Frequently Asked Questions
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Why is this being proposed now?
We have arrived at an important time in the history of Manatee County. A County health care fund, the result of the sale of a public hospital in 1984, is set to run out of money in 2015. The half-cent sales tax was discussed in 2008 by the Health Care Access Task Force and was the subject of lengthy debates during months of public discussions on the realities and future of community health care in Manatee County. Actions must be taken now in order to pay for community health care costs and to maintain access to quality health care in our area. That is why voters are being asked to decide whether to fund community health care this summer with a proposed half-cent sales tax referendum.
If approved by voters, new revenues (an estimated $23 million a year) will be available only for health care costs. The new tax would also trigger a new set of options for significant property tax relief for all Manatee property owners. The new sales tax alone would allow County Commissioners to consider lowering property taxes.
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Won’t the new Affordable Health Care for America Act (Obamacare) pay for community health care costs?
There are a number of great unknowns on how the new federal health laws will affect Florida’s local governments, particularly given recent indications that the state will not expand Medicaid as proposed in the federal plan. Local leaders are trying to proceed with a local plan that can succeed with or without outside assistance. If, in time, we discover that community health care costs aren’t a local burden, the half-cent sales tax could be reduced or eliminated all together.
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Why a sales tax?
A proposed sales tax is a fairer way for asking everyone to pay for community health care costs, including Manatee County homeowners, renters, businesses and visitors/non-residents. Access to quality health care is a community-wide issue that should be addressed by everyone who lives, does business and visits Manatee County.
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Will the half-cent sales tax and the corresponding property tax reduction hurt local schools?
Not at all. Other taxing districts, including Manatee County School District will not be impacted by either the half-cent sales tax proposal or the proposed 26/13 Plan to reduce property taxes. The half-cent sales tax would relieve property taxes related only to the Manatee County Government portion of your overall property tax bill.
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Is this just a way to grow local government?
No. The 26/13 plan does nothing to increase local revenues; it only changes the way we pay for our current expenses by asking more of those people who use local government to help pay for it.
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I don’t live in a city; I’m a homeowner in unincorporated Manatee County. How will the 26/13 plan affect me?
Someone who owns a typical home in unincorporated Manatee County with a taxable value of $150,000 will see their annual property taxes reduced by up to $135 per year. New utility franchise fees will cost about $5.10 per month or about $61 a year. The half-cent sales tax would be about $64 a year for many middle class families, based on IRS estimates.
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I’m a homeowner in one of Manatee County’s cities. How will the 26/13 plan affect me?
A typical homeowner in an incorporated area – someone who owns a home with a taxable value of $150,000 – will see their property taxes reduced by up to $245 per year. New storm water and franchise fees will not apply, since city residents already have similar fees. The half-cent sales tax would be about $64 a year for many middle class families, based on IRS estimates.
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I’m a renter. How will the 26/13 plan affect me?
Renters in unincorporated areas would no longer directly pay garbage costs, since they would be moved to the property owner’s property tax bill. Utility franchise fees for renters in unincorporated areas will vary depending on electricity use, but are estimated to be about $5.10 per month or $61 per year for typical households. The half-cent sales tax would be about $64 a year for many middle class families, based on IRS estimates.
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I’m a landlord. How will the 26/13 plan affect me?
The 26/13 Plan would remove garbage costs of about $139 a year from utility bills and place them on property tax bills. Storm water fees of $24 a year would be added to property tax bills. Landlords in incorporated areas will see a 26 percent drop in their property taxes; landlords in unincorporated areas will see a 13 percent drop in property taxes. Overall tax reduction and storm water fees will vary depending on the value of the property and the amount of impervious surface each property has.
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I’m a business owner. How will the 26/13 plan affect me?
Commercial property owners in unincorporated areas only will receive a new storm water fee based on the amount of impervious surface – areas where water cannot seep into the ground – on their properties. Commercial property owners in unincorporated areas only will also pay franchise fees based on electricity use and will pay the half-cent sales tax on taxable purchases. Commercial owners in unincorporated areas will see up to a 13 percent reduction in property taxes. Commercial owners in Manatee’s cities could see up to a 26 percent reduction in property taxes.
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I operate a church or non-profit organization. How will the 26/13 plan affect me?
Property owners whose properties are exempt from property taxation will pay the new storm water assessment based on the amount of impervious surface on the property. Garbage fees will be moved from utility bills to property tax bills, but will remain the same. Utility franchise fees will be charged based on electricity use. Church and non-profit groups will remain exempt from the half-cent sales tax.
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Don’t city residents already receive a discount on their county property taxes?
No. Each year the County Commission adopts a countywide tax rate for government services throughout Manatee County. Property owners in Manatee’s cities pay municipal taxes for city services, including municipal police patrol. Similarly, property owners in unincorporated areas pay an amount on top of the countywide tax in the form of a Municipal Services Taxing Unit (MSTU). Under the 26/13 plan, all Manatee Sheriff’s Office patrol costs would move entirely to the MSTU and city residents would no longer pay for Sheriff’s patrol.
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How does any of this guarantee a property tax reduction?
The 26/13 Plan will be included in the County Administrator’s proposed budget which will be released prior to the public referendum on the half-cent sales tax. Regardless of whether the sales tax is approved by Manatee voters, all County budget discussions are open to the public, and there will be one public hearing to approve the upcoming year’s tax rate and two public hearings in September to approve the overall budget.
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What is a utility franchise fee?
Franchise fees are the "rent" or "reimbursement" utility providers pay for the use of the public's right-of-way. Not a tax, franchise fees are simply the cost utility providers incur for being allowed to place their facilities in the public's right-of-way. Under the 26/13 Plan, unincorporated Manatee County homeowners would receive the fee on their electricity bills. All homeowners inside Manatee cities already pay these fees.
Manatee County Government