200 South Hamilton Road

Gahanna, Ohio 43230

City of Gahanna

Meeting Minutes

Finance Committee

Stephen A. Renner, Chair

Merisa K. Bowers

Jamille Jones

Nancy R. McGregor

Kaylee Padova

Michael Schnetzer

Trenton I. Weaver

Jeremy A. VanMeter, Clerk of Council

Monday, December 8, 2025

City Hall, Council Chambers

Immediately following Committee of the Whole at 7:00 PM on December 8, 2025

CALL TO ORDER:

Councilmember Stephen A. Renner, Chair, called the meeting to order at

8:39 p.m. The agenda was published on Friday, December 5, 2025. All

members were present for the meeting. There were no additions or

corrections to the agenda.

DISCUSSIONS:

1. FY 2025 Quarter 3 Financial Report

2025-0254

FY 2025 Quarter 3 Financial Report

Director of Finance Joann Bury delivered the quarterly financial report, stating

that, as with every quarter, she would review the General Fund, each fund

receiving income tax revenue, a brief summary of the Capital Improvement

Plan, income tax trends through the end of the quarter, investment

performance, and a conclusion based on third-quarter results. She began

with General Fund revenues, reporting that the city collected 84 percent of

planned revenue and saw an 11 percent overall increase. She noted that

income tax performance would be discussed later in the report. She

reminded City Council of earlier discussions about property tax estimates

from the county auditor and pointed out that third-quarter collections reached

about 88 percent of the estimate, which typically ranged between 90 and 100

percent. She said this discrepancy was why staff reduced the estimate for

the 2026 budget. She also noted a 3 percent decrease in interest earnings

due to federal interest rate reductions affecting maturing investments and

reinvestment rates.

Director Bury then reviewed General Fund expenditures, which were at 58

percent of planned expenditures and showed a 28 percent increase. She said

most of that increase came from contract services, including the $5 million

allocated to the Community Improvement Corporation of Gahanna for

Creekside redevelopment. She added that salaries and benefits increased as

projected.

Director Bury next reviewed the fund balance impact through the third quarter.

She reported that the city added approximately $2.9 million to fund balance,

ending at about $45 million. She said $8.6 million was reserved for

encumbrances and $9.1 million remained in the emergency reserve, leaving

approximately $27.3 million, or roughly nine months of operating expenses.

She noted that this figure included the one-time $5 million allocation; removing

that amount equated to about ten months of operating expenses. She asked if

there were questions. None were raised.

Director Bury highlighted the three special revenue funds receiving income

tax revenue, comparing actuals to the 2025 budget. She said revenues were

where staff expected them to be. She noted that expenditures in Public

Service were slightly lower because some contracts and projects had not yet

begun. Parks and Recreation expenditures aligned with expectations, as the

third quarter marked the end of their programming season. Public Safety

expenditures decreased due to changes in how the mental health liaison

program was handled. Director Bury compared 2025 performance to 2024

and reported similar revenue trends, with most funds showing increased

revenue except Public Service, which showed a slight decline. She said

Public Safety expenditures increased by about 11 percent due to contract

services, which would shift to salaries and benefits beginning in 2026. She

said Parks and Recreation expenditures increased by 14 percent, consistent

with their programming, and Public Service showed a 31 percent increase

primarily due to contract activity as projects moved forward, along with a

slight increase in salaries and benefits.

Director Bury moved on to the Capital Improvement Fund. She reported that

revenues reached 80 percent of the planned receipts with a 10 percent

increase, primarily from income tax performance. She said capital outlay

expenditures increased significantly due to the 825 Tech Center Drive project

and related work underway. She stated that the fund balance was

approximately $40.6 million, with $27 million reserved for encumbrances as

projects continued into 2026. Director Bury provided a listing of project

activity, reporting $36.2 million in actual capital outlay and approximately $35

million in encumbrances across all funds. She said most spending occurred

in the Capital Improvement Fund, which aligned with expectations.

