London City Council voted down Ordinance 119-25, which would have amended the municipal income tax code to provide a 0.25 percentage-point credit from the city's general 1% income tax for residents who pay tax to other municipalities.

The measure had supporters who said the credit would help residents who commute and bear added travel and vehicle expenses. Council debate focused on the immediate fiscal impact: speakers pointed to recent revenue volatility after a large prospective employer withdrew from a planned London site and to the city's current general-fund shortfall. Council members also discussed which portion of the local income tax the credit would reduce; council clarified the credit would come out of the city's 1% general tax rather than the separate 0.5% fire levy.

City finance information cited during discussion included a general-fund shortfall reported through February: one council member read a figure showing the general fund was down $88,932 through February, while another summary noted that year-to-date comparisons produced a larger cumulative shortfall figure when prior-year balances were considered. The city auditor was referenced as the source for the financial report.

When put to a roll-call vote the ordinance failed. The recorded votes were: Councilman Eads, yes; Councilman Hayes, yes; Councilman McDaniels, yes; Councilwoman Trainer, no; Councilman Stahl, no; Councilwoman Jackman, no. The chair declared Ordinance 119-25 failed.

Council members who opposed the measure said they preferred to wait until local revenue projections solidified, citing the Honeywell/Intelligrated project's withdrawal and other pending developments. Supporters said the credit would relieve commuters but acknowledged it would reduce general-fund revenue.

Outcome: Ordinance 119-25 failed; no change to the city's tax code was adopted at this meeting.