Fb Budget

September 17, 2008 Officials hammer out plans for beachside cities By KENYA WOODARD Staff Writer FLAGLER BEACH -- After a month of lengthy workshop discussions, city commissioners approved a property tax rate this week that reflects a tight budget and leaves some city employees without raises. At its first budget hearing Monday, the commission rejected the tentative tax rate of $3.07 per $1,000 assessed value it set in July in favor of one a few cents lower at $3.01 per $1,000 of assessed value. That rate, however, is slightly higher than the $2.68 per $1,000 assessed value taxpayers paid last year, but lower than the rolled-back rate of $3.05 per $1,000 assessed value. The rolled-back rate is the tax rate to match tax revenues from the previous year, minus new construction. Meanwhile, Beverly Beach residents should see no change to their tax bills. Commissioners approved the tax rate at $2.46 per $1,000 assessed value -- the same as it has been for the last seven years, said Mayor Steve Emmett. Fortunately, commissioners were able to carve out the town's budget without having to make difficult choices, Emmett said. It's a different story down the road in Flagler Beach, where the budgets of 17 of the city's 21 departments either decreased or remained the same, some positions were nixed and commissioners' efforts to give some city workers a small pay increase had to be dropped. Rising gasoline and diesel costs -- up 55 and 71 percent, respectively -- was the driving force behind the the 2008-09 budget, said Interim City Manager Bernie Murphy. In addition, the city's "significant loss" in interest income and $400,000 hit to last year's budget means things will be tight for a while, Murphy said. "We're pretty lean," he said. "Every department took some cut." There are a few exceptions. Police officers are set to receive a 10 percent pay increase that was negotiated as part of their contract and the City Commission's fund will also see an increase related to this fall's election. An administrative assistant was added to the utility department. The salary for that position will be covered by the utility system, Murphy said.

If the tax rates are approved at second hearings, it means the owner of a $175,000 home with a $50,000 homestead exemption in Flagler Beach would pay $376.25 in city taxes while homeowners in Beverly Beach would pay $307.50.