Next, Director Bury reviewed income tax trends. She said withholding trended

close to projections at about a 5 percent increase. She noted continued

spikes in individual and net-profit filings and said staff would monitor whether

those trends continued or represented anomalies. She said net-profit returns

were difficult to assess and may reflect five-year losses rolling off,

generalized growth, or both. She also reviewed the city’s investment portfolio,

noting that most funds were invested in State Treasury Asset Reserve of

Ohio (“STAR Ohio”) in accordance with the investment policy. She said

STAR Ohio earned about 4.4 percent through the third quarter and the city’s

overall portfolio earned slightly above 4 percent. She noted a recent

25-basis-point reduction by the Federal Reserve in October 2025, and

anticipated another reduction in December 2025, which would continue

lowering investment earnings.

In her conclusion, Director Bury said inflation remained relatively unchanged,

which contributed to federal caution about rate reductions. She said federal

policy continued to carry potential impacts, and staff were monitoring those

developments. She also noted ongoing property tax reform efforts in the

legislature, currently focused on schools but likely to expand. She referenced

City Council’s approval of the Our Gahanna Strategic Plan and said its

direction would shape the coming years. She stated that staff expected

continued growth for Gahanna and the central Ohio region. She asked if there

were any questions. No questions were asked.

2. FY 2026 General Budget Questions & Amended Budget Proposal

ORD-0049-2025

AN ORDINANCE ADOPTING APPROPRIATIONS FOR CURRENT

EXPENSES AND OTHER EXPENDITURES OF THE CITY OF

GAHANNA DURING THE FISCAL YEAR 2026

Director of Finance Joann Bury presented the final item, which consisted of

several minor changes to the 2026 appropriations. She said City Council

received the list of adjustments, which were similar to the annual updates she

typically provided before budget adoption. She stated that most adjustments

related to salaries and benefits, with a few changes to the Capital

Improvement Plan connected to the street rebuild program and a debt service

correction for the Ohio Public Works Commission (OPWC) loan. She offered

to answer questions.

President Bowers asked for clarification regarding the street rebuild

adjustments because they involved a significant amount.

Senior Director Kevin Schultz explained that a few months earlier, Mr.

Komlanc discussed modifying the resolutions related to the 2026 Street

Rebuild Program. He said those changes required adjusting appropriations.

He stated that funds previously allocated for waterline replacement on certain

streets were removed because that work was no longer part of the updated

resolution. He said there was also a small increase in stormwater funding. He

said the adjustments reduced the amount of waterline work planned for

subsequent years so that funds would not remain tied up in 2026 and could

instead be available for other projects. Director Bury added that the changes

included a $400,000 increase to the Capital Improvement Fund, a $125,000

increase to stormwater, and a reduction of approximately $1.8 million in the

Water Fund as project details were finalized for 2026. Director Schultz stated

that part of the change involved adding pre-work for Hamilton Road sidewalks

and concrete repairs that the State of Ohio would not complete during its

urban paving program. He also referenced the large West Johnstown Road

project currently under design, which required significant staffing resources.

President Bowers apologized for needing additional clarification. She asked

whether the positive numbers shown on the adjustment sheet represented

reductions in the budget and increases in fund balance. Director Bury

explained that positive numbers represented increases to appropriations,

while bracketed numbers reflected reductions. President Bowers asked

whether the negative $1.8 million adjustment in the Water Fund corresponded

to those changes. Director Bury confirmed that it did. Senior Director Schultz

added that the other two funds increased in appropriation. President Bowers

asked whether the adjustments were connected to shifting from an

anticipated street maintenance program to Hamilton Road and Granville

corridor work related to a state grant, and whether she was linking the correct

legislative items. Senior Director Schultz said the city completed two actions:

adding concrete sidewalk and Americans with Disabilities Act (ADA) ramp

work on Hamilton Road and adjusting the 2026 Street Rebuild Program. He

said the rebuild program originally included extensive waterline work, which

was reduced. He said that reduced the need for the $1.8 million Water Fund

allocation. He added that stormwater and capital appropriations needed to

increase because of the streets selected for the 2026 program, including

Hines Road from McCutcheon Road to the corporate limit, which required

substantial stormwater work. He said the Capital Fund needed additional

appropriation to support that work. President Bowers thanked staff for the

clarification.

Recommendation: Second Reading/Adoption with Amendment for Substitute

EXHIBIT A on Regular Agenda on 12/15/2025.

ADJOURNMENT:

With no further business before the Finance Committee, the Chair adjourned

the meeting at 8:54 p.m.