Fort Walton Beach Council agenda — 06-22-2010 Special-Budget Policy-CANCELLED — reading text

V J z a w w w 220 JaD CU LO m z w OF- a C) N w QN Q w a. ZJ  AGENDA CITY OF FORT WALTON BEACH SPECIAL CITY COUNCIL MEETING June 22, 2010 5: 00pm 1. CALL TO ORDER 2. PLEDGE OF ALLEGIANCE 3. FY 2010 -2011 BUDGET POLICY 3. 1 Discussion - Proposed Millage Rate. Synopsis: The proposed millage rate for the nextfiscal year will be discussed. 3. 2 Discussion - Budget Policy. Synopsis: City Council will review the staff proposal on the preparation of the budget. 4. ADJOURNMENT Any person who decides to appeal any decision made with respect to any matter at this meeting will need a record of the proceedings, and for such purpose may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. ( Chapter 286.0105 F.S.) The City of Fort Walton Beach adheres to the American with Disabilities Act and will make reasonable modifications for access to this meeting upon request. Please call City Clerk Helen Spencer at 850 -833- 9509 to make a request. For Hearing Impaired dial the City Hall TDD # 850- 833 -9925 or 1- 800 -955- 8771 ( TDD) or 1- 800 -955 -8770 ( Voice). Requests must be received at least 48 hours in advance of the meeting in order to allow the City time to provide requested service. City Council Special Meeting June 22, 2010  City of Fort Walton Beach America' s Most Beautiful Beaches 107 Miracle Strip Parkway, SW * Fort Walton Beach, F132548 850) 833 -9500 * Fax ( 850) 833 -9640 www.fwb.org TDD ( 850) 833 -9925 Helen Spencer City Clerk 850) 833 -9509 June 25, 2010 hspencergfwb.org TO: DAILY NEWS Fax # 863 -7834 CUMULUS BROADCASTING Fax # 243 -6806 99 Rock WYZB Radio Country 105 WFTW Talk Radio 1260 WWSF RADIO 98 SURF Fax # 994 -7191 WPSM RADIO 91. 1 FM Fax # 244 -3068 STAR BROADCASTING Fax # 243 -1471 98. 1 100. 3 1400 AM DESTIN LOG Fax # 654 -5982 WEAR CHANNEL 3 TV Fax # 862 -3001 CHANNEL 6 Fax # 862 -1708 PRESS RELEASE CITY OF FORT WALTON BEACH NOTICE OF SPECIAL COUNCIL MEETING The City Council of the City of Fort Walton Beach, Florida, will hold a Special Meeting in the Fort Walton Beach Council Chambers, located at 107 Miracle Strip Parkway SW, on Tuesday, June 29, 2010 at 5: 30 p.m. The purpose of the special meeting is consideration of setting the tentative millage rate for FY 2010/ 11. Any person who decides to appeal any decision made by Council with respect to any matter considered at such hearing will need a record of the proceedings, and for such purpose may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based ( FS286. 0105). The City of Fort Walton Beach adheres to the Americans with Disabilities Act and will make reasonable modifications for access to this meeting upon request. Please call the City Clerk, Helen Spencer at 850- 833 -9509 to make a request. For Hearing Impaired call the City Hall TDD # 833 -9925, or 1- 800 -955- 8771 ( TDD), or 1- 800 -955 -8770 ( Voice). Requests must be received at least 48 hours in advance of the meeting in order to allow the City time to provide requested service. HELEN A. SPENCER CITY CLERK 833 -9509  CITY COUNCIL SPECIAL MEETING June 22, 2010 Special Meeting Agenda Discussion Proposed Millage Rate Synopsis: The proposed millage rate for the nextfiscal year will be discussed Agenda Item Number: 391  CITY OF FORT WALTON BEACH Memorandum DATE: June 16, 2010 TO: Bob Mearns, City Manager FROM: Brandy Wunker, Finance Director Charlotte Dunworth, Budget & Grants Manager SUBJECT: Proposed Millage Rate 1. BACKGROUND 1. 