Lealman’s redevelopment agency could be shut down early if Pinellas County needs the money, according to a county attorney’s answer recorded in July meeting minutes.
Now that voters have approved Amendment 3, which reduces property taxes for qualifying homeowners, the county faces the prospect of collecting less money for local services. For Lealman, that puts the funding behind drainage work and neighborhood improvements under pressure.
At the July 22 advisory committee meeting, a member asked whether financial need could lead the county to end the CRA early. The attorney “replied affirmatively,” according to the meeting minutes. The record does not identify the attorney who answered or explain the legal basis.
The county created the Lealman Community Redevelopment Area in 2015 to address deteriorating conditions in the neighborhood. Its financing directs a share of property taxes generated by growth in the area’s taxable value back into Lealman projects.
That arrangement depends on taxable property value. Larger exemptions reduce the value subject to tax, which can reduce the money available for redevelopment. The size of the hit to Lealman’s CRA still needs to be established.
WPTV reported that Amendment 3 won about 62 percent of the vote in unofficial election-night returns. It raises the homestead exemption for non-school property taxes to $150,000 in 2027 and $250,000 in 2028, subject to residency rules. School property taxes are unchanged.
The measure offers qualifying homeowners tax relief. It does not include dedicated state money to replace the revenue local governments lose, according to Florida TaxWatch.
Pinellas was already under budget pressure. County Administrator Barry Burton presented a proposed budget in August after the General Fund entered the process with a gap of more than $30 million, the St. Pete Catalyst reported.
“Residents may expect a reduction in government,” Dave Eggers, the commission chair, said in July while discussing what passage could mean, according to the Catalyst’s coverage.
For now, the CRA has an adopted $18.32 million work plan, up from $15.58 million the previous year. It includes $2.58 million for a larger culvert under 34th Street North to reduce flooding and $2 million for sidewalk gaps and other connections. Another $1.5 million is set aside for affordable homes through Habitat.
The July meeting also showed how county needs can compete for that money.
Staff proposed shifting $1.764 million from the Joe’s Creek Industrial Park infrastructure and stormwater allocation to help strengthen the Lealman Exchange gym for hurricane sheltering. The advisory committee supported the move, with one member opposed. The adopted work plan includes the CRA contribution.
Committee member Jeremy Heath objected to using CRA money for the project. The minutes summarize the objection as “another project where the CRA is subsidizing the county’s needs.”
County staff said the Exchange had sheltered special-needs residents during the 2024 hurricanes and that 27 percent of surrounding housing consisted of mobile homes. The gym project totals $5.395 million, with a grant and Penny for Pinellas money covering the balance. The work plan says the shelter will serve Lealman and other county residents.
The CRA also faces an existing legal deadline. Florida law generally requires agencies that existed in October 2019 to end by Sept. 30, 2039, or an earlier charter date, unless the county or city that created them votes to continue them. Certain older bond obligations can extend that period.
Whether Pinellas has already taken such a continuation vote for Lealman, and whether any bond exception applies, needs confirmation. That deadline is separate from the attorney’s July answer about closing the agency early.
Meanwhile, the county is accepting applications for three seats on the CRA advisory committee. Applications are due at 3 p.m. Nov. 13. The three-year terms begin Jan. 1, 2027.