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Agenda Item: 6(a) |
Prepared By: Melissa Raynor, Budget Manager |
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Business: Public Hearing |
Department: Finance |
Subject:
Title
Resolution - Adopting the Tentative FY2024 Millage Rate - City of Marco Island - Guillermo Polanco, Director, Finance
Body
BACKGROUND:
City Council is requested to consider the attached resolution setting the tentative millage rate for the 2024 City Budget. This resolution conforms with the discussions at your July 24, 2023 City Council meeting with respect to the tentative millage per Resolution 23-29.
Section 200.065, Florida Statutes, governs the budget adoption process. The Truth in Millage (“TRIM”) statute establishes a detailed timeline and approval process that requires two public hearings held in the month of September and separate actions for establishing the tax levy and for approving the annual budget.
To comply with the TRIM regulations, City Council is required to take separate actions in a specified order. At each of the public hearings, the public may speak and ask questions before Council adopts any measures. Council must then adopt a millage rate before it adopts a budget. The millage rate and budget must be adopted by separate votes at the advertised hearing. The final millage rate adopted at the second hearing cannot exceed the tentatively adopted millage rate.
The proposed tentative millage rate is the rolled back rate of 1.3137 mils for City operations. Any change approved by City Council will be reflected in the resolution adopting the final millage rate.
At the hearing, prior to adoption of the millage levy resolution, the following must be announced:
1. The name of the principal taxing authority is the City of Marco Island, Florida.
2. The current year aggregate rolled-back rate is 1.3818 mils.
3. The current year proposed aggregate millage rate is 1.3980 mils.
4. The change over the aggregate rolled-back rate is an increase of 1.17 percent.
5. The millage rate to be levied is 1.3137 mils for City of Marco Island.
6. The City has a dependent special district and the Board of Supervisors of the Hideaway
Beach Special Taxing District at their May 9, 2023 meeting recommended a tax levy of 1.600 mil for district operations.
FUNDING SOURCE / FISCAL IMPACT: The fiscal year 2024 budget is presented in balance and the operating millage rate of 1.3137 will support the budget as discussed by City Council. The proposed budget continues the process of eliminating the requirement to borrow money to pay for renewal, replacement, and improvement of currently owned assets by accumulating funding to build reserves for a prescribed list of projects. No debt service millage is needed since the Veteran’s Park voted debt service has been repaid as scheduled
RECOMMENDATION: Conduct the public hearings required by TRIM regulations and approve the resolution adopting tentative tax levy millage rate. The rate to be considered at the second public hearing can be lower, but no higher than the rate approved at this first hearing. The budget is based upon an operating millage rate of 1.3137. The operating millage can be reduced in the motion below, but not increased from the proposed rate of 1.3137 mils, as submitted to the County Property Appraiser.
POTENTIAL MOTION: “I move adoption of Resolution 23-40 authorizing a tentative tax levy and millage rate of 1.3137 mils for City operations for the City of Marco Island, exclusive of dependent taxing districts.”