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Robert Goehig

Pasco County’s budget forecast looks bright, budget director says

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Pasco County’s taxable assessed values are expected to increase 7% to 10% for the coming budget year, according to Robert Goehig, the county’s budget director.

He delivered that forecast during the Pasco County Commission’s March 9 meeting.

The budget director gave board members an overview of impacts from COVID-19 on the county’s economy, and the way looking forward.

“When the coronavirus and the pandemic first came upon us, we experienced the economic recession, which is defined, of course, as two consecutive quarters of negative economic growth,” he said.

The recession was much deeper than the Great Recession experienced from 2007 to 2009, but it was much shorter, too — lasting just two economic quarters, Goehig said.

“We’re expecting the economy to move along at kind of a very slow pace, until a substantial portion of the population is vaccinated, whether that be April, May, June, whatever that is. “Once we have that substantial portion of the population vaccinated, we expect the economy to grow at a very fast pace.

“Luckily, we’re in an area that’s expected to see growth even above the national average.

“If we’re expecting a national growth rate of 8%, we’re expecting the Tampa rate to be higher than that,” Goehig said.

Industries expected to have the most growth are construction, financial services and other services, which include repair and maintenance, personal care services and social advocacy, according to slides in Goehig’s presentation.

“We have some evidence to point toward the fast-growing Tampa region,” he said, noting that Tampa Bay startups raised $180 million in 2020, compared to $129 million in 2018.

He also noted that Tampa leads the nation in small business job growth.

Plus, more corporations from the northeast region of the country are relocating to Florida. And, more residents are moving here, too, he said.

All of this is having an impact on the region’s housing market.

“The existing home price in the past year or so took a sharp spike,” he said, which indicates a shortage in existing homes for sale.

“This partially explains the reason that so much new construction is happening in our region,” Goehig said.

Regional home values are on the rise, in both the resale and new construction market.

There has been a price appreciation of 8% for resale homes and 9% for new homes, while at the same time there’s been a 7% increase in new home sales.

Goehig offered evidence of Pasco’s hot market by noting “two of the top 50 planned housing communities in the United States, two of those best-sellers are right here in Pasco. That’s Starkey Ranch and Bexley,” the budget director added.

“Of course, all of this growth does come at a price, and that is inflation. Our area is more than double the national average in inflation,” he said.

Demand for construction materials is causing the price to go up, and the county is expected to feel the effects of inflation, in particular, during construction of roads and buildings, he said.

During fiscal year 2021, the county was very conservative because of the pandemic, and didn’t bring on much new spending, Goehig said.

This year, with a brighter outlook, the county can invest in some new initiatives, he said.

Plus, Goehig said the county will be waiting for guidance from the treasury department before recommending how to spend any funds coming from the recently passed federal stimulus bill.

Meanwhile, on the local front, construction of single-family homes has kicked into high gear.

“At the end of the year, we were seeing single-family home permits coming into the building department at record levels, at 600 homes per month.

“We thought we were at the peak, we can’t possibly get any higher. And, then we turned the calendar in January, had almost 900 single-family homes in January.

“So, we expect this to continue,” he said.

The permit value for commercial construction also is significantly higher, too, the budget director said.

Plus, the county is benefiting from tourism — as visitors pay bed taxes and spend money in the local economy.

Goehig noted that “with the exception of the gas tax, revenue is on an upward trajectory.”

The county expects to receive information about its preliminary taxable values from the property appraiser on June 1 and the final assessed values on July 1.

The county is expected to set its tentative tax rates on July 6, which are reported in Truth in Millage (TRIM) notices mailed to property owners.

Once the TRIM notices go out, the board can choose to lower the rates, but cannot raise them, when adopting its final budget.

Published March 17, 2021

Pasco County budget expected to surpass $1.5 billion

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The Pasco County Commission gave first-round approval of a budget exceeding $1.5 billion for the 2020-2021 fiscal year.

The action came during the first public hearing on the budget, held at 5:15 p.m. on Sept. 8. The final public hearing on the budget will be on Sept. 21. The new budget takes effect Oct. 1.

