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No millage increase for Holmes Beach property owners

No millage increase for Holmes Beach property owners

Written by Joe Hendricks on . Posted in Community News, Holmes Beach.

HOLMES BEACH – The mayor and city commissioners are maintaining the current 1.99 millage rate rather than increasing it to the maximum 2.1812 millage rate tentatively adopted by a 3-2 vote in late July.

During the city commission’s Sept. 11 budget hearing, City Treasurer Julie Marcotte presented a revised budget that’s now based on maintaining the 1.99 millage rate. The commission adopted on first reading the millage rate and budget ordinances that will be presented for final adoption on Thursday, Sept. 25. The new fiscal year begins on Oct. 1.

The proposed $22.07 million 2025-26 budget represents a $3 million decrease from the current $25.23 million fiscal year budget.

No millage increase for Holmes Beach property owners
Shown here at a July meeting, City Treasurer Julie Marcotte played a significant role in crafting the city’s 2025-26 fiscal year budget. – Joe Hendricks | Sun

When presenting the proposed budget in early July, Marcotte and Mayor Judy Titsworth proposed a tentative 2.1812 millage rate increase to help offset what was then expected to be an 8.33% decline in total as­sessed Holmes Beach property values. As the county’s property valuation process continued, the estimated total property value decrease was revised to 7.99% for the coming tax year. When property values increase and the millage rate remains the same, property taxes and the city’s property tax revenues increase; and the op­posite happens if property values decrease.

Marcotte said some of the budget revisions were the result of getting more detailed revenue projections from the state and county. She said updating the employee salary schedule and employee health insurance policy selections saved an additional $51,163 and updating the city’s property and casualty insurance costs saved an additional $28,000.

The revised budget includes an additional $100,000 increase in es­timated building permit fee revenues and the reallocation of $25,000 in city funds to the police department budget to help cover the cost of patrolling the county-owned beach and boat ramp. Titsworth hopes to recoup that $25,000 from the county during the new fiscal year.

The Islanders 4 Clean Water budget was trimmed by $15,000, the contin­gency fund was reduced by $150,000 and a $100,000 potable water project was removed from the budget.

The budget lists the mayor’s annual salary at $29,200 and the commis­sioners’ annual salaries at $8,340.

“With these changes, we were able to set the millage rate at 1.99 and have 25% of our unrestricted reserves that is suggested by the GFOA (Govern­ment Finance Officers Association) and auditors for our governmental needs,” Marcotte said.

When comparing the new budget to the current budget, Commission Chair Dan Diggins said the mayor and commission expenditures are decreas­ing by $50,000, general government expenses are decreasing by $200,000, police department expenditures are increasing by $200,000 (in part to hire an additional officer), building department expenses are increasing by $180,000 and anticipated Public Works Department expenditures are decreasing by $900,000 due to the completion of several projects.

Commissioner Steve Oelfke asked Marcotte if it’s accurate to say the city created a budget that provides a tax cut to the taxpayers. Marcotte said that is correct.

Commissioner Carol Soustek thanked the department heads and employees that eliminated or post­poned some of their planned projects and expenditures.

“What that does is show the com­munity that we understand where you’re coming from,” Soustek said in regard to potentially increasing the millage rate at a time when many property owners are still recover­ing from the 2024 hurricanes.

“I just want to congratulate the mayor and Julie for doing such remarkable work,” Diggins added. “It lets the community know that we understand what you’ve been through. I think it’s the right thing to do.”

“I wasn’t certain we could do this,” Commis­sioner Terry Schaefer said. “Getting it back to the existing millage without a loss to service is remarkable and I, too, want to compliment the mayor, our treasurer and all of the depart­ment heads.”

Participating by phone, Commissioner Carol Whitmore said, “Thank you mayor for working so hard on this. I know it wasn’t easy and I appreciate it; and so do our citizens.”

See the entire 2025-26 fiscal year budget here.

Holmes Beach millage rate increasing, stormwater fee remains same

Holmes Beach millage rate increasing, stormwater fee remains same

Written by Joe Hendricks on . Posted in Community News, Holmes Beach.

HOLMES BEACH – Divided and passionate about both critical funding decisions, city commis­sioners voted to increase the property tax millage rate and not increase the annual stormwater utility fee.

The millage increase decision was made during the commis­sion’s July 25 special meeting, when the 2.1812 maximum millage rate was adopted for the 2025-26 fiscal year that begins on Oct. 1. The stormwater fee decision was made during the regular commission meeting that followed.

Millage rate

The proposed 2025-26 fiscal year budget prepared by City Treasurer Julie Marcotte antici­pates $23.9 million in matching city expenditures and revenues – a $1.3 million decrease from the $25.2 million listed in the current fiscal year budget.

Applying the 2.1812 maximum millage rate, Marcotte anticipates the city receiving $6.73 million in ad valorem property tax revenues in the coming fiscal year – a slight increase from the $6.7 million in the current fiscal year.

Increasing the millage rate from the current 1.99 mills to 2.1812 mills will offset the 8.33% decline in aggregate property values experienced in Holmes Beach. Property owners will pay $2.18 per every $1,000 of assessed property value and due to lower property values, most property owners will pay about the same next year as they did this year.

During public input, resident Margie Motzer said the city budget increased 212% between 2012 and 2024.

Holmes Beach millage rate increasing, stormwater fee remains same
Resident Nancy Deal encouraged the mayor and commissioners to listen to the residents’ desires. – Joe Hendricks | Sun

Resident Nancy Deal said the city of Bradenton Beach isn’t raising its current 2.3329 millage rate and is delaying projects and personnel hirings to help offset the decreased property values and property tax revenues. Deal said she lost a car during the 2024 hurricanes and would like to buy a new one but that purchase must wait. She suggested the mayor and commission take a similar approach to their budgetary decisions.

