Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Budget topic
No spam. Unsubscribe anytime.
Sunset Beach council adopts $12.23M FY2025–26 budget, holds tax rate at $0.16 per $100
Summary
The Town of Sunset Beach adopted a $12,227,140 budget for fiscal year 2025–26 and kept the ad valorem tax rate at 16 cents per $100 valuation. Council and residents debated returning perceived excess dredging assessment and reserve funds to taxpayers.
The Town of Sunset Beach council adopted the fiscal year 2025–26 budget and set the town's property tax rate at $0.16 per $100 valuation after a public hearing and brief debate.
Council voted to approve the proposed ordinance and the fee schedule presented by Terara Nichols, who said the council reached consensus on a proposed budget totaling $12,227,140. The budget includes a $52,000 appropriation from an assigned fund balance for a replacement vehicle for inspections and preserves the current tax rate with no increase.
Why it matters: A public commenter and town residents urged the council to reduce the tax rate, arguing recent revaluation and a projected inflow of dredging-assessment revenue created an excess. Mark Kramer, vice president of the Sunset Beach Taxpayers Association, urged the council to cut three cents from the town's 16-cent rate, citing a general fund balance the commenter described as about 94% of the annual budget and a projected $875,000 in special-assessment revenue tied to a dredging project.
Council discussion and staff responses focused on the treatment of the $875,000 dredging-assessment estimate. Nichols explained that the assessment is included in the special-assessment revenue line and that if those receipts do not materialize the council could delay or adjust roughly $1.1 million in planned capital purchases, including replacement vehicles and beach equipment. She characterized the general fund's 75% figure as a council-established prudence target informed by peer comparisons from the state Local Government Commission, not a statutory minimum.
Dredging accounting: During public comment the Sunset Beach Taxpayers Association reiterated concerns about how the town had financed dredging work in prior years, asserting the town had initially fronted roughly $3.3 million, needed $2.5 million, and realized approximately $883,000 in interest that the association described as an unexpected ~$1 million surplus. Council postponed formal disposition of a separate resolution to close the dredging fund pending further state guidance; staff said the dredging-close item would appear on the June 13 special meeting agenda.
The motion to adopt the FY2025–26 budget, set the tax rate and approve the fee schedule was moved, seconded and approved by voice vote; the transcript records the voice approval but does not include a roll-call tally.
Next steps: Staff will present May paid-parking revenues and additional material (including dredging fund disposition) at the council's June 13 special meeting. The budget as adopted allows the council to revise capital spending if the dredging assessment differs from projections.
