Sebring Implements Fire Assessment At 1 Percent

After public comment against it, the Sebring City Council voted to ease into a fire assessment implementing it at the 1 percent level.

Prior to Thursday's public hearing, the council leaned toward starting the fire assessment at the 10 percent funding level, but those in the audience at the hearing said it will likely go up in future years.

"Nobody believes that it's going to be 10 percent and you are going to lower the millage by a corresponding rate and then the next year you are going to continue to lower the millage as the assessment goes up," said Gary Johnson, Jr., who owns 11 apartment units in the city. "If the assessment goes up, millage may or may not go down, that's the reality."

Ad valorem taxes basically says that those who can - pay, and those who can't - don't, he said.

"The idea that nursing home burden should be higher because they have more calls is offensive," Johnson said. "We take care of our old. They're old. The young pay for the old, that's the way it works."

Amid public comment against the assessment, Mayor George Hensley explained why the city and council are behind the unpopular revenue source.

A part of the city budget is from state revenue sharing, he said. Significant cuts in state funding would impact the city's budget.

The 2008-09 budget is complete, but the city is looking to the future, he said.

Without a fire assessment in place to help offset that revenue shortage, along with looking at cutting expenses, the city may have to raise the millage rate in the future, Hensley said.

In the last several years the city has been able to reduce the millage rate because of increased assessments and annexed properties adding to the tax base, he said.

The assessment is "revenue neutral," Hensley and council members stressed, which means the city will not receive additional revenue, as the millage would be lowered in relation to the implementation level of the fire assessment.

Debra Hearin, co-owner of Highlands Village Assisted Living, said: "Everybody is complaining about $2,600, you want to get $26,000 from me. I realize the fire department is extremely important to everybody here. I don't want to close my doors; I don't want 45 people to be indigent on your streets."

The council unanimously approved the fire assessment at the 1 percent level. The motion also called for a future maximum assessment of 10 percent, which means property owners would be notified and a pubic hearing held before the council could vote to exceed the 10 percent level.

At the 1 percent level, the fire assessments for 2008-09 will be as follows:

• Residential - $3 for each dwelling unit.

• Commercial - 1 cent per square foot.

• Industrial/warehouse - 1 cent per square foot.

• Institutional - 1 cent per square foot.

• Nursing homes - 2 cents per square foot.

• Land - $1 per acre.

The corresponding millage reduction for the 1 percent fire assessment is .0255 mills.

A rate study determined recommended rates for various categories of business and residential properties based on the number of calls for fire department response.

Implementation at the 1 percent level means residences, businesses and land owners will be assessed at only 1 percent of the level necessary to pay for the city's fire department.

The net projected revenue from the fire assessment at 1 percent is $17,453, according to Government Services Group Inc., the firm that conducted the rate study.