Finance Debt Budget Oversight Committee Monthly Meeting - February 25, 2026
Finance Debt Budget Oversight Committee Monthly Meeting - February 25, 2026
The meeting was called to order by Chairman Surround with roll call (Hobbs, Jones, Martinez present). The committee reviewed January 2026 revenue and expenditures, received updates on ARPA-funded projects, and heard public testimony.
Discussion Items
- January Financial Report: Director of Finance Melanie Campbell reported that general fund revenue collections are at 2% of budget (8.3% through the year), with no major concerns. Tax Commissioner John Zavisha updated that 2025 income tax collections are projected at $236.6 million, with withholding up 3.4% and business taxes down 19.8%. The city is working with the Ohio Attorney General on delinquent tax collections, expecting $5–6 million in referrals with a 30–40% collection rate.
- ARPA Project Updates:
- Healthy Food Incentive Program (Stephanie Baltes, Toledo-Lucas County Health Department): $350,000 ARPA funding supported five corner stores; $133,000 remains to be spent. The program has leveraged external funds (e.g., Produce Perks Midwest) and is onboarding a sixth store. Sustainability planning is underway.
- Food Systems Hub (Director Sellhorst): $500,000 allocated for a food hub at Erie Street Market, but the partner ECDI withdrew due to federal funding cuts. $144,703 was spent on architectural drawings; remaining funds may be redirected to support small business equipment through CIFT or similar partners.
- Supermarket Construction Incentive (Chief Clemens): $150,000 allocated; none spent. The city is working with Red & White Market in Englewood for pre-development, with a plan B if the project falls through.
- Land Bank (David Mann): $12.5 million allocated for brownfield cleanup, demolition, and community center redevelopment. $6 million expended; 13 of 27 brownfield projects completed. All funds are under contract and expected to be fully spent by year-end.
- Wayman Palmer YMCA (Eric Williams): Membership grew from 533 to 2,900. Over 100 children taught to swim, 4,500 individuals served via food pantry, and 75 seniors participate in daily activities. Approximately 8,000–9,000 visitors in late 2025.
- Community & Senior Center Improvements (Commissioner Aikman): $2.1 million remaining for projects including parking lot replacements, HVAC upgrades, window/door replacements, and gym floor replacement at various centers. All projects expected to be completed by end of 2026.
- Mental Health Recovery Services (Scott Silak): $2 million ARPA funding; all but $17,200 spent. Programs include community wellness grants (48 agencies), trauma/grief support, mental wellness rapid response team, Latinx prevention services, and hospital access collaboration. Over 6,000 Toledo residents served.
- Parks & Recreation (Director Fosnod): $13.5 million initially awarded; $149,105 remains. Funds will be used for a supplemental water line at Jamie Farr splash pad and additional amenities (windscreens, benches, landscaping) at completed projects. All funds expected to be spent by mid-year.
- Metro Parks – Glass City Metro Park (Matt Clayland): $500,000 for classroom space (nearly complete); $2 million for riverwalk (million-dollar purchase order issued for Water Street work, remainder for planning). Funds will be fully expended by end of 2026.
- Affordable Housing Development (Chief Clemens): $10 million allocated; $300,000 held in retainage for Collingwood Green 5 (75 senior units). Completed projects include 20 Grand townhouses (April 2026 delivery), 50 workforce housing units at The Glen, and first phase of YWCA domestic violence shelter (12 units).
- Medical Debt Relief (letter from Undue Medical Debt): $800,000 ARPA investment abolished $81.8 million in medical debt for nearly 40,000 residents. $662,323 expended; $123,560 remains. Two final files expected in Q2-Q3 2026.
- City Auditor's Report: Auditor released investments review (no exceptions) and is conducting a grass-cutting audit, expected by end of March 2026.
Public Comments & Testimony
- Karen Mayfield (Toledo resident): Expressed concern about the Bayview wastewater treatment plant upgrade costs, noting sewer rates increased 3.75% annually through 2028 and water rates rising 40% by 2027. She stated Toledo's water rates are 29.2% higher than the state average and urged the committee to review alternative, less costly plans.
