Council says no tax hike, but split on surplus

GAINESVILLE - Gainesville City Council is looking at a balanced budget with no tax increase again this year even in tough revenue times, but Thursday they split on sharing the city's budget surplus with the property tax payers.

Councilman Bob Hamrick said considering the economy a million dollar surplus was enough right now when figures indicate the city would have $1-million to $2-million in reserve.

"Obviously we'll wind up this fiscal year with a surplus and I just feel that some of that surplus should be shared," Hamrick said. "We do have a rainy day fund and the ability to use that."

George Wangemann said he tended to agree with Hamrick. He said city staff had turned in a 'great' 2012 budget but there is nothing wrong with a million dollar surplus, adding that Council needs to remember those who 'live, work and play here and that releasing an extra million in surplus funds could stimulate the economy.

Myrtle Figueras said she did not want staff to re-calculate the budget, and that the city's 2012 spending plan comes at a sacrifice by employees who were cut to hold down expenses. Mayor Prom Tem Danny Dunagan said he wanted to leave the budget like it is, with reserve revenue in case hard times get harder on the city.

"I want to make sure the city is strong," Dunagan said. "If things do get worse we've got something to fall back on."

Mayor Ruth Bruner was absent from Thursday's work session; the city's $26.7-million spending plan comes up for final review and passage June 21st.
Dunagan also said the budget was achieved through sacrifice and good management.

"We consolidated a lot of our departments with a huge cost savings and we reduced the work force by a little over ten percent through attrition and some consolidation," Dunagan added.

There would be no tax increase for city property holders and if property values come down the taxes will come down.

"We'll do no property roll up tax with 2.92 percent tax rate," according to the Mayor Pro Tem, who said Council budgeted for the expected increase in property value assessment appeals this year.

"We put it in the budget for 9.5 percent decrease in the digest," Dunagan said.

COMP PLAN COMING

Council heard from the man who will manage the city's comprehensive land use plan update this year and learned citizens can expect plenty of workshops and meetings this summer. John Skach with Urban Collage consultants from Atlanta said the first step is community assessment and community participation.

"You really need to do two things when you do a comprehensive plan," Skach said. "You need to do a community assessment and you need to do a community agenda. The agenda is really all about having a robust public involvement process to build a consensual vision for the city and its growth over the next 10 to 20 years."

Skach said then the goal is to create an implementation plan and a work program to figure out how to achieve the vision. Skach returns with more details on the comprehensive plan at a public hearing set for Tuesday night when Council convenes for its regular session at the new Public Safety Complex.