by SC Reporter Emilie Alfino
At the first budget hearing September 9, 2024, the Sanibel City Council was required to adopt resolutions approving the tentative millage rates and tentative budget. These are the tax rates and tax levies that will be advertised for consideration of adoption at the final budget hearing on September 23 at 5:30 p.m. at BIG ARTS, 900 Dunlop Road.
The operating millage rate provides most of the funding for general government operations. The 2.5 millage rate adopted in the tentative budget on September 9 will generate $11,300,552. The total city tentative budget is $233,208,969. Note, however, that without storm recovery impacts, the budget would be $84,059,436 without grants/loans, less than FY 2024 at $81,246,927 without storm impacts, and close to FY 2023 at $84,029,407.
The key points of the tentative budget are as follows:
• The tentative budget includes an operating millage rate of 2.5000 mills in the General fund that is levied on a taxable property value of $4,660,021,567 as assessed by the Lee County Property Appraiser. The rolled-back rate (the tax rate that generates the same revenue as the prior year) is 2.4848 for FY 2025. Savings realized by the average homeowner by using the rolled-back rate would be approximately $8 per year.
• The requested position of an Ombudsman that was budgeted in the City Manager’s office has been removed from the fiscal year 2025 Tentative budget. This reduced the budget request in the General fund by $104,020;
• The budget includes $3.8 million in transfers out of the Hurricane Ian fund. This funding is from the anticipated receipt of a $9.9 million revenue replacement grant from the State of Florida; and
• The budget includes $5.9 million in disaster reserves in the General fund and $1.0 million in disaster reserves in the Sewer fund.
For perspective, residential annual taxes break down this way: Lee County School Board 36.5 percent, Lee Couty 26.0 percent, Independent Districts 19.2 percent, and City of Sanibel 18.2 percent.
While the rolled-back rate would produce some savings for taxpayers, it would be very minimal. “Our businesses are suffering, yes,” said Mayor Richard Johnson, “but the City also has many challenges it’s facing. We’re sending a message to our taxpayers but also to our legislators” from whom we have the potential to seek millions of dollars.”
To see the City’s Online Budget Book and the Budget Hearing Presentation, click here.