Tarpon budget plan cuts costs, tax rate

The proposal includes trimming spending by $7-million and reducing the tax rate by 4.8 percent.

By KATHERINE GAZELLA

© St. Petersburg Times, published June 28, 2000

Residents would pay the same rates for utilities such as water and sewer service, city finance director Jeff Rosencrans said. He said the property tax rate will not increase and might go down by nearly 5 percent in the coming fiscal year, which begins Oct. 1.

The city estimates the budget will include $7-million less in spending than in the current fiscal year, Rosencrans said. Much of the difference results from a $3-million budget for capital improvement projects, which would be about $3-million less than the current fiscal year and $5-million less than in 1999.

The draft budget includes:

More than $475,000 to improve the city's wastewater treatment plant in an attempt to comply with state Department of Environmental Protection standards.

About $500,000 in lease payments to Bank of America for a new public safety building at Huey Avenue and Lime Street. The building, which will house the police and fire departments, is scheduled to open in 2001.

More than $70,000 to buy new books, videos and compact discs for the city library.

$150,000 for concrete cart paths at the city golf course and $22,000 for a new green on the 13th hole.

The second phase of raises for city employees that City Manager Ellen Posivach implemented last year.

$38,000 for tree planting.

The city is tentatively proposing a property tax rate that is the same as this year's rate, about $5.20 in tax for every $1,000 of assessed, non-exempt property value. But when a final budget is passed for the year, the rate may go down to $4.95 per $1,000 of taxable property, a 4.8 percent reduction.

The city's draft budget is based on the $4.95 rate, and the city may end up using that rate in the end, Rosencrans said. If the city used $4.95 as the tentative rate, though, notices would have to go out to each property owner should the city later raise the proposed rate, he said.

Under the $5.20 rate, the owner of a $100,000 home with a $25,000 homestead exemption would pay $390 in city property taxes. With the $4.95 rate, that homeowner would pay about $371, not including other county or school district taxes. Public hearings about the budget are tentatively scheduled for the weeks of Aug. 21 and Aug. 28.

Katherine Gazella can be reached at (727) 445-4182 or at gazella@sptimes.com.

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