“I hope you can listen to what the residents have to say about how hard it is right now,” she said.

Holmes Beach millage rate increasing, stormwater fee remains same
Resident Renee Ferguson said the mayor and city commissioners need to tighten their belts when managing the city’s finances. – Joe Hendricks | Sun

Resident Renee Ferguson said, “As far as the millage is concerned, it just doesn’t seem appropriate to raise it now. People are suffering. A lot of us had to go into our pensions and our savings because the insurance companies didn’t cover a lot of the expenses we incurred. Asking the people to tighten their belts seems unfair. I think the city really has to think about tightening theirs.”

Holmes Beach millage rate increasing, stormwater fee remains same
Commissioner Carol Whitmore opposed both proposed increases. – Joe Hendricks | Sun

Regarding the proposed millage increase, Commissioner Carol Whit­more said, “The citizens can’t handle it. I can’t handle it. I had to break into my IRA to get an air conditioner. I don’t have insurance because I can’t afford it. We’ve all been through hell. We can’t do this to our citizens this year. We have to be more conservative.”

Commissioners Dan Diggins, Terry Schaefer and Carol Soustek noted the maximum millage rate could still be lowered before the final budget adoption occurs in September, but Mayor Judy Titsworth said the proposed budget is based on the 2.1812 millage rate.

Soustek, Schaefer and Commissioner Steve Oelfke voted in favor of setting the maximum millage rate at 2.1812 mills and Whitmore and Diggins opposed it.

Stormwater fee

Schaefer and Diggins supported the proposed $2 stormwater fee increase and Oelfke, Soustek and Whitmore opposed it.

In June, Public Works Director Sage Kamiya proposed increasing the annual stormwater fee from $2.95 per 100 square feet of property to $4.95 or $9 per 100 square feet. He said the $9 rate would help fund $21.9 million in complaint-driven drainage and stormwater projects over the next five years, with matching grants provided by other agencies cover­ing a significant share of those costs.

Holmes Beach millage rate increasing, stormwater fee remains same
Public Works Director Sage Kamiya sought a $2 stormwater fee rate increase for the coming fiscal year. – Joe Hendricks | Sun

During the July 25 commission meet­ing, Kamiya proposed tiered annual increases that would begin with an increase of $2 per 100 square feet in the coming fiscal year, potentially followed by additional $2 increases during the next two fiscal years and $1-per-year increases during the two years after that.

According to Kamiya, the current $2.95 rate will generate an estimated $862,453 in stormwater fee revenues during the coming fiscal year and a signification portion of that money will be used to maintain the existing stormwater system. Not increasing the fee will limit the city’s pursuit of drainage and stormwater improvements and matching grants and some projects included in Kamiya’s $21.9 million potential projects list will be delayed or discarded.

“Stormwater management is impor­tant when you live on a barrier island,” Titsworth said. “That $800,000 isn’t going to buy you very much.”

Oelfke said the city needs to do what it can to support and retain the perma­nent residents that help create the city’s heritage and culture.

“If it saves one homeowner from moving, it’s worth holding off,” he said of the proposed increase.

Schaefer said the owner of a 5,000-square-foot property currently pays a $147 annual stormwater fee. He said a $2 increase would result in a $247 stormwater fee; and the owner of a 7,500-square-foot property would see their stormwater fee increase from $221 to $371.

Regarding the stormwater-related recommendations made by Kamiya and the city’s contracted stormwater engineer, Herb Raybourn, Schafer said, “I believe we’d be remiss if we didn’t pay attention to these warnings.”

Schaefer said the city should stop spending money on consultants if the commission isn’t going to follow their advice.

After saying she respects Kamiya’s expertise and understands the impor­tance of the city’s stormwater system, Soustek said, “This year, I have had a very hard time, along with everybody else. It’s taken a tremendous amount of insurance money and private money and I can’t, right now, give any more money.”

When expressing his opposition to the stormwater fee increase, resident Win Bishop said the mayor and com­missioners need to be more financially responsible by decreasing expenditures and using reserve funds to pay for stormwater improvements.

“There isn’t that many of us that still live on the Island, but you might want to consider what we want,” he said.

Related coverage:
Holmes Beach considering millage increase
Significant stormwater fee increase proposed

 

Anna Maria millage rate maintained, stormwater fee increase proposed

Anna Maria millage rate maintained, stormwater fee increase proposed

Written by Joe Hendricks on . Posted in Anna Maria, Community News.

ANNA MARIA – The mayor and city commissioners plan to maintain the current 1.65 property tax millage rate for the 2025-26 fiscal year that begins on Oct. 1 and they’re leaning toward increasing the annual stormwater utility assessment fee from $2 per 100 square feet of property to $4.

Anna Maria Mayor Mark Short presented these budget consider­ations to city commissioners on July 24. Commissioners Kathy Morgan-Johnson, John Lynch (participating by phone), Gary McMullen and Charlie Salem unanimously supported Short’s recommendation to adopt a tentative maximum millage rate of 1.65 mills for the coming fiscal year. Commissioner Chris Arendt was vacationing and didn’t attend the meeting.

The adopted tentative maximum millage rate can be lowered before the final millage rate is adopted during two budget hearings in September, but the 2025-26 fiscal year budget being crafted by the mayor and city staff is based on maintaining the current 1.65 millage rate for another year.

At 1.65 mills, Anna Maria property owners will again pay $1.65 per every thousand dollars of assessed property value – after homestead exemptions and other tax-reducing exemptions are applied. Because the total assessed property values in Anna Maria increased cumulatively by 3%, most Anna Maria property owners will experience a slight property tax increase at the same millage rate.

