The Fort Lauderdale City Commission on Sept. 12 adopted a $1,194,366,687 final budget for fiscal year 2026 and maintained the city's operating millage at 4.1193, voting 4-1 with Vice Mayor Herbst opposed.

The budget's adoption funds city operations for the period beginning Oct. 1, 2025, and includes a $75 increase in the annual residential fire assessment to $403 and several non-ad valorem assessments and district budgets approved during the meeting.

City Manager delivered the budget presentation, saying the final plan maintains the millage at 4.1193 and funds increases in wages, benefits and capital equipment. "The final budget is premised on funding increases in wages and insurances, funding key commission priorities and community investment plan projects, and maintaining a healthy fund balance," the City Manager said during the hearing.

Why it matters: keeping the millage unchanged preserves the city's longstanding rate while the budget accommodates rising personnel and benefit costs. Commissioners and members of the public debated whether the unchanged rate effectively raises property tax bills because of rising property values.

Key votes and actions: the commission approved the final operating millage (4.1193) and a final debt service millage of 0.2306; the aggregate final millage including the Sunrise Cay dependent district is 4.123. The final budget resolution passed by roll call: Vice Mayor Herbst voted No; Commissioners Glassman, Beasley Pittman and Sorensen and Mayor Trentales voted Yes.

The meeting also approved several related assessments and district budgets by unanimous or near-unanimous votes during the hearing, including:
- Central Wastewater Region large user wastewater rate (resolution approved by roll call).
- Adoption of the final five-year Community Investment Plan for 10/01/2025' 09/30/2030.
- Stormwater management program assessment (fiscal 2026 assessment estimated to generate $42,030,429).
- Lauderdale Isles Water Management District non ad valorem assessment (a $15 per-parcel assessment projecting $8,265 in revenue).
- Nuisance abatement non ad valorem assessment (estimated revenue $29,062.62).
- Utility undergrounding assessment for Los Olas Isles (assessment $1,712.75 per equivalent benefit unit; estimated revenue $501,150).
- Beach Business Improvement District assessment (rate 0.8525 per $1,000 of assessed value; projected revenue ~$1,285,343).
- Sunrise Cay Neighborhood Improvement District millage (1.0000 mill) and $223,168 budget for fiscal 2026.

Public comment and commission discussion: several speakers urged different priorities. Chris Nelson, a Flagler Village resident, told commissioners that keeping the millage is effectively a tax increase because rising property values increase tax bills and said, "when you say the millage rate needs to stay the same, this is really an increase in property taxes." Nelson and Vice Mayor Herbst urged reductions in staffing and departmental spending; Herbst told the commission, "We could easily cut 50 basis points off our millage," and later gave an illustrative estimate that roughly $60 million in taxable value equates to about $1 per mill.

Commissioners and staff pushed back on timing and process. Mayor Trentales and other commissioners noted multiple budget workshops and said some commissioners missed earlier joint workshops with the Budget Advisory Board where changes could have been raised. The City Auditor explained the auditor's role as review and recommendation rather than policy-setting; the auditor confirmed the office provides recommendations to management based on audit findings.

Reserves and credit rating discussion: commissioners debated the city's fund balance target. City staff said the city is pursuing a 25% fund-balance target and plans an October budget amendment to appropriate roughly $14 million above that target to advance capital projects; staff estimated the resulting fund balance would remain about $110 million to $120 million. Commissioners agreed staff would consult with bond rating agencies on the fiscal tradeoffs of any reserve reduction.

Airport payment in lieu of taxes (PILOT): Commissioners asked staff to explore whether a payment in lieu of taxes from the Fort Lauderdale airport is feasible under FAA rules; City staff said the city previously charged a PILOT, that the FAA reviewed the practice, and that a renewed review and a Matrix Consulting-style study would be needed before any change.

Other public comments: supporters of specific programs spoke during the budget hearing. Joe Kenner, president of Hope South Florida, thanked the commission for a $200,000 allocation for a safe overnight parking pilot for people living in vehicles. Joe Cox of the Museum of Discovery and Science and Bonnie Clearwater of NSU Art Museum Fort Lauderdale thanked the commission for continued city support for cultural programming. Ansel Pratt of the Early Learning Coalition of Broward County described the city as home to the county's largest School Readiness subsidized child-care population and noted the city's local match draws state and federal funds to stabilize child-care providers.

What the commission decided: beyond approving the final budget and millage, the commission approved the set of related special assessments and district budgets required to fund stormwater, undergrounding, fire protection, nuisance abatement and business improvement district services. The City Manager and staff were directed to return with follow-up analyses on the airport PILOT concept and the planned fund-balance amendment.

The meeting concluded after the commission's formal roll-call approval of the final budget resolution.