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Proposed Budget Saves Jobs and Bus Service
• Police and fire still want a raise amid the down economy
Thursday,
August 6, 2009
As part avoiding job cuts in the city and preserving Margate Inner City Transit routes, City Manager, Frank Porcella, is proposing to Margate City Commissioners a property tax hike for of $1.01 (includes debt service for GO bonds) for every $1,000 in home value, hiking the city's mil rate from $6.90 to $7.93.
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Residents wishing to speak on the proposed budget can do so at public budget workshops scheduled for August 25 and 27 and resolution hearings scheduled for September 9 and September 23 at City Hall.
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Despite the increase in ad valorem taxes, many Margate homeowners will pay fewer taxes than they did last year, as overall home values have dropped 13 percent citywide.
Highlights of Porcella’s budget proposal indicated by his letter to the Mayor and City Commissioners include:
A citywide freeze in salaries and benefits. “What their making today their making tomorrow,” Porcella said of city employees. The only kink here is an impasse with fire and police unions looking for more money: 4% and 6% respectively (see current salaries under article files to the top right). Porcella said the matter must be cleared up by October 1, 2009 either through mediation or by a vote of the City Commission.
Raise the cost of Margate Inner City Transit to $0.75 a ride. This is an increase of a Quarter and would pay to keep Margate Inner City Transit routes intact while buffering the loss of $67,000 in Broward County funding the city won’t be receiving this year.
Water bills would increase by five percent. This is to cover the increased cost of delivering competent service to residents. Margate water quality is rated excellent and is costly to produce.
Complete upgrades to Royal Palm Boulevard. The only capital project on the table and the last to be paid for by the GO bond approved by voters. Other than this, $250,000 will be placed in Capital Projects reserves for citywide radio replacement in the future.
No foray has been made in the budget to begin downsizing the almost $6 million in unpaid vacation and sick leave owed city employees, but Porcella said the matter may have to be addressed next year if the economy doesn’t turn around.
In response to calls the City Manager has received from residents asking why Margate’s mil rate is higher than Coral Springs or Coconut Creek, Porcella said simply that the average home in Margate is valued much lower than many in surrounding cities and our commerce isn’t a strong, ultimately passing a higher tax burden onto Margate homeowners.
Although this year’s proposed budget eliminates layoffs and disways pay cuts in the city, things may not be as rosy next year.
“We’re pretty much at the bare minimum here,” Porcella said.
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