The Virginian-Pilot
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NORFOLK
The City Council agreed informally on Tuesday to raise personal property taxes and reduce a real estate tax break for senior citizens in order to increase funding for the schools and police.
In a compromise brokered by Mayor Paul Fraim, the council agreed to spend nearly $2.3 million more than proposed by City Manager Regina V.K. Williams.
The school system would receive an additional $1.5 million beyond Williams' proposed additional $2 million. That's $3.5 million more than the city spent on the schools last year but $2.2 million less than the $5.7 million increase the School Board asked for.
Fraim proposed spending an additional $500,000 for the police. He said that would reduce personnel losses to 24 from the 42 proposed by Williams.
An additional $200,000 would go to keeping three after-school resource centers open and $65,000 to save two code enforcement inspectors.
Williams had proposed trimming 231 city jobs and reducing overall costs about 3 percent in her $1.1 billion budget. Her budget included increasing the personal property tax from $4.25 per $100 of assessed value to $4.30.
Fraim proposed increasing that to $4.33, which would increase revenues by $300,000 more and cost car owners about $2 per year.
An additional $300,000 would come from reducing real estate tax breaks for senior citizens to $8 million from $8.3 million. How cuts would be instituted wasn't known. $1.1 million more would come from reserve funds, and $600,000 from a forecast increase in revenues.
The council will meet at 2 p.m. Thursday to finish negotiations on the budget that begins July 1, but most members said they liked Tuesday's compromise.
Much of Tuesday's debate revolved around schools.
Councilwoman Theresa Whibley pushed to provide the entire $5.7 million increase the School Board asked for. The council hesitated in part because the School Board has proposed paying for all health insurance cost increases for employees. The city is paying half the cost increase for its employees. Fraim said it wouldn't be fair to treat school employees differently.
"I've been trying to get an answer from the School Board about health insurance premiums and can't get an answer," Fraim said.
Councilwoman Daun S. Hester said, "We need to send a message that education is important."
Replied Councilman Paul R. Riddick: "It's important, but how efficient are they?" He has been critical because the School Board did not cut more in administrative costs.
Fraim said regardless, there's no way to fund the entire $5.7 million. "The money just isn't there."
Harry Minium, (757) 446-2371, harry.minium@pilotonline.com
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Diversity
With all of this monetary funding dereasing, what about the struggling neighborhoods? No one assess the neighborhoods that include low-income people as if they doi not exist. When you assess things that pertain to a whole you do not exclude the part that you feel is unecessary. The suffering Black communities in Norfolk and the surrpunding Hampton Roads only get depressing media reports. Poor people spend all of their money religiously and are taxed for everything from fast food to the water they flush their toilets with, yet are never represented in local, state, or federal government. Now the budget cuts will reflect on the schools of our inner city children, with the cuts coming to the Black schools first. Racism is not dead just misunderstood.
Increase Personal Property Tax?
Wasn't that the tax that was supposed to be eliminated by the Republicans 15 years ago? Didn't they ride that horse right into taking over the entire statehouse? Then renege on us when the costs became "too high". I just got mine for June 5 and the city wants $500 for two trucks. If I send the bills to James Gilmore and Co. you think they'll pay them out of conscious? Doubt it.
Poor job city council.
The city was forced to lower assessment values on homes after years of inflating them to generate revenue. Now that assesments have fallen they'll raise the tax rate to make up for it. How about belt tightening like everyone else?
A correction
Actually the shootings happened at 10:00 PM and not early this morning. Sorry!
checking now
Thanks, lawrenceb. Police haven't released any information but I made a request after reading your comment, and I'm told we'll get some information once the detective division provides it. -Patrick Wilson, The Pilot.
Good news
It is good news to hear this city is finally giving something to the police besides cuts in salaries and operating budgets. FYI I am surprised you guys at the VP did not pick up the Homicide this morning on Lankford St. In fact there was two people shot during this incident.
They should have campaigned
They should have campaigned on this. There's something "not right" about having tough conversations AFTER and election but not during.
an election
an election
Selective memory
While this comment deals with a specific line item, the substance reflects the selective and at times, deceptive reasoning of the CM and council. In most of the previous fiscal years, city council paid for all of the increase in city employee health premiums (less retirees) while the schools were forced to pass on all of the increases to school employees in order to balance the budget. Now that the schools want to mitigate the impact of no pay raise for several years by paying for health insurance increases, this all of a sudden in not "fair" and they are told to "suck it up." There is no doubt that reductions must be made to all city and school expenditures, but the city needs to recognize honestly the past budget history.
norfolk budget
What they didn't say was that the retired Norfolk city employees will pick up the entire cost of health insurance raise. They haven't had a cost of living raise in years.
Lets just keep on increasing costs to those on fixed incomes. As a retired city worker your social security income is cut by half under the WEEP law.
With the decrease in real estate tax assistance on seniors this should force some out of their homes so there will be more homes up for sale or auction.
No back bone, cut some top level positions most departments are top heavy. Administration in the school system is the most top heavy.