Loss of tax reflected in Orrville’s new budget
Published 11:56 pm Friday, October 25, 2013
ORRVILLE — The Town of Orville’s budget for 2013-2014 has some major changes from previous years, including the elimination of an alcohol tax and the arrival of new businesses.
The town council approved the new budget earlier this month, which reflects an expected drop in revenue this year, primarily from the elimination of the alcohol tax.
“We don’t get the alcohol tax anymore,” Orrville Mayor Louvenia Lumpkin said. “They said the town shouldn’t have been getting those taxes.”
After an audit earlier this year, Orrville learned it would no longer be paid a portion of beer tax collected from the sale of beer within its corporate limits — a tax the town has been collecting since 1994. In the past two years, the beer tax brought in more than $7,000 annually to the town of Orrville.
Dallas County attorney John Kelly III explained to the Orrville Town Council Monday in February, the act of legislation from 1994, detailing the distribution of beer tax, had been superseded with an amended legislative act in 1995 — an amendment that did not make any provisions for the town of Orrville.
Even with the removal of those funds, the town’s budget does expect some increases in sales tax revenues, primarily from the hope for new businesses moving to the town.
“We don’t know for certain which ones will come, but there will be some,” Lumpkin said.
As for expenses, a majority of the town’s budget is tied up in town employee salaries.