No one spoke during the public comment portion of the public hearing, and the board passed the budget unanimously without comment — following a presentation by County Budget Director Robert Goehig.

Board members and county officials had discussed budget issues at length during previous budget workshops.

This year’s revenues were less than previously expected because of negative economic impacts due to the COVID-19 pandemic.

As a result, the county was unable to pursue most of its proposed business initiatives for the coming year.

The budget includes a 3% raise for county employees.

It also allocates increased spending for the county’s library system — including costs associated with opening a new library at Starkey Ranch.

There’s also more spending in the parks and recreation budget — related to the county gradually assuming management of the Starkey Ranch District Park.

Earlier in the meeting, board members authorized the issuance of $44 million in the second allocation for the general obligation bonds for fire/rescue projects.

Goehig told board members the funds will be used to build three new fire stations, to knock down and renovate three existing fire stations, and to design a centralized fire training center.

On another issue, Commissioner Kathryn Starkey asked county staff to take a closer look at the proposed placement of a community garden planned for the area where a school, library and theater are being built through a collaborative partnership in Starkey Ranch.

“I’m a little concerned that where that community garden is going now, it’s not going to be accessible by anyone who wants to go and participate in a community garden,” Starkey said.

“To me, that is a long way to go with all of your tools and equipment, to garden. I think it will end up just being the school garden and will not be a community garden. I personally, am not so happy with that location,” she said.

Starkey: “I would like to talk to them (project partners) about having it closer to the library, facilities, restrooms.

“I want to be a good partner (with the school district). I think they want to be a good partner. I actually don’t think that’s a good site at all,” Starkey said.

She would like to see what can be done about finding an area that’s more accessible.

“There’s going to be a lot of seniors that would like to be in the garden. Where are the restrooms?” Starkey asked.

Commissioner Mike Wells also briefed commissioners on progress that has been made through a partnership between the county and CareerSource on a Workforce Redevelopment Program.

The goal was about 150 jobs, for $1.5 million, Wells said. CareerSource exceeded that goal, with 163 jobs. The partnership also led to 56 part-time jobs, the commissioner noted.

“What I thought was really exciting, out of those 163 — 87 were homeless in Pasco,” Wells said.

“That gives us a return-on-investment of more than $6.5 million,” he added.

The county is going to contract with CareerSource for the next four years, Wells said. “They have done an unbelievable job with our team, to put people back to work.”

Commission Chairman Mike Moore also updated the board about activities at Wiregrass Ranch Sports Campus, which recently opened.

He reported that “43 out of 52 weekends are already booked with sports at that facility.”

Local programming has begun, too, Moore said.

“They have basketball leagues, they have indoor soccer leagues, they have cheerleading going on, volleyball going on. All of that is already going on, for our local residents. It’s already a huge success — obviously a huge asset for the county,” Moore said.

County Administrator Dan Biles also informed the board that there will be an item on the Sept. 21 agenda to discuss Pasco County’s COVID-19 response and where it needs to go from here.

Published September 16, 2020

Pasco sets tentative tax rate

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Pasco County’s revenues grew, but not as much as had been projected — before COVID-19 flattened the economy.

Pasco County commissioners last week approved the proposed tentative millage rates recommended by County Administrator Dan Biles.

“We are recommending no change in the operating millage rate of 7.6076, or the fire service MSTU (municipal services taxing unit) millage rate of 1.8036,” Robert Goehig, the county’s budget director told the board during its July 14 public meeting.

“Many of the general obligation millage rates are slightly higher than they were in 2020 because in ‘’(fiscal year 2020) ’20, we were paying interest only, and in (fiscal year 2021) ’21, we’re paying interest and principal.”

The board’s approval of its tentative rates means they will be reported in the Truth in Millage (TRIM) notices mailed to property owners in August. The board can choose to lower the rates but cannot raise them, when it adopts the county budget.

The board also set the first public hearing on the county’s budget for Sept. 8 at 5:15 p.m., in the Historic Pasco Courthouse, at 37918 Meridian Ave., in Dade City.

Because of the ever-evolving threat of COVID-19, it is unclear at this time whether that meeting will be open for public attendance, or will be conducted in some virtual manner.

