Mayor Sheila DeCiccio seems a bit defensive. When I criticized her purchase of the Winter Park Pines golf course without a voter referendum while promising it would pay for itself including debt service, only to realize it is a money loser on an operating basis and a black hole of capital outlays, Sheila immediately put some lipstick on it. She responded to my call to terminate the Community Redevelopment Agency (CRA) with lots more lipstick. As with the Winter Park Pines purchase, Sheila and the commission were so sure they were right, they did not think to put the expansion and extension of the CRA to a vote of the citizens.
Sheila and the other commission members have put our General Fund in a position where the City Manager believes a property tax rate increase is likely next year, EVEN THOUGH our revenues have increased at a rate greater than inflation. They have spent us into a position where they want an excuse to raise the property tax rate, while at the same time wasting endless dollars on CRA projects (statues or entrance signs for Park Ave anyone?), which cash would otherwise go into the general fund to support all Winter Park residents.
By projections in their own plan (see page 130), terminating the CRA will add 15% to 17% per year to General Fund property tax revenue (without any tax rate increase), about $8,000,000 per year. This money will be available to address the needs of 100% of our residents and businesses rather than just those within CRA boundaries (10% of our residents in about 10% of our total area).
Terminating the CRA will forgo about $65,000,000 in Orange County property taxes otherwise available to be spent within the CRA area. So, let’s dig into projects proposed in the CRA expansion plan to see if there is a sound basis that this county money is needed within the CRA boundaries.
This is the project list from their CRA plan:
Look closely at that list. How does any of this spending within the CRA area help you?
Keep in mind that the additional $84,000,000 over 10 years projected to be added to the General Fund from terminating the CRA will be available to support projects throughout the city, including within the boundaries of the former CRA.
The $12,700,000 in proposed stormwater improvements in the above list Sheila writes about can be readily paid for over several years from the existing stormwater fund which is already receiving over $5,000,000 per year in existing special taxes dedicated to such improvements. The stormwater tax has increased from $3,587,000 to a projected $6,140,000 in 2026 as a result of a significant increase in the tax rate approved by this commission. There is sufficient stormwater tax revenue to address known needs over the coming years everywhere in the city, including within the current CRA boundaries.
The existing CRA funded projects Sheila speaks to are already complete, so no new capital is needed. What matters is how she intends to spend future CRA dollars.
According to Sheila, the expansion and extension of the CRA was pursued because “the area of West Fairbanks from US Highway 17-92 to I-4 and south to the Minnesota Avenue has many infrastructure needs, with no funding mechanism to address.” This is total baloney. Along Fairbanks, sewers, electric undergrounding, street lights, and streetscapes have already been paid for. Stormwater needs along Minnesota can be addressed through existing stormwater funding we all contribute to. Properties on septic in this area will pay for their own connections to our main sewer lines under existing policy.
Sheila’s “huge need for a second left turn lane eastbound on Fairbanks Avenue at US Highway 17-92” is not even on the CRA project list and, importantly, is the responsibility of the Florida Department of Transportation, not Winter Park, as these are both state roads.
Sheila speaks to pre-existing CRA improvements in the downtown core. These projects are complete or on the verge of completion. Future projects proposed for downtown, or anywhere within the CRA boundary, can be prioritized and funded based on city wide priorities when the General Fund has the benefit of current CRA property taxes after the CRA is terminated.
Sheila states: “While it is true that CRA funding generated by the district must be spent in the district, this frees up other sources of revenue in the city to be used to dedicate to areas outside the CRA.” This is total baloney. No money is “freed up” for uses outside the CRA. If this were true, pressures for a property tax rate increase would not exist. The CRA makes up about 10% of the city’s total area and contains a majority of our commercial properties, contributing about 15% to 17% of total Winter Park property taxes (excluding Orange County CRA tax money). The CRA prevents this material portion of total city revenues from being used outside CRA boundaries, restricting the scope of General Fund spending, not freeing revenue for other uses.
Sheila states: “If the city lost over $4 million in annual funding (the Orange County contribution to the CRA), there would be a deficit that would likely make the downtown core now compete for funding priority with other areas in the city.” Exactly! Why shouldn’t the downtown core compete for funding? Under the CRA, about 90% of our residents never see direct benefits from property taxes generated within CRA boundaries.
Sheila states: “To replace what is retained in Orange County tax revenue, would require an increase to the millage rate of just under half a point. Assuming that the need for infrastructure improvements would not go away, you could argue that the CRA has kept property taxes lower.” Fear mongering nonsense. What about infrastructure improvements in the other 90% of our city serving the other 90% of our residents! Infrastructure “improvements” in the CRA plan are mostly pie in the sky wish-fullness, offering little of value to residents. Commercial streetscapes for $56,000,000 Alex! Look at the list above again.
All Winter Park property tax dollars should be available to 100% of our residents and businesses throughout 100% of our city.
Bottom Line: The CRA does not serve the interests of the vast majority of Winter Park residents and needs to be terminated.
Let the Mayor and Commissioners know what you think: mayorandcommissioners@cityofwinterpark.org