At some point in the not-too-distant future, Vero Beach voters will need to decide what kind of city they want – and whether they’re willing to pay for it. Do they want to ensure that Vero, which has often been poetically described by admirers’ as a “Mayberry by the Sea” and our “seaside slice of heaven,” remains a special place that offers all the amenities, facilities, services and aesthetics that celebrate civic pride and engender a nostalgic sense of community? Or are they satisfied with the status quo, as long as they can continue to enjoy municipal tax rates that rank among the lowest in the state? There is one other option – the city could explore the possibility of expanding its tax base by annexing the South Beach section of the county – but it hasn’t been seriously discussed and doesn’t appear to be something that can happen any time soon. That means Vero Beach’s future path is in the hands of its current 17,000 citizens – specifically, the voters – whose municipal government must contend with the increasing demands placed on the city’s infrastructure, facilities and services by a rapidly increasing county population, which has surged beyond 170,000. While the city’s population is unlikely to grow, especially since voters last November soundly rejected a referendum that would have permitted an increase in residential density in the downtown district, the population the city serves continues to swell. With each new home built in the county, particularly its southern half, more newcomers pour into the city to work, dine, shop, socialize, access recreational facilities, go to beaches, embrace cultural offerings and engage in government-related functions. Many county residents who live outside the city, in fact, travel into Vero Beach on a daily basis, and they utilize city-provided facilities and amenities in far greater numbers than city residents. Ocean Drive, downtown Vero, Miracle Mile and Royal Palm Pointe are already destinations. And if the much-anticipated Three Corners development becomes a reality, the city will have a new waterfront hub sure to attract thousands of people from throughout the county each week. Also, Vero Beach is the county seat, home to the county’s administration building and courthouse. “The city has changed more rapidly in the last 10 years, probably, than it changed in its 90-year existence,” Mayor John Cotugno said at last week’s City Council meeting. “That’s basically because of what’s happening in our county.” Cotugno wasn’t complaining, although he and other Vero Beach officials strongly disagree with the county’s refusal to share even a percentage of its tourist-tax revenue, nearly half of which is generated in the city. It is, quite simply, the reality in which the city exists. The challenge now is to find ways to maintain facilities and infrastructure, continue to provide services, and enhance aesthetics without significantly raising the city’s millage rate – all while pushing forward with the Three Corners development, relocation of its wastewater-treatment plant, and the marina-expansion project. Making the task more difficult is the fact that the city is still coming back from the severe staffing cuts required during the Great Recession 16 years ago. The staff currently operates with 75 fewer positions than were on the city’s payroll prior to the nationwide economic crisis, before budget cuts slashed the total number from 412 in 2009 to 347 today. (For those wondering: The 2009 number doesn’t include 119 positions at the now-defunct municipal electric utility, which was sold to Florida Power & Light in December 2018.) The Public Works Department absorbed most of the recession-driven reductions, and it’s still down 27 positions from where it was in 2009, when it employed 121 people. That leaves fewer crews for repairs, renovations and clean-ups, resulting in the type of deferred maintenance that diminishes the look and feel of the city – and can lead to the need for costly replacements. Meanwhile, the Vero Beach Police Department – with 75 employees, 58 of which are bonded officers – has three fewer positions than it did in 2009. “We run a very lean operation,” Cotugno said. With public safety and quality of life being the most important responsibilities of local government, however, both departments will need to be expanded to accommodate the impact of the county’s growth on the city. Others will, too. In addition, the city needs to upgrade – and probably replace – its outdated computer system and software, sooner rather than later. But Cotugno wants the City Council to start with formulating a “succession plan” to address the eventual replacements for City Manager Monte Falls and County Attorney John Turner, as well as Police Chief David Currey, Airport Director Todd Scher and other department heads nearing retirement. The council directed Falls to discuss the matter with his department heads, begin work on such a plan and make a presentation in the coming months. Cotugno said he expects the plan to recommend some staff expansion, including the creation of a deputy city manager’s position. If Falls were to be incapacitated or leave the job suddenly, the city charter authorizes the council to appoint someone to fill the post on an acting basis. “We also have to address the projects that we’ve already started, and whether we should more aggressively seek public-private partnerships in accomplishing them,” the mayor said, adding that the same strategy also should apply to future projects. The city has engaged in such joint ventures in the past, and it’s currently working with Piper Aircraft to renovate Pocahontas Park. Also, the city plans to rebuild the storm-damaged Humiston Beach boardwalk using a combination of city and county funds, and donations from the private sector. Certainly, public-private partnerships can be helpful, especially for local governments operating under tight budgets. But it’s embarrassing that a city of Vero Beach’s stature needed contributions from private citizens to rebuild an iconic boardwalk. That’s no way to run a city. Without raising the tax rate, though, Cotugno and council – if they want to meet the city’s desire for well-staffed, high-functioning and aesthetically pleasing city – have nowhere else to turn. The city’s current millage rate stands at 2.77, which means taxpayers pay $2.77 for every $1,000 of the assessed value of their properties. That’s well below the 5.0 rate imposed by Stuart, the Treasure Coast municipality to which Vero Beach is most often compared. It’s also lower than the rates in Sebastian (3.2), Fort Pierce (6.9) and Port St. Lucie (4.7), and it ranks among the lowest 25-percent in the state. “What we collect in ad valorem taxes pretty much equals our police department budget,” Falls said. “For this year, those taxes brought in just over $12 million. Our police budget was $11.5 million.” It was only two years ago, however, that the City Council raised Vero Beach’s millage rate from 2.69 to 2.77 – to cover the costs of adding four new police officers, increase staffing in the planning and finance departments, and give all employees a 5-percent pay raise. So how would another proposed tax increase be received by city residents? Lance Lunceford, president of the Taxpayers Association of Indian River County, said last weekend city residents might be willing to absorb the increase if it means improvements to basic infrastructure and maintaining the character of Vero Beach. “When I talk to members of our association who live in the city, I don’t hear them complain about the millage rate,” Lunceford said. “But the council needs to show taxpayers what they’ll get for their money.” Emphasizing that he was not speaking for the association, Lunceford said he believes the current state of the city’s finances “is not sustainable,” adding that attempting to cut spending would be only a short-term solution. Councilman Aaron Vos agreed, warning, “Being understaffed can be more detrimental to your operation than being overstaffed, especially when the demand keeps increasing.” Cotugno said he’s eager to see the proposed succession plan Falls presents to the council later this year, adding that he’s prepared to consider whatever actions are necessary to successfully run the city. He’s fully aware that you can’t drive a Mercedes with a Chevy payment. “We’ll need to go to the voters and make our case,” the mayor said. “If we have to, the City Council will take the hit.” How big a hit depends on what kind of city Vero Beach voters want – and whether they’re willing to pay for it.