The county’s taxable assessed values did increase by 7.7% this year, compared to an increase of 9.3% last fiscal year.

Goehig noted that property owners may receive tax bills that are higher than they were this year, but that’s because that would be a property gained value, not because of a higher tax rate.

“Under the Save Our Homes protections, the (increase for) taxable assessed value of homesteaded properties is capped at 3% or the change in the Consumer Price Index (CPI), whichever is less,” he said. Since the CPI is 2.3%, taxable values on homesteaded properties cannot increase by more than 2.3%, the budget director added.

Goehig also discussed some specific areas of the budget proposed for decreases and increases in the coming year.

“The  biggest change is the tourism development fund. The reason for that is because we are expecting — because of the pandemic — not as many folks staying in hotels, and so on.

“So, we’re expecting revenues to go down, so likewise the amount of revenue to go down about 20%,” he said.

Despite the reduction, the county isn’t expecting any layoffs in that division, Goehig said, noting: “Our crack tourism team is standing by. They’re ready to do the best they can with the money that’s available.”

The fire/rescue department is facing a 10% decrease, Goehig added.

He explained: “That’s because with the pandemic, there’s fewer people out there driving. There’s fewer accidents. So, that the revenues going to fire/rescue are not as high as we had anticipated. So, we’re not really able to move forward with some of the business plan initiatives that we had incorporated into the fire department at that time.”

More funding is expected, though, in some areas.

“The libraries are increasing by almost 9%. We have a new library coming online this summer. That’s reflected there,” the budget director said.

“Parks and recreation increasing by almost 7%. That’s Starkey Ranch District Park. We’re gradually taking over the management of that park, so as we do that, we’re taking on some additional costs for that park,” Goehig added.

The proposed budget calls for a 2% increase for county employers, but it appears that a 3% raise is more likely to happen — based on sentiments expressed by board members.

County Commissioner Mike Wells has been vocal about his support for a 3% raise. That’s what both the county’s constitutional officers are proposing, and what Gov. Ron DeSantis has approved for state workers.

Commissioner Ron Oakley also went on record for a 3% raise for employees.

Commission Chairman Mike Moore put it like this: “We want to make sure that we’re all in line, i.e., the constitutionals that fall under our budget, when we talked about what percentage they’re giving. We talked about what we’re going to do. We want to make sure everybody’s in line.”

Commissioner Jack Mariano said the county typically gets some money back from its constitutional officers, so the board can look at the issue once it has a better idea of how much additional revenue it will have.

Mariano suggested making a decision on the salary issue “a little bit down the road.”

Commissioner Kathryn Starkey, however, voiced misgivings about providing a 3% raise.

“I think in today’s COVID time, 2% is a good raise,” Starkey said, adding she doesn’t know anything in the budget she wants to cut.

“I would be OK going with the 2% this year, and then maybe next year, catching back up when the economy is better,” Starkey said.

Published July 22, 2020

Pasco County faces lean budget year

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Pasco County’s revenues are falling short of projections — in the wake of a flattened economy due to the impacts of COVID-19.

Robert Goehig, budget director for Pasco County, presented an overview of the preliminary budget at the Pasco County Commission’s June 30 meeting.

In essence, the county can afford just 11 of 115 business plan initiatives brought forth by its department heads, Goehig said.

Pasco County Commissioner Mike Wells is pushing for a 3% raise for county employees, instead of the 2% raise recommended by County Administrator Dan Biles. (File)

Among those initiatives is a 2% raise for county employees.

The size of the proposed raise received pushback from County Commissioner Mike Wells.

Wells told County Administrator Dan Biles: “You know the state is giving 3%. I believe almost all of the constitutionals (county constitutional officers) are doing 3%. There is nothing more important on this budget than taking care of our folks. We have to take care of our team. I would like to see that be 3%. I think that’s an extra half-million.”

Biles explained: “The reason we stayed at the 2% is because that basically matches the inflation rate, which was 2.1% last year. We also wanted to be mindful of what is going on in the rest of the community, as well.”

