By Kevin Aldridge
Enquirer staff writer

GREEN TOWNSHIP - The township's general fund could face a "significant deficit" by 2006 unless trustees find ways to increase revenues and cut costs, a preliminary report released by a committee reviewing the township's finances said.

A 12-member financial review committee was formed by trustees in April to examine expenses going back five years and look at current staffing costs, departmental spending and ways to increase revenues and cut expenses.

The township, Hamilton County's second-largest with about 57,000 residents, has faced financial problems in recent years, largely because of cuts in state funding. Its annual budget runs about $25.8 million.

The committee's report concluded that the township is experiencing a $2.5 million annual shortfall from its general fund. A surplus carried over from previous years is sufficient to cover costs through the remainder of this year and most of next year, the summary said.

"But in 2006, trustees will hit a brick wall," said Jim Krause, a member of the committee. "Unless we find new sources of revenue, this deficit is going to hit our general fund hard."

Township Administrator Kevin Celarek said trustees would review the findings.

Krause said township residents have benefited from services for years without a tax increase. He said Green Township government is operating on a lower tax rate than many other townships, such as Anderson Township, Colerain Township, Delhi Township and Springfield Township. Its tax rate is less than a third of Delhi's.

"It has been a bargain to live in Green Township," Krause said. "We are substantially below what other Hamilton County townships have been paying for years."

Green Township has not had an additional tax levy in a decade. The deadline to put a levy on the November ballot is Aug. 19.

Action steps called for by the committee included developing a voter education campaign about tax rates and limits on how tax money can be spent.

The committee also called on trustees to do a better job of controlling health care, workman's compensation and other labor costs.

The group will present a more detailed report to trustees at the July 12 meeting.

E-mail kaldridge@enquirer.com