Twenty streets in Bluffton qualify for permissive tax money according to Brion E. Rhodes, Allen County engineer. The list is at the bottom of this story.
Rhodes sent a letter to the village earlier this year, which was part of a recent council packet. The letter notified the village that as of Dec. 31, 2017, $50,774 was available for street work.
The village brings in approximately $1,425 per month in permissive tax money. That money is posted by the county auditor on a monthly basis.
Permissive tax background
Allen County commissioners enacted two separate $5 permissive license plate fees last summer.
As a result, in 2019 year Allen C ounty started receiving about $740,000 of additional revenue each year, along with some more funding for the townships and municipalities.
The commissioner’s action came after county voters rejected a 0.2 percent sales tax increase in May, 2018.
Last year, Jesse Blackburn, Bluffton village administrator, told Bluffton council members on that Village of Bluffton benefit of the two fees is $8,670 additional per year. He added that, for example, Bluffton utilized $55,000 of permissive tax monies in 2018 to pave the County Line Road.
Here’s some additional details about the permissive tax posted last year on the Icon:
Brion Rhodes: "As you are probably aware, maintaining and upgrading our local roads and bridges has become a nearly impossible task.
"Primarily because of the lack of funding, which hasn’t been increased (for decades) to keep up with inflation.
"In addition, over the last 10 years our main sources of revenue have declined due to reductions in fuel sales and vehicle registrations; all while equipment costs have doubled and construction costs have nearly tripled (paving cost $25,000 per mile in 2003 vs. $70,000 today).
"This has created huge holes in our budget and maintenance schedules, which has only exacerbated the deterioration of our infrastructure.
"The only caveat is this new funding can only be spent on roads and bridges."
Rhodes provided the following additional details on the fees:
• Who is affected by the first new permissive license plate fee 4504.15?
Allen County residents who register/purchase license plates (cars, motorcycles, farm trucks, campers etc., excluding the residents in Lima and Spencerville because their municipalities are already collecting an additional $5 through ORC 4504.17.
• Who is affected by the second new permissive license plate fee 4504.24?
All Allen County residents who register/purchase license plates.
• How much will be generated?
4504.15 will generate about $240,000 for the county with additional funding being distributed to townships and municipalities
4504.24 will generate about $500,000 and 100% is directed to the county.
• How much will my township/municipality receive from these permissive license plate fees?
4504.15 – As per the ORC, Townships will receive 30% and municipalities will receive 50% of the registrations in their area.
• When will the new revenue start coming in?
MUNICIPALITIES – Revenue from the new permissive fee (4504.15) will be deposited directly into the municipalities account by the Ohio Bureau of Motor Vehicles.
TOWNSHIPS – Revenue from the new permissive fee (4504.15) will be distributed to the county auditor, who will divide the funds into separate accounts for the county and townships. This revenue will be deposited monthly with the majority of it starting in January.