Commission Chairman Mike Moore and Jack Mariano said they’re willing to keep the issue open for further discussion.

Commissioner Kathryn Starkey, however, backed Biles’ approach.

Starkey said she appreciates the staff’s efforts, but she added: “I am OK with the 2% for this year, and if things get better next year, back up to 3%.”

Pasco’s decreasing revenues reflect what’s happening across the national economy, Goehig said. “When things are going well in the economy, nationwide, they are really going well in Pasco and in the state of Florida, as a whole. But, when things tank, they really tank in Florida.

Pasco County Administrator Dan Biles is recommending a 2% raise for county employees, based on the rate of inflation. (File)

“Our economy is so dependent on tourism,” Goehig said.

The county is expecting a decrease of 25% in its Tourism Development Tax Fund and is decreasing the budget in that category to reflect the reduced revenues, Goehig said.

The budget also reflects a 12% decrease in Fire Rescue.

“We had some plan initiatives that we implemented in fiscal year 2020, but because of the reductions in revenues, won’t be able to move forward with those,” Goehig said.

He also outlined changes in the budgets for the county’s constitutional officers.

The Sheriff’s Office will get about a 5% increase. The property appraiser’s budget is going down  because of savings it has achieved — through improved technologies.

The Clerk & Comptroller’s budget is about even, while the Supervisor of Elections’ is expected to increase by 1.2%.

Goehig noted that the Supervisor of Elections’ budget doesn’t reflect an additional $1.2 million from the CARES fund it will receive to provide for safe elections through social distancing, masks and those types of measures.

Commissioners are expected to sets the county’s Truth in Millage rate at the board’s July 14 meeting. This process lets county residents and businesses know the maximum ad valorem rate that could be adopted in September, when the board adopts its budget. The final rate that’s approved can be lower, but cannot be higher than the rate adopted in July.

Initiatives included in Pasco budget

  • Additional Attorney and Paralegal
  • Starkey Library Opening
  • Starkey District Park Contractual Obligations
  • Recreational Program at Dade City Armory
  • Central Facilities Building Design
  • Paramedic School (at PHSC) for Firefighter/EMTs
  • Prepare for the Opening of Fire Station 42 in fiscal year 2022
  • Pasco Economic Development Council
  • Employee Wage Raise (2%) to Keep Pace with Inflation
  • Procurement Management Software
  • Initiate Comprehensive Plan Update

Published July 08, 2020

Pasco property values expected to grow

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Pasco County is projecting a 8.5% to 9% increase in assessed values, Robert Goehig, said Pasco County’s budget director, during a recent county workshop.

“We’re going to budget to 8.5%, and then if the property appraiser comes in with more, we’ll make adjustments,” County Administrator Dan Biles said, during the Feb. 25 workshop with commissioners.

That would generate an additional $17 million of property tax revenue; that would be $8.5 million available to the sheriff; and, $8.5 million to the board and the other constitutionals, the budget director said.

Goehig also talked about indicators that help predict changes in the economy. He characterized those indicators as “canaries in a coal mine.”

For instance, “permit activity begins to drop three years before impact is seen on assessed values,” Goehig said.

That’s not happening in Pasco, though.

“As you’re well aware from driving around the community, the number of single-family homes is increasing,” Goehig said.

“The number of building permits continues to increase,” he added.

Sales tax revenue also is a leading indicator of economic health.

“Our half-cent sales tax revenue has been increasing 5% to 6% the past few years,” he said, and that is expected to continue this year.

Another indicator of economic health is the amount of trash that’s discarded, Goehig said.

“As the economy wanes, people hold on to things longer, there’s less trash. As the economy booms, people start throwing things away,” he explained.

In putting together the budget, the county plans to add to its reserves, he said.

“Last year at this time, the board had instructed us to try to increase the general reserve to try to get it to that 16.7% of budgeted expenditures over a three-year period,” Goehig said.

“In fiscal year 2020, we increased it to 11.1%; we’d like to increase it again, another 1.5% in fiscal year 2021.

Reserves for the general fund is at 11.1% and all of the other major funds are at the recommended 16.7%, he said.

