INDIAN RIVER COUNTY — The Board of Indian River County Commissioners will take under advisement a proposed tax increase to balance the County’s budget next week when the Board sits down to discuss its options.
County Administrator Joe Baird Friday afternoon announced that he is going to recommend to raising the general fund millage rate 1.5 percent while keeping the other millage rates about the same.
If approved, property owners could expect to see their property tax bills go up a few dollars – depending on their taxable assessed value.
An example provided by the Indian River County Finance Department shows a property owner in the unincorporated part of the county whose home has an assessed value $200,000 and a $50,000 homestead exemption would pay into the general fund $7.46 more than last year.
A decrease in the Land Acquisition 2004 millage, drops the County’s tax assessment to $6.05 over last year.
The proposed budget is nearly $259.6 million and includes eight new hires in various departments.
To balance the budget, however, Baird said the property tax rate would have to be increased, even though property tax values have increased 4.5 percent over last year.
According to the Property Appraiser’s Office, the county’s property tax roll has increased and is expected to bring in an additional $3.3 million in revenues.
Baird said that more funds need to be collected in order to cover an increase requested by the Sheriff’s Office and to cover a $900,000 deficit carried over from last year.
The Sheriff’s Office has requested nearly $3 million more than last year, bringing the department’s requested budget to $42.9 million.
Baird said he is not recommending full funding of the $3 million request. Instead, he will recommend approving approximately half – enough to cover the 3 percent cost of living adjustment for staff salaries and the $800,000 requested for vehicles.
The Constitutional Officers’, of which the Sheriff is one, requested budgets are up $3.3 million, according to Baird, while the Administrative departments are down 3.8 percent.
“We struggled to get where we are,” Baird said of trimming the department budgets.
If Commissioners decide not to increase the millage rate, they will need to cut $599,000, Baird said, adding that it won’t be possible to do without cutting from the Sheriff’s Office budget.
Historically, the Board of County Commissioners has made small changes to Baird’s proposed budgets, he said.
“This year might be different,” he said, pointing to the proposed tax rate increase. Commissioners, not wanting to raise taxes, have typically tasked Baird with holding the line on the tax rate.
Baird briefly mentioned his proposal near the end of the annual State of the County Address given to members of the Indian River County Chamber of Commerce. His comment did not generate any public questions following the address.
Commission Chair Peter O’Bryan painted a positive picture of the County by way of comparing it to four years ago – the last time he presented the State of the County.
“Anything that’s been improved over four years, I’ll take credit for,” he joked.
He pointed to a slight increase in development – 1.5 percent – over last year, recently lowered impact fees for commercial development, various completed projects, and increases in tourism among the highlights.
Looking forward to the coming years, O’Bryan said there are a few challenges looming, including the health of the Indian River Lagoon and the impact of All Aboard Florida.
“We have some big concerns” about All Aboard Florida, he said, telling the audience that the Commission has hired consultants and legal help to address the high-speed passenger rail project. “We are very on top of it.”
Farther out, O’Bryan said St. Johns River Water Management District has issued a warning about a drinking water shortage in the next 20 years. He added that the County is already working on projects to address that issue.
O’Bryan also told the audience that in the next couple years, the Commission will have to find a replacement for County Administrator Joe Baird, who has announced he will retire at the end of his contract.
“Some of you may be saying ‘good riddance’,” he said, drawing laughter from the crowd. “The County is in the financial shape it’s in – which is very good – because of Joe Baird.”
