Okaloosa County BOCC — 2013 meeting #1123 (date undetermined) — Budget Policy Document FY14 — reading text

millages indicated in the graph above. If the certification of value from the Property Appraiser shows substantial increases or decreases or the State Legislature makes major legislative changes in valuation, adjustments can be made at that time, depending on the amounts of change and the amounts of any unanticipated mandatory appropriations. Page 6 Local Option Taxes Local Communications Services Tax. The local Communication Services Tax communications services tax represents the 6,313,489 combined amount of taxes that a non-charter county is authorized to levy on communications $7,000,000 services. This local tax replaced various revenue $6,300,000 sources of local governments and is substituted $5,600,000 3,520,000 3,500,000 for the cable television franchise fee for all $4,900,000 3,250,000 3,096,105 2,894,338 counties. 2,650,000 $4,200,000 2,208,919 1,900,000 $3,500,000 1,679,187 These tax revenues distributed to local $2,800,000 governments may be used for any public 851,754 $2,100,000 purpose, including a pledge to repay $1,400,000 indebtedness. As a protection for bondholders, the tax revenues received by local governments $700,000 are deemed to be a replacement source for those $0 2009 2010 2011 2012 2013 tax revenues repealed by the enacting legislation. Actual Budget Projected The Communication Services Tax in Okaloosa County, as of January 1, 2006, is currently levied at 2.3%. The County has no additional increase available for this revenue source. Budget staff estimates the Fiscal Year 2013 revenue to decrease from the Fiscal Year 2012 total of $2,208,919 by approximately (-$529,732) to a total of $1,679,187. Fiscal Year 2014 revenue is estimated at $1,600,000 and currently is accounted for in the General Fund. The last five years of trends and projection are shown above. Local Option Tourist Taxes Local Option Tourist Taxes. Counties, for the most part, are authorized to levy 13,838,894 five separate tourist development taxes 13,128,501 13,092,667 12,561,052 on transient rental transactions pursuant $15,000,000 10,500,000 to Florida Statutes Chapter 125.0104. 10,500,000 10,392,040 10,250,000 $13,500,000 Depending on the particular tax, the levy 9,750,000 8,766,718 $12,000,000 may be authorized by vote of the $10,500,000 governing body or referendum approval. $9,000,000 Generally, the revenues may be used for $7,500,000 capital construction of tourist-related $6,000,000 facilities, tourist promotion, and beach and shoreline maintenance; however, the 1,510,076 $4,500,000 authorized uses vary according to the $3,000,000 particular levy. $1,500,000 $0 Okaloosa County now levies the entire 2009 2010 2011 2012 2013 five percent tourist development tax authorized on all transient rental Actual Budget Projected transactions in the sub-county tourist development tax district. The 1st percent is earmarked for beach, park improvements and maintenance, shoreline protection and restoration Page 7 improvements. The 2nd percent provides administration, as well as beach, waterway and tourist destination facilities improvements along with lifeguard services. The 5th percent is used for tourism promotion. The 4th percent is pledged to payment of debt service for the Convention Center. Since Fiscal Year 2011, the Board called a large portion of these bonds, utilizing a Special Redemption provision. The remaining outstanding bonds should be completely called and paid off on October 1, 2013 utilizing this provision. The 3rd percent is for convention center and other facility operations. Fiscal Year 2013 revenue appears