Marion County adopts FY 2025–26 millage rates and budgets after debate over fleet funding and ARPA use

Ocala, Fla. — The Marion County Board of County Commissioners adopted final millage rates and budgets for fiscal year 2025–26 at a final public hearing on Sept. 18, 2025, approving a countywide millage that produced an adopted budget and approving line-item budgets for a range of county and special-district funds.

The board adopted a consolidated set of millage rates and budgets after debate over capital-improvement project (CIP) reallocations, funding for a proposed consolidated fleet facility and whether to use American Rescue Plan Act (ARPA) interest funds to lower property tax bills. The board voted on each taxing authority in sequence and also adopted non‑countywide budgets en masse.

Why it matters: The board’s decisions fix the county’s tax levies and appropriation levels for the coming fiscal year and set near-term priorities for capital spending. The meeting included a detailed debate about moving unspent CIP allocations to a high‑priority fleet facility, how to use roughly $7.8 million in ARPA interest to affect millage or one‑time relief, and how much the county will hold for a future health‑unit facility application to the state.

The board’s actions and votes

- The board adopted a consolidated countywide millage resulting in an overall county millage of 4.02 mills and adopted budgets that the clerk and staff recorded in subsequent resolutions. The adopted totals discussed on the record included an adopted countywide budget line and several non‑countywide funds; the board approved the major countywide and special‑district budgets during the hearing (motions and tallies are below).

- After staff presented a CIP reallocation proposal that would move project budgets to increase the proposed consolidated fleet facility budget, commissioners asked for further review and agreed to a dedicated workshop before moving forward with construction. The county administrator said property for a new fleet location had been secured but commissioners questioned the timing and the project’s estimated cost.

- The board discussed using ARPA interest and other one‑time funds to reduce the millage or to provide one‑time parcel-level relief tied to the solid‑waste assessment, and received a legal opinion that using general‑fund (ARPA interest) dollars to offset a special assessment could carry legal risk. County counsel warned that “the worst case scenario would be invalidating all of your solid waste assessments.” The board instead reached consensus to apply a portion of ARPA interest toward lowering millage and to hold the remainder in reserve, then directed staff to identify where recurring budget reductions would be required next year if one‑time funds reduce current millage.

Key discussion points, amounts and clarifications

- CIP and fleet facility: Staff reported a plan to reassign funds to increase the fleet facility budget to roughly $19,493,000 in the CIP, noting that the total estimated construction cost for a fully built facility is about $24,000,000. Commissioners said they want a workshop and detailed drawings before committing funds; staff and commissioners discussed alternatives including consolidation with the sheriff or city fleet operations and the possibility of leaseback financing. One commissioner said the fleet project showed an $11,000,005.43 shortfall based on prior schedules. The board agreed to free up some monies for reassignment but left certain park‑earmarked funds (identified on the record as $9,921,000‑ish) on hold pending the workshop.

- ARPA interest and tax relief: Staff summarized an option reviewed with the tax collector and property appraiser to apply ARPA interest as a one‑time tax‑bill line item for about 169,000 parcels (about $46 per parcel). County counsel advised there is legal risk to using general fund/ARPA money to offset a special assessment; counsel warned that doing so could invite litigation and might lead to invalidation of assessments. Commissioners discussed alternatives — reducing millage, earmarking funds for parks or capital projects, or holding funds in reserve — and agreed to apply part of the ARPA interest to lower the general‑fund millage and to identify required recurring operating reductions next year if one‑time money is used.

- Marion County Health Unit Trust Fund: Staff confirmed the board set aside reserve dollars for future capital outlay for the county health unit. The board discussed that the county has approximately $1.9 million across the reserve for future capital and a related building CIP (including a $787,972 reserve line). Staff said design costs for a new Bellevue health facility were estimated at about $430,000 and a facilities estimate for a new Bellevue building was roughly $4,000,000. Commissioners agreed to keep the reserve to support grant applications and matching requirements.

Votes at a glance (selected taxing authorities and final outcomes)

- General Fund (countywide): Adopted millage 3.09 mills; adopted general fund budget of $371,376,932. Motion: Commissioner MacLean; second: Commissioner Zalick. Vote: 4–1, Commissioner Stone dissenting.

- Fine and Forfeiture Fund: Millage 0.83 mills; budget $39,139,051. Motion: Commissioner McLean; second: Commissioner Zalick. Vote: unanimous.

- County Transportation Maintenance Fund: Millage 0.00 mills; budget $83,087,002. Motion: Commissioner MacLean; second: Commissioner Zalick. Vote: unanimous.

- Marion County Health Unit Trust Fund: Millage set at 0.11 mills (revised on the record); revised budget $5,135,422. Motion: Commissioner Zalick; second: Commissioner McLean. Vote: unanimous.

- All other countywide budgets (various funds including ARPA, infrastructure surtax, solid waste, airport, opioid, 911 and others): Revised total $627,014,084. Motion (mass adoption): Commissioner Stone; second: Commissioner McLean. Vote: unanimous.

- MSTU for law enforcement: Millage 3.72 mills; budget $126,242,022. Motion: Commissioner Stone; second: Commissioner McLean. Vote: unanimous.

- Fire Rescue and EMS fund: Millage 1.11 mills; budget $104,852,820. Motion: Commissioner McLean; second: Commissioner Stone. Vote: unanimous.

- Selected special tax districts adopted individually (examples): Rainbow Lakes Estates MSTU (0.85 mills; budget $533,125), Marion Oaks MSTU (1.02 mills; budget $3,384,201), Silver Spring Shores special tax district (3.00 mills; budget $2,165,760), Hills of Ocala MSTU for recreation (0.18 mills; budget $180,024). All motions passed as recorded; vote counts for these items were recorded as unanimous on the record.

- Non‑countywide funds mass adoption: The board adopted 53 remaining special tax districts, MSBUs, MSTUs, enterprise, debt service and capital project funds en masse; mass-adoption total $296,629,979. Motion: Commissioner McLean; second: Commissioner Curry. Vote: unanimous.

Discussion versus decisions

- Direction / next steps: The board directed staff to bring back a CIP presentation with revised worksheets and to schedule a dedicated workshop on the fleet facility to review designs, financing options and consolidation possibilities before construction. The board also directed staff to identify recurring operating reductions that would be necessary next fiscal year if one‑time ARPA funds are used to lower the current millage.

- Formal decisions: The board adopted the millage rates and budgets listed above and approved the mass adoption of the remaining non‑countywide budgets. The board also agreed on a rounding approach for certain decimals (for example, settling the health unit millage on the record).

What was not decided

- No final commitment to construct the consolidated fleet facility was made; commissioners asked for a workshop and more detailed drawings and cost information. Several park‑earmarked amounts were explicitly held pending further prioritization.

Quoted on the record

- County counsel Minter warned about legal risk to using general fund/ARPA money to reduce a special assessment: “the worst case scenario would be invalidating all of your solid waste assessments.”

- County staff repeatedly reminded the board that some funds under discussion are restricted or have designated uses (for example, solid waste funds can be used only for solid waste), and that ARPA/one‑time money would require careful planning because it is nonrecurring.

What to expect next

The board asked staff to prepare a workshop on the proposed fleet facility (scope, drawings, financing and potential consolidation options) and to return with final CIP amendments in October. Staff will also identify which recurring expenditures would need reduction in FY 2026–27 if the board uses one‑time funds to lower the FY 2025–26 millage. The adopted millages and budgets were recorded by resolution on the public record as required by Section 200.065, Florida Statutes.