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Politics

$60,000 spent on $2-billion question

The county is letting voters know what a 10-year Penny for Pinellas extension would mean.

By ANNE LINDBERG
Published February 21, 2007

PINELLAS PARK: Park Boulevard drainage improvements, new police station

ST. PETERSBURG: construction of four pools and nine youth athletic complexes

TREASURE ISLAND: replacement of the Palms and Capri bridges on Treasure Island THERE'S MORE: Around the county, officials are making lists and checking them twice.

The signs have popped up along roads and lakes, in front of fire stations and recreation centers, designed to show the fruits of the Penny for Pinellas sales tax.

So far the county has spent nearly $60,000 on a marketing campaign that includes an array of posters, fliers and fact cards all aimed at persuading voters to extend the 1-cent sales tax on March 13.

Commissioners are poised to spend as much as $200,000 on the campaign, if that's what it takes.

The question of spending tax money to get more tax money is an old one, said Mark Woodard, the county's chief of staff. Courts have ruled that governments can spend public money to advocate a position, he said.

But, he argues, that's not what the county is doing. Pinellas is conducting an educational campaign to inform voters about county projects that were done with Penny money. The information is designed to let voters know what they can expect from the county and the cities if the tax is renewed for another 10 years to 2020.

The expense tally doesn't include the cost of the video that is shown on the county's network, Channel 18, or the time county employees have spent speaking to neighborhood and civic groups about the Penny's benefits.

"That's really a kind of sunk cost," Woodard said, because those salaries would have been paid anyway.

The Penny was first passed by voters in 1989 for a period that ended in 2000. Voters renewed it in 1997. The current Penny - 1 cent added to the sales tax - will expire in 2010 unless voters renew it. An extension would generate $2-billion, split between the county and the cities, which divvy it up based on population.

Q & A

Key points

Are there any limits on how the money can be spent?

By law, the Penny can be spent only on "bricks and mortar" projects and cannot be used for other government operations.

Are all sales taxed?

It is only applied to the first $5,000 of a purchase. Necessities such as medicine and groceries are not taxed.

How would the money be divided?

The total estimated revenue for the proposed Penny Extension is $1.94-billion. Money for jails and courts, $225-million, would be taken off the top, with the remainder split among the municipalities, which receive 47.7 percent, and the county, which receives 52.3 percent.

What will happen if voters reject the Penny?

Many public projects would be stalled or scrapped. Funding for essential projects would be paid for with homeowners' property taxes. If the Penny is not extended, it would take a millage rate of about 2.3 mills to generate the same amount of revenue.

How do I vote?

If you're not registered to vote already, it's too late. The election is March 13. Early voting starts Feb. 26 and ends March 10. For more information, go to the supervisor of elections Web site, www.votepinellas.com, or call 464-3551.

Source: Pinellas County

[Last modified February 20, 2007, 20:50:16]