Collier may tap conservation funds to balance budget

Collier County commissioners tentatively approved a $3.187 billion 2026-27 budget, forecasting a possible “modest” tax increase pending any changes at the final budget hearing in two weeks. 

The Board of County Commissioners, at its initial Sept. 3 budget hearing, staved off a decision to take $5.5 million in Conservation Collier funds to balance the budget and avoid raising property taxes, but will consider it Sept. 17. 

Commission Chair Dan Kowal said they agreed to move that decision to the next meeting so residents can “digest this, for us to look at the numbers and crunch them.” 

“The only problem is I heard twice or three times … ‘We want to hear from the conservation people, we want to hear from the environmentalists’ … I never heard anybody say, ‘I want to hear from the average taxpayer.’ I didn’t hear that once from anybody,” Kowal said. “That’s who I want to hear from. … I want 100 of them to show up here at the next meeting and tell us how they really feel about the taxes and the programs.” 

“I can give you the Reader’s Digest of what they’re going to say. ‘Don’t do it.’ Do I really need to have a hearing?” he asked. “I can already tell you the answer. I’m just saying, but I’m here. I can’t wait ’til we go to 1 o’clock in the morning.” 

It was a reference to 2023, when commissioners raided Conservation Collier’s funds to balance the budget, never reimbursing the fund. 

This week, commissioners voted to remain “rate neutral,” agreeing not to tax more than 3.0107 mills for the general fund, leaving the tax rate the same as this year’s. One mill is equal to $1 for every $1,000 of a property’s taxable value after adjustments, including a homestead exemption. 

The votes came after a presentation by Christopher Johnson, the county’s director of Financial & Management Services, and a series of past hearings, including workshops with its budget consultant, ResourceX, which has worked with the county to cut costs and improve efficiencies. 

The total gross budget increased by about $10.1 million, Johnson said. 

Although the property tax rate will remain the same, tax revenues will increase because the total taxable value of property jumped 3.5% countywide, from roughly $164.5 billion this year to $170.3 billion, Johnson said, noting $3.5 billion of the $5.8 billion increase countywide is due to net new taxable value. 

It was Commissioner Chris Hall who proposed taking funds from Conservation Collier, a program voters have overwhelmingly approved during three referendums. The taxpayer-funded land acquisition program allows for a property tax increase of up to 0.25 mills — $25 per $100,000 of taxable property value — for up to 10 years and bonding for up to $75 million. It’s been used to purchase land for preserves, parks, hiking trails and more. 

In September 2023, commissioners “borrowed” $53.5 million from Conservation Collier and cut the program’s millage rates to cover a more than $60 million budget shortfall — prompting an outcry from residents and environmentalists. In the end, $29.6 million was used, but it was never paid back, and Hall contended it wasn’t intended to be a loan they’d repay. 

The next month, commissioners approved a resolution allowing them to take money from the land-conservation program at any time, if needed, for any use. 

Hall proposed going to the rollback rate, the adjusted property tax rate that generates the same amount of tax revenue as this year but accounts for changes in real estate property values. He suggested funding Conservation Collier at $30 million, with $15 million for maintenance of the lands and the remainder placed in the fund for land acquisition, adding to the $20 million already in that fund. He said that would fund the program at the 0.1772 millage rate rather than 0.2096. 

“That would … balance us on paper,” Hall said. “We’d collect the same amount of taxes that we did last year and give us time this year, banking on what’s to come for the savings — and especially with Amendment 3 coming up. … I would like to posture ourselves to be ahead of that curve if that amendment passes — and I think that’d be a good head start.” 

But Commissioner Burt Saunders questioned that, telling him, “I’m not sure how that puts us ahead of the curve.” He understood Hall’s plan but contended they’d be in a better position if they didn’t use conservation funding — “and if [Amendment 3] passes, then we have to deal with it.” 

Hall disagreed. “You can always raise taxes on the people — and I do not want to do that,” he said. 

If voters approve a state constitutional amendment to cut property taxes in November, Collier would lose more than $62.9 million in revenue in 2027, according to a report by the Florida Association of Counties. The loss would jump to nearly $121.5 million the next year. 

If 60% of voters approve the amendment, it would take effect Jan. 1, 2027, when the homestead exemption for primary residents would jump from $50,000 to $150,000 and increase to $250,000 the next year. The existing $25,000 homestead exemption applied to school district taxes would remain the same. 

“I would never want to do anything that would limit Conservation Collier, but this year we had a pretty good purchasing record and I think we purchased $13 million to $14 million worth of properties and that would give ample [funds] to do the same thing this year and even double that in the account, so I did take that into consideration,” Hall said. 

Saunders opposed the motion to take Conservation Collier funds, calling the program “extremely important” for Collier’s future. 

“The mere fact that we are able to purchase a bunch of property this year doesn’t offset the need to continue that program into the future,” he said. “So, again, I’m seeing Conservation Collier as sort of the piggy bank for doing the rollback millage rate, and I just don’t think that’s appropriate.” 

Commissioner Rick LoCastro called dipping into it as a piggy bank “sloppy” and noted residents voted for the tax to purchase conservation land. 

“I think every time we sit here looking at Conservation Collier as sort of like a free bag of money to move around, … I don’t know that that’s the most responsible thing,” LoCastro said, adding that he supported it in 2023 due to many emergency needs. “But to sort of use that as our first option right now? … I do have a problem with doing that and I don’t think it’s really required.” 

Vice Chair Bill McDaniel Jr. said he’d need more data to make a decision, adding it never dawned on him that they’d never pay back Conservation Collier. Saunders said it’s not fair to make a decision now without the public knowing commissioners are again considering taking Conservation Collier funds, so they should give residents the opportunity to speak at the final budget hearing. 

Hall then withdrew his motion. 

“But the headlines need to say the commissioners are pushing to save the public from taxes overall and that’s what going to the rollback is,” he added. 

The fiscal year ends Sept. 30. The final budget hearing will be held at 5:05 p.m. Sept. 17 in the third-floor commission chambers, Building F, 3299 Tamiami Trail E.