A task force reviewing pension reform is recommending a millage increase to initially cover paying down the city's $1.7 billion in unfunded pension liability.
The recommended increase would start Oct. 1 and generate about $68 million. It then recommends putting a half-cent sales tax on the ballot for November that could generate the same amount, which would then require the property tax to drop.
In the end, the same amount would be raised and applied toward chipping away at the unfunded problems in the public safety pension plans.
"In effect, the voters would have a choice as to whether they preferred the additional revenue to be generated by the levy of a sales surtax or by the increase in the ad valorem millage rate," the draft states.
Between the two options, the draft says the task force sees the property tax increase "is not as good a solution" as the sales tax, noting the latter is "broader based" and paid for by everyone in the county who purchases goods, not just residents.
Task force chair Bill Scheu previously said the tax would run 12-15 years, which should get the pension 80 percent funded.
One idea not picked up: Mayor Alvin Brown's proposal asking JEA to contribute $40 million more per year to pay off the problem. The utility currently gives the city $110 million per year.
Brown has offered what he considers cost-saving measures to make up the additional contribution, including helping JEA set up its own pension plan. The administration has said that will save the utility $500 million.
With JEA leadership saying rates would be increased and the mayor insisting that's not the case, any deal appears to be "far away from having a finalized and agreed upon proposal," the draft states.
"At present, it is too early to base substantive recommendations on the JEA proposal," it says.
The group is tweaking language within the proposal and has scheduled a March 19 meeting to finalize the report before possibly presenting it to Brown and the City Council the next day.
Plan design, governance issues and the funding components will be included.
After receiving it, Brown could adopt any or all of the recommendations before heading back to collective bargaining.