ANNA MARIA – The fiscal year 2024-25 city budget being crafted by Mayor Dan Murphy and city commissioners proposes $5.82 million in operating and general expenses during the new fiscal year that begins on Oct. 1.
Presented by Murphy during the city commission’s second budget meeting on July 18, the projected expenses include employee salaries and wages and represent a $296,979 increase over the $5.53 million in similar estimated year-end expenses for the current fiscal year that ends Sept. 30.
The $5.82 million does not include the capital projects and infrastructure improvements to be decided during the third and final budget meeting on Thursday, July 25. That meeting begins at 5 p.m. and will include the setting of the tentative millage rate.
During the commission’s initial budget meeting on June 27, Murphy proposed, and the commission tentatively supported, reducing the city’s longstanding 2.05 millage rate to the rollback rate of 1.8245 mills, or possibly lower.
Murphy said due to increased property values, the rollback rate would generate $4.24 million in ad valorem property tax revenues during the 2024-25 fiscal year. The proposed budget anticipates $18.2 million in total revenues that also include previously approved state appropriations, unused funds carried over from the current fiscal year and other funding sources.
On July 18, Murphy said the 1.8245 rollback rate would result in Anna Maria property owners not experiencing a tax increase. And if there’s enough money left after the July 25 capital improvements decisions, the millage rate could be lowered further and provide property owners with the first property tax reduction in Anna Maria that Murphy is aware of.
The millage rate and fiscal year budget will be finalized during two public hearings in September.
“I want to leave the city in good shape when I walk out the door,” Murphy said regarding his recent decision to not seek reelection in November after 10 years in office.
Departmental expenses
The largest proposed operating expense is $1.54 million for public safety, which includes $1.52 million for contracted law enforcement services provided by the Manatee County Sheriff’s Office Anna Maria Unit. Murphy anticipates a $184,042 (14%) increase for MCSO services in the coming year and is scheduled to meet with sheriff’s office representatives this week in hopes of reducing those anticipated costs.
The 2024-25 budget also currently proposes:
- $777,984 for public works department expenses, a $26,267 (3%) increase;
- $1.02 million for the administration department expenses that include the city clerk’s office, a $22,693 (2%) increase;
- $1.01 million for building department expenses, a $32,788 (3%) increase;
- $723,671 for code enforcement expenses, a $22,906 (3%) increase;
- $461,345 for parks and recreation-related expenses, a $8,154 (2%) increase; and
- $81,880 for city commission expenses that include the mayor and commissioner’s salaries, a $52 increase.
Commissioner Jon Crane asked the commission to consider for future discussion increasing the mayor and commissioners’ salaries to help attract more city candidates in future election cycles.
The Anna Maria mayor earns $19,500 a year and commissioners make $4,800. The Bradenton Beach mayor earns $9,600 a year, while commissioners earn $$4,800 a year. It was stated the Holmes Beach mayor earns $28,160 a year and Holmes Beach commissioners earn $8,080.
Commissioners Gary McMullen and Kathy Morgan said they’d only support pay increases for the mayor and commissioners if it can be accomplished while reducing property taxes.
Wage increases
Murphy proposes 5% salary and wage increases for city employees in the coming fiscal year. Murphy said the city recently conducted a city government wage survey that indicated city government employees are receiving pay increases in the 4% to 6.5% range, with 5% being the “sweet spot” in the middle of that range. Murphy said the wage increases will help the city retain current employees, attract new employees and help offset the impacts of inflation.
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