Finance advisory board backs Largo CIP framework, leaves 18 police Tahoes unfunded

The finance advisory board presented its recommendations on the city's fiscal year 2027'2031 capital improvement plan at Largo City Commission's May 12 work session, urging no wholesale changes to the portfolio while asking the commission for direction on a handful of items, including a request to replace patrol vehicles.

"In terms of facility projects, there were 23 projects discussed and presented, 13 of which were funded, 10 were unfunded," the board's presenter said, summarizing the board's review. The board described mobility, stormwater and wastewater portfolios similarly, and proposed no across'the'board changes to funded lists.

Why it matters: the board also flagged rate and revenue assumptions that underlie the budget picture. Staff described a baseline revenue-growth scenario (5% in FY27 with step-ups in later years) and offered alternatives, including reducing a proposed 5% solid-waste increase to a 2% flat increase and splitting a proposed 15% stormwater increase into two 7.5% increments.

Commissioners pressed staff for the numbers behind those choices. One commissioner asked whether the 2% solid-waste alternative was the board's recommendation; staff answered that it was presented as an alternative and that the 2% option would lower projected revenue by about $3.3 million and push an enterprise fund toward roughly a low-30s percentage fund balance by FY31, compared with the roughly 33% (90-day) operating-reserve target staff referenced.

Police-vehicle request left unfunded: the board recommended placing the request for 18 police Tahoes in unfunded status and to provide further analysis in the future. Staff highlighted trade-offs if the commission shifts the penny-for-Pinellas (local option sales tax) or general-fund priorities: Tahoes would create capital needs paid from the penny fund but carry added annual maintenance and operating costs that fall to the general fund once vehicles enter service.

"That is one of the contributing factors why we can't add anything else to the penny right now without un-punting something," a staff member said, noting current penny projections extend through calendar year 2030 and the renewal vote is slated for 2028.

Commission direction and next steps: commissioners discussed incremental approaches (for example, splitting the 18 vehicles into smaller, prioritized packages) and left all 18 on the unfunded list while asking staff to return with clearer cost and offset options. Staff said it will implement the changes discussed and bring an adoption resolution for the CIP to the commission next week; the proposed FY27 budget will be published July 1 and a pre-proposed budget work session is scheduled for June 9.

The commission did not take a final vote on the Tahoes or on the rate alternatives at the work session; staff will return with analyses and ordinance or budget items for future meetings.