Mayor Holbrook convened the Town of Lake Placid’s July 30 budget workshop, where staff presented a draft fiscal plan for 2025–26 and discussed a range of revenue and expenditure choices that will return to council for formal decisions.

Staff emphasized the budget’s priorities — downtown revitalization, a comprehensive plan review, utility system upgrades and internal operations improvements. “This budget reflects the town’s commitment to fiscal stewardship, community investment, and service resilience,” Staff member Charlotte said during the presentation.

Why it matters: council and the public must weigh proposed rate and fee changes, the planned use of reserve funds, and capital commitments that would draw on the town’s infrastructure reserves. Those choices affect property taxpayers, utility customers, small businesses and frequent users of Lake June Park.

Key revenue and rate proposals

- Millage and tax base: The budget as presented is built on a 3.65 millage rate. Staff showed property-value trends from 2020–25 and warned that state-level proposals to change ad valorem rules could have long-term impacts.

- Utility rates: Staff said the town is seeking to secure long‑term utility sustainability and modernize aging systems. A preliminary water/wastewater rate study is driving a recommended water/wastewater rate increase that staff discussed in the 22% range; presenters said that figure has shifted in analysis and staff were also showing results based on roughly a 25% increase. Staff said they will present specific dollar impacts for customer classes before any vote.

- Sanitation: The draft proposes a $20 annual increase per residential parcel to maintain twice‑weekly collection and invest in newer trucks and bins. Staff said commercial sanitation rates will be reviewed separately because the sanitation enterprise currently operates without reserves and has relied in part on donated bins.

- Employee benefits: Staff presented a possible switch to a lower‑cost health plan that they estimate could save about $101,777.28 annually while retaining wellness and limited supplemental options. Council questioned the net impact and staff said the estimate may change as further analysis is completed.

Fund balance, enterprise reserves and risks

Staff reviewed the town’s fund balance policy and the status of restricted and enterprise accounts. They said the general fund meets the town’s minimum reserve targets but cautioned that some enterprise funds are tight:

- Sanitation: Staff reported the sanitation account “is sitting in a $175,000 negative” position and is below its policy minimum, a recurring issue that prompts monitoring and corrective plans.

- Water/wastewater: Staff said minimum reserve rules (expressed as either months of operating expense or a percentage of the prior budget) require a sizable minimum balance in the utilities. Staff flagged outstanding wastewater loan debt service as an element that reduces available cash in that enterprise.

When reserves fall below policy, the town administrator must submit a corrective plan to mayor and council, staff said.

Business tax presentation and next steps

Saul Gonzalez of the finance department summarized Florida’s Local Business Tax framework (Florida Statute Chapter 205) and the town’s current flat $35 annual business tax. She explained the statutory basis and local ordinance framework and said Lake Placid has historically used the flat $35 levy but that many nearby municipalities use tiered rates to better reflect business size and impact.

Saul described benefits the town currently offers to licensed businesses (parking of flyers, periodic training, occasional fee waivers, police patrol checks) and urged engagement with local owners. Council members said prior workshops had discussed a $55 flat rate and also tiered options; staff clarified no ordinance change has yet been adopted and the town must follow statutory steps to revise the business-tax structure. Staff said business-tax notices for the coming year were mailed under the existing $35 rate.

Public safety and capital projects

Chief Mark outlined several public safety capital requests that were removed from the draft to reduce cost, including an Axon officer‑safety (body camera/taser/evidence storage) five‑year plan quoted at about $34,083.70 per year, replacement of aging radios (staff said three radios quoted near $30,000), workstation replacements after a recent lightning incident that disrupted police systems, and a vehicle replacement. The police department asked council to consider restoring some or all of those items.

Council also discussed a proposed new police facility that staff has estimated at about $1.6 million. Staff said that cost would likely be funded from the town’s infrastructure reserve (a fund that currently reflects years of set‑aside revenue), and councillors asked for more discussion of alternatives, renovation cost comparisons and the planned sequence of sale/repurposing of existing town properties to offset construction costs.

Parks, recreation and Lake June Park concerns

Staff presented a long list of parks and recreation capital needs: lighting upgrades for ball fields, pavilion replacement, bleacher repair or replacement, irrigation system repairs, and playground replacement. Council and residents focused special attention on Lake June Park, where several speakers and council members said playground equipment and safety issues merit prompt attention.

Resident Rosemarie Heath urged action for children and families who use Lake June Park frequently. “These children need a place to play,” she told council, noting the park’s daily use.

Staff noted some park projects may be eligible for Community Redevelopment Area (CRA) funding or state grant programs; they said timing and eligibility vary and recommended council identify priorities for grants and CRA investment.

Cemetery master plan and planning services

Staff said a cemetery master plan and a survey are budgeted because the existing cemetery is nearing capacity; they reported quotes and recommended getting planning work underway. Separately, planning services were shifted to a consultant model; staff said consultant fees for the coming year reflect contracted services and a change in how hours and tasks are allocated.

Wages and staffing

The draft includes funding for two new horticulture positions and other personnel adjustments. Council discussed a proposed across‑the‑board average merit/wage increase embedded in the draft — council members expressed concern about the scale of the proposed increases and urged careful review of wage, hiring and staffing assumptions as the budget process continues.

What happened at the meeting

No formal votes were taken at the workshop. Council directed staff to continue refining the draft budget, to bring clearer dollar impacts for proposed rate and fee changes (utilities, sanitation, business tax scenarios) and to present alternatives for major capital items such as the police facility. Staff were asked to provide clearer back‑up for fund balance calculations and to confirm which CRA expenditures can be used for paving versus new infrastructure.

Next steps

Staff said they will return with more detailed cost impacts and ordinance language where appropriate; the council scheduled continued budget work sessions and the public was reminded of further budget meetings in August.

Ending

Council and staff repeatedly framed the workshop as an early‑stage review: questions remain on revenue estimates, reserves and the order in which projects would be funded. Residents who addressed the dais urged higher priority for playground and park repairs and clearer public communication on fee and tax changes.

A list of primary documents referenced at the workshop (budget booklet, fund balance report, utility rate study excerpts, business tax presentation, CRA plan and cemetery quotes) is available in the meeting packet posted by town staff.