- April 19, 2024
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The rate would require the City Council to cut $290,000 from the budget — not $1.9 million.
The Palm Coast City Council agreed, at its Aug. 2 regular meeting, to set the maximum millage rate for the 2012 fiscal year at 4.0000, or $4 per $1,000 of taxable value.
The rollback rate, or the rate required to generate the same tax revenue as last year, was 4.0552 mills. The city will need to cut about $290,000 to balance the general fund budget with a rate of 4.0000. If the city kept last year’s rate of 3.5000, the city would have had to cut $1.9 million.
Mayor Jon Netts reiterated that a rate of 4.0000 guarantees that the city will raise less money this year than last year.
The City Council unanimously agreed to the rate and also set the first public hearing for the millage rate and budget for 5:05 p.m. Sept. 14, at the Community Center.
Many residents stood before the council Tuesday night and urged members not to increase taxes. (If the rate of 4.0000 stands, most residents will not pay more in taxes.)
Maureen Kelly, a Palm Coast resident and member of the Flagler County Tea Party, told members of the council that residents pay enough taxes already.
“We talked about this last year when you wanted to raise the millage rate, and every one of you said you would make a concerted effort,” Kelly said. “Now we’re here again, and we’re talking about increasing the millage rate for things that should’ve been planned for 20 years ago.”
Charles Ericksen Jr., Palm Coast resident and mayoral candidate, asked the City Council about possibly using the $10 million that has been set aside for the proposed new City Hall to cover the city’s approximate $1.9 million shortfall that would be required to keep the tax rate at 3.5000.
City Manager Jim Landon said that money wasn’t available.
“We don’t have the $10 million and we never said we (had the money),” Landon said. “Even if you have dollars for capital, if you use your savings for day-to-day bills, it’s not sustainable, and it causes problems in the future. We do not have the money in the bank. We never have.”
One resident commended the work of the staff. City Council member Mary DiStefano agreed, saying the city doesn’t brag enough about the cuts it has made.
“We all pay taxes,” DiStefano added. “So please understand that your City Council and city manager ... are really working hard to try to get (the millage rate) down. We have to be wise in what decisions we make.”
