HomeMy WebLinkAboutItem 03 Approval to Set Proposed Tentative Millage Rate for Fiscal Year 2022/2023 Budget ocoee
florida
AGENDA ITEM COVER SHEET
Meeting Date: July 19, 2022
item # 3
Reviewed By:
Contact Name: Robert Frank Department Director: Rebecca Robie
Contact Number: X1500 City Manager: •
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Subject: Set Proposed Tentative Millage Rate for Fiscal Year 2022/2023 Budget
' Background Summary:
The TRIM act requires local governing bodies to set a proposed tentative millage rate annually during the month
of July. The property appraiser is then notified of the rate and uses it to advise taxpayers of their proposed tax
levies for the next year. The rate can be lowered during the budget hearings in September as has
historically been done by the City.
Issue:
State Statutes establish levels of approval by the governing body in setting the millage rate. The statutes provide
for a maximum millage that can be levied by the governing body with a majority vote. This maximum millage
rate for the upcoming fiscal year, 7.0701, is an increase over the current year millage (5.0500). The rolled back
rate for 2022/2023 is 4.6361. This rate is lower than the current year rate. The City's overall assessed value
increased by$479,237,979. This is an increase of$2,420,152 at the current millage rate of 5.0500.
The Commission can set the proposed millage for FY2022/2023 up to 7.7771 with.a super majority vote by the
Commission. This millage rate would generate $31,786,486 in ad valorem revenues. A millage rate higher than
the 7.7771 would require a unanimous vote by the Commission.
Recommendations:
Staff recommends the,commission set the proposed tentative millage at 5.0500 mils. This is a tentative rate and
will allow the commission room to adjust during review and discussion of the proposed budget. The commission
can set the proposed rate in September at or below this rate. Should the commission wish to set the proposed
tentative millage rate higher than 7.0701 it can do so, however it would require a super majority vote tonight.
Attachments:
Attached to this staff report is a chart of the revenue amounts generated at the various millage levels compared
to the budgeted amount for this fiscal year. The amounts reflected in the chart are adjusted to a collection rate
of 95%.
Financial Impact:
This will provide the rate to determine ad valorem proceeds to include as revenue in the FY 2022/2023 budget
Type of Item: (please mark with an "x")
Public Hearing For:Clerk's Dept Use:
Ordinance First Reading x Consent Agenda
Ordinance Second Reading Public Hearing
Resolution Regular Agenda
x Commission Approval
Discussion&Direction
Original Document/Contract Attached for Execution by City Clerk
Original Document/Contract Held by Department for Execution
Reviewed by City Attorney N/A
Reviewed by Finance Dept. fld�� 't (1 IR 1 ZZ N/A
Reviewed by () N/A
•
City of Ocoee
»d Valorem Revenue Calculations
2022/2023oudget
FY 22/23Ro|led
Current Rate Proposed Rate back rate Super Majority
2223 (majority vote) (majority vote) (majority vote) Majority vote vote
s.o� ! / s.os ! S.osoO 4.a3az . 7'0701 | � 7.7771
!
-- - - ' - _ ' _ - '- _'- - -- -_
Ad Valorem Revenues(97%) 27\673'553 19,608,294 19'508294 1E\001,191 27,452,000 31,786,486
17,309,150 17,309,150
Difference from current year budget 2,289,144 2,299,144
Difference from current mi||age rate(FY2O/2I) ' (1,607,104) 7,843'706 12'178'192
Difference from proposed mi||aOe rate(FY21/22) (1,007,104) 7,843,706 12'178,192
Gross Taxable Value(Z1/2Z)
4.O8f�
- - -- - - ' -90,0751-
Gro�T�aNpVa�e�O��
� — 3.607.952,090 O
Change in Taxable Value 478237,978 1328% *
Value of1mil * $ 3.647500 * $ 3,847506 3,847,506 * $ 3,647.506 3,851.865