‘An unprecedented financial triumph:’ City of Hillsboro reports $1.9M carryover as council approves 2024 budget, road paving, Roberts Lane extension legislation

Hillsboro City Council members approved the city’s 2024 budget ordinance during their Dec. 14 meeting, with the city announcing a carryover of $1.9 million for 2023 and plans to invest in street paving for 2024.

The budget ordinance — “an ordinance to make appropriations for current expenses and other expenditures of the City of Hillsboro, State of Ohio, during the fiscal year ending Dec. 31, 2024” — passed by a 6-0 vote after its first reading Thursday. As discussed by Mayor Justin Harsha, Auditor Dawson Barreras and finance committee chair Mary Stanforth, the city has a $1.9 million carryover entering 2024, with the 2024 budget including plans to dedicate $1 million toward street paving projects next spring.

The 2024 budget reflects a $3.1 million increase in total appropriations with $19,899,599 budgeted for next year, up from $16,718,302 in 2023.

“I just want everyone to know a lot of hard work was put in the budget this year,” Harsha said. “I think the city’s looking very healthy and has a really good carryover. There's going to be a lot of projects.”

Stanforth reported that her committee reviewed the proposed budget Nov. 28 and voted 2-0 to recommend its submission to council for approval.

Barreras read a prepared statement praising the city for this “momentous achievement and testament to the dedication and foresight of our administration.

“This year has borne witness to an unprecedented financial triumph, marking a milestone in our city's history,” Barreras said. “Through diligent planning, prudent decision making and an unwavering commitment, our administration has steered our city's financial trajectory to unparalleled heights. We've navigated through challenges, strategically invested in key areas and fostered an environment conducive to growth and prosperity.

“Our robust financial performance stands as a beacon of success, reflecting the collaborative efforts of our community, the resilience of our economy and the sound stewardship of the resources.”

In speaking of the new year, Barreras said, “Let us not rest on our laurels. Instead, let's harness this momentum to propel our city further toward greater prosperity, inclusivity and resilience. Let us remain diligent, continuing to make decisions and ensure our financial stability for generations to come.”

He thanked council, the city administration and staff “and the unwavering support of our citizens” for their efforts in “this historic year.”

While discussing the budget ordinance, Barreras also explained the next item of legislation on the agenda, as he said that the city would be investing in road and street infrastructure in the new year.

“We've had a lot of good projects going on this year, as far as like the phase three storm sewer project and new curbs and gutter systems,” Barreras said. “With the problems of this magnitude, conditions unfortunately get worse before they get better, so we've seen even though these curbs and gutters look good, it’s left our roadways in disrepair.

“I’m proud to say, with Justin and Bree [safety and service director Brianne Abbott], they've decided to put a million dollars’ worth of paving into 2024 to fix these roads, not only from the phase three storm sewer project, but other roads as well.”

Council voted 6-0 to suspend the three-reading rule and 6-0 to approve and adopt the resolution to solicit bids and accept the lowest and best bid for paving various streets and alleyways.

“This legislation will allow the city to solicit and accept the lowest bid and best bid for paving various streets that were recently upgraded with storm sewer utilities, as well as various alleyways,” Harsha said. “This pavement was included in the 2024 budget, and if you look in through here, there's quite a bit of paving going on.

“It’s a huge project, and we’re asking for the suspension of the three-reading rule because we'd like to get this bidding done so we can get on the list for the spring.”

According to the resolutions, the paving project will include the 100, 200, 300 and 400 blocks of West Walnut Street; Johnson Street; the 100, 200 and 300 blocks of East South Street; the 100 and 200 blocks of East Pleasant Street; the 100, 200, 300 and 400 blocks of West Pleasant Street; the 300 block of Oak Street; the 200 and 300 blocks of Vine Street; the 200 and 300 blocks of South Elm Street; and various alleyways.

Other legislation included the following:

• A resolution awarding the Roberts Lane site utilities construction contract, at a cost of nearly $7 million, was passed an emergency, following suspension of the three-reading rule, both by 6-0 votes.

“This legislation will allow the city to enter a contract with the site utilities portion of the Roberts Lane project,” Harsha told council. “We’re asking for the suspension of the three-reading rule and an emergency to meet project and grant deadlines.”