1 Staff held a Budget Policy Meeting with City Council on June 1 to discuss issues critical to developing the FY 2010 -11 budget. 1. 2 There was some City Council discussion regarding the millage rate. 2. DISCUSSION 2. 1 Staff received the preliminary 2010 taxable value from the Property Appraiser on or $ 246K May 28. At the current millage rate of 4. 1986, staff anticipates a 5. 5% decrease in ad valorem revenue in the General Fund and a 10. 5% or $ 100K decrease in the CRA Fund. 2. 2 The rolled -back rate is the millage rate that would generate the same ad valorem tax revenue as the prior year, exclusive of new construction, deletions, boundary changes, and CRA dedicated increment. 2. 2. 1 Staff estimates a millage rate of 4.4543 would generate the same amount of ad valorem taxes in the General Fund as the prior year based on the preliminary taxable value. This rate may change when the Certification of Taxable Value ( DR -420) is received from the Property Appraiser on or before July 1. 2. 2. 2 A millage rate of 4.4543 would offset the anticipated $ 246K decrease in ad valorem revenues in the General Fund. 2. 2. 3 Each 0. 1 mill generates $ 96K in revenue to the General Fund. 2. 3 Of the City' s 9,483 properties on the 2009 tax roll, 7% are tax -exempt and 64% have a taxable value of $l OOK or less. 2. 3. 1 The rolled -back rate of 4. 4543 is estimated to generate the same amount of ad valorem revenue in the General Fund as the prior year. However, the amount of taxes paid by each property owner may not be exactly the same, depending on the extent to which a property' s decrease in assessed value offsets the millage rate increase. 2. 3. 2 A property whose taxable value has decreased 5. 74% would pay the same amount of taxes as the prior year at the rolled -back rate. 2. 3. 3 For properties with no change in taxable value, the rolled -back rate would result in an increase of no more than $ 6. 39 /annually per taxable assessed value of $25K. 2. 3. 4 Each 0. 1 mill equates to a $ 2. 50 annual tax bill per taxable assessed value of $25K. Special Council, June 22, 2010  1800 1600 1400 1200 Si 1000 800 s 600 400 200 0 0$ 0- $ 25K- $ 50K- $ 75K- $ 100K- $ 125K- $ 150K- $ 175K- $ 200K- $ 300K- $ 400K- $ 500K- $ 1M+ 25K $ 50K $ 75K $ 100K $ 125K $ 150K $ 175K $ 200K $ 300K $ 400K $ 500K $ 1M taxable % slue 2. 4 Legislation enacted in 2007 limits the maximum millage rate based on the affirmative vote of the governing body as follows: 2. 4. 1 Majority Vote ( 4 votes) — rolled -back rate calculated using the prior year taxes that would have been levied if the maximum majority vote millage rate had been adopted, adjusted for the change in per capita Florida personal income ( 0. 9811% for 2010 -11). Last year Council adopted a millage rate of 4. 1986, although the maximum majority vote millage rate was 4. 8352. 2. 4. 2 Two -Thirds Vote ( 5 votes) — 110% of the majority vote maximum millage rate. 2. 4. 3 Unanimous Vote ( 7 votes) or Voter Referendum — any millage rate up to statutory limit of 10.0000 mills. General Fund Variance from Variance from Method of Maximum Ad Valorem Maintaining Current FY 2009 -10 Adoption Miilage Revenue Millage of 4. 1986 Revenues Majority Vote 5. 2815 $ 5, 072,963 $ 1, 040, 142 $ 794, 567 4 votes) Two -Thirds Vote 5. 8097 $ 5, 580,307 $ 1, 547,486 $ 1, 301, 911 5 votes) Unanimous Vote or 10. 0000 n/ a n/ a n/ a Voter Referendum 2. 5 The Property Appraiser is required to provide the Certification of Taxable Value