- Steve Capser (Monroe, MI, former Toledo resident): Argued the proposed plant footprint is disproportionately large (63.6 acres vs. comparable cities averaging 57.2 acres). He highlighted 12 risks from the Blue Ribbon Panel report, claimed 13 pages were missing from the council's copy, and urged consideration of cost-saving alternatives including using existing parking lots and reducing land acquisition.
Key Outcomes
- The committee will request detailed breakdowns of ARPA project categories and expenditures by sub-project (referred by Councilwoman Dr. Jones).
- Vice Chairman Driscoll requested a follow-up meeting in June 2026 to monitor ARPA spending progress and ensure full expenditure by December 31, 2026.
- Several projects have clear spend-down plans and are on track; some (e.g., Red & White Market, Food Systems Hub) require contingency planning and will be updated at future meetings.
- The committee acknowledged the need for continued oversight to avoid unspent funds at the end of the ARPA deadline.
Meeting Transcript
Good afternoon. The uh monthly meeting of the Finance Debt Budget Oversight Committee uh will come to order and the clerk will call the roll. Surround two Hobbs, Jones here, Martinez. For present. Thank you. Um we're gonna begin uh today uh for a uh condensed report from the finance department uh for our monthly report for the month of January, uh revenue and expenses, and then we'll get into the um ARPA updates. And I appreciate the fact we've got several people here from the various uh organizations that uh benefited from the ARPA allocations and uh we will be getting to you very shortly. And the final item on the agenda will be the uh city auditors report. Okay. Uh with that, uh turn it over to the director of finance, uh Melanie Campbell. Good afternoon. Thank you. Good afternoon, Chairman Surround 2, Vice Chairman Driscoll and members of the committee. Um we're happy to be here today reporting uh January revenues and expenses. I'm joined um at the table today by our tax commissioner John Zavisha, accounts commissioner Thomas Buckley, and purchasing commissioner Natalie Brona. Um we as the chairman said, we have a brief update on January revenues and expenditures. Commissioner Zavisha will also provide a brief update on um income tax collections, though not final for last year. He will give the committee an update on where we're at. And with that, I will turn it over to him. Good afternoon. I'll be talking on pages two and three of the report. Uh page two is our 2025 tax collections. Um we are currently in the 13th period that will end on February 28th. Um we're given 60 days to still finish up the collections from the previous year, uh, fourth quarter estimate payments and the last uh withholding payment. Uh currently we're projecting that number to end up at 19.6 million, which would bring us to 236.6 for the year. Um we have about 18 and a half of that actually already in. We're still projecting about 1.1 to come uh as there's a sizable state payment that'll be uh coming pretty much right at the last day. Um that number from a year-to-year basis, sometimes is as little as 350,000, other years it's been 3.5 million. We're taking a conservative approach of about 1.1, which is the average of the last five years to put that number on this report for right now. Um so again, that would bring us at the end of the year to 236.6. Um just a little general overall withholding is running about three point four percent up from last year. Uh business is actually down nineteen point eight percent, and then individual is up three point six percent. Uh just uh briefly uh the IRS. Yes, so the IRS unit uh for the month of January brought in two hundred and eighty thousand dollars. Um they are done about a hundred and seven thousand from last year. Um since we're working with the Ohio Attorney General uh for the compliance unit, that'll kick in more the second half of 2026. Um so last year they brought in six point two million at this point. We would be comfortable to say that they're going to still get to the six point two this year, but we will probably see a slower first half and then building momentum as the year goes on for that group. And regarding the final general now or yes, so the uh that's a big project for us. We've already started that. There's been about 3500 cases that have gone over to the Ohio Attorney General representing about two million dollars in delinquent taxes. Um the state has actually already brought in 135,000 of that amount. Um and then as the year goes on, we're figuring that'll probably get closer to five, six million that we'll have sent over by the end of the year. Um and then uh expecting a lot of growth from that as the year goes on. Correct. No, what ends up happening is once we turn it over to the state, usually within a week, a taxpayer would end up getting a letter from the Ohio Attorney General letting them know on that uh they can it'll give them the different options for making payments. Um you can actually on Tuesdays and Thursdays actually come to the 13th floor of the government center, they'll accept payments there. Um if you are using credit cards, it'll tell you how to do that because they do not take credit cards in person. So that aspect of that would have to be done online. Okay.
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