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Agenda Item: 6(a) |
Prepared By: Guillermo Polanco |
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Business: Public Hearing |
Department: Finance |
Subject:
Title
Resolution Adopting the Final FY2022 Millage Rate - City of Marco Island
Body
BACKGROUND:
City Council is requested to consider the attached resolution setting the millage rate for the 2022 City Budget. This resolution conforms with the tentative millage rate set at your September 7, 2021 City Council meeting per Resolution 21-36.
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 final millage rate is the rolled back rate of 1.7088 mils for City operations.
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 1.7566 mils.
3. The current year proposed aggregate millage rate is 1.7845 mils.
4. The change over the aggregate rolled-back rate is an increase of 1.59 percent.
5. The millage rate to be levied is 1.7088 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 June 24, 2021 meeting recommended a tax levy of 1.500 mil for district operations.
FUNDING SOURCE / FISCAL IMPACT: The fiscal year 2022 budget is presented in balance and the operating millage rate of 1.7088 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 final 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 1.7088. The operating millage can be reduced in the motion below, but not increased from the proposed rate of 1.7088 mils, as submitted to the County Property Appraiser.
POTENTIAL MOTION: “I move adoption of Resolution 21-41 authorizing a final tax levy and millage rate of 1.7088 mils for City operations for the City of Marco Island, exclusive of dependent taxing districts.”