BY RACHEL MELCER
The Cincinnati Enquirer
NORTH BEND -- Just four years after their government was rocked by scandal, debt and inefficiency, residents of this village are in for a treat: On Monday, council voted to cut homeowners' 1999 property-tax rate.
The levy reduction translates into a savings of $30 per $1,000 of assessed valuation, according to Finance Chairman Ken Albu. North Bend's estimated 700 residents will pay $22,324 less in 1999 than they will this year.
"It's a permanent property-tax reduction for the citizens of North Bend," Vice Mayor Bill Kane proclaimed. "I'm in my 60s now and I've never heard of a village rolling back taxes. But, by God, we did it and that's the way we intend to continue operating -- lean and mean."
That government philosophy represents quite a change in North Bend, where the police department was dismantled during a 1994 scandal and its equipment sold off to alleviate debt. The police chief and mayor pleaded guilty to theft charges and disheartened residents considered disbanding their town.
"When I first was elected to council, I saw the inefficiencies and the corruption in this village," Mr. Kane said. "Now we're in great shape. It all comes down to effectively managing our money."
Although the police force was originally disbanded out of necessity, North Bend officials decided not to form a new department to save funds. Instead, the town pays $27,000 annually for emergency communications and police protection by the Hamilton County Sheriff's Department. Sheriff's Col. Ray Hoffbauer, patrol division commander, said the average response time for an emergency call to North Bend is eight minutes.
"We think that's reasonable," he said, explaining that in a recent study, there was an average of one call to North Bend every 24 hours. "It's a very small community, a very low-crime area." North Bend also has a volunteer fire department, which receives grant money and conducts fund-raisers. The village contracts with Miami Township for emergency medical services.
Council members earn a maximum of $100 a month, and the town cut back from a full-time to a part-time clerk - treasurer.
There is one maintenance man who is responsible for the administration building, public green space, roads and snow removal.
And virtually no purchases are financed -- the town is saving now for a new truck that Mr. Albu says will be purchased at the end of next year.
"We have not spent every penny we get. We have found a cheaper way to do it, but still the right way," he said.
A housing boom is also pushing the local economy. Roughly 200 upscale homes and condominiums have been built or are under construction in the Aston Oaks subdivision, which will eventually include 800 housing units and a golf course.
"As the money flows into the village, property taxes from that new development, the revenue we will have coming in will be more than adequate -- even though there will be additional costs to maintain (Aston Oaks)," Mr. Kane said.
The subdivision will also add a strip mall to the town that now has just one industry, a bed-and-breakfast, one restaurant and a handful of small businesses.
Officials say that if North Bend continues to progress, their government can become more and more efficient without sacrificing vital services.