities remains capped at 1.5% of income.
It is anticipated that the tax hike will generate an additional $3.6 million to $3.7 million annually.
Stroia said after the Issue 4 vote is certified, he will push council to approve legislation by mid-July to fulfill its pledge in February to end the collection of taxes for three levies if voters approved the issue.
The legislation would repeal the city's 1.5-mill fire levy and 3.3-mill emergency services levy, whose last collection was originally scheduled in 2027. The last collections would instead take place this year before the income tax hike takes effect in January. Council also would take no action to seek to renew or replace the city's 1-mill road levy as collections end this year. In total, about $131 per $100,000 in property value per year would be removed from North Canton property owner's property tax bills. The three levies generated about $2.7 million a year.
Stroia also said council would stick to its other commitments. It would authorize the city to sell about $18 million in bonds to investors to finance the construction of a new fire station at Viking Street NW and North Main Street. Council will allocate about $1 million a year from the income tax increase for repayment for 25 years. And all remaining funds from the income tax increase would pay for the fire department and EMS operations and maintaining streets to replace the revenue lost with the repeal of the levies.
History of rejections in North Canton
The vote May 6 comes after 51% of city voters in November rejected a 25-year, 1.97-mill bond levy to finance the fire station. They also declined to replace the street levy. In March 2024, about 60% of city voters rejected an increase in the income tax rate from 1.5% to 2%. But that issue came without a pledge by council to end property tax levies.
City officials say the city needs a new fire station because the current two fire stations have vehicle bays that are too small for modern fire vehicles; it's not efficient to deploy firefighters and paramedics to two locations; the current fire stations lack sufficient space and privacy; and the current fire station lacks equipment to prevent toxic materials from fire sites spreading around the station.
Voters' views
Philip Yakunich, aged 74, a former postal employee who submitted his vote on May 6 at the North Canton Civic Center, mentioned that he supported the raise in the income tax rate.
He mentioned that this would aid in slightly lowering property taxes," he stated regarding the council’s commitment to permit the expiration or abolition of fire, EMS, and road levies if voters endorse Issue 4. 'Should it pass, they will allow three types of property taxes to lapse.'
Daniel Anschutz, who is 42 years old and works as a chef, stated his opposition to the increase in income tax.
I appreciate that some modifications have been implemented; however, I believe the city of North Canton has not yet enacted sufficient adjustments in the appropriate direction," stated Anschutz. "Everyone must be responsible for contributing funds properly so we can cover all necessary expenses accordingly.
Randy Elsass, who is 65 years old, stated that he supported Issue 4 as a means to fund the building of a new fire station.
“If when our lady firefighters encounter a blaze that requires foam application or another type of suppressant, they lack facilities for cleaning up at the current firehouse,” he stated. “In fact, during colder temperatures, they end up being rinsed down outside behind the structure, and then must walk through the living area. They also need to section off a restroom where they can change clothes privately. This situation seems unacceptable to me.”
Elsass’ mother, Sandy Elsass, who is 86 years old, admitted she was hesitant about voting on the income tax increase because she had stopped working and thus felt it wouldn’t impact her personally. Nevertheless, she decided to support the raise in income tax with the hope that this might prompt the council either to let expire or completely eliminate the three pending property tax measures.
"Still, I do pay a lot of property taxes, so that was my incentive to vote for it," Sandy Elsass said.
Reach Robert at robert.wang@cantonrep.com.
This article originally appeared on The Repository: North Canton leaders rejoice after voters approve passage of Issue 4 income tax hike
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