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MARTINS FERRY -- City officials are taking a hard look at finances after the proposed income tax increase was voted down on Tuesday.
The city currently has a 1% income tax in place, and residents voted against increasing the income tax to 2%.
Auditor Jack Regis remains optimistic about the city's finances despite the failure of the measure.
"It's going to be a tight year next year, but I think we can get through it," he said. "We're going to have to step back and re-examine the budget and really take a fine-tooth comb through the general fund."
He said the street department, police department and safety services are all funded through the general fund.
Regis added that next week the city will start looking at the carryover fund. The carryover fund consists of leftover money from this year that will support payroll and other expenses that need to be paid toward the beginning of next year.
After that, Regis said the city is going to work on next year's budget.
"That's when we'll find out where we're at," he said.
Regis said the city will have to keep a close eye on expenses, and some city services and projects may be impacted. But, Regis said he will consider the residents' needs as he works on the budget and makes plans for next year.
Councilwoman Suzanne Armstrong had been a strong advocate for the income tax increase.
"I'm disappointed, but I knew there was always that possibility," she said of residents' rejection of the issue.
Armstrong said council and other city officials will have to work to balance the budget.
"We cannot control the revenue coming in. We can only control the expenses going out," she said.
Armstrong said the city will have to make some cuts in order to stay within its budget. City officials have not made decisions to cut any positions or services at this time.
"If the money is not there, we just have to go with the best solution," she said.
Armstrong said she is unsure if she will push for an income tax increase to be on next year's ballot.
"It's not on my list of short-term goals. We'll have to see how we're adjusting first," she said.
Armstrong said she wants to focus on what money the city currently has and find ways to use it wisely. She said city officials will have to meet several times before the start of next year to discuss finances.
Mayor John Davies echoed this statement and said budget meetings will be necessary to properly manage city finances.
"With the income tax being defeated, our city council will have to sit down with the department heads and figure out a way to keep them in budget," he said.
Councilman and member of the finance committee James Schramm also stated that he was disappointed to hear that the income tax did not pass. He said that he and other city officials will have a lot of work and planning to do to keep finances stable.
According to unofficial totals provided by the Belmont County Board of Elections on Tuesday, 992 votes were cast in opposition to the proposed tax increase, while 301 were cast in favor of the tax hike.
Martins Ferry City Council will have its next public meeting at 6 p.m. Wednesday in council chambers on the second floor of city hall.