Seminole commissioners late Tuesday approved raising the county’s overall property tax rate for the first time in 16 years, saying it was an unpalatable but necessary move to pay for the rising costs of insurance, inflation and law enforcement salaries.
“We take no pleasure in the costs going up or the situation that we are in,” Commissioner Amy Lockhart said before voting for the tax increase. “But it’s our responsibility to provide all the services for all our constituents in the most cost-effective way that we can.”
The new rate of $5.38 per $1,000 of a property’s taxable value will take effect Oct. 1 and is a 10.2% increase from the long-standing current rate of $4.88. Under the new rate, the owner of a home with a taxable value of $300,000 would see a hike of $150 in their property tax bill.
Commissioner Bob Dallari cast the only vote in opposition to the tax increase. He said the county should look for more efficiencies and work with municipalities.
“We need to be doing a better of job of working with the seven cities in reducing the duplication of services,” Dallari said. “I see that as the low-lying fruit for next year.”
The tax increase comes after commissioners in August agreed to add five cents to the price of a gallon of gasoline sold in the county and raise Seminole’s public service tax on water and electric bills in the unincorporated areas from the current 4% to 10%. Both of those increases are set to start Jan. 1 and are part of the county’s overall efforts to raise more revenue to pay for roads, parks, public safety and other services.
The new property tax rate will bring in an estimated $44 million in additional revenue compared to this past fiscal year, according to county documents. County budget staff said Seminole sorely needs to shore up its reserve funds, which were substantially lessened after keeping taxes low for years and relying on federal funding after the Covid-19 pandemic.
Dozens of people turned out to the late afternoon meeting that stretched into the early evening, with half opposed to the tax increase and others speaking in support.
Former Seminole commissioner Win Adams, of Fern Park, said he is concerned about how the tax increase will affect retired residents on fixed incomes. To ease the property tax burden, he suggested Seminole do more to lure more high-paying jobs.
“We need to increase the property values in the county by bringing in more businesses,” he said. “You don’t seem to be doing that. I don’t understand why. We did that back in the ’90s, why can’t we do that now.”
Some residents spoke in favor of the tax increase as a way of paying for the county’s parks, roads and public safety services.
“I don’t like to see costs go up, but we have to make sure that we keep up with our services,” John Horvath said.
Commissioners also unanimously approved an overall county budget of more than $1.2 billion for next fiscal year, which starts Oct. 1.
The biggest chunk of that budget — about 45% — pays for public safety, including the Sheriff’s Office, county jail, and the fire department. Water and sewer accounts for 13% of the budget. And transportation — including roads, traffic, stormwater drainage and mass transit — accounts for 10%. Three percent goes toward paying for county parks.
Local government officials have recently started warning residents that they may not be able to rely on federal agencies, such as FEMA, for reimbursements or financial help after natural disasters because of cuts by the Trump administration.
“We need to be prepared,” said Alan Harris, Seminole’s emergency management director, regarding lack of federal help.
Seminole, like most other local governments in Central Florida, has struggled with retaining deputies, who work a few years, gain experience and then seek higher salaries at other law enforcement agencies.
“The market value of policing has adjusted,” Sheriff Dennis Lemma said. “Every municipality in Seminole County has raised the starting pay for every police office by $8,000 above a Seminole County deputy, which is $58,000. … No one is coming into this business and doing 30 years any longer.”
The last time Seminole raised its countywide general property tax rate was in 2009, to $4.90 per $1,000 of a property’s taxable value. But a year later, the county lowered it to the current rate of about $4.88.
“We knew this day was coming,” County Manager Darren Gray said to residents at the meeting regarding rising costs and inflation. “What you are all experiencing in your homes, we in local governments are also experiencing. I promise you, we do not want to do this. But our job is to make sure that we are fiscally sound.”