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Resolution at hand in Lealman dispute

Pinellas Park will agree not to annex land within the Lealman Fire District to settle a dispute.

By ANNE LINDBERG
Published January 29, 2006

LEALMAN - The fire district and Pinellas Park are working out the details to an agreement that would settle a dispute over annexation that has brewed for the past six years.

Under the proposed agreement, Pinellas Park would refrain from annexing within the borders of the Lealman Fire District for 10 years unless the district is dissolved or becomes part of a consolidated fire service covering unincorporated Pinellas.

Pinellas Park also would agree not to object to the extension of the "Farkas bill." If the Legislature extends the bill, it would continue to require cities that annex land within the fire district to pay taxes to Lealman for five years. This would guard against the district having unexpected hits in lost tax revenue, while still having to provide first-response fire service to the annexed land.

In return, Lealman would forgo tax money fire officials say is owed to them for previous annexations within the district's borders. Lealman had estimated that to be about $262,900.Pinellas Park officials have said the amount is less than half that.

Both parties would pay their own attorneys' fees. Lealman fire Chief Rick Graham said the district has spent about $51,000 so far. Pinellas Park did not have figures available.

To be final, the Lealman Fire Commission and the Pinellas Park City Council must approve the agreement. It is unclear when the matter might come before them for a vote.

Ratifying the agreement will end the lawsuit Lealman filed last spring in an effort to be reimbursed for the lost tax money.

"I'm excited about the Pinellas Park agreement," Graham said. "I think it's good for everyone involved."

City Manager Mike Gustafson was also pleased with the resolution. He said the agreement was not a stretch for the city because the City Council five years ago directed staff members to avoid annexing into the Lealman Fire District.

"So what are we fighting about?" Gustafson asked.

Annexation has long been a sore point with the Lealman Fire Commission and with civic activists in the unincorporated area. Activists were concerned about the erosion of the community and, like the fire commissioners, they worried about the effect on taxes.

As pieces of Lealman were annexed by Pinellas Park, St. Petersburg and Seminole, the fire district was left as first responder, but was losing the tax money that paid for the service. That put an even heavier burden on Lealman taxpayers who already have the highest property taxes in the county.

Commissioners threatened last year to sue the three cities. Seminole avoided being sued because its annexation along the west side of Park Street occurred before the county passed an ordinance that protected Lealman.

Seminole has since offered to pay Lealman if the county will extend the city's annexation planning area to the west and north of its municipal borders. The proposed expansion would not affect Lealman. Like Pinellas Park, Seminole has said it has no interest in annexing into Lealman.

The fire board sued Pinellas Park and St. Petersburg. If the agreement with Pinellas Park is signed, St. Petersburg would be the only city left in the suit.

Graham said officials from St. Petersburg and the fire district will meet next month to continue discussing the issues.

[Last modified January 29, 2006, 01:28:20]