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Agenda Item: 15(a) |
Prepared By: Chris Byrne, Fire-Rescue Chief |
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Business: City Council Item |
Department: Fire-Rescue Department |
Title
Resolution - Authorizing the City’s Intent to Use the Uniform Method for Collecting Non-Ad Valorem Special Assessments for Fire Services and Authorizing the City Manager to Execute a Contract with Accenture LLC to Conduct a Fire Service Assessment Fee Study in an Amount Not to Exceed $65,000 - Chris Byrne, Fire-Rescue Chief, Fire Rescue Department
Body
BACKGROUND:
The concept of a Fire Service Assessment was presented to the City Council during the FY 2027 Revenue Workshop on May 18, 2026. The adopted FY 2027 Fire Rescue Operating Budget includes $65,000 to conduct a consultant study evaluating a potential non-ad valorem special assessment for fire services.
A Fire Service Assessment is being considered as an alternative funding mechanism for the City’s Fire Rescue Department. If implemented, the assessment would provide a stable and dedicated source of revenue that is not directly affected by fluctuations in property values. The assessment would be established at a fixed rate and allocated based on each property’s proportionate share of the cost of providing fire services.
To preserve the City’s ability to consider implementing this funding option for FY 2028, City Council approval of the following two items is requested:
1. Resolution of Intent
In anticipation that the City may consider developing and implementing a non-ad valorem special assessment program to fund fire services within the incorporated area of Marco Island beginning in FY 2028, the City must complete the following requirements to use the uniform method of collection through the annual property tax bill:
a) Adopt a resolution expressing the City’s intent to potentially use the uniform method for collecting non-ad valorem special assessments; and
b) Publish a notice of intent in a newspaper of general circulation once a week for four consecutive weeks immediately preceding the public hearing on the resolution.
Adoption of the resolution does not obligate the City to impose a Fire Service Assessment or ultimately use the uniform method of collection. It only preserves the City’s ability to consider this option in the future.
The resolution must be adopted by January 1, 2027, and provided to the Collier County Tax Collector, the Collier County Property Appraiser, and the Florida Department of Revenue by January 10, 2027.
2. Fire Service Assessment Study
The proposed Fire Service Assessment Fee Study will evaluate the feasibility of establishing a non-ad valorem special assessment to fund eligible fire protection services and provide a dedicated revenue source supporting the City’s fire service operations. The study will provide the financial, technical, and legal support necessary for the City Council to make an informed decision regarding whether to establish a fair, equitable, and legally supportable Fire Service Assessment.
The study will be conducted in two phases:
Phase 1: October 2026-May 2027
Phase 1 will analyze the City’s fire service costs, identify eligible assessable services, evaluate benefit and cost-apportionment methodologies, and develop assessment rate and revenue scenarios for City Council consideration. This phase will also examine the allocation of assessable costs among affected property classifications.
Phase 2: June 2027-September 15, 2027
If the City Council elects to proceed with the assessment, Phase 2 will support the formal rate-adoption process. This work will include preparing the required documentation, developing the final assessment roll, and assisting the City with applicable implementation requirements.
Procurement Strategy
Staff recommends utilizing the contract competitively solicited and awarded by the City of Orange City under RFP No. P275-0-2025/MHH for the Fire Service Assessment Fee Study. Piggybacking this contract provides the City with favorable pricing while maintaining the project schedule necessary for City Council to consider a potential fire service assessment during the FY 2028 budget process.
FUNDING SOURCE / FISCAL IMPACT: Funding for the Fire Service Assessment Fee Study is included in the FY27 Fire Rescue Department Operating Budget under Professional Services.
PUBLIC NOTICE REQUIREMENTS: Publish notice of its intent to use the uniform method for collecting such assessment weekly in a newspaper of general circulation within each county contained in the boundaries of the local government for 4 consecutive weeks preceding the hearing. (197.3632 F.S.).
NOTICE APPEARANCE DATE(S): September 22, 2026; September 29, 2026; October 6, 2026; October 13, 2026.
RECOMMENDATION: Approve Resolution 26-66, authorizing the City’s intent to use the uniform method for collecting non-ad valorem special assessments for fire services and authorizing the City Manager to execute a contract with Accenture LLC to conduct a Fire Service Assessment Fee Study in an amount not to exceed $65,000.
POTENTIAL MOTION: “I move to approve Resolution 26-66, authorizing the City’s intent to use the uniform method for collecting non-ad valorem special assessments for fire services and authorizing the City Manager to execute a contract with Accenture LLC to conduct a Fire Service Assessment Fee Study in an amount not to exceed $65,000.”