North Ridgeville council adopts midyear budget amendment amid warning about House Bill 335

North Ridgeville — The City Council on Monday adopted an amended 2025 appropriation ordinance with an emergency clause, while the city’s finance director warned that House Bill 335 — described in the meeting as the “Property Tax Relief Now Act” — could reduce the city’s revenue by about $3.6 million beginning in 2026.

The finance director told council that HB 335 would eliminate the “inside millage” portion of property tax beginning in tax year 2025 and that inside millage is an unvoted levy permitted by the state constitution. She said the loss would represent roughly 16.5% of the city’s general fund and would affect police and fire pension payments, daily operations of parks and recreation, the senior center, building and engineering functions and other general government services. She also said the city has communicated its concerns to the state representative, state senator and the Ohio Municipal League.

The notice came as council approved ordinance 2025-97 (amended) — a midyear appropriation amendment the finance department said includes line items such as replacement of a grease trap at Fire Station No. 2; sump pump repairs; carpet replacement, painting and elevator maintenance at Fire Station No. 1; compensatory time payouts; purchase of a new ambulance; and purchase of body-worn cameras tied to a Department of Public Safety grant. The council voted to amend and adopt the ordinance with the emergency clause so the finance office can meet near-term obligations.

"This will be devastating to city operations," the finance director said of the projected $3,600,000 loss in 2026. She told council that North Ridgeville’s five-year general fund forecast showed expenses beginning to exceed revenues in 2026 even before the potential state action. The finance director cited figures provided by the local school district’s assistant superintendent, saying the district expects to lose $4.5 million in 2026 and as much as $9 million by 2028 if the state measure proceeds as described.

Council members moved to substitute an amended version of the appropriation ordinance, dispense with additional readings, add an emergency clause and adopt the amended ordinance in the same meeting. The roll call on final adoption recorded unanimous affirmative votes from council members present.

The finance director emphasized that the ultimate budgetary impact depends on whether the Ohio legislature adopts the bill as described. She said the city will monitor developments and that the mayor and administration have been actively communicating with state lawmakers and municipal advocacy groups.

The council also received the May financial report and supporting department reports, and the director asked council to approve a related resolution authorizing "then-and-now" certificates to permit payment of invoices that are due now. The resolution was adopted with an emergency clause in the same meeting.

Council President and other council members did not propose specific offset measures during the meeting; the finance director said the city will need "serious evaluation and consideration" as part of 2026 budget planning.

For now, the amended appropriation gives the finance office the authority to process the listed purchases and obligations while the city watches the bill’s progress at the statehouse.