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Palm Bay tentatively sets operating millage at 6.7339 as council debates possible cut toward 6.5
Summary
At a Sept. special meeting, Palm Bay read a TRIM notice adopting a tentative operating millage of 6.7339 for FY2026, above the rollback rate; the increase was attributed to higher police and fire pension obligations, vehicle and equipment purchases, and road maintenance. Councilman Mike Hammer urged exploring a lower rate; no final vote is recorded in the provided transcript.
The Palm Bay City Council opened a special meeting and read a statutorily required TRIM statement that tentatively sets the city’s operating millage rate at 6.7339 for the fiscal year beginning Oct. 1, 2025 and ending Sept. 30, 2026. Morton read the statement into the record, saying the tentative rate “exceeds the trim current year aggregate rollback rate of 6.4071 by 5.1%.”
The announcement, read aloud to the council and public, tied the increase to several budget drivers. Morton said funding required for police and fire pension contribution obligations totals $11,000,000 and represents a 30.6% increase from the previous fiscal year. He also listed roughly $2,900,000 in high-priority funding needs, a $2,500,000 contingency for emergencies and replacements, $4,500,000 for heavy fire and rescue vehicles (including four engine-quints and one new heavy rescue), and $3,250,000 for annual road maintenance investments. Morton also read a tentative debt millage rate of 0.9993 and cited debt-service obligations for several general obligation bond series due in FY2026.
Morton also announced a required public hearing on the tax increase to be held Wednesday, Sept. 24, 2025, at 6 p.m. in Palm Bay Council Chambers, 120 Malabar Road SE.
Council action to set the rate moved forward when Morton made a motion to adopt the operating rate at 6.7339; the moderator stated the motion was seconded by Deputy Mayor Jaffe. The provided transcript ends during discussion and does not record a roll-call vote or final tally on the motion.
Council discussion that follows in the transcript centers on the size of the increase. Councilman Mike Hammer said he did not feel comfortable with “the 6.3 or the 6.73” and asked whether the council could “possibly lower our millage rate to possibly a 6.5,” while acknowledging ongoing city needs and the need to catch up on obligations.
The city’s statement and the motion to set the tentative rate were presented to meet statutory advertising and notice requirements; the council must publish a tentative rate to trigger required public hearings before final adoption. A public hearing on the tax increase was scheduled as part of that process. The transcript does not contain a final vote or adoption of the debt millage rate in the excerpt provided; the council’s next steps are to advertise the tentative rates and proceed through the required public hearing process.
