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Immobilienmarkt USA
Cape Coral’s taxable property values down 26 percent
on average
Plunging property values in Cape Coral could mean lower taxes for
some, a slight increase for others and a drastic cut in city
services. The city’s value in the past year has dropped 26 percent,
according to figures released Monday. The dive is the most dramatic
in Lee County and worse than Cape officials predicted.
The
numbers mean average property owners have lost over a quarter of
their property’s equity and may see a similar drop in their local
property tax bill. The decline also means that if the City Council
doesn’t raise the tax rate this year, the city will have $26 million
less to work with in next year’s budget. The drop, partly a
consequence of the region’s failing housing market, will have a
ripple effect through City Hall, and could impair city services.
This
year, the city has already cut $11 million worth of positions and
services from the budget. Officials say the reductions will styme
the fire departent’s response times, cut into beautification
projects and increase counter wait times at City Hall.
Lee
County Property Appraiser Ken Wilkinson Monday released preliminary
property assessment figures that show an average 12.4 percent drop
in value across the county. The City of Fort Myers lost less than 3
percent of its value, while Cape Coral saw the total value of its
property drop 26 percent to $15.4 billion from $21 billion.
City Staff expected a decrease of 18 percent. Property values in the
Matlacha/Pine Island Fire District have dropped 15 percent, leaving
emergency crews there about $1 million less to work with in a budget
that usually totals around $5 million.
“It’s
a shock right now,” said Fire Chief Dave Bradley. “We figured we’d
have a slight decrease, but nothing like this.”
The
lost revenue will mean cuts, Bradley said. But where and how is
still in the air.
The Cape is also staring down cuts — the extent of which are still
unknown. And while the mayor and City Council members have said they
expect to see cuts across the board, some areas that scored low on
the council’s priorities may experience the sharpest reductions.
Council members ranked various city services by importance, giving
city staff direction as they put together a budget for next year. A
the top of the list of priorities were police and fire followed by
transportation, parks and recreation and economic development. At
the bottom of the list were facility improvements, budget management
and environmental protection initiatives.
The
council could raise the tax rate to offset the loss, but the mayor
and council members have publicly resisted such a move.
“It
would be very difficult for them (Council members) to raise the
rate. And it’s going to be something they have to wrestle with,”
said Steve Riggs, vice chairman of the city’s Financial Advisory
Committee. “The tradeoff is going to be the level of services.”
If the council keeps the tax rate where it is next year, people who
own non-residential property or those who don’t claim their Cape
Coral home as their primary residence would see the biggest drop in
taxes, Riggs noted. Homeowners who have been protected under the
Save our Homes Amendment for years and already pay on far less than
their home’s value won’t see the same savings.
If the
tax rate stays the same, they would likely see a three-percent jump
in their tax bills - the maximum increase allowed under the SOHA.
The
city will get certified assessment numbers in July. Officials in
Cape Coral, Pine Island and elsewhere have already started drafting
budgets that account for shortfalls.
“Services are going to have to be investigated,” Riggs said.
Source: www.news-press.com
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