According to the legislation, the contract will be awarded to Kelchner, Inc., who submitted a bid totaling $6,865,572.68.

The scope of the project will include sanitary sewer, waterline, storm utility, pavement, traffic control, traffic signal and lighting work, according to the bid sheet. The bid came in slightly over the engineer (DLZ) estimate of $6,750,000.

As previously reported, city leaders held groundbreaking ceremony Oct. 17 on state Route 73 to mark the start of construction for the long-planned Roberts Lane extension. The first phase of the project was awarded to R.B. Jergens and involved dirt work/site preparation.

• A resolution for the transfer of various funds for fiscal year 2024 was approved by a 6-0 vote.
“This is the same thing that gets passed every year,” Barreras said. “This is just allowing us to move money from the general fund into different departments as needed throughout the year.”

The payments in the legislation include a $1,340,000 transfer from the General Fund to the Street ($400,000), Police Pension ($140,000), Recreation ($500,000) and General Bond Retirement ($300,000) funds; a $37,000 transfer from the Fire Pension Fund to the General Fund; a $385,000 transfer from the Water Revenue Fund to the Water Debt Retirement ($380,000) and Water Improvement ($5,000) funds; a $647,000 transfer from the Sewer Revenue Fund to the Sewer Replacement ($15,000), Sewer Improvement ($93,000), Sewer Debt Retirement ($472,000) and Storm Sewer M&R ($67,000) funds; and a $300,000 transfer from Sewer Improvement to the Sewer Debt Retirement fund.

• An ordinance making supplemental appropriations in the amount of $917,552.55 passed, 6-0.

“This is just the funds that's been passed on to us from the state of Ohio for the phase three storm sewer project, so we have to appropriate these funds to be able to spend them,” Barreras said.

• An ordinance making two $11,000 appropriation transfers was also unanimously approved.

“These are just appropriations that we need to make to finish paying wages for a couple of different departments within the city that weren’t properly budgeted for,” Barreras said.

Council member Jason Brown asked “what happened” with the error.

“It just wasn't properly budgeted for, maybe with health insurance being higher than expected at the beginning of the year and things of that nature,” Barreras said. “We have the money to make the payments, just not in the correct line items.”

• An ordinance amending section 34.079 of the codified ordinances of the City of Hillsboro pertaining to income tax regulations passed by a 6-0 vote after its third reading.

As discussed in October, the only change was to add “the income of individuals under 18 years of age” under exemptions for the city’s income tax, in response to House Bill 33.

• An ordinance to authorize and direct the Safety and Service Director to enter into an agreement with the Highland County Commissioners to provide for indigent defendant counsel in the courts for calendar year 2024 passed 5-0 (with council member Greg Maurer voting “present”). That is a standard annual agreement.

• A resolution transferring real property to the Hillsboro Community Improvement Corporation passed, 6-0. The transfer is of a “a 1.597-acre tract of land owned by the City of Hillsboro” at 254 West Main Street. Abbott said in October the transfer is “for economic development purposes.”

• A resolution to adopt the 2023 version of the City of Hillsboro policy and procedure manual had its second reading.

In other discussion:

• At the start of the meeting, council voted 6-0 to excuse the absences of council member Dan Baucher, who was “home sick,” and Abbott, who was “home with sick kids,” according to council president Tom Eichinger. City law director Randalyn Worley was also absent due to being “in Columbus this evening on business,” Eichinger said.

In a written summary submitted to council, Abbott reported 28 commercial and 11 residential building permits issued by the city in November. The city is continuing to work with private developers Five Below and Marriott Hotel on their respective businesses, and the city also hosted Christmas events earlier in the month. The Hillsboro Planning Commission did not meet, she wrote.

• Maurer reported that the utilities committee will meet Dec. 20 at 6:30 p.m. to discuss utility rates.

• The council president and mayor shared holiday greetings for the community.

“I would like to wish everyone a merry Christmas and a happy new year,” Eichinger said. “Hopefully we will start the new year with a bang, based on everything that's going on.”

Harsha also said he “wanted to wish everyone a merry Christmas” during his report.