FULL STORY: Millage rate flat at 1.8872

Longboat Key property owners won’t be seeing an increase in tax rates for the fiscal year 2011-12.

The Longboat Key Town Commission unanimously approved a millage rate of 1.8872 mills Monday, Sept. 26, on second reading, holding the rate flat from the previous fiscal year. One mill is equal to $1 for every $1,000 of assessed valuation.

The commission also unanimously approved on second reading a budget for the fiscal year that includes a $14,221,684 general fund budget — a decrease of $201,579, or 1.4% from the previous fiscal year.

Additionally, the commission unanimously approved on first reading an ordinance amending the 2010-11 fiscal year budget to transfer $268,364.81 from the town’s General Fund to the Town Manager Severance Fund to provide for severance amount as provided in Town Manager Bruce St. Denis’ contract with the town.

According to a budget memo prepared in August by St. Denis, the recommended budget was prepared based on a 4.23% reduction in property values, resulting in a reduction in ad valorem revenues of $375,000 based on the current millage rate.

The original budget St. Denis proposed in June included a 2.6% millage increase, which would have raised the rate to 1.9367 mills, although the final proposed budget presented in August contained $285,000 in expenditure reductions. The final budget contained a $52,400 surplus, which allowed the town to resume contributions to organizations such as Solutions to Avoid Red Tide and Sarasota Bay Estuary Program. At a budget workshop earlier this month, commissioners eliminated a proposed 5% business tax hike, which reduced the surplus by $8,000.

The current budget includes no cost-of-living allowance (COLA) or merit raises for employees.