Dunedin keeps millage steady at 4.1345 mills, adopts $156.2 million FY2026 budget

Dunedin’s City Commission unanimously approved a millage rate of 4.1345 mills and adopted the city’s fiscal year 2026 operating and capital budget totaling $156,210,946 at a special meeting on Sept. 23, 2025.

Finance Director Les Tarter told commissioners the 4.1345-mill rate is a 5.43% increase over the rollback rate of 3.9216 mills and “will generate $17,850,000 in the general fund,” with the city budgeting at a 95% collection rate to allow for delinquencies. Tarter also noted the rate produces about $1,135,000 for the city’s portion of CRA/TIF revenues. Staff recommended adoption of the final millage and budget.

The budget, Tarter said, was developed through roughly nine months of review, including two full-day workshops on July 18 and Aug. 6, Board of Finance review and a public hearing on Sept. 11. The commission heard one public comment. Resident Clifford Grama asked why a TRIM notice figure in the newspaper ($19,985,001.62) did not match the budget summary; finance staff explained the TRIM number reflects the 100% tax levy estimate while the city budgets at a 95% collection rate and also accounts for additional CRA/county allocations shown in some budget lines.

Commissioners praised the process and the final numbers. Commissioner Sandbergen (maker of the motion) highlighted investments in water, wastewater, stormwater and solid waste; Commissioner Walker (seconder) noted the thorough workshops and analysis that informed the commission’s comfort with the millage. Vice Mayor Gao and other commissioners commended the separation of operating and capital budgets, saying it provided clearer visibility into increases and priorities. Mayor Franey said keeping the millage steady reflected a “slow, steady, stable” approach amid recent storm recovery and inflationary pressures.

The commission approved Resolution 25-24 (final millage rate of 4.1345 mills) by roll call vote (ayes unanimous) and then approved Resolution 25-25 (final operating and capital budget of $156,210,946) by unanimous roll call vote. Staff noted no changes had been made to the tentative budget adopted on Sept. 11, 2025.

Among line-item clarifications, staff said the Highlander Tennis Courts refurbishment was decreased by $550,000 in the FY2026 column because the project had been budgeted in FY2025; bids came in higher than estimates and the project will be re-bid and rolled into FY2026 for completion. The finance team also said the city budgets an annual $150,000 allowance for delinquencies.

The commission recessed its business and adjourned the special meeting after the votes. The city manager and finance staff said they will continue work on implementation and follow-up items at upcoming meetings.