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E N Q U I R E R   L O C A L   N E W S   C O V E R A G E
City will tap into general fund, give schools $100 M

Friday, November 13, 1998

BY LISA DONOVAN and DANA DiFILIPPO
The Cincinnati Enquirer

Cincinnati City Council found $100 million Thursday to build and repair public schools - nine days after voters rejected a tax hike to make good on the city's promise to help.

After nearly three years of acrimonious debate, council members Thursday talked for 20 minutes before voting 8-1 to take the money out of the general fund. Councilman Tyrone Yates cast the single no vote.

Councilman Yates said voters should have another chance to decide whether they want to raise the tax - specifically to pay for schools. The only way to reverse the tax cap is through a ballot initiative.

"We are at a crossroads on this issue - but I don't believe all the options are on the table," he told fellow council members Thursday. He later added: "We should put the school funding on the ballot."

Council had been wrangling over two methods of making good on its promise to help public schools: either by raising the ticket tax on professional sporting events and other entertainment, or taking the money out of the general fund.

On Nov. 3, the voters approved a measure that called for capping the 3 percent admissions tax, leaving council with its second option, which was proposed by Councilmen Phil Heimlich and Charles Winburn.

Councilman Dwight Tillery, who had favored raising the ticket tax, said it was difficult to support this method. At the same time, he thought it was important to resolve the issue.

"We didn't think dipping into the general fund was the right thing," Mr. Tillery said, "but the admissions tax is no longer an option."

The biggest chunk of money - $47 million - is expected to be generated largely from increased admissions tax revenues between 1998 and 2019. Another $39 million would come from a 1997 budget surplus and drawing $1.8 million out of the general fund from 1998 to 2019. And roughly $14 million would be generated by added earnings taxes from construction work on the Reds and Bengals stadiums and increased salaries for sports players.

The plan does not increase taxes or apply the city's 2.1 percent earnings tax, levied on those who work or live in the city, on visiting athletes and entertainers.

The plan resembles - and in some cases is an exact replica of - the roughly 14 plans council members have floated, and ultimately defeated.

The city is expected to begin paying its $5 million annually over 20 years in 2000.

School officials were relieved.

"I'm just glad it's resolved," school board President Arthur Hull said. "Now we can get on with some planning, some realistic planning, about . . . refurbishing the schools."

The school district last month released a preliminary facilities master plan, which recommends $697 million in improvements to the district's 79 schools. Under the plan, 19 schools would be closed, with 12 of them being rebuilt, and five new schools would be built.

School board members expect to vote on the plan Dec. 7.

Council's promised cash - along with Hamilton County's matching pledge - will pay for the plan's first phase, district leaders said.

The city and county agreed to help the schools as part of an agreement for the 1996 countywide vote to raise the sales tax to build new Reds and Bengals stadiums. Hamilton County already has formalized its $100 million commitment to the schools.

Council's decision is "long overdue, but just in the nick of time, now that the facilities plan is just taking shape and the need for those revenues is upon us," said Tom Mooney, Cincinnati Federation of Teachers president and a facilities master plan member.



Local Headlines For Friday, November 13, 1998

Another rail plan offered
Black Miami students sense racial divide
Boehner, Watts collect endorsements for GOP post
Butler Co. begs $8 M for new jail
Butler offers his side to grand jury
Chief's last day Nov. 21
Child stalker gets 180 days
City set-aside plans on hold
City will tap into general fund, give schools $100 M
Claim of killings dismissed
Dave's mom keeps fame in perspective
Eight indicted as links to Texas drugs
Fernald projects get big boost
Guilty plea in bribery attempt
How to help Mitch victims
Injured driver gets $1 million
Judge found for Chiquita theft case
Lack of volunteers jeopardizes Florence celebration
Neighbors divided over connector
Officers cleared in suit
S-curve rebuilding awaits defect test
Teacher faces firing over field trip
Teen driver avoids jail for double-fatal crash
Tristate aid arrives in Nicaragua
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