Stormwater fee

When proposing increasing the stormwater utility fee from $2 to $4 per 100 square feet of property, Short said it would result in the stormwater fee for a 7,500-square-foot residential property increasing from $150 to $300, with the city’s anticipated stormwater utility fee revenues in­creasing from $328,000 to $656,000. Stormwater fee revenues are used to maintain and improve the city’s drainage and stormwater systems and they also provide matching funds for the stormwater grants that help fund those projects.

Short said Public Works Manager Dean Jones has identified more than $15 million in stormwater and drain­age projects and improvements that need to be done.

“We have significant stormwater work we need to do, just like every other city on this Island. Some of that needs to be done now, some of that can be done later,” Short said.

A formal vote was not taken on the stormwater fee increase, but commissioners Johnson, Lynch and McMullen voted in favor of directing City Clerk Amber LaRowe to use a third-party firm to distribute letters to all potentially impacted Anna Maria property owners informing them of the proposed increase. Salem opposes increasing the stormwater fee when many residents and property owners are still recovering from the 2024 hurricanes. A formal vote on the proposed increase will occur later in the budgeting process.

Revenues, debt

Short presented a one-page sum­mary of the city’s total projected revenues of $27.2 million for the coming fiscal year – an increase of nearly $10 million from the $17.8 million listed for the 2024-25 fiscal year that ends on Sept. 30.

Anna Maria millage rate maintained, stormwater fee increase proposed
Mayor Mark Short is preparing his first city budget. – Joe Hendricks | Sun

Maintaining the 1.65 millage rate is expected to generate $3.96 million in ad valorem city property tax revenues in the coming fiscal year, a slight increase from the $3.85 million listed for the current fiscal year.

Short anticipates the city receiving $8.6 million in FEMA reimburse­ments, but he’s noted on several occasions that those federal funds are not guaranteed and it’s not known when they’ll be received.

Short, a retired accounting executive, noted the projected revenue summary includes $4 million in anticipated debt fi­nancing needed to cover the city’s up-front costs while waiting for reimbursement from federal and state agencies. The an­ticipated reimbursements include FEMA reimbursement for the money the city spent recovering from Hurricanes Helene and Milton, future FEMA assistance to help rebuild the hurricane-damaged City Pier and FEMA reimbursement for some emergency stormwater work the mayor and staff felt was desperately needed. Florida Department of Transportation (FDOT) reimbursement is anticipated to help complete the Pine Avenue sidewalk installation project.

“To accomplish what I hope we will accomplish in this next year, we’re going to need to float some cash to pay for it while we are waiting on reimbursement. The city is in process of setting up $4 million to be available to help us fund the cash flow for these projects while we wait on the reimbursements,” Short said.

The projected revenues include $5.9 million in various grant funds.

After being elected last fall, Short is lead­ing the city’s budget creation process for the first time and Jones and City Treasurer LeAnne Addy thanked him for seeking staff input in the creation of the budget.

Holmes Beach residents oppose fee hikes

Holmes Beach residents oppose fee hikes

Written by Leslie Lake on . Posted in Community News, Holmes Beach.

HOLMES BEACH – Opposition to increases in stormwater fees and millage were top of mind for more than 50 city residents who made their feelings known to Commissioner Dan Diggins at a July 15 town hall meeting at the Island Branch Library.

“I want to hear what you folks think,” Diggins said at the beginning of the meeting. “Last year was a tough year with the hurricanes. We’re going to set the maximum millage rate next Tuesday. I don’t know what that’s going to be. I wanted the millage rate to be set to about 1.9 and I fought really hard. All the other commissioners and mayor said no we’re going to do two, and we settled at 1.99.”

The Tuesday commission meeting has been rescheduled to Friday, July 25 at 9 a.m.

Holmes Beach residents oppose fee hikes
Holmes Beach Commissioner Dan Diggins wanted to hear from residents regarding the proposed increases. – Leslie Lake | Sun

“I want to hear what you have to say about the budget, and you also heard about the stormwater assessment fees. It was pro­posed to us by the city engineer to raise the storm assessment fees,” Diggins said. “We were going to do that a few years ago and then the American Rescue Act came in and we received $2 million from the feds for storm­water so we didn’t have to raise the fees. That’s all gone now, and that’s why we’re talking about raising the fees.”

Diggins noted commissioners are considering raising the stormwater fee from $2.95 per hundred square feet of property to $4.95 or $9.

“I think nine from two for the stormwater fees, plus raising the millage rate is going to hurt a lot of us,” Laurel Nevans said. “We have seen a great exodus of people who sold out after the floods. Anna Maria is cutting taxes while we’re raising ours. I think if we want to maintain residents, we can’t raise every­thing to the max.”

Nevans said many people are struggling financially following the 2024 hurricanes.

“I think the commission really needs to think about the impact. If we raise millage and stormwater rates, those an­nual rentals are going to go up because landlords won’t absorb that,” she said. “So many people are hurting financially right now that this could be the last nail in the coffin for the community.”

Holmes Beach residents oppose fee hikes
Residents weighed in on the proposed millage and stormwater fee increases. – Leslie Lake | Sun

One resident asked Diggins what the stormwater money is being used for.

“What is the plan to be done differently to solve the water issue – digging more holes that cave in?” she asked.

Diggins said federal grants have dried up and the money is now being used for infrastruc­ture improvement and vehicle maintenance.

“Right now, we’re using half the money for maintenance and the other half of the money to try to get some type of matching grant,” he said. “We ended up replacing storm drains, pipes and whenever we put a shovel in the ground, we find things we didn’t know about. We find things that are crumbling. We used the money for constant repairs.”

Diggins said that people who live on a barrier island do have to accept a certain amount of water.

“We talked about tearing up this parking lot here (at the library) and building a storage facility for the water underneath the parking lot. Then we’d have to pump it back out to the bay. That would cost millions and millions of dollars,” Diggins said.

“We’re just paying more for nothing when you guys are col­lecting more taxes,” the resident said.

