Holmes Beach is a step closer to finalizing its 2019-20 budget.
Commissioners voted 4-0 at their meeting July 23 to authorize Mayor Judy Titsworth to sign and submit DR-420 and DR-420 MMP forms to Manatee County — the forms required by the state to assess the city’s tax base.
Titsworth and Commissioner Rick Hurst were absent with excuse.
According to city treasurer Lori Hill, the mayor proposed establishing a maximum millage rate of 2.25 mills for the 2019-20 fiscal year, the same percentage as 2018-19.
Hill, who compiled the budget, said the rate would give the city “time to receive missing revenue from the state and county and evaluate any possible changes until the September public hearings.”
She said the mayor intends to use the rollback rate, the millage needed to collect the same tax as the current year from property owners, of 2.1062 mills, “if revenue comes in as intended and no additional costs or projects arise.”
The 2.1062 rollback rate would be 6% lower than the 2.25 proposed millage rate.
State law defines a tax increase as anything over the rollback rate.
Millage is $1 per $1,000 of assessed property value. At 2.25 mills, the ad valorem tax on a property valued at $500,000 would be $1,125. At 2.1062 mills, the property would be taxed $1,053.10.
Other taxing authorities on the county property tax bill include the Manatee County School District, the Southwest Florida Water Management District, Manatee County Mosquito Control and the West Coast Inland Navigation District.
West Manatee Fire Rescue has assessments on the tax bill, not ad valorem tax.
Other sources of city revenue include Swiftmud, WCIND, the county distributed fifth cent gas tax, and the state distributed second, fourth and ninth cent gas taxes, as well as the 1/2 cent discretionary tax.
Hill said approval and submission of the DR-420 and DR-420 MMP is the first step in the budget process, which will conclude with an ordinance requiring two public hearings and two votes for adoption before the fiscal year begins Oct. 1.
The commission reached a consensus that the first reading and public hearing will be at 6 p.m. Wednesday, Sept. 11.
The final reading and public hearing for the new budget will be at 6 p.m. Tuesday, Sept. 24, during a regular city commission meeting at city hall, 5801 Marina Drive.