April 18, 2005
Rules, not just money
For two decades, the state has demanded that cities and counties be prepared for growth before it happens. Now, Gov. Bush has taken a reasonable first step toward deciding how to pay for it.
The state would borrow $8.5 billion over 10 years and put up $1 billion now out of a $2.2 billion revenue windfall to help finance roads, water systems, parks and other needs created by rapid growth. The governor would seek voter approval this year to issue bonds. He hasn't said what revenues would be tapped to pay off the bonds.
The estimated $15.5 billion still needed to pay for growth over the next decade would come from local taxpayers at the request of cities and counties. Senate Bill 360, sponsored by Sen. Mike Bennett, R-Bradenton, would drop a requirement for supermajorities to approve increases in local sales and gas taxes. Counties could add up to 1 percent in sales taxes for transit system improvements or to pay for roads, bridges and utility upgrades.
In Palm Beach County, which already maximizes the gas tax, a 1 percent sales tax increase could raise $200 million a year, a legislative analysis reveals. The tax could be enacted by a majority vote only if the county allows more resident involvement in planning, in some cases, or establishes urban growth boundaries, in others. Palm Beach County has an urban growth boundary but has not let it get in the way of more development, most notably in the case of The Scripps Research Institute, which was exempted. The bill also would require a stronger link between water supply planning and development and would require every county to follow Palm Beach's lead and link school construction with development. While those are positive goals, this approach would put too large a burden and most of the blame for higher taxes on local jurisdictions. While the Senate bill has been the focus, a bill the House is considering could look different.
Census estimates released last week show that 14 of the nation's 100 fastest-growing counties are in Florida, the most of any state. Flagler led the country -- 10 percent in one year. St. Lucie ranked 16th at 6 percent, while Palm Beach added 30,835 residents, more than any county in Florida. The state has recognized that growth at that pace has costs. If taxpayers are going to pay, however, they need to know that growth will have limits that mean something.
Posted by Opinion staff at April 18, 2005 4:25 PM