The recommended figure of 16.7% represents two months’ of expenditures, Goehig said.

Commission Chairman Mike Moore said the county needs to make the money it plans to set aside a line item in its budget.

“Let’s put a line item there, so we don’t have hands grabbing it,” Moore said.

When the county had its workshop, it was still early in the week.

The stock market crashed because of concerns about the coronavirus — and it continued its downward spiral through the rest of the week.

“We don’t expect that there’s going to be a long-term impact from the coronavirus. We know that governmental agencies and non-governmental are starting to take this seriously,” Goehig  said.

The hope is that the coronavirus will not have a long-term impact on the economy, the budget director said.

But, he added: “If there is a long-term impact, we will adjust our revenue projections accordingly.”

Pasco expects that the growth of population and tourism will continue to drive the local economy.

Tourism development tax revenues are expected to increase, as the county brings on new hotels, he said.

Sale tax revenues also are expected to go up, as well.

And, the county’s population has grown and continues to do so.

Pasco County’s estimated population is 557,000, a 16% increase since the 2010 census, Goehig said.

Published March 4, 2020

Pasco County’s budget tops $1.4 billion

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The Pasco County Commission has adopted a proposed budget topping $1.4 billion for fiscal year 2020.

The property tax rate did not change, but revenues collected by the county will go up because of an expanded county tax base due to new construction and property value increases.

Also, property owners will pay additional taxes to generate revenues needed to pay for four bond issues voters adopted to support a jail expansion, additional fire stations, park improvements and upgraded libraries.

The tax rates adopted by a 4-0, with Commission Chairman Ron Oakley absent, were:

  • Property tax: 7.6076 mills
  • Municipal fire service unit: 1.8036 mills
  • Jail (bond issue): 0.0277 mills
  • Fire rescue (bond issue): 0.0222 mills
  • Parks (bond issue): 0.0100 mills
  • Library (bond issue): 0.0096 mills

The aggregate millage rate is 9.3666 mills.

“The county realized a 9.3% increase in taxable assessed values over the past year,” said Robert Goehig, county budget director. Overall, the county’s budget is $1,465,713,041.

“Compared to the current fiscal year, the final general fund expenditure budget represents an increase of $44 million,” Goehig said.

This year’s budget includes a $20 million increase in the county’s reserves, the budget director said.

The budget also:

  • Fully funds the sheriff’s budget request
  • Includes a 6 percent wage increase for the board and constitutional officer employees
  • Includes $6.8 million for initiatives, including the restoration of library hours, an emergency generator replacement plan and other items.

Also, Goehig noted, there’s  $6.6 million for investments in infrastructure, such as the Starkey Ranch District Park baseball fields; two roller hockey rinks in partnership with the Tampa Bay Lightning; various information technology projects; and, the facilities master plan.

No transportation millage was levied last year and none was proposed this year.

The county’s Municipal Fire Service Unit Fund, which has a tax levy of 1.8036 mills, will generate an additional $4 million because of an increase in property values.

Those funds will be spent to support the negotiated firefighter wage increase and staffing for new fire stations.

No one spoke for or against the budget during the comment period of the public hearing.

Published October 2, 2019

Pasco sets property tax rate for 2020 fiscal year

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The Pasco County Commission has adopted a tax rate for the 2020 fiscal year.

Truth in Millage (TRIM) notices that will be mailed out to property owners will reflect these rates:

TRIM notice:

  • Property tax: 7.6076
  • Municipal fire service unit: 1.8036
  • Jail (bond issue): .0277
  • Fire rescue (bond issue): .0222
  • Parks (bond issue): .0100
  • Library (bond issue): .0096

County Commission Aggregate Millage Rate: 9.3666

By law, the property tax rate on the TRIM notice can decrease but cannot increase before it’s adopted. The first public hearing is set for Sept. 3 at 6:30 p.m., at the Historic Pasco Courthouse in Dade City

Overall, the county’s taxable values increased by 9.3 percent from its values last fiscal year, according to Robert Goehig, the county’s budget director.

