Property values bolster proposal

Mayor David Fischer's budget plan capitalizes on growth and keeps the property tax rate level.

By BRYAN GILMER

© St. Petersburg Times, published May 10, 2000

ST. PETERSBURG -- The value of property in St. Petersburg grew an impressive 6.8 percent since last year, and that new-found prosperity alone could bring more property tax revenue into the city's coffers.

The county tax assessor's preliminary estimate of city growth shows that it exceeded the county average of 6.5 percent expansion. The 6.8 percent figure is triple St. Petersburg's typical 2 percent annual growth before the recent downtown and residential development boom.

Despite that growth, or maybe because of it, Mayor David Fischer on Tuesday proposed leaving the base city property tax rate the same, even though at $7.25 per $1,000 of taxable property value, it remains by far the highest among Pinellas County's cities.

Clearwater charges the next-highest tax rate, about $5.50 per $1,000, 24 percent lower. On a $100,000 house with a $25,000 homestead exemption, a homeowner pays about $544 per year in St. Petersburg, about $131 more than a Clearwater resident.

The city's property tax rate was $8.55 when Fischer took office, and he has made it a priority over the past few years to push it down a dime or a quarter a year.

Tuesday, Fischer sang a different tune while presenting his preliminary budget for 2001 to the City Council: You'll have the same tax rate, but you'll get your money's worth.

"The city is getting better," Fischer said, noting the city's expansion of recreation centers and sports complexes, its network of libraries and parks, and the reconstruction of fire stations. "We're in the range of a sustainable (tax rate) level."

The budget would add 15 full-time employees to the recreation department, for example.

But one thing many city residents -- and their representatives on City Council -- have called for is not in Fischer's budget: more police officers.

The budget calls for 538 sworn officers, the same number as last year. That issue sparked a lengthy discussion at Tuesday's council budget workshop.

"More police? That's my question," council member Bob Kersteen said. "In comparing our Police Department to Tampa, last week, they have 957 authorized sworn positions."

He said his constituents do not feel non-emergency calls, such as thefts, are handled quickly enough.

Council members Jay Lasita and Bill Foster echoed those sentiments. Council member Rene Flowers wondered whether it is time to build a new police station.

"In areas of public safety, I feel very giving" when it is time to appropriate money, Foster said.

Police Chief Goliath Davis III pointed out that his budget would add 10 civilian employees. He said that would free 15 officers and four sergeants from desk duty to return to the front lines, increasing the city's police presence.

But he has hired a consultant to study the department to see whether more officers might be needed.

"The issue of whether we have enough is still one that's out there," Davis acknowledged. He said there is less crime here than in Tampa, possibly making fewer officers okay.

At $56-million, Fischer had already budgeted the Police Department as by far the most expensive city department that does not charge a fee for its services.

The budget would also:

Cover the increasing cost of benefits for city employees. Retirement and medical benefit costs are up more than 15 percent from last year.

Fund capital projects such as a pool at Childs Park, a fire station in Shore Acres and the purchase of a fire engine for the Lakewood fire station.

Most of the budget is about the same as last year.

Tuesday was just the beginning of a process that will stretch into September, when the City Council must set the tax rate and approve a budget.

Property taxes would fund about one-third of Fischer's proposed $153.4-million general fund budget. Utility and other taxes would provide the rest.

Counting departments that charge fees for their services, such as the water and sewer department, the city government spends more than $400-million each year.

Taxpayers will be able to lobby the City Council about what should be changed in the budget at a 7 p.m. public hearing May 18 at City Hall. In the meantime, they can send e-mail to council@stpete.org with their suggestions.

"This is the ideal time for them to talk about the budget," City Administrator Tish Elston said. "Nothing has been decided yet."

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