“We have 4 miles of infiltra­tion trenches, 10.7 miles of storm pipe under the streets, 2.5 miles of ditches and swales, 125 storm pipe outfalls and 25 tide valves in the canals,” Diggins said. “Even if we don’t increase it, that’s where that money goes.”

“When I moved here in 2010, we probably had 5,000 residents in Holmes Beach, now we have less than 2,000,” Renee Ferguson said. “What I’m concerned about is that the burden is on us. We’re going to take the hit with this $9 fee and we all know it’s up to the rest of us that are left to take on responsibility for the problem we have with flooding.”

She questioned the success rate of the companies the city is using for stormwater solu­tions.

“We don’t know what their success rate is and we don’t know what other coastal cities they’ve done,’’ Ferguson said. “I have no problem knowing my fees have to be raised if I knew that the quality of work and the companies that we’re choosing are actually going to do the work that we’re hiring them to do.”

“Can you tell me then, if you’re going to raise the millage and these fees, what you’re really going to do with this money and why we need it?” Ferguson asked. “This is not the time to hit us. Can we just hold back and see what happens when we reassess these mega mansions that are going up and maybe then come to us and say, we still have to talk to you?”

Nancy Deal said that the city of St. Petersburg has put in pump stations and asked why Holmes Beach can’t do the same. That city received an $8 million matching grant from the state, she said.

“There’s money out there,” Deal said. “There are things our city could have been doing.”

“We’re studying that now,” Diggins said.

Some residents questioned the absence of Holmes Beach commissioners at the town hall meeting.

City Attorney Erica Augello sent an email to commission­ers that explains their absence. In part, it reads, “Just a friendly reminder that as these topics are not just likely to come before the commission, but are definitely coming before the commission, be cautious of any sunshine violations. While it is not a sunshine violation to attend such an event, it is a sunshine violation to participate in such an event if another commissioner is pres­ent and participating. As soon as a second commissioner makes a comment a violation exists as the meeting is not a public meeting that has been properly noticed and minutes taken.”

Related coverage:
Holmes Beach considering millage increase
Significant stormwater fee increase proposed

No property tax increase in Bradenton Beach budget

No property tax increase in Bradenton Beach budget

Written by Leslie Lake on . Posted in Bradenton Beach, Community News.

BRADENTON BEACH – City com­missioners held a work meeting on July 15 to hold preliminary discussions about the upcoming 2025-26 budget.

According to the numbers presented at the meeting, total city revenues are projected to be $5,652,680 for the 2025-26 fiscal year, with expenditures projected at $5,045,506.

“A formal budget will be put together and there will be two public hearings (in September) on that,” Mayor John Chappie said. “Today is a preliminary discussion. This is just making sure everybody has an opportunity to answer questions.”

There is no planned increase in property taxes.

“The decision was made that we would not increase property taxes,” Bradenton Beach Police Chief and Public Works Director John Cosby said. “There was discussion about going to the rollback rate. We decided that by implementing the fees that we’ve been discussing over the last couple years, that this was the year we were going to do it. That happens to coincide with what happened with the hurricanes.”

Cosby said the city has seen an 11% reduction in property values due to the hurricanes.

“We have been discussing raising certain fees to bring them more in line with what the other cities are doing and you’re seeing that happen now,” Bra­denton Beach Police Chief and Public Works Director John Cosby said. “We had toyed with raising the property tax. I personally walked the neighbor­hoods after the storm and people need more time to get situated. I think this is just the right thing to do.”

Cosby said that some city expendi­tures have been put on hold.

“We made some decisions not to do some capital improvement projects,” Cosby said. “New vehicles were going to be purchased and we talked about adding some personnel in the planning and police department and we’re going to put those on hold. As we’re going through this cycle with FEMA, we aren’t 100% sure what projects are go­ing to fly and what percentage they’re going to get through the system.”

Cosby said that the city received $1.1 million in FEMA funding through the state to offset storm-related costs after storm debris removal was completed.

“Half of the projects were in the CRC (FEMA Consolidated Resource Center), which is the final approval to be funded,” Cosby said. “Then we will be getting 100% of those costs back. We decided to lay low this year because we are still going to responsible for 12.5% of our total damage from the hurricanes.”

Cosby said the city has requested its consultant to apply for a hardship through FEMA.

“The city is too small to incur the types of costs we’re having to incur due to the hurricanes,” he said. “Next year once we see where we’re at with FEMA and if we can get some assistance from FEMA to cover some of our losses, this budget could look a lot different next year.”

Millage rate and reserves

“The budget is built with not changing the millage of 2.3329,” City Treasurer Shayne Thompson said. “It functions as it is, it’s a moving target, so this is not the absolute be-all end-all number, but the goal was put some healthy amount back in reserves that were taken this year from the storm. We’re looking at putting back close to $320,000 into reserves in the coming year, so keeping the millage the same accomplishes that goal.”

“If you’re a coastal community, you should have 35% in reserves,” Cosby said. “In some of the budget years when there was money left over, instead of putting it back into the general fund, we put it back in uncommitted reserve. That was by far, one of the smartest things we have done as a city, because we’ve been able to weather this event, with two back-to-back category three hurricanes within 10 days.”

In discussing the millage rate, Commissioner Ralph Cole said that Bradenton Beach should ask Manatee County to contribute to policing in the city.

“We set our millage rate, the county sets their millage rate, and because they set their millage rate high, it puts the burden on us,” Cole said. “We need more money from the county for policing out here with all the people that are coming. Between the two entities we need to figure out something without raising the taxes on people that live here. We need to put more of our tax dollars where they come from.”

City employees will be receiving a 5% salary increase with no change in benefits.

“Last year the cost of living was set at 2.5% and we all got together and we decided 2.5% for a raise would put us at 5% and that is a nice increase for all the employees,” City Clerk Terri Sanclemente said. “I know it’s a little less than last year but it’s still a good raise.”

