To lower or not to lower

They’re adding police, firefighters and other city employees to handle their growing needs, giving employees raises, building up emergency reserves or plowing more money into road, park, water and sewer improvements.

Fort Lauderdale’s city tax rate has remained the same for 11 years, including after the real estate bubble burst and declining property values resulted in a tax break for property owners.

For the past six years, keeping the rate the same has meant a tax increase.

This year, it amounted to $11.1 million, or 8.7 percent more than last year’s, according to the city’s “notice of proposed tax increase.”

The Coral Springs Commission approved the largest percentage tax increase in the county this year, about a 25 percent increase in city taxes for the average homeowner.

“You’re taxing me to death. This is destroying us,” business owner John Serino complained to Coral Springs commissioners at their final budget hearing in September.

Coral Springs officials justified their increase by saying their roads and parks are suffering, their reserves have been drained significantly to clean up after Hurricane Irma, and people expect a higher quality of service from the city.

“We have a plan to resurface roads, but that plan keeps getting kicked down the road because we didn’t have the funding,” Coral Springs Commissioner Joy Carter said. “I was certainly not interested in getting any type of increase if we could not see visible improvements in the city.”

An average homeowner in the city, whose property was assessed at $250,000 last year and who receives a homestead exemption, will pay about $240 more in city operating taxes this year, about $1,200 in all.

However, the total tax bill, when assessments for the county, schools and other agencies are included, is only going up $200, to $4,173, which means the balance of the non-city taxes has declined.

Meanwhile, a similarly priced homesteaded property in Fort Lauderdale is facing only a $17 increase in its city taxes and an overall tax bill of $3,778 — $33 less than last year.

Coral

Dania Cooper City, 18.9 percent. Coconut Creek, 16.6 percent. Hollywood, 14.6 percent. Davie, 13.5 percent. Pompano Beach, 12

Wilton West Park, 11 percent. Sunrise, 10.4 percent. Tamarac, 10.1 percent. Last year, only two cities raised tax collections more than 10 percent, according to a Sun Sentinel analysis. The previous year, only three cities did.

Six cities this year lowered their rates, but not enough to avoid raising property taxes: Lauderdaleby-the-Sea, North Lauderdale, Oakland Park, Parkland, Plantation and Wilton Manors. Springs, Beach, 24.4 20.1 Manors, 11.7 percent. percent. percent. percent.

Many local officials said they didn’t consider dropping their tax rates because that could put them in a predicament if voters approve a referendum next year giving a bigger tax break to property owners. The November 2018 ballot question would add a $25,000 exemption — on top of the existing $50,000 exemption — for homesteaded properties valued at more than $125,000. If approved, the new exemption would take effect in 2019.

Cooper City City Manager Bruce Loucks said the upcoming referendum was part of the reason for his city’s decision to raise the tax rate, and the same was true in Coral Springs. Broward commissioners have included $11 million in their budget this year that they don’t intend to spend — and plan to do the same next year — to offset the negative impact on the county’s future budget if the referendum passes.

Dominic Calabro, president and CEO of the nonprofit watchdog group Florida TaxWatch, said raising taxes now in expectation of the referendum passing goes beyond being “taxpayer unfriendly and inappropriately aggressive.”

The ballot item, which requires 60 percent voter approval, might not pass, he said. And even if it did, Calabro said governments first should look at their spending and “go through the budget with fine-tooth combs.”

“They ought to find ways of reducing expenditures,” he said. “I think they’d do the community and themselves a great service by controlling spending first or making efforts to do that.”

The added exemption wouldn’t reduce property tax income below current levels, but it would mean cities get a smaller increase if they keep tax rates the same, Property Appraiser Marty Kiar said.

For example, Wilton Manors reduced its tax rate this year, but still will bring in about $834,000 more in property taxes because of a large increase in property values. If the new exemption passes as expected, the increase in taxes flowing into the city would only be reduced by $333,000, according to a property appraiser analysis.

City Manager Leigh Ann Henderson recommended cutting the tax rate this year, saying she was preparing for the additional homestead exemption by curbing the growth of government and slightly reducing the overall city budget.

Many cities are up public safety.

Plantation is adding two police officers and 16 emergency medical personnel, 12 of them full time, Mayor Diane Veltri Bendekovic said.

Margate is adding two police officers and seven firefighters/paramedics, in addition to buying police and fire vehicles and equipment, Finance Director Mary Beazley said.

And in Pembroke Pines, the city is adding 10 employees — four police officers, three police service aides, a forensic examiner, a video media examiner and an administrative assistant for the city’s new body camera program. The city also is buying patrol cars, ambulances and a fire engine, night vision goggles, body cameras and ballistic shields for officers.

Pembroke Pines Mayor Frank Ortis said residents realize city expenses are going up just like the expenses they have at home. They just want to make sure their money is being spent well, he said. Pembroke Pines has kept its tax rate flat for five years, Ortis said, although that rate means an extra $5 million this year because of increased property values and new construction.

“We don’t want to raise anymore than we have to, but we have to have the services for our residents and they agree,” Ortis said, indicating only two people spoke at the city’s budget hearing.

“When they don’t come out, they’re satisfied. That’s how I view it,” Ortis said. “Because if they’re not satisfied, they’ll let you know.” beefing

lbarszewski@sunsentinel .com, 954-356-4556 or Twitter @lbarszewski