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Iorio Confident City Will Beat Recession

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By CHRISTIAN M. WADE cwade@tampatrib.com

The Tampa Tribune

Published: March 24, 2009

TAMPA - Mayor Pam Iorio, in her annual state of the city speech Monday, warned of tough decisions facing the city in the next year as the economic recession worsens.

"This is different from a traditional recession," Iorio said. "This economic crisis has no easy fix to it and it's going to take some tough decisions in the next few months."

Her speech, delivered to a gathering of department heads and city workers at the Tampa Convention Center, focused largely on the economy, saying the city is feeling the tough times severely because of property tax reductions and the regional construction slowdown.

"We have to be honest, the state of the city ... much like that of the state and country ... is not good," she said, "but our city stands strong. We will get through these tough times."

Iorio, who is in her final term as mayor and considering a run for U.S. Senate in 2010, said despite the economic decline Tampa continues to invest in its infrastructure.

She cited the construction of new downtown museums, improvements in East Tampa, a reduced crime rate and the installation of miles of new water and sewer pipes.

"When the history of this great city is told," Iorio said, "it will tell of a city that made progress not just during boom years, but in years of deep economic downturn."

Iorio said the city faces a projected $35 million shortfall in next year's fiscal budget, and payroll and benefits make up the largest percentage of the city's general fund.

Tampa has reduced its work force by more than 8 percent in the past two years and recently announced plans to lay off an additional 24 workers, mostly from the construction services division.

Iorio said the city is trying to avoid large-scale layoffs by eliminating vacant positions.

"We have always been sensitive to the issue of job losses," she said.

The mayor also talked about her vision for a light rail system in the Tampa Bay area, calling it an investment in the city's future. She said she hoped Hillsborough County commissioners would approve putting a referendum on a sales tax on the 2010 ballot to pay for it.

"It will produce jobs, produce smart growth, and I will continue to push for it," Iorio said.

Reporter Christian M. Wade can be reached at (813) 259-7679.

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