Site last updated: Sunday, April 26, 2026

Log In

Reset Password
MENU
Butler County's great daily newspaper

New city tax abatement plan should be settled this year

As officials in the city of Butler continue to ponder whether to extend both the length and amount of the city’s tax-abatement program for new businesses, they ought to be looking beyond the decision.

Specifically, they should be considering ways to market whatever decision is forthcoming — to let everyone know about the change and the advantages of operating a business within the city’s boundaries.

In addition, officials remain open to the prospect of making additional changes in the future to improve the city’s business environment, depending on how this change is received and the benefits to the city’s coffers it produces.

But for now, officials should acknowledge that the issue is not one that should be delayed any longer than necessary.

With the highest business-privilege tax in the state, especially much higher than all other municipalities in the county, Butler is at a disadvantage in luring new enterprises.

At the same time officials are weighing the nuts and bolts of future tax abatement, they must recognize that going too far would be counterproductive.

That’s why the abatement change put forth by the city is preferable to one proposed by Butler Downtown. The city’s abatement idea would help new businesses, but also would benefit the city more quickly than the plan supported by Butler Downtown.

In delaying a decision on what course abatements will follow in 2013 and beyond, the council, along with Butler Downtown, decided that further research on the various options would be best, including on special considerations such as a grace period for those businesses opening near the end of a calendar year.

For the short term, that delay is not unreasonable.

On the table from the council’s perspective is a three-year abatement schedule that would exempt 100 percent of business privilege tax payments the first year, 75 percent the second year and 50 percent the third year, with full payments thereafter.

Butler Downtown wants five years of tax abatements: 100 percent for each of the first three years, then 50 percent in the fourth and fifth years.

The city’s current, weaker abatement program authorizes only a 50 percent tax exemption the first year and 25 percent for the second.

For now, what’s important is that the city continue to actively discuss the abatement options available and not allow indecision to extend into the new year.

Attracting new businesses should be one of the city’s top priorities for 2013, not wait until sometime later.

More in Our Opinion

Subscribe to our Daily Newsletter

* indicates required
TODAY'S PHOTOS