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Inverness may lower rate on property taxes

City Manager Frank DiGiovanni analyzes the 2006 budget and the city's fiscal health.

By ABBIE VANSICKLE
Published July 30, 2005

INVERNESS - Cooter Pond and Liberty Park improvements, a new wastewater treatment plant and landscaping downtown are among the projects slated for the upcoming year in Inverness.

Only a handful of people showed up Thursday night as the Inverness City Council unveiled its $37.8-million budget for 2006 and announced it could afford to lower the property tax rate for the upcoming year.

City staff members, two residents and reporters were the only audience as City Manager Frank DiGiovanni explained the budget to the council members. For two hours, DiGiovanni dissected the 205-page document and answered questions about the city's financial choices.

"The city's fiscally sound," he said. "The city's in a good position."

He began with the property tax rate. The city's current rate is 5.5081 mills. In July, the council capped next year's rate at the same level as this year. But DiGiovanni said the city could go as low as 5.37 mills. One mill is equivalent to $1 of tax for each $1,000 of assessed, nonexempt real property.

If the council approves the lower rate, the owner of a home appraised at $125,000 who claims the standard $25,000 homestead exemption will pay $537 to support the city. Last year, the bill would have been $550.81.

Included in the budget are: $1,001,770 for public safety; $304,000 for physical environment; $574,928 for transportation; and $246,379 for culture and recreation.

City expenditures are expected to increase 13.5 percent. Two new positions were proposed to be added to the city staff: a public works employee and a maintenance worker for city parks.

DiGiovanni attributed much of the change in the budget to a reorganization of the budget among the city accounts.

After DiGiovanni finished, council members asked him to clarify a few items. Council member Sophia Diaz-Fonseca pointed to a pie chart in the middle of the document. Sure enough, one slice of the pie wasn't labeled.

Everyone laughed as DiGiovanni realized he'd forgotten to label the council member's expenses.

The council also discussed whether it would be wise to privatize water operators for the city.

Council member Bill Sheen advised the city take a close look at contractors before making any kind of decision.

"You tread carefully through the swamp," he said.

A few minutes later, council members asked about Oakridge Cemetery, the city-owned cemetery that is budgeted at $61,653 for next year. Several members questioned whether the city should sell the cemetery.

Mayor Bob Plaisted joked the council should turn it into condos.

After a short, light-hearted discussion about the cemetery and its cost to the city, DiGiovanni finished the meeting by focusing on the increasing growth in Inverness.

"The town is no longer sleepy," he said. "It's no longer the one-horse town I came to. . . . We used to get excited after it rained to see all the frogs jumping around."

Abbie VanSickle can be reached at 860-7312 or vansickle@sptimes.com

[Last modified July 30, 2005, 01:09:17]