The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1995, Landmark Communications, Inc.

DATE: Thursday, October 5, 1995              TAG: 9510050388
SECTION: LOCAL                    PAGE: B3   EDITION: FINAL 
SOURCE: BY MAC DANIEL, STAFF WRITER 
DATELINE: SUFFOLK                            LENGTH: Medium:   63 lines

SUFFOLK CITY MANAGER SCRAPS PLAN TO EXTEND SPECIAL TAXING DISTRICT COUNCIL MEMBERS, RESIDENTS STRONGLY RESISTED THE IDEA.

A proposal to expand a special taxing district from a private development into nearby neighborhoods was killed Wednesday when the city manager withdrew the plan, saying local residents wanted none of it.

``I'm going to withdraw whatever I said previously about incorporating local neighborhoods into the special taxing district,'' said Suffolk City Manager Myles E. Standish.

Suffolk's city attorney was asked to return in 30 days with a final recommendation. City officials still want to expand the taxing district, but not into local neighborhoods. A new proposal should be back to the council by November.

``I think people up there need some closure on this,'' said Councilwoman Marian B. Rogers, who opposed the plan.

``The burden that could have been placed on existing neighborhoods gives me heartburn,'' said Councilman Richard Harris.

City officials had wanted to expand the taxing district around the Harbourview development, adding the neighborhoods of Wynnwood, Huntersville, Holly Acres-Respass Beach and Armstead Forest.

By expanding the district, officials said, the city would be able to quickly build badly needed capital projects that would benefit local neighborhoods in this high-growth area of northern Suffolk.

But local residents, as well as some council members, vehemently resisted the idea.

In a series of public meetings in June, few residents supported the idea. Critics said they should not have to pay additional taxes for projects that will benefit new homeowners and wealthy developers.

Among the projects proposed for the new taxing district were $61,000 for a new entrance to the Frederick campus of Tidewater Community College, and a $264,000 water-main loop to a privately owned industrial park.

The current taxing district encircles Harbourview, a sprawling privately owned development that stretches from U.S. Route 17 north to the shores of the James River.

Under the proposal, residents who lived in the proposed district would be taxed an additional 19 cents per $100 of assessed value above the $1.03 per $100 they currently pay.

For example, the tax on a $12,000 home would increase from $123 to $146.

Councilman Charles F. Brown and local residents suggested that taxes should be raised throughout the city rather than in the expanded taxing district.

Other residents said they'd rather wait for the city to fund projects through the city's capital improvement budget.

Even the developer of Harbourview protested the plan, saying his new residents should not have to subsidize services for others.

City staff members had already developed a $33 million list of potential capital projects for the taxing district, including extending utilities to certain neighborhoods, improving local roads and building a fire station or municipal center for the northern half of the city. ILLUSTRATION: Map

STAFF

by CNB