The city commission approved the following proposed expenditures:

  • Administration $868,905
  • Commission $188,157
  • Police $2,131,795
  • Emergency operations $95,400
  • Code enforcement $74,691
  • Planning $527,618
  • CRS $70,883
  • Pier $155,770
  • Streets and roads $515,251
  • Stormwater $242,026
  • Facilities $144,010
  • Sanitation $2,500
  • Capital projects, reserves $28,500.
Anna Maria property owners getting tax break

Anna Maria property owners getting tax break

Written by Joe Hendricks on . Posted in Anna Maria, Community News, Featured.

ANNA MARIA – City property owners will see their property taxes reduced in the coming year.

On July 25, the Anna Maria City Commission voted 3-2 to adopt a tentative 1.65 millage rate for the coming 2024-25 fiscal year that begins Oct. 1. The adopted tentative millage rate can be further reduced before the budget is finalized in September, but it cannot be increased.

Anna Maria’s current 2.05 millage rate has long been the lowest millage rate on Anna Maria Island and in Manatee County, joined last year by Holmes Beach.

Anna Maria property owners getting tax break
Mayor Dan Murphy proposed a 1.75 millage rate. – Joe Hendricks | Sun

On June 27, Mayor Dan Murphy proposed lowering the millage rate to 1.82 mills, with the possibility of bringing it even lower. When presenting his proposed $10.4 million capital project plan on July 25, Murphy proposed setting the tentative millage rate at 1.75 mills.

“My goal is to reduce the taxes in this city for the first time in history. It’s not a huge cut, but it is a cut. It’s a step in the right direction,” Murphy said, noting the proposed rate would result in Anna Maria property owners paying a lower city tax bill next year.

Murphy said lowering the millage rate to 1.75 mills would leave the city with a $1.21 million contingency fund for the new fiscal year. The contingency fund for the current budget year is $981,851. The non-earmarked contingency fund can be used to cover unexpected expenditures, including hurricane clean up and recovery efforts.

Commission discussion

During the lengthy discussion that followed, commissioners Gary McMullen and Charlie Salem lobbied for a 1.65 tentative millage rate and Commissioner Kathleen Morgan later joined them in adopting that tentative millage rate.

Commissioners Jon Crane and Mark Short expressed support for a 1.75 tentative millage rate but for differing reasons opposed adopting the tentative rate at 1.65 mills. Short noted a 1.75 millage rate would be a 15% reduction.

Anna Maria property owners getting tax break
Commissioner Gary McMullen supports a 1.65 millage rate. – Joe Hendricks | Sun

Commissioner Gary McMullen asked if reducing the proposed contingency fund to its current level would lower the millage rate. Murphy said a 1.65 millage rate would produce a $987,000 contingency fund.

“At 1.65, we’d still have a contingency fund that’s almost a million dollars,” Salem said. “We don’t have this opportunity very often. We should take advantage of it and we’re in a good position due in large part to the mayor’s leadership.”

Crane expressed concerns about a 1.65 millage rate negatively impacting the city’s finances in the years to come.

“I’m happy to bring it down to 1.75, but I’d hate to jump to back where we are now the following year,” he said.

Anna Maria property owners getting tax break
Commissioner Jon Crane supports a 1.75 millage rate. – Joe Hendricks | Sun

Murphy said the city is now benefiting from the street paving and drainage improvements made during the past decade.

“We’ve invested in our infrastructure. Now we can reap that benefit, and it’s not just a one-year benefit,” Murphy said, noting the 1.75 millage rate could be maintained if the city continues to invest wisely in infrastructure maintenance and improvements.

After noting that high taxes and insurance premiums contribute to the loss of permanent residents, Murphy said, “We only play a small part of that tax bill, but I think we need to set an example for the school board, for the county, for all the other agencies.”

Murphy said he asked Sen. Jim Boyd to relay that message to Manatee County’s other taxing authorities.

“Nobody else is doing this. It has to start somewhere and I would like it to start here tonight,” he added.

Public input

During public input, Anna Maria businessman and mayoral candidate Brian Seymour encouraged the commission to set the final millage rate at 1.65 or 1.6, even if they set the tentative rate at 1.75.

Anna Maria property owners getting tax break
Mayoral candidate Brian Seymour supports setting the millage rate as low as possible. – Joe Hendricks | Sun

“I want to applaud the mayor and commissioners. I think it’s long overdue, as our property values have doubled, if not tripled, in the 15 years I’ve lived here. We can be the example for other cities,” Seymour said.

Participating by phone, Barry White said he’s owned a residential property on Spring Avenue property since 2017 and his taxes and insurance premiums have increased astronomically since then.

“Things have gotten out of hand,” White said, noting his total tax bill last year was $33,000, which was reduced from $50,000 because he protested the initial assessment.

Regarding the increased value of his home, White said, “The equity doesn’t help me if I’m not going to sell. I don’t want to sell and I don’t want to rent my property.”

White, 65, retired in 2017.

“I pay $20,000 in school taxes and I get zero return for that. My kids are grown. That’s $20,000 of $33,000 right there,” White said. “Thank you so much for what you’re considering tonight.”

The commissioners then voted 3-2 to adopt the 1.65 tentative millage rate.

Anna Maria property owners getting tax break
Commissioner Mark Short remains open to a 1.65 millage rate. – Joe Hendricks | Sun

Immediately after the meeting, Short said, “I was all for the proposed reduction to 1.75. I am for reducing the property tax millage rate as much as we can. Since today’s number was not final, and we have the ability to bring it even lower when we have the final numbers, I felt it was safe going in at 1.75. I’m perfectly fine with 1.65 and we’ll see where we are once the numbers are finalized.”

The next budget discussion is scheduled for Thursday, Aug. 8 at 1 p.m.

