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Politics

Budget proposal calls for slight tax decrease

No jobs would be lost and no services cut.

By ANNE LINDBERG, Times Staff Writer
Published August 15, 2007

Taxpayers will see a small decrease in taxes in the coming year if the City Council adopts the proposed budget.

The proposed $49.6-million operating budget includes the elimination of 14 jobs, currently unfilled, and cuts in spending for such items as travel and training to make up a $1.6-million shortfall caused by mandates from the Legislature that required millage, or tax rates, to be decreased.

In Pinellas Park's case, the tax rate will drop almost one-half a mill, from 4.9788 mills to 4.5478 mills. A mill is $1 of tax for every $1,000 of assessed property value.

Thus, the owner of a home assessed at $125,000 who has a $25,000 homestead exemption will pay about $454.78 in city taxes for the 2007-08 fiscal year. That's $43.10 less than the $497.88 the homeowner paid for the current fiscal year.

"It's been bad," said Dan Katsiyiannis, head of the city's office of management and budget, speaking during a budget workshop.

Referring to the ups and downs of the legislative session and what decisions in Tallahassee would mean to the city, he said there was a "lot of last minute confusion."

Nancy Hodges, head of the citizens budget review committee, agreed that it had been a tough budget season.

"I know it was very hard to make these decisions," Hodges said, but at least no one will lose their job.

"We hate to see people lose their jobs because of tax cuts," Hodges said. Keeping employees for a long time is very important, she said.

Equally important is the fact that no services were cut, she said.

Her committee recommended that the City Council adopt the proposed budget.

The Pinellas Park council will hold two public hearings on the budget, scheduled Sept. 13 and Sept. 27 at 7:30 p.m. in the Council Chambers, City Hall, 5141 78th Ave. N.

Pinellas Park Mayor Bill Mischler said during the workshop that he, too, was pleased there were no layoffs. Layoffs hurt not only the employee but the worker's family.

"The bottom line is, no people lost their jobs," Mischler said. "We can't say that about many other cities in the surrounding areas."

Employees will receive an average 2.5 percent merit increase in the coming year, but they will not get cost of living increases.

However, the city will pay more into pension plans for firefighters and police officers. Likewise, the city will absorb much of the increase in health insurance rates for all employees.

Council members also decided to restore funding to several nonprofit organizations that had lost all or part of the city's contributions under the proposal.

The big winners were Girls Inc. of Pinellas and the Boys & Girls Clubs. Each is earmarked to receive $35,000.

The Center Against Spouse Abuse will get $3,000. The Neighborly Care Network will receive $2,400.

The St. Petersburg Free Clinic, Hospice Care and the St. Giles Emergency Food Pantry will each receive $2,000. Vincent House will get $1,000.

[Last modified August 14, 2007, 20:07:27]