That 9.3 percent increase generates an additional $18.1 million in ad valorum tax revenues. The county has an agreement that provides half of that increase to the Pasco Sheriff’s Office. The board and other constitutional officers receive the other half.

Sheriff Chris Nocco had built his budget on an assumption of a 9.5 percent increase, which had been predicted earlier, but that projection turned out to be too high.

So, the sheriff has trimmed his proposed budget by about $300,000 to comply with the agreement, Goehig said.

Under provisions of Florida’s Save Our Homes, a tax increase for a homesteaded property is capped at 3 percent, or the rate of inflation as determined by the Consumer Price Index, whichever is lower. This year, the rate of inflation is 1.9 percent.

Published July 17, 2019

Increased Pasco property values trigger higher tax bills

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Pasco County property owners, on average, are expected to pay more in property taxes, but not because of a higher tax rate, Robert Goehig, the county’s budget director said last week.

Instead, it will be increasing property values that will create the higher tax bills, Goehig said, during a June 25 Pasco County Commission budget workshop.

Value increases for homesteaded properties will be capped at 2.7 percent because of Florida’s Save Our Homes, which limits the annual increase in value for any property owner’s principal residence to 3 percent or the consumer price index, whichever is less.

Pasco County’s taxable values are expected to increase by 9 percent based on base taxable value, new construction and reevaluations, according to Robert Goehig, the county’s budget director. (Christine Holtzman)

This year’s CPI is 2.7 percent, Goehig said.

Thus, the owner of a homesteaded $150,000 single-family home would see a $2,700 increase in value. ($150,000 minus the $50,000 standard exemption = $100,000. $100,000 x 2.7 = $2,700).

Based on that value increase, the tax bill would go up $20.54.

The taxable value of a non-homesteaded single-family home is expected to increase an average of $13,500, resulting in an additional $102.70 in property taxes — again, due to increased property values.

The proposed tax rate was just one of myriad topics that Goehig, County Administrator Dan Biles and commissioners discussed during the workshop.

Goehig told commissioners that the county is anticipating a 9 percent increase in assessed values, including the base taxable value, new construction and reevaluations.

The county is anticipating a total of  $29.43 billion in taxable values, up from $27.01 billion last year.

The expected 9 percent increase is lower than the county’s original projection of 9.5 percent. The final taxable value was not yet available when the workshop was held.

In putting together the proposed budget, County Administrator Biles has proposed increasing the county’s general fund reserves from 9.6 percent to a proposed 11.1 percent, which represents an additional $4.3 million held in reserve.

The Government Finance Officers Association recommends local governments have a minimum of two months of operating expenses (16.7 percent of budgeted expenditures) set aside in emergency reserve, according to the county’s budget presentation.

The increase in the general fund reserve is in response to direction by board members at a previous session, when commissioners told Biles they’d like to see the county to begin putting aside more money in the reserve fund, to avoid significant cuts in the future when the economy slows.

Goehig also went over the budget requests from the county’s constitutional officers:

  • Sheriff’s Office: Requested amount, $141.64 million; increase of $8.74 million, or 6.6 percent
  • Property Appraiser: Requested amount, $5.72 million; increase of $109,067, or 2 percent
  • Clerk & Comptroller: Requested amount, $4.29 million increase of $183,839, or 4 percent
  • Supervisor of Elections; $4.32 million; increase of $623,645, or 16.9 percent

The tax collector’s budget is not due until Aug. 1.

Goehig noted that the proposed increase in the Supervisor of Elections’ budget “at first blush is a shocking increase.” But, he added that elections are held on a cyclical basis, and the county’s population has increased substantially.

Pasco County’s growth has increased the county’s registered voters by more than 50,000 since the 2016 Presidential Election. The county also needs more precincts to service the additional voters.
Goehig also noted there will be more early voting sites and more early voting days for next year’s election.

Taking the changes into account, Goehig said, “we believe it’s a reasonable request.”

The budget director also noted that the county administration received 115 Business Plan Initiatives, representing a total of $14.5 million from the county’s various divisions.

