Shell game

We just can't make the numbers work, but we're starting to guess that no one else can, either.

Of course, we're talking about the budget numbers in the News-Gazette article over Kissimmee's 'potential loss' if Amendment 1 passes.

The article states that for the 2007-08 fiscal year, "the city lost a total of about $3.7 million in ad valorem revenue, or money generated through property taxes." To make up for that loss, the city implemented a fire rescue fee, which will generate about $3 million in revenue.

To this, we interject, remember the quote "revenue neutral?" Well, OK, we're within about $700,000. Remember, commissioners, you didn't have to roll back taxes 30-some percent...the state only asked for a 9% rollback.

The next paragraph states "However, even with the additional funds generated by the fire rescue fee, the general fund will have $3,194,253 less than it had last year."

Why?

Are we deficit spending? Are we writing bigger checks than our property tax revenue can cash?

Then on, to read about how the city increased the stormwater fee this year, almost doubling the residential fee. The article states that by raising the fee, it will generate almost $1.8 million for the stormwater utility fund, noting that about $1 million was transferred from the general fund last year to make up for shortfalls in the stormwater utility fund.

OK, so instead of being $1 million short under the old fee, with the new fee they're making up that $1 million, plus an additional $800,000, which go directly into the stormwater utility fund. Plus, the city doesn't have to transfer the $1 million from the general fund to make up the shortfall.

So, by our math, the general fund should be $300,000 ahead, all other things being equal.

1. A $3.7 million loss in revenue was offset by a $3 million fire fee (-$3.7 million + $3 million = -$700,000).
2. A $1 million transfer from the general fund was negated by $1.8 million in new stormwater fees (-$700,000 + $1 million = +$300,000).
3. And $3,194,253 apparently went flying out the door somewhere that was unrelated to either the tax cut, fire fee, or stormwater fee.

We'll make a deal with the city commissioners. We'll stop analyzing their math if they'll stop protesting on how badly the potential tax cut is going to hurt them. After all, last year's tax cut was "revenue neutral," and we fully expect that they will get out an even bigger set of shells for this one.

All of this, even though the projected impact to the city of Amendment 1 is $820,059 vs. the $3 million dollar impact of last year's tax plan (remember, though, it was "revenue neutral.")

Oh, and remember...fountain money can't hire staff.