Hillsborough and Pinellas counties passed budgets Thursday — potentially the last not directly affected by a property tax exemption that Florida voters could approve in November.
But the looming vote informed those budgets, as both counties took steps to prepare for less revenue.
The measure, set to appear on the Nov. 3 ballot, would triple the current $50,000 homestead exemption on primary residences in 2027 and raise it to $250,000 the following year. Depending on the assessed value of their home, some property owners could save thousands on their tax bills.
Floridians who own the homes they live in would still pay property taxes that fund schools. Most of the revenue from property taxes pays for county services, including parks, fire and rescue, as well as police.
Some local leaders have cautioned that the change would significantly diminish their ability to provide services for residents.
Here are some of the highlights of this year’s spending plans for both counties:
Hillsborough includes money for pet resource center
Before Hillsborough commissioners passed the county’s $13.7 billion budget, they heard testimony from a talking dog projected on video screens.
The dog, Bubba, asked for money for a new animal shelter. Included in the upcoming budget is about $13 million toward replacing the pet resource center on Falkenburg Road. Another $30 million from the county’s Community Investment Tax, which pays for roads and other infrastructure, would go toward the center if approved after a hearing later this fall.
The former Department of Juvenile Justice site is also set to receive about $500,000 for unspecified renovations, budget documents state. In August emails obtained by the Tampa Bay Times, a juvenile justice official wrote that the center and another youth project were moving due to the Tampa Bay Rays stadium project at the same location.
The Florida Israel Business Accelerator, a nonprofit that encourages Israeli businesses to relocate to Tampa, received about $37,500. At commission meetings in the last few months as well as Thursday evening, speakers have repeatedly asked commissioners to remove funding for the nonprofit from the budget.
Built into the spending plan — which increased compared to this year — is an expectation that the county will receive less property tax and sales tax money by 2027, County Administrator Bonnie Wise wrote in a letter.
That potential reality led staff to prioritize transportation and police, she wrote. The property tax appraiser estimated the county would receive about $367 million less in so-called ad valorem taxes in 2028 if voters approve the November ballot question, Wise noted.
Commissioners approved an 8.6864 aggregate millage, or county property tax, which is a slight decrease from last year’s rate. For people living in a home valued at $400,000 for tax purposes who declare it as their primary residence, their county tax bill would be about $3,040. That bill doesn’t include assessments for schools, transit, the port and other taxes. The property tax measure if approved could lower the bill in future years substantially.
Commissioner Donna Cameron Cepeda was the lone “no” vote on approving the budget and millage. She did not explain her vote. Commissioner Joshua Wostal was not present.
Pinellas funds 2 preserves, cuts some staff
In Pinellas’ more than $5 billion budget, it’s official: Two beloved Pinellas preserves are getting county money for another year.
Weedon Island and Shell Key, owned by the state but maintained and managed by Pinellas, are set to receive another year of county money. The $555,000 will fund staff and maintenance costs.
County Administrator Barry Burton first suggested removing the preserves from Pinellas’ budget in August. He’d told the Times he “hated having to do that,” but expensive state funding requirements forced him to find cuts.
The state requires counties like Pinellas to help pay for certain programs. That includes covering some health care costs for poor people, state retirement benefits and other insurance. County officials have said those requirements put a significant strain on Pinellas’ budget.
The county’s budget will also increase parking fees at Fort De Soto, Sand Key and Fred Howard beach parks. Instead of a flat $6 a day fee, visitors will have to pay $3.50 an hour. Pinellas commissioners agreed earlier in September to cap the overall cost at $12 a day under the new rate.
Pinellas also increased boat ramp parking and annual pass fees. The combined increased fees will give the county about $3 million more a year.
The budget represents a 3% reduction in spending overall from last year. It amounts to a cut of about 50 positions across various departments, including Burton’s, with some employees reassigned to different jobs. The county will freeze open positions, and a few employees will lose their jobs. The reductions include cuts to nonprofits that provide services to homeless and low-income residents.
The Pinellas County Sheriff’s Office also lowered its first budget request this summer by $7 million, though it still received more money than last year. At about $501 million, the Sheriff’s Office budget still accounts for nearly half of what the county spends from its property tax revenue.
The county also gets money from the state, federal government and other sources, such as sales and tourist taxes.
Pinellas also lowered its property tax rate, known as the millage, this upcoming year. It’s an aggregate 6.1141 mills. That translates to $2,140 in property taxes for the owner of a home valued at $400,000 for tax purposes who uses it as their primary residences for the county portion of their tax bill.
“Everyone worked together to make the smallest government we could,” Burton said.
