08-09-2008, 07:43 PM
City officials looking for ways to cut expenses
By THOMAS MICHALSKI
Article published on Thursday, Aug. 7, 2008
PINELLAS PARK – City officials, despite a lean 2008-09 fiscal budget of $115,592,401, is still looking for ways to cut costs for protection from what was termed as “very rough years ahead.”
Michael Gustafson, city manager, said local residents, thanks to state-mandated tax reform, will enjoy an approximate $290 reduction in taxes based on a home valued at $150,000.
That reduction comes despite a slightly higher millage rate of 4.6135 that will settle to 4.5478 when the proposed budget goes for City Council approval this fall. Gustafson said millage rates routinely are marked up in tentative budgets, but historically reduced by the time they are adopted.
Gustafson said there currently are 28 employee positions that will not be filled. That figure may multiply as more people resign, retire or are dismissed for other than austerity reasons. Among jobs now dormant are those of a principal planner, police officers, firefighters and public works personnel.
The cost savings from not filling those jobs comes to about $1.3 million. Other savings come from eliminating travel, outside training, seminars and even membership to professional organizations. Some city departments have been reorganized while more city employees are being used for work that would otherwise go to outside contractors.
“We are in for some very difficult financial times,” Gustafson said. “We saw that coming five years ago and began making reductions that would not affect services and personnel.”
Gustafson said the property tax changes under Amendment 1 and future tax cuts could eventually reduce some services. Gustafson cited the current spiraling economy, increased operating expenses for such things as fuel, insurance and other essentials as some of the reasons for a shaky future.
“For five years we have been preparing for the worst,” Gustafson said, “and now we must continue to do so in light of a future that is difficult to plan for in these very trying times.”
While some cities, such as St. Petersburg and Seminole are laying off workers, Pinellas Park is not.
Dan Katsiyiannis, budget administrator, said local government takes a bad rap for increasing taxes. He points out that Pinellas Park gets about 18 percent of the money collected. The county, schools, juvenile welfare board and other agencies get the rest.
Article published on Thursday, Aug. 7, 2008
By THOMAS MICHALSKI
Article published on Thursday, Aug. 7, 2008
PINELLAS PARK – City officials, despite a lean 2008-09 fiscal budget of $115,592,401, is still looking for ways to cut costs for protection from what was termed as “very rough years ahead.”
Michael Gustafson, city manager, said local residents, thanks to state-mandated tax reform, will enjoy an approximate $290 reduction in taxes based on a home valued at $150,000.
That reduction comes despite a slightly higher millage rate of 4.6135 that will settle to 4.5478 when the proposed budget goes for City Council approval this fall. Gustafson said millage rates routinely are marked up in tentative budgets, but historically reduced by the time they are adopted.
Gustafson said there currently are 28 employee positions that will not be filled. That figure may multiply as more people resign, retire or are dismissed for other than austerity reasons. Among jobs now dormant are those of a principal planner, police officers, firefighters and public works personnel.
The cost savings from not filling those jobs comes to about $1.3 million. Other savings come from eliminating travel, outside training, seminars and even membership to professional organizations. Some city departments have been reorganized while more city employees are being used for work that would otherwise go to outside contractors.
“We are in for some very difficult financial times,” Gustafson said. “We saw that coming five years ago and began making reductions that would not affect services and personnel.”
Gustafson said the property tax changes under Amendment 1 and future tax cuts could eventually reduce some services. Gustafson cited the current spiraling economy, increased operating expenses for such things as fuel, insurance and other essentials as some of the reasons for a shaky future.
“For five years we have been preparing for the worst,” Gustafson said, “and now we must continue to do so in light of a future that is difficult to plan for in these very trying times.”
While some cities, such as St. Petersburg and Seminole are laying off workers, Pinellas Park is not.
Dan Katsiyiannis, budget administrator, said local government takes a bad rap for increasing taxes. He points out that Pinellas Park gets about 18 percent of the money collected. The county, schools, juvenile welfare board and other agencies get the rest.
Article published on Thursday, Aug. 7, 2008