County Taxable Value Declines

For the first time in at least three decades, Franklin County's property values have dropped, bringing into concrete focus the tight budget year that looms for Apalachicola, Carrabelle and the entire county.
In a report to the county commission Tuesday morning, Property Appraiser Doris Pendleton provided preliminary numbers that show a drop in combined taxable value of a little less than 11.3 percent, from $3.99 billion last fiscal year to $3.55 billion in 2008-09.
These numbers are subject to change, once the state has an opportunity to scrutinize them, and they may go up or down as a result.
But this is the county's first clear glimpse of the cost of the ongoing housing and construction downturn.
Pendleton, who began work in the property appraiser's office in 1976 under then-appraiser John James, said she does not recall any decline during those years.
"So it's as bad as we thought it was going to be," said Commissioner Cheryl Sanders.
Apalachicola and Eastpoint appear to have lost the largest amount of property value, with Eastpoint's combined property values looking to drop by 14.4 percent, from $124.5 million last year to $106.5 million in the upcoming budget year. The city of Apalachicola is projected to fall 10.6 percent, from $227.7 million to a projected $203.6 million.
Pendleton's projections show that in Alligator Point, the drop is expected to be about 5.3 percent, from $272.7 million to $258.2 million. Carrabelle's values will decline by about 4 percent, from $297.5 million to $285.6 million. Dog Island is foreseen to drop by about 2.6 percent, from $82.1 million to $79.9 million.
The decline in combined taxable value for the two other county-wide entities, the school district and the Northwest Florida Water Management District, are expected to be less than 11.3 percent, more in the neighborhood of 10 percent, because the law allows for fewer exemptions.
Pendleton said the terms of Amendment One, a statewide Florida constitutional amendment designed to reduce property taxes on homeowners, will cost the county about $85.2 million in combined property value next year. This is due to the amendment providing for a second $25,000 in homestead value to be exempted from taxation, as well as an exemption towards the first $25,000 of tangible personal property subject to taxes.
Of this total lost value, only about $212,000 is attributable to the change in "portability" rules, which enable property owners to carry over this homestead exemption savings when they purchase a new property.
Pendleton said that of the total $928,207 in portability taken advantage of by county taxpayers, about $716,207 was connected to county homeowners buying another house within the county, which did not result in any value being taken off the tax rolls.
The expected drop is less steep than Pendleton had originally predicted, which ran as high as 12 to 15 percent.
She said she based it on "scattered real estate sales" and that the decline was in keeping with what real estate experts have been telling her. "I'm right on board with them," Pendleton said.
"They (the state) may say ‘Justify this,'" she said. "I felt we had enough (sales) we could justifiably drop the property values."