Tallahassee officials accept first-quarter budget update, approve amendments and commission fire-fee study

Tallahassee commissioners on Feb. 12 accepted a first-quarter budget update, approved several budget amendments totaling about $6.6 million and directed staff to commission a study of the city’s fire services assessment and fees to ensure the fire protection fund is fully funded.

The action came during a single-topic budget workshop where City Manager Goh and budget staff presented early fiscal-year 2025 results, assumptions for fiscal 2026 and capital plans through 2030. City staff highlighted a projected general-fund shortfall of roughly $3 million to $5 million under current assumptions and recommended steps including a revised fire assessment, modest workforce cost assumptions and continued reliance on enterprise transfers and grants.

City Manager Goh said the quarterly review lets officials “lay out the assumptions” and spot trends as they develop. Robert Wigan, a member of the budget team, summarized the recommended immediate budget amendments and the proposed next steps for fiscal 2026 assumptions, including a millage-rate assumption at 4.42 mills and a 4% pay raise for general government employees as part of the expenditure assumptions.

Why it matters: city officials said the fire services fund needs attention because recent collective bargaining agreements, inflation-driven construction and design changes for Fire Station 17 and the planned expansion of Station 15 have increased costs. The city also reported reduced annual revenue due to nonpayment for services by Leon County Schools, a matter staff said may require revisiting the schools’ discount arrangement.

What commissioners approved and directed - The commission voted…