Related coverage:
Anna Maria budget preparations continue
Mayor proposes reduced millage rate

 

Anna Maria budget preparations continue

Anna Maria budget preparations continue

Written by Joe Hendricks on . Posted in Anna Maria, Community News, Featured.

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.

Related coverage: Mayor proposes reduced millage rate

Bradenton Beach budgeting begins

Bradenton Beach budgeting begins

Written by Joe Hendricks on . Posted in Bradenton Beach, Community News.

BRADENTON BEACH – City officials will maintain the current 2.3329 millage rate as part of the $4.85 million budget being prepared for the 2024-25 fiscal year that begins Oct. 1.

The proposed budget represents a $359,969 increase over the current fiscal year that ends Sept. 30.

The Bradenton Beach mayor, commissioners, department heads and city treasurer held their first 2024-25 fiscal year budget meeting on July 16.

As he does each year, Mayor John Chappie said, “The budget is the single most important document that we act on throughout our year. The budget is a reflection of where we’ve been, where we are and where we’re going as a community.”

Bradenton Beach budgeting begins
Mayor John Chappie acknowledged the importance of the budgeting process. – Joe Hendricks | Sun

Chappie then thanked the department heads and city staff for continuously working on the budget throughout the year.

Bradenton Beach’s annual budgeting process begins with each department head preparing a departmental budget that serves as a needs and wish list. The city treasurer then compiles the departmental budgets into a budget worksheet for the mayor and commission to review and tentatively approve department by department. On July 16, the mayor and commission tentatively approved each departmental budget presented and the proposed 2.3329 millage rate.

Bradenton Beach budgeting begins
City Treasurer Shayne Thompson helped compile the proposed budget. – Joe Hendricks | Sun

City Treasurer Shayne Thompson said he previously met with each department head and commission member and the new fiscal year budget is built on two primary assumptions: maintaining the current 2.3329 millage rate and providing the city’s hourly employees with 8% wage increases and a $500 increase to the tiered longevity bonuses that will now range from $1,250 to $2,500 according to length of time employed by the city. It was noted the salaried department heads would also receive pay increases, but the no exact figures were provided.

“With those assumptions, the budget is very sound,” Thompson said.

On July 23, Thompson provided The Sun with additional details. He said the department heads and himself, a salaried non-department head, will receive 8% salary increases. And, in an effort to keep pace with what other cities are paying, the department heads and Thompson will also receive “salary equalization adjustments” to be added to their annual salaries.

City Clerk Terri Sanclemente will receive a $10,000 salary equalization adjustment in addition to an 8% salary increase. An 8% salary increase and a $10,000 salary equalization adjustment will also be added to the future salary of the yet-to-be-hired replacement for recently departed Public Works Director Tom Woodard.

Thompson and Police Chief/Emergency Operations Manager John Cosby will receive $5,000 salary equalization adjustments in addition to their 8% salary increases. Building Official Darin Cushing is contracted through a third-party firm and his salary is determined by his direct employer.

According to Thompson, the city anticipates receiving $2.47 million in ad valorem tax revenues during the coming fiscal year, compared to $2.26 million during the current fiscal year. Due to increased property values, maintaining the current millage rate will subject Bradenton Beach property owners to higher property tax bills.

Factoring in grants, matching funds and various other taxes and revenue sources, the city anticipates receiving $5.05 million in total revenues during the new fiscal year, versus $4.56 million in the current fiscal year, Thompson noted some non-ad valorem revenue projections might change slightly before the final budget is published and adopted in September.

Thompson said the city hopes to add $225,000 to $250,000 to the uncommitted reserve fund.

Cosby said a healthy reserve fund is vital because it can be used to temporarily fund post-disaster recovery and cleanup efforts while awaiting reimbursement from FEMA and other agencies.

The numbers

Sanclemente proposes $833,347 for administrative department expenditures in the coming fiscal year, including wages and employee benefits, a $74,254 departmental increase.

The budget proposes $208,009 in city commission expenditures, including the mayor’s $9,600 annual salary, each commissioner’s $4,800 annual salary and a $16,000 increase for attorney fees, for a $19,140 overall increase.

Bradenton Beach budgeting begins
Police Chief John Cosby and City Clerk Terri Sanclemente play important roles in the budgeting process. – Joe Hendricks | Sun

Cosby proposes $1.92 million in police department expenditures that include slightly more than $1 million for wages and benefits, a $141,043 overall increase. He also proposes spending $92,400 for emergency management operations and $109,455 for code enforcement.

Acting as the interim public works director since former director Tom Woodard’s recent departure, Cosby proposes $503,199 for street and road expenditures, including $366,619 for wages and benefits, a $43,252 overall increase.

Cosby proposes $249,132 for stormwater management expenditures, including $158,566 for wages and benefits, a $15,541 overall increase.

Cushing proposes $498,353 for planning department expenditures, a $31,821 increase. Cushing noted the planning department is the one department that covers most of its own expenses through permitting fees and other development-related fees.

The budget doesn’t propose any new capital or infrastructure improvement projects for the coming fiscal year but does include $119,526 carried over to complete previously planned projects.

CRA budget

The Bradenton Beach Community Redevelopment Agency (CRA) fiscal year budget was briefly discussed during a separate budget meeting that day. The CRA operates as a separate but interconnected city entity with its own budget, revenues, expenditures and project pursuits.

Bradenton Beach budgeting begins
Commissioner Ralph Cole chairs the CRA that operates with a separate budget. – Joe Hendricks | Sun

According to the CRA budget worksheet Thompson prepared, the CRA anticipates $799,724 in redevelopment shared revenues, for an increase of $164,065.

CRA revenues include a mandatory $145,656 contribution from the city’s general fund and the worksheet anticipates CRA revenues totaling $948,398, a $167,205 increase.

