ANDERSON — A proposal to raise the county income tax could begin making its way back to area councils in the coming month.

Last September, the majority of county officials voted against the measure to raise the COIT, or county option income tax, by .25 percent, so the measure failed.

But trying economic times and ever-shrinking budgets may force area officials to revisit the tax hike.

If city and county officials want to pass the COIT this year, they’ve got only until July 31 to do it, according to Amanda Stanley of the Department of Local Government Finance.

Last year, the Anderson City Council initiated tax hike talks by unanimously passing a resolution to increase the COIT by .25 percent for public safety, eliminate the CEDIT, or county economic development income tax of .25, and increase the homestead credit percentage by .25 percent.

As a result, Madison County’s income tax would have jumped from 1.25 percent to 1.5 percent.

A taxpayer earning $40,000 per year would have seen a tax increase of $100 per year, according to Madison County Council President Bill Savage.

Anderson ended up being the only local council willing to approve the tax increase. Alexandria and Elwood councils voted down the measure, and the county council refused to consider it.

This year, things may come full circle.

If the county wants to see an increase in the COIT, it’ll have to find someone else to lead the charge, according to Anderson Mayor Kris Ockomon. “I believe we feel like it’s still necessary, but as far as leading the parade, I believe they’ve already done it once last year, voted unanimously to support it, and was kind of left hanging with Elwood hesitant to pass it.”

Anderson still supports a COIT increase, Ockomon said, but another city will have to propose the increase this time around.

The proposal won’t likely get its start at a meeting of the Elwood City Council, according to Elwood Mayor Merrill Taylor.

Elwood recently voted to impose a trash collection fee and is currently considering a fee for ambulance runs, he said.

Taylor has said he remains undecided about the COIT increase, but feels confident that his council won’t be the first to propose the hike. “Would I support it? That’s a good question. I think we need it.”

The COIT increase must be passed by a majority of 50.01 percent.