By Terry Witt – Spotlight Senior Reporter
Chiefland City Commissioners are giving serious consideration to a $4 across-the-board pay raise for all their employees and potentially raising the residential fire tax from $129 to $159 and property taxes from 7.9 mills to 9 mills.
None of the numbers are final for the upcoming 2022-23 city budget, but City Manager Laura Cain said the commission must choose a preliminary property tax rate and a fire tax rate at the next board meeting on July 11.
The budget must be adopted by the end of September.
Commissioners discussed the numbers at their first budget workshop Monday night and talked about the need for revenue increases to pay for the pay raise and to help Chiefland Fire Rescue meet expenses.
Cain recommended the $4 across-the-board pay raise to boost the income of low-paid employees in particular but she feels all employees need more income. She said some of the lowest-paid employees are earning $11.35 an hour.
Commissioner Rollin Hudson, who traditionally turns a deaf ear to big raises, said he believes some employees are “impoverished” and he is no longer opposed to giving a large raise.
Cain came into the meeting recommending an increase in the residential fire tax from $129 to $139 but she said the increase would only boost Chiefland Fire Rescue revenues by $14,000.
She also came to the meeting recommending an increase in the property tax rate from 7.9 mills to 8.5 mills but told commissioners the new rate would still leave the budget $265,000 in the red with the $4 raise added.
Commissioner Lewrissa Johns said the board might as well go “in full bore,” and while it makes her sick to think about the increased taxes, “we will do what we have to do.”
Fire Chief James Harris, whose department is required by county contract to give Otter Creek fire protection, said he told the Otter Creek City Commissioners he wanted them to contribute more money for fire protection. Harris said he suggested Otter Creek charge each homeowner $129 for fire protection to match what Chiefland residents pay through their fire tax.
Otter Creek currently pays Chiefland $5,747 annually for fire protection but Harris said increases in the cost of gasoline to nearly $5 a gallon makes driving to Otter Creek a losing proposition. Otter Creek doesn’t have a fire department of its own. Harris said the Otter Creek City Commission told him it can’t afford to pay additional money to Chiefland.
Rising costs at the gas pump, in grocery stores, and elsewhere in the economy are driving up costs for local government. The $4 per hour raises for all city employees would be the largest pay raise in city history. The increase in taxes means city property owners will take one of the biggest hits in the history of the city. Property tax bills will rise for city property owners.
Cain noted that increasing the fire tax is supposed to result in a reduced amount of property taxes being spent on the fire department. Whether that actually happens remains to be seen.
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City of Chiefland Regular Meeting June 27, 2022; Posted June 28, 2022