At Precinct 70, a long line forms during the November 2016 Election. Pasco County Supervisor of Elections Brian Corley has requested a 16.9 percent budget increase to accommodate Pasco County’s increasing voting population, more precincts and more early voting days for the 2020 election. (File)

“We asked our departments to go out and tell us everything they believed that they needed. In the past, what we found is that our departments were kind of censoring themselves,” Goehig said.

“We’ve ranked about 50 of these projects that we believe are the priority proposals,” he said.

The county’s No. 1 priority is a wage increase for its employees, according to the list. The second-highest priority is the restoration of library hours that were cut after the Great Recession.

Rounding out the top five priorities are: Pasco Kids Medical Exams, Emergency Communications Supervisors and a Generator Replacement Plan.

Commissioner Kathryn Starkey said she thinks there’s something missing on the county’s list of priorities.

“There is something that is not in our budget that I would like to see back and that is our outside legislative person. I think we do better when we have some help. I’d like to bring that back,” Starkey said.

Commissioner Mike Moore told his colleagues that the county should say no to some of the requests from outside groups for county funding.

“It is time to start putting that money away. We do not know how long this great economy is going to last,” Moore said. “There is a point where we’re going to have to say ‘No’ to some folks. That’s just the way it is.”

The commissioner said he’s not trying to sound brash, but “when you decide to start a not-for-profit, you need to be ready to able raise the money, get the money and fund those services.”

Moore also said there is duplication of services among charitable groups.

“Some of those folks need to get together. Egos get in the way sometimes; it’s a fact,” he said.

He also thinks that the charitable groups that the county helps need to be able to say no to funding requests they receive.

“They’re asking for more money because they don’t want to say no to people,” Moore said.

Commissioners are expected to set their millage rate at their July 9 meeting.

After that, Truth in Millage statements will be sent out, informing property owners of the maximum tax rate that could be adopted in September.

The final rate adopted in September can be lower or equal to the TRIM rate, but cannot be higher.

Highlights of Pasco County’s proposed budget

  • Estimated taxable value: $29.43 billion, up $2.42 billion from last year
  • No change in operating millage rate of 7.6076 mills
  • No change in fire service millage: 1.8036 mills
  • No change in stormwater assessment: $95 per equivalent residential unit (ERU = single family home)
  • $7 increase in solid waste assessment
  • Utility rate increase: 1.5 percent water; 3.5 percent wastewater

Revised July 2, 2019
Published July 03, 2019

Pasco County’s fiscal picture appears bright for 2020

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As budget planning ramps up for fiscal year 2020, Pasco County officials believe the county has bright economic prospects for the coming year.

“We’re now projecting for the fiscal 2020 budget an increase of 9.5 percent of countywide taxable assessed values. That is the same increase as we had in fiscal year 2019,” said Robert Goehig, budget director for Pasco County.

“This 9.5 percent increase is huge. It’s unprecedented. We haven’t seen increases like this, really, at all. At 9.5 percent increase of assessed value, that generates about an additional $18.5 million in property tax revenues,” the budget expert told the Pasco County Commission, during a workshop session on April 30.

He also noted that the expected rate of the increase for the coming year is the same as it was in 2008, before the Great Recession.

Unlike then, however, the underlying economy is much stronger, Goehig said.

“We feel we’re in a better position now than we were in 2008 because, in 2008, a lot of those home values were really hyper-inflated,” Goehig said.

“Those assessed values now are more based on reason, more based on the market supply and demand than they were 11 years ago. Plus, we’ve added $7 billion in new construction to the assessed value base since then,” the budget director said.

Paying close attention to the economy is important, he added, because it has an impact on the county’s operation.

“So, as the economy does well, people are out spending money. They’re investing in their businesses; they’re investing in their homes.

“This increases sales tax. People travel. That increases fuel tax, which allows us to provide the services that our customers have come to expect,” he said.

As the economy cools, however, the county is less able to meet its customers’ expectations, he said.

To stay on top of the economy, the county monitors all of the standard national, regional and state measures, such as inflation, unemployment and gross domestic product, he said.

It also considers building permit activity, half-cent sales tax revenues and the amount of trash taken to the county’s solid waste site, Goehig added. A decline in those three indicators serves as an early warning signal that the local economy is cooling, he explained.

