The Safety Harbor City Commission voted 5-0 Monday to adopt a tentative millage rate of 3.95 mills and a tentative fiscal year 2025–26 budget of $132,329,870, with a second budget hearing scheduled for Sept. 22 at 6 p.m. in commission chambers.

City staff told the commission the 3.95‑mill rate exceeds the rollback rate of 3.8657 by 2.18 percent and will generate $8,755,206 in general‑fund ad valorem revenue based on a taxable value of $2,216,507,730, a 7.02 percent increase over last year.

Vicky, a city staff member leading the budget presentation, said the proposed millage is unchanged from the current year and that the increase in taxable value raises ad valorem revenue by $574,577. She said the tentatively proposed citywide budget totals $132,329,870 and that the general fund operating appropriations total $21,168,690 with a total general fund budget of $34,695,970.

The budget proposal includes staff pay adjustments and benefit cost increases: up to 6 percent across‑the‑board raises and a 2.5 percent midyear market adjustment for nonunion employees, a 10.5 percent health insurance increase and a 7.5 percent increase for law enforcement regular services. Vicky also said the budget implements a step plan for IAFF firefighters within the new CVA. She said the Finance Advisory Committee recommended approval of the millage.

The commission took no public comment; the item drew only staff and the five commissioners during the session. A motion to adopt Resolution 2025‑08 setting the fiscal year 2025–26 tentative millage rate at 3.95 mills carried 5‑0. The commission then voted 5‑0 to adopt Resolution 2025‑09 establishing the tentative FY 2025–26 citywide budget of $132,329,870.

Mayor Ayou thanked staff after the votes and said, “I think the city is in good shape moving forward as a result of tonight’s votes and action.”

The commission will hold the second budget hearing Sept. 22 at 6 p.m.; the tentative millage and budget will remain subject to changes before final adoption.