The worksheet anticipates $344,606 for total CRA expenditures. That includes $213,612 for employee wages and salaries, including $119,112 for additional policing in the CRA district and $84,500 for salaries associated with streets and roads.

The CRA budget worksheet lists a projected net balance of $603,792. According to Thompson, most of that net balance will remain unspent and be carried over into the 2025-26 fiscal year for a utility line undergrounding project conducted in unison with the pending replacement of the Cortez Bridge.

Mayor proposes reduced millage rate

Mayor proposes reduced millage rate

Written by Joe Hendricks on . Posted in Anna Maria, Community News, Featured.

ANNA MARIA – Mayor Dan Murphy proposes lowering Anna Maria’s current 2.05 millage rate to the 1.8245 rollback rate, or lower.

The rollback rate is the rate needed to generate the same ad valorem property tax revenues generated during the cur­rent fiscal year, with increased property values producing the same revenues at a lower millage rate.

When presenting his final city budget before leaving office later this year, Murphy proposed the millage reduction during the Anna Maria City Commission’s June 27 budget meeting. Focused on projected revenues, Thursday’s meeting was the first of three preliminary budget meetings scheduled for the prepara­tion of the 2024-25 fiscal year budget that takes effect on Oct. 1.

Regarding the millage rate, Murphy said, “We’re not going to go in at 2.05. We’re actually going to start at the rollback rate which will yield $4.24 million (in ad valorem property tax revenues). I think we can actually bring it in under the rollback rate and provide all the services we need to provide for the residents of this city, so the property owners and the homeowners of our city could experience a tax reduc­tion. I hope that you could share that goal with me as we go forward with the budget.”

The commission expressed prelimi­nary support for the proposed millage reduction.

Murphy said a budget based on a lower millage rate would be “lean and mean” while still providing the services and benefits residents and property owners expect.

“It’s not like we’re going to live in austerity,” he said. “We maintain or improve our quality of life, yet we do it with less money because we do things more efficiently and we utilize what we’ve got in terms of the carryover from projects we couldn’t finish.”

At 1.8245 mills, Anna Maria prop­erty owners would pay a city property tax of approximately $1.82 per every $1,000 of assessed property value after homestead exemptions and other tax exemptions are applied.

According to the Manatee County Tax Collector’s 2024 Preliminary Tax­ing Authority Report, the taxable value of Anna Maria’s 1,707 real properties is $2.32 billion.

Anna Maria’s current 2.05 millage rate has historically been the lowest on Anna Maria Island and the lowest in Manatee County.

In 2022, the Holmes Beach City Commission lowered its 2.15 millage rate to 2.07 and in 2023 they lowered it again to 2.05 for the current fiscal year. The Bradenton Beach millage rate has remained at 2.3329 for several years.

Anna Maria property owners also pay Manatee County property taxes and the county’s 2023 millage rate was 6.2326. Manatee County property owners also pay taxes and assess­ments levied by the Manatee County School Board, fire and rescue districts, stormwater management districts, mosquito control districts and the West Coast Inland Navigation District.

City revenues

Murphy said the city received slightly more than $10.1 million in total revenues for the current 2023-24 fiscal year that ends on Sept. 30 and he projects the city receiving $18.1 million in total revenues during the 2024-25 fiscal year that begins on Oct. 1.

The $8 million increase includes $6 million in unspent project-related funds to be carried over into the new fiscal year. Murphy said $12.8 million is already earmarked for specific projects and expenditures and the remaining $5.3 million is not yet earmarked for specific expenditures.

Murphy said $1.28 million of the projected $3 million in stormwater revenues is carryover from the current fiscal year. He said some stormwater and drainage projects couldn’t be completed this year because the contractor didn’t have the needed labor resources.

Stormwater revenues are received from the Southwest Florida Water Management District, FEMA and the stormwater assessment fees the city levies annually on Anna Maria property owners.

Regarding the stormwater and drainage projects to be included in the new budget, Murphy said, “When this is completed, the whole city is covered with vertical infiltration and stormwater treatment.”

The projected revenues include a previously approved $2.6 million state appropriation for the Reimagining Pine Avenue safety improvement project and an additional $185,094 in remaining American Rescue Plan funds that will be used to install new Pine Avenue streetlights.

Mayor proposes reduced millage rate
The Anna Maria City Commission and Mayor Dan Murphy have begun their fiscal year 2024-2025 budget planning process. – Joe Hendricks | Sun

Murphy noted that Gov. Ron DeSan­tis recently vetoed the city’s $475,000 state appropriation request for the construction of a stand-alone public comfort station (public restrooms) near the public parking lot by city hall and the Island Players.

Murphy said Bradenton Area Convention and Visitors Bureau Executive Director Elliott Falcione supports the city seeking $288,000 in tourist development tax revenues to help fund the comfort station project.

“I feel optimistic that we can convince the county commission to give us that money,” Murphy said. “It’s an excellent investment in the city – a comfort station near the beach, with a diaper changing station and an outdoor shower. It’s a good use of tourist development money.”

Senior discount

Commissioner Mark Short mentioned the tax exemptions given to Manatee County property owners. According to the tax collector’s office, permanent residents qualify for a $25,000 homestead exemption and those whose assessed property value exceeds $50,000 are eligible for an additional $25,000 exemption. Senior citizens who are at least 65 years old and meet the income threshold are eligible for an additional $25,000 exemption.

“We have the ability, through ordinance, to change that to $50,000,” Short said in regard to increasing the city’s senior citizen tax exemption to the full $50,000 allowed by the state.

“As we move forward, I would like to take that into account,” Short said. “It doesn’t affect a lot of people who live in the city, but it does affect some.”