Because of the current strength of these indicators, the county expects its economy to remain strong, whether or not other places experience a downturn, he said.

“Single-family residential permits is just going through the roof,” Goehig said, noting there were nearly 500 single-family housing permits issued in March.

He also noted that half-cent sales tax revenues are growing at a rate of about 4 percent a year.

Gearing up for the fiscal year 2020 budget, the county is using a new approach, the budget official said.

“In a change this year to our budget process, we’ve asked our department directors to give us all of the initiatives they believe they need to operate their business. In the past years, they’ve kind of self-selected and they haven’t brought forth things that they need because they thought, ‘I’m never getting money for this, why should I even bring it up?’

“We’ve asked them: Even if you think you’re not getting the money for it, bring it up and we’ll discuss it.

“As a result, we’ve gotten over a hundred business plan initiatives that address the general fund and the municipal services fund,” he said.

County Administrator Dan Biles said funding decisions on those priorities will be based on prioritizing the list, then matching it with available funds.

“I haven’t looked at the priority list yet,” Biles said, but he assured commissioners that staff will meet with them individually and they’ll have a chance to look at the entire list.

Much of the discussion about priorities that ultimately will make it into the budget is expected at a budget workshop set for June 25.

“That’s when we’ll dive into the details,” Biles said.

Published May 08, 2019

Pasco property tax rate expected to stay the same in 2020

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Pasco County’s tax rate is expected to stay the same in 2020, as new development continues to expand the county’s tax base.

That assessment came during a Pasco County Commission workshop to discuss the preliminary estimates for the 2020 budget.

The county is projecting a 9.5 percent increase in assessed values, said Robert Goehig, budget director in the county’s Office of Management and Budget.

Based on the county’s preliminary information, county administration has asked department heads to base their budgets on the premise that there will be no millage rate increase, he said.

“As we go through the year and get more information, of course, we will update these revenues as we go along,” Goehig said.

While the county expects overall property values to increase by 9.5 percent, the state’s Save Our Home protection for homesteaded properties limits the increase in the assessed value to 3 percent, or the rate of inflation, whichever is less, Goehig said. There’s also a 10 percent cap on the increase in assessed values for non-homesteaded properties.

Based on current information, County Administrator Dan Biles told commissioners: “I think we’ll be in good shape this year.”

However, Goehig noted, that while the county is anticipating increased revenues because of the increase values, it also is experiencing population growth and that means an increased demand for services.

And, while the values are increasing, Goehig also observed: “It has taken the county 11 years to get back to the assessed values it achieved in 2008.”

With the current outlook, Commissioner Mike Moore said it might be time to put aside more funds in reserves.

“Do we think that we’re at a point now, that we don’t need to use it all, and we sock a little bit away?” Moore said, adding at some point the current growth cycle will end.

Commissioner Jack Mariano agreed: “I think getting the reserves up is a good idea. Just because it’s there, we don’t need to spend it.”

As the county prepares its budget for next year, department heads have been asked to justify any new dollars they request, Goehig said.

Commissioner Mike Wells applauds that approach. “You run it just like a business. Show me what you need and why. I think it’s great.”

The county also is looking at budget impacts for more than one year at a time, Biles said.

The county administrator also noted that the economic outlook nationally is “a pretty mixed bag right now.”

By June 2019, the country will be in the longest economic expansion (121 months) since the recording of economic data began in 1854, according to information presented at the workshop.

“The fundamentals are exceedingly strong in the economy,” Biles said. However, he noted, “there is some discussion in the market about a potential slowdown. There’s a lot of  noise out there in the environment.”

Mariano said he thinks the prospects are bright in Pasco County.

“As long as California and New York are doing what they’re doing — they’re driving people away from those states and they’re coming here. Across the nation, a lot of states are losing population.

“I think we’re in great shape for several years to come,” Mariano said.

Pasco is one of the fastest-growing counties in the state, Biles noted.

Estimates predict that Pasco’s population will grow by 8.2 percent between 2018 and 2025, compared to the state’s expected growth of 7.1 percent population growth during that period.

Published March 13, 2019