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Dayton council sets preliminary levy after heated debate over fire staffing; vote 3‑2

Dayton City Council · September 10, 2024
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Summary

After extended debate about funding and pension mechanics for the fire department, Dayton City Council set a preliminary tax levy and rate as a ceiling for budget planning. The measure passed 3‑2; councilors also agreed staff will continue work sessions on staffing and pension implications.

Dayton City Council on Sept. 10 adopted a preliminary tax levy ceiling following a lengthy discussion over fire‑department staffing, pension handling and state aid, approving the measure on a 3‑2 vote.

Finance staff told the council the preliminary package shows a 16.63% increase in the levy ceiling (used as a legal maximum) with staff presenting a recommended tax rate of about 35.53 (the presentation also referenced 35.64 before correction). Staff said the levy number includes roughly $380,000 for capital equipment (about $180,000 set aside toward a future ladder truck), about $300,000 for pavement management and contingency/shiftable dollars the council can reallocate as needed.

The levy presentation included an illustrative homeowner impact: with an average home value of $525,000, staff estimated a roughly $6 decrease in city tax for a homeowner if assessed value does not change. Staff emphasized this is a preliminary ‘ceiling’ figure that can be reduced but not increased after required filing deadlines.

Debate centered on how the levy should fund fire‑department changes council is considering. Supporters argued the levy needs capacity to respond to recruitment shortfalls and to support an evolving duty‑crew/full‑time staffing model; opponents said the city lacks some required policy and planning documents (a five‑year plan and a completed policy/procedure manual) and cautioned about timing, pension conversions and the July 15 deadline for certain retirement‑fund changes.

Staff and the fire chief described how state fire‑relief aid (sometimes called the 2% insurance distribution) interacts with retirement choices, saying the city can use state aid toward retirement costs if the new model meets state requirements. Council members asked staff to confirm mechanics and consequences for the fire relief association and for PERA if the council pursues a change in retirement funding.

The council ultimately set the levy at the recommended preliminary level by a 3‑2 vote. The decision establishes the ceiling for the 2025 budget process; councilors directed staff to return with more detailed cost breakdowns and to continue work sessions related to staffing, pensions and service‑level impacts.