by Mike Sharkey
Staff Writer
There were amendments to amendments and then what seemed like amendments to those amendments. In fact, an amendment proposed by City Council Finance Committee member John Crescimbeni would have cost each Council member just over $10,000 — out of their own pockets.
After nearly an hour of discussion, the Finance Committee Monday approved having Property Appraiser Jim Overton send out Truth in Millage (TRIM) notices with a millage rate of 8.48, a rate that’s unchanged from last year. It’s also lower than the proposed rate of 9.5 of Mayor John Peyton, who presented his $993 million budget and the property tax increase during a presentation to the full Council July 13.
The Finance Committee voted by voice to approve the TRIM notice legislation as an emergency. It then formally voted 6-0 to approve the lower millage rate. The crux of the committee’s decision seemed to be its determination to find other ways to trim the budget without asking for more from the taxpayers and without making significant cuts to city services.
“We will get through this,” said Finance Chair Steven Joost, adding the current situation isn’t as bad as it’s being portrayed. “I have seen worse times. I remember the oil embargo in 1973. I was just a kid, but I remember people lined up for blocks just to get gas. We’ll get through it.”
The next step for the TRIM legislation is a vote next Tuesday of the full Council. While staying status quo on the millage rate and vowing to balance the budget may make residents happy, the Finance Committee did create a scenario where there’s very little wiggle room. Had it approved Peyton’s proposed rate — which would have been a cap — Council ultimately could have lowered the millage rate before the Sept. 8 deadline. If Council approves the 8.48 rate, by City Ordinance the millage rate is capped at that rate and the budget will be based on the revenue generated by that property tax rate.
If the full Council approves the 8.48 rate and Overton sends out the TRIM notices, Overton has informed Council it will cost about $200,000 to renotify property owners of the adjusted rate. While some Finance members saw that as too costly a gamble, others are convinced it won’t come to that because the Finance Committee will find the necessary cuts. Council President Richard Clark has also suggested tapping into the City’s reserve funds to make up the difference.
“In the Special Reserves fund there is $43 million,” said Clark, referring to a fund he doesn’t want to deplete, but rather use some of now. “That’s a one-time expense and that’s what it’s there for. I don’t know of a greater emergency than this budget.”
City Council Vice President Jack Webb argued that setting the millage rate higher would give the Council room to negotiate the budget. If the 8.48 passes, he said, by law it can’t be raised.
“If we set the millage rate high, we are coming at it,” said Webb.
Crescimbeni said he’s so confident Council can find enough cuts he was willing to place the $200,000 TRIM renotice bill into the hands of the 19 Council members.
“I think there is a lot of opportunity for saving in the current budget, but $200,000 is a lot of money,” he said. “It’s not something the taxpayers should have to gamble with. Can we take that off our salaries if we reTRIM?”
Crescimbeni’s offer/amendment didn’t get a second voice approval and died on the floor.
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