What is Issue 3?
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A permanent 0.45 percent income tax increase for essential street repairs and critical capital improvements. The City of Delaware income tax rate would increase from 1.85 percent to 2.30 percent. If approved, this tax would be in effect, beginning January 1, 2025.
What does Issue 3 mean for me?
Our streets need immediate attention to ensure the safety and well-being of our community. The new revenue would also pay for infrastructure projects like building maintenance, roof repairs and work on Oak Grove Cemetery.
What happens if Issue 3 fails?
To address revenue shortfalls, City Council intends to eliminate the current 50 percent tax credit and direct that money toward grant-funded road projects and capital improvements. In addition, departments and services will be impacted in the following ways:
How will Issue 3 impact retirees or those outside of the workforce?
Social security, disability benefits, military compensation, unemployment benefits and retirement pension are not taxed as earned income and therefore would NOT BE IMPACTED by the proposed change.
Why is the Delaware having trouble with funding?
Delaware has one of the lowest income tax rates in Central Ohio and is no longer producing enough revenue to fix streets and pay for capital projects like building maintenance.
In addition, significant funding is being required for Delaware Municipal Court operations to offset revenue shortfalls. Previously, these operations were funded through American Rescue Plan Act dollars, which are no longer available. In 2024, the City is spending $1.8 million to operate the court.
When was the last income tax increase?
The City of Delaware income tax rate has not changed in almost 15 years — the last increase was approved by voters in 2010.
I live in Delaware but work in another city. What will I owe?
Residents who have taxable income pay Delaware tax on that income regardless of where that income is earned. If a resident pays tax to the city where that income is earned, they would receive a credit, up to 1.495%, against the 2.30% tax due to Delaware.
Ok, what if I work in Delaware, but don’t live in Delaware?
Non-residents would pay 2.30% versus the previous 1.85%, an increase of .45%.
I live and work in the City of Delaware. What does that mean for me?
Residents who work in Delaware would pay 2.30% versus the previous 1.85%, an increase of .45%.
You mentioned a tax credit for working in another city but living in Delaware. How does it work?
A partial credit is given to residents who have paid tax to another city on income also taxed by Delaware. The credit would increase from 50 % to 65% of the tax due to Delaware, or from 50% to 65% of the tax paid to the other city, whichever is less. Here is an example of what a resident working and earning $75,000 in Columbus, Dublin, or Sunbury would owe to Delaware after the 65% credit:
Other cities offer a 100% tax credit. Why not Delaware?
Nearly 80 percent of our residents work outside of the City of Delaware. To offset the financial impact of a 100-recent credit, we would first need to create more tax-generating jobs within city limits.
How can I calculate what my taxes will be?
To calculate the estimated individual impact of Issue 3, residents can use the tax impact calculator located in the above tab.
When is Election Day?
Election Day is November 5. Polls will be open from 6:30 a.m. to 7:30 p.m.
Where do I go to vote?
Click here for a list of polling locations.
What should I bring with me to the poll?
There are several voter identification methods accepted in the State of Ohio, including a government-issued photo ID, military ID, utility bill, bank statement or paycheck. To view all accepted forms and additional detail, visit the Ohio Secretary of State website.
