City commission approves not-to-exceed millage rate, sets first budget hearing for Sept. 8

Commission President Christina Lambert said the commission approved a resolution on July 17 to set maximum millage rates and schedule the first public hearing on the proposed fiscal 2025–26 budget.

Bridget Souffrant, the city’s chief financial officer, told the commission that "Resolution 172-25 authorizes the mayor to sign the Department of Revenue forms certifying the city's operating not to exceed millage rate of 8.1308, which is 5.39% more than the rolled back rate of 7.7152." She said the resolution also "sets our debt service millage rate at 0.058 for fiscal year 2025–26." Souffrant added that the proposed combined not-to-exceed operating and debt-service millage rate is 8.1888.

The commission was reminded that the not-to-exceed rate may be lowered at a future public hearing but cannot be increased above the rate approved at this meeting. Souffrant explained the rolled-back rate is "the calculated rate that produces the same amount of operating tax revenue for fiscal year 2025–26 as that which is available in the prior year, excluding our new construction." She also said the debt-service millage decreased by 0.0053 to 0.058 and that the 2020 parks and general obligation bond payment for fiscal 2026 is $1,405,000.

Commissioner Peduzzi said he had no objection to setting a not-to-exceed rate at this stage but urged the commission to consider a modest decrease if the budget allows, saying that when property values are strong "we need to look at, you know, potentially providing some relief to our citizens." Commissioner Fox said the board typically sees the full budget by this point and asked to review numbers at the upcoming workshop before finalizing rates.

Ms. Johnson, a staff member, told commissioners the budget process is behind schedule and that the general fund balancing challenge would be "amplified" at the next work session. She confirmed that, despite budget pressures, staff was proposing to keep the operating millage at 8.1308 for now and that the board could reduce the rate after reviewing the proposed budget.

A motion was made to approve Resolution 172-25 and set the first public hearing on the proposed budget for Sept. 8, 2025. The chair called the voice vote; those present voted in favor and the motion carried.

The meeting recessed to reconvene at 5:01 p.m.