Grove City ended 2011 with $1.5 million more in income tax revenue than it did the previous year.

Grove City ended 2011 with $1.5 million more in income tax revenue than it did the previous year.

According to the city's general fund revenue report for 2011, the city brought in $18,556,349 in income tax revenue, compared to $17,047,009 in 2010.

"We're in a solid position for 2012," finance director Mike Turner said.

Net profit tax revenue accounted for $1.2 million of the $1.5 million income tax revenue increase from 2010 to 2011.

Mayor Richard "Ike" Stage briefly discussed the financial report during the Jan. 17 Grove City Council meeting. He said it was "extremely significant" that the city's net profit tax has doubled since 2009. The net profit tax revenue for 2011 was $3.2 million compared to $1.2 million in 2009.

"I wasn't expecting that large of an increase," Stage said after the meeting, describing 2009 as a "horrible year" during which the economy suffered.

Now, "there's momentum in the economy," he said, noting that the businesses reflected in that net profit tax are some of the most fundamental businesses in the city. "Therefore they're indicative of our core well-being," he said.

The city is seeing the benefit of its diversification in business and population. Still, Stage said, he is reluctant to say Grove City's economy is recovering.

Grove City had a slight decrease in the amount of property tax revenue it brought in for the year. The city collected $938,258 for 2011, down $110,621 from the $1,048,879 collected in 2010.

Overall, total revenue for the city's general fund was $26,088,985, $1,753,777 less than the 2010 amount of $27,842,762.

Turner said that slight decrease is due to a lack of grant money awarded in 2011.

This past year, the city didn't see a significant amount of grants, because it had received considerable funding in 2010.

The city was awarded $4,900,087 in federal and state grants in 2010. In 2011 it was awarded only $693,267. The majority of the grant money awarded in 2010 was for the state Route 665- Interstate 71 interchange project, Turner said.

The city ended 2011 with a cash balance of $23.9 million and expects to end 2012 with $22.3 million.