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 Advocacy Matters
Local News & Updates

State of the City Celebrates Accomplishments, Pushes for Increase in Income Tax

2/25/2022

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Bloomington Mayor John Hamilton spent most of his 30 minute "state of the city" celebrating his first six years of office.  The last portion was dedicated to three key initiatives, highlighted by a need for new revenue.   The new revenue would come in the form of a countywide income tax increase.  The proposal was vague on what that increase would constitute.   Most likely, this would be a half of a percent to 1.8450.  Based on Indiana State law, the income tax would encompass all of Monroe County.  Ellettsville and the county council would weigh in as well but with since the majority of the population resides in  Bloomington, it has the majority of the votes.  The annual revenue returns would be somewhere around $10 million in new revenue annually.  

Mayor Hamilton was also vague on details of where the new revenue would be earmarked.  When he first floated this proposal in 2020, it was part of his climate action plan.  It failed to pass the city council by a 4-5 vote.  When speaking about  investments, the Mayor lead with the need to pay for police salary increase that the council passed last year.  He then went into the need to address the damage done to police and fire facilities from last June's flood.   From there he listed investments in current facilities and parks, followed by IT infrastructure.  

The other means  Mayor Hamilton pointed out to generate new income was issuing bonds.  He resurrected his 2022 budget request for the issuance $10 million in bonds.  The plan is to have the council approve $10 millions in  bonds every five years.   The idea when first floated last October had half would go through the general fund and the other through parks to undertake his climate initiative.  

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