Lake County adopts tentative FY2026 millage rates, approves tentative budget and sets final hearing

The Lake County Board of County Commissioners at a public hearing in the Board of County Commissioners chambers in Tavares adopted tentative millage rates for fiscal year 2026, approved changes to the recommended budget, adopted a tentative FY2026 budget and set a final public hearing for Sept. 23, 2025.

County Manager Jennifer Barker told the board the proposed millage rates are largely unchanged from 2025 with two exceptions: the Wellness Way MSTU was reduced about 50% at the board’s direction, and the public-lands voted debt MSTU was reduced because the underlying debt will be fully paid in 2026. "The millage rates remained status quo with 2 exceptions. The Wellness Way MSTU has been reduced by 50%," Barker said. Allison Tessier, director of the Office of Management and Budget, described the hearing as the first of two required under state law and explained the rollback-rate comparison used to calculate the change from last year.

Why it matters: the tentative decisions set the tax-rate ceiling and the county’s spending plan ahead of final adoption. The proposed package funds all county departments and constitutional offices, adds 57 requested positions, and earmarks $7.6 million for road resurfacing while county operating reserves remain lower than recommended because $15 million was used for Hurricane Milton recovery.

Key numbers and provisions

- Revised general fund millage: adopted as 5.0254 mills (reduced in a later motion from the initially posted 5.0364 to offset approximately $493,784 in revenue). Tessier read the final set of tentative millages as: general fund 5.0254; ambulance MSTU 0.4629; fire rescue MSTU 0.48; stormwater/parks/roads MSTU 0.4957; Water Authority 0.294; Wellness Way MSTU 0.4585; Public Lands voted debt 0.04.

- Aggregate rate and property values: Tessier said countywide taxable values rose about 11.6%, an increase she described as roughly $4.6 billion, including about $2 billion in new construction. Based on Florida Department of Revenue calculations presented at the hearing, the proposed aggregate rate of 6.2481 mills is about 5.24% over the aggregate rollback rate of 5.937 mills.

- Budget totals and reserves: staff presented recommended changes that updated fund balances, rebudgets for ongoing projects, and grant adjustments tied mostly to transit grants. The board adopted recommended changes to the FY2026 budget and a tentative budget the clerk read into the record (the amount read at the hearing was recorded verbally and will be finalized in the clerk’s adopted budget documents). Operating reserves are budgeted at about 11.06% of the operating budget, down from 19% in the adopted 2025 budget following use of roughly $15 million of reserves for hurricane recovery.

- Salaries and positions: the proposed budget raises the county minimum wage by $1 to $16 per hour; staff said non‑bargaining employees would receive either a $1-per-hour raise or a 4% raise, whichever is greater, to reduce compression. The recommended budget includes 57 new positions, of which 50 are for Fire Rescue (paramedics, EMTs and firefighters), three positions funded by the Lake County Water Authority and one position funded with opioid settlement dollars.

- Capital and roads: the proposal sets aside $7.6 million for road resurfacing in FY2026, with about $4.5 million coming from the general fund. Commissioners debated using anticipated FEMA reimbursements from Hurricane Milton to both rebuild reserves and support resurfacing; staff said the county is actively working with FEMA and submitting documentation weekly. "We're working very closely with them. I think we talk to them at least once a week. We're nags, because my theory is that the more vocal you are, the quicker you get attention," Jennifer Barker said.

Public comment and board discussion

Two members of the public spoke during the hearing. Thomas Crisculo asked whether State Road 44 would be widened between the St. Johns River and State Road 44 in Mount Dora and whether additional curve signage could be added between Cache and Pine Lakes. A staff member and the board explained that State Road 44 is a state facility under FDOT District 5 and that requests for widening must go to FDOT; the county can request additional curve signage and planned to take the concern to FDOT.

Resident Cheryl Pavlaca asked why the county could not roll back millage rates despite the rise in property values. Staff and commissioners cited several drivers of higher costs, including the state-mandated minimum wage increase, higher budgets for constitutional officers (including the property appraiser and sheriff), and a roughly $2 million revenue reduction resulting from state legislation eliminating sales tax on commercial leases. Barker said the sheriff reduced his initial request by $2 million to help fund resurfacing efforts.

Board action and votes (summary)

- Adopt tentative millage rates (as revised on the record): Passed 5–0. The board initially discussed a $500,000 (approximately $493,784) reduction to the general fund millage and approved a final general-fund millage of 5.0254 mills.

- Motion specifying that the $500,000 reduction would not reduce resurfacing funding: Passed 5–0 (board recorded intent that the millage reduction not come from the resurfacing allocation).

- Adopt changes to the FY2026 recommended budget (incorporating the millage revision and rebudgets): Passed 5–0.

- Adopt tentative FY2026 budget (amount read into record at the hearing will be finalized in official documents): Passed 5–0.

- Set final public hearing for adoption of FY2026 millage rates and budget on Sept. 23, 2025, at 5:05 p.m.: Passed 5–0.

What’s next

Staff will finalize carryforward purchase orders and grant rebudgets before the second public hearing. The county continues to work with FEMA on Hurricane Milton reimbursements; commissioners agreed to consider applying a portion of any reimbursements to restore reserves to GFOA-recommended levels and to dedicate remaining proceeds to resurfacing, subject to board direction when reimbursements are realized.

Ending

The board thanked staff and department heads for their work on the budget and adjourned after approving the tentative rates, budget changes and the tentative budget.