Holmes Beach’s budget for fiscal 2025-26 might end up about $1.5 million smaller than this year’s spending plan.
But the city’s millage rate might grow.
City treasurer Julie Marcotte presented a $23,703,627 draft budget July 8 to the city commission for discussion ahead of the new fiscal year, which begins Oct. 1.
The draft was prepared with the rollback rate of 2.1812 mills, which would raise $6,735,765, the same amount of ad valorem tax revenue that the city collected this year.
The millage rate is the amount per $1,000 of property value used to calculate property taxes.
At the current 1.99 millage rate, the owner of a property appraised at $500,000 pays $995 in city property taxes.
The rollback rate often represents a decrease in millage on Anna Maria Island due to rising property values year over year.
However, the 2.1812 rollback rate for fiscal 2025-26 represents a 9.6% increase over the current millage due to the impact of last year’s hurricanes on property values.
According to the Manatee County Property Appraiser, total taxable property value within city limits fell from $3,538,699,945 in 2024 to $3,250,149,610 in 2025, an 8.15% decrease.
Under the 2.1812 rollback rate, the owner of a property appraised at $500,000 would pay $1,090.60 in city property taxes.
According to Marcotte, the maximum millage rate allowed by a two-thirds vote of the city commission is 2.5076 mills for fiscal 2025-26.
Under that rate, the owner of a property appraised at $500,000 would pay $1,253.8 in city property taxes.
Any rate higher than 2.5076 mills would require unanimous commission approval.
Commissioner Carol Whitmore said she would not support the rollback rate for the new year. She said an increases in millage, as well as a proposed increase in stormwater assessment fees, would be unfair to taxpayers still recovering from hurricanes Helene and Milton.
“I don’t think we should be raising taxes after a major disaster,” Whitmore said. “How do you think the citizens are going to like that?”
Despite the potential millage hike, the budget is projected to decrease by $1,529,969 next year.
The draft includes roughly $1 million increases in local and storm water revenues, small decreases in 5-center gas tax and half cent discretionary tax revenues, as well as a $3,852,833 decrease in total carryovers and reserves.
On the expenditure side, a $424,422 increase in total personnel services over this year is not enough to make up for a nearly $200,000 decrease in operating expenses, a $1,004,000 decrease in capital outlay expenses and a $751,186 decrease in total assigned and unrestricted funds.
The increase in personnel services can be partly attributed to an average 4.8% salary increase for municipal employees and the potential addition of a 13th officer that would allow the police department to staff a sergeant and three officers per shift.
Whitmore said she also would vote against funding for an additional officer.
“I think we need to hold it tight this year and not add any positions,” she said.
Other commissioners supported hiring a 13th officer.
Commissioner Terry Schaefer said the projected $26,788 increase in funding was the police department’s smallest budget increase over his six years on the board and he is “fully supportive” of hiring another officer.
While public works is requesting the city fund a 15th full-time employee in fiscal 2025-26, the total cost of the department’s salaries is projected to drop by $30,058 due to the replacement of some long-tenured employees with newer staff.
Other notable items featured in the draft include $110,000 for a public works dump truck, $75,000 for possible land purchases, $25,000 for the Center of Anna Maria Island and $5,000 allocations to the Anna Maria Island Historical Society, Keep Manatee Beautiful and the Anna Maria Island Chamber of Commerce.
Commissioners will vote to set a maximum millage rate for the upcoming fiscal year at their next regular meeting at 2 p.m. Tuesday, July 22, at city hall, 5801 Marina Drive.
Two budget hearings will take place in September.
Every failure is an opportunity, storm damage hurts you homes and property, why government feels your pain, time to pay more in taxes because government is hurting too.
Out of curiosity where are those koombayah people that think government should be consolidating resources to eliminate these niggling little problems that may actually improve services with less buy in?
Oh yes the distinction of home rule where the problem is yours for the distinction of being special, like holding up remodeling your home after a flood, even if it is not structural, you need permits and fines for removing and repairing damaged drywall, and don’t worry we are inundated with the permits, but it is in the works may be a month or so, or pay the penalty and risk removal and starting over. Home rule may not benefit but it is home.