Budget meetings

The mayor and commission will dis­cuss operating expenses on Thursday, July 18. Capital project and improve­ment expenses will be discussed on Thursday, July 25 and the tentative millage rate will also be set during that meeting. Both July budget meetings will start at 5 p.m. The commission will set the final millage rate on Thursday, Sept. 12 and adopt the final millage rate and 2024-25 budget on Thursday, Sept. 26.

Holmes Beach logo OLD

Commission approves first budget reading

Written by SUN contributor on . Posted in Community News, Holmes Beach.

HOLMES BEACH – It took a little while to work out, but commissioners and city staff finally have a budget and a millage rate that they can agree on.

Commissioners voted unanimously to approve the proposed millage rate and the proposed budget, both of which underwent some changes since they were last discussed during budget workshops.

One major change is that instead of increasing the millage rate, it will remain the same at 2.25 mills for the upcoming 2020-21 fiscal year, which begins Oct. 1. The millage rate is the amount charged in ad valorem property taxes per $1,000 of the taxable value of the property. Though the millage rate remains the same, due to property value increases it represents a 4.61% increase in rates over the previous year. The rollback rate is 2.1641 mills. The rollback rate is the millage rate that would bring in the same amount of tax revenue for the city as the previous fiscal year.

The proposed budget for the city is $17,879,270 including $8,492,673 in carryovers and reserves. City treasurer Lori Hill plans for a break-even budget. During the Sept. 10 meeting, Hill told commissioners that some expenses, such as new computers and phones for commissioners, had been removed from the budget and pushed to future fiscal years.

She added that some revenue sources, including the fifth cent gas tax, half-cent discretionary tax and FEMA monies expected by the city, had increased since the previous hearing. Total funds from the fifth cent gas tax are estimated at $70,225 with the half-cent discretionary tax coming in at $614,171. The increases amounted to about $85,000 over the previously anticipated amount of state funding, giving the city a planned $803,160.

Local revenues, Hill said, are planned to bring in about $27,000 less than previously estimated, bringing that number to $8,583,437, including the property taxes paid by Holmes Beach property owners.

While it sounds primarily like good news, Hill said that year over year, last fiscal year as compared to the coming one, the city is poised to lose about $125,000 in state revenue and about $145,000 from local revenue sources. She did note that there is an approximately $100,000 increase in estimated stormwater revenue due to FEMA funding. Locally, the city-assessed stormwater fee is estimated to bring in $423,132 in additional funding over the previous year, a total of $1,391,554. Hill said that the city also is poised to receive $500,000 in grant funding for stormwater improvement projects.

She estimates the city will have $4.7 mil in rollover cash at the Sept. 30 end of the fiscal year. This will leave the city with an unrestricted reserve amount of 24.69% of the city’s total budget, meeting the Florida League of Cities’ suggested cash reserve amount to fund ongoing operational costs.

“In the eight years I’ve been here, this is the lowest year-over-year increase in expenses we have had,” Hill said. She estimates the city’s expenditures have increased by about 3% from the 2019-20 fiscal year.

The budget for mayor and commission was reduced to $200,403. Commissioner Jim Kihm, who had previously offered to give up his stipend if it put the city in a better financial position, said he had requested that Hill reinstate his salary since the city’s financial needs were able to be met without increasing the millage rate. Commissioner Kim Rash had also made the offer to forgo his salary in the best interests of the city but since he is up for re-election in November, only Kihm’s salary had been removed from the budget.

The general government budget topped out at $1,783,926 with no major changes from the previously proposed budget.

The code compliance budget came in at $590,666 including increases in the budget for special magistrate hearings and $12,000 for special magistrate hearing engineering if needed.

The budget for the Holmes Beach Police Department topped out at $3,616,206, an increase of about $45,000 due to previously unanticipated increases in insurance costs and $35,000 for the purchase of body cameras for officers.

Public works showed increases in that department’s budget, which comes in at $1,971,893, due to funding for some projects being moved into that department, including the reserve funding from the Hagen Foundation for lighting the shuffleboard and bocce ball courts, Hill said.

The building department’s budget came in at $866,406, including an increase for additional staff training to reduce outsourcing.

Commissioners thanked Hill and the city staff for working to find a way to meet the city’s needs without increasing the millage rate.

“I think it’s a very fair budget,” Commissioner Terry Schaefer said.

“This is a very difficult budget year for the city,” Commissioner Jim Kihm said. “I think it’s a good budget and one that I can support.”

Commissioners will host a second public hearing and final vote for the millage rate and budget on Tuesday, Sept. 22 at 6 p.m.

Related coverage

 

Holmes Beach takes home six Bert Harris wins

 

Commissioners seek additional spending cuts

Holmes Beach logo OLD

Holmes Beach passes maximum millage rate

Written by SUN contributor on . Posted in Community News, Holmes Beach.

HOLMES BEACH – Property owners won’t receive a shock when they receive trim notices the third week in August, but they will see a slight increase in property taxes.

Commissioners voted unanimously to keep the city’s maximum millage rate at 2.25 mills for the 2018-19 fiscal year. Though this is the same rate as last year, property value increases bring city taxes up 6.83 percent over the 2.1062 mills rollback rate, which would bring in the same amount in revenue for the city as last year. The increase brings up the city’s revenue from ad valorem taxes from $3,946,331 in the current fiscal year to $4,255,843 in the 2018-19 fiscal year, which begins Oct. 1.

The millage rate is the amount charged to property owners per $1,000 of taxable property value. Forms submitted to the Manatee County Property Appraiser’s Office show the city with an adjusted taxable value of $1,950,802,312.

After adjustments were made following two public workshops on the budget, City Treasurer Lori Hill presented commissioners with a revised draft budget totaling $15,450,809 including more than $7 million in carryover and reserves.

Two public hearings will be held to discuss and take a commission vote to approve the new fiscal year budget at 6 p.m. on Sept. 13 and 25 at city hall, 5801 Marina Drive.