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Official: Dade City needs more money

The city manager says to keep up with costs, it may be time to consider a stormwater runoff fee.

By CHASE SQUIRES

© St. Petersburg Times, published September 13, 2001


The city manager says to keep up with costs, it may be time to consider a stormwater runoff fee.

DADE CITY -- With city government costs rising each year and property taxes unable to keep pace, City Manager Doug Drymon is suggesting city commissioners look for other ways to raise money, including a new fee for stormwater runoff.

The new fee would not only apply to homes and businesses, but also the county government buildings that dominate downtown.

Drymon said the idea for a new fee is in its earliest stages. There are no plans to implement it any time soon, and it is too early even to discuss what the rate would be or if it would be a flat fee or one calculated by a property's square footage.

Commissioners spent about 50 minutes Tuesday reviewing the proposed $11.8-million budget for the coming fiscal year, which starts Oct. 1. The budget, a 9.6-percent increase over last year, includes about $3-million carried over from this past financial year for an ongoing sewer expansion project.

The spending plan includes an across-the-board 3.5-percent pay raise for city employees not covered by collective bargaining, and reflects higher health insurance and equipment maintenance costs, Drymon said.

As he went over the figures, Drymon pointed out the city has held the tax rate steady at $7.40 per $1,000 of taxable property value for years. In fact, the rate actually came down slightly in 1999. The city needs more income, Drymon said.

"The city should give serious consideration to either increasing property tax and utility rates, or else locating new sources of untapped revenues if it wishes to maintain current levels of service," Drymon wrote in his budget summary.

In addition to increases in water and sewer rates, Drymon said the city might consider special taxing districts, such as for decorative street lighting in some neighborhoods, and a stormwater fee. Commissioners didn't discuss the likelihood of enacting any new fees.

In New Port Richey, council members gave final approval Wednesday night to a stormwater fee that would cost the average homeowner $40 a year and commercial property owners much more. The fee there is about $3.36 per month for every 2,629 square feet of impervious surfaces, such as rooftops and parking lots, that cannot absorb water.

Drymon stressed a stormwater fee in Dade City is not part of the proposed budget for the coming year, rather something that can be studied and considered for next year.

State costs for handling the paperwork and meeting stormwater standards have been rising in recent years, Drymon said.

In the proposed budget, about 40 percent of the revenue -- $4.8-million -- comes from water and sewer payments. About 10 percent -- $1.15-million -- is from property taxes.

On the spending side, 32 percent -- about $3.7-million -- goes to water and sewer costs, and 26 percent -- $3-million -- will pay for fire and police protection.

The proposed property tax rate would remain at $7.40 per $1,000 of taxable value. That's the same rate as the current fiscal year, but it would be considered a 4 percent tax increase by the state because it is above the $7.10 roll-back rate that would generate the same tax revenue as the current year, with adjustments for construction and increased property value.

The first public hearing on the budget, and the City Commission's first vote, is set for tonight at 5:30 at City Hall.

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