Lakemore is no longer in fiscal emergency, a stigma the small village has carried for more than six years.
Ohio Auditor Dave Yost released the community from the status Thursday.
“This is a significant moment because it represents a fresh start for the community,” he said in a prepared statement.
Lakemore, a village of about 3,000 people at the south end of Springfield Lake, was placed in fiscal emergency by the state in August 2010 due to five aggregate deficit fund balances totaling $839,450, in addition to a treasury fund deficit of $584,532.
Officials blamed the deficits, in part, on income lost when the former Edwin Shaw complex closed. Summit County, which owns the 100-acre property, is trying to sell the land and have it redeveloped.
Mayor Rick Justice, who took over in 2012, had called getting out of fiscal emergency “our No. 1 goal.”
The original plan was to be removed in seven years so the village bested its goal, the mayor said.
“It’s been a long six years and four months and 12 hours,” he said. “It’s a big thank you to everyone who suffered through this with us. We all pulled together as a village.”
The village was able to erase the deficits through a 50 percent income tax credit reduction, which meant residents who work in other communities that charge income tax only received credit for half the taxes they paid where they’re employed.
The 100 percent tax credit will be reinstated, as promised, as soon as possible, the mayor said.
Lakemore also reduced spending, eliminated an administrator position and earned voter approval of a 4.25-mill EMS levy to improve village finances.
To be removed from fiscal emergency, the state also required the village to create a financial accounting and reporting system, and prepare a five-year forecast.
“We’re really solid now,” Justice said.
Rick Armon can be reached at 330-996-3569 or rarmon@thebeaconjournal.com. Follow him on Twitter at @armonrickABJ .