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Friday, September 18, 2009

Taxes

Volusia council burns midnight oil to approve budget By HEATHER SCOFIELD Staff Writer
DELAND -- With a divided vote, the Volusia County Council gave its final OK early this morning to a $614.2 million budget and a property tax rate of $5.36 per $1,000 of taxable value to support the county's main operating fund.
The approval amounted to a $3.5 million reduction from the proposed budget and an $0.08 reduction of the general fund property tax rate.
Officials said the reduced budget -- which utilized savings reaped with a council decision to not offer raises to county employees in the coming year and eliminated a $275,000 expenditure related to one of the county's two pet sterilization buses -- would still protect key services.
But the decision came after hours of public testimony from people and organizations pitted on both sides of the issue and after Councilmen Carl Persis, Jack Hayman and Andy Kelly offered up numerous ideas and motions in unsuccessful attempts to gain traction to further reduce the budget.
Before their decision was final, a string of Volusia County residents -- like Serena Thomas -- argued for more budget reductions and a lower tax rate.
"You've made the easy cuts," Thomas told the council, "now join the rest of us and make the hard ones."
Countless others argued the budget should remain as it was proposed to ensure protection of key service levels in areas like veterans' services, public transportation and library services. Further cuts, they argued, would affect quality of life in the county.
"People generally don't like taxes but it's something that has to be done," said Daytona Beach resident Doug Hall. "If we want services, it's something we have to pay."
The $614.2 million overall budget adopted by the council amounts to a $20.5 million reduction from this year's $634.7 million budget.
The general fund tax rate of $5.36, while lower than the rate that county staff proposed when the budget season began this summer, is still 19 percent higher than this year's general fund rate of $4.50. Despite the higher rate, it's not considered a tax increase by state standards because it's below the rolled-back rate, the rate designed to raise the same amount of revenue as the current year excluding new construction.
Before the final vote, Councilwoman Joie Alexander gave Kelly, Persis and Hayman what Kelly described as a "scolding."
She said the time for budget changes had passed. Changes should have been made earlier in the year during the council's mini budget workshops and council meetings.
Hayman and Kelly argued there were times they attempted to ask questions and make suggestions, but were treated as though it wasn't the proper time to make those recommendations.
Hayman said the discussions were often structured in a way that made asking questions critical of the county's approach not "kosher." It didn't allow the council members to do the "due diligence" some would have liked, he said.
heather.scofield@news-jrnl.com

volusia county pay raises

September 18, 2009
Volusia backs off on pay raises By HEATHER SCOFIELD Staff Writer
DELAND -- In an unexpected twist of events, the Volusia County Council voted unanimously Thursday not to give pay raises to county employees in the fiscal year that begins Oct. 1.
The issue of the proposed raises -- and the approximate $2.9 million price tag -- was a controversial one among both the public and elected officials in recent weeks. County Council members were divided in their opinions initially with four members supporting the raises and three opposed.
But on Thursday, Councilman Josh Wagner said his initial support for offering the raises wasn't strong. And pressure from the public combined with new budget shortfalls that were brought to light by staff members Thursday morning had him lean another direction.
"County government is like a jury," Wagner said, adding that the good thing about the comparison is that at the end of the day, there's a result one way or another and the issue is resolved.
Council members Joie Alexander, Pat Northey and County Chairman Frank Bruno each followed suit, rejecting the raises. Each had reasons for supporting the decision. Budget shortfalls that could result in employee layoffs, hard economic times, and hopes of a more united front on the overall budget vote were some things they cited.
Council members said employees had also been affected by the controversy in recent weeks, and many requested officials not approve the raises in fear of further backlash from the people they serve.
As part of their decision to not offer the raises, the council also asked County Manager Jim Dinneen to ensure that wherever possible, county-paid unions, contractors and other indirect employers through the county operate with the same no-raise policy in the coming year.
Each council member also took time during the discussion process to express gratitude to the county's dedicated and hard-working employees.
heather.scofield@news-jrnl.com