Anna Maria Mayor proposes lower millage rate
Mayor Dan Murphy has proposed lowering Anna Maria's current 2.05 millage rate to the 1.8245 rollback rate or even lower. The rollback rate is the rate required to generate the same ad valorem property tax revenues as the current fiscal year, taking into account increased property values.
Murphy made this proposal during the Anna Maria City Commission’s June 27 budget meeting while presenting his final city budget before leaving office later this year. The meeting, focused on projected revenues, was the first of three preliminary budget meetings for the 2024-25 fiscal year budget, which starts on October 1.
Murphy stated, “We’re not going to go in at 2.05. We’re actually going to start at the rollback rate which will yield $4.24 million in ad valorem property tax revenues. I think we can actually bring it in under the rollback rate and provide all the services we need to provide for the residents of this city, so the property owners and the homeowners of our city could experience a tax reduction. I hope that you could share that goal with me as we go forward with the budget.”
The commission showed initial support for the proposed millage reduction. Murphy explained that a budget based on a lower millage rate would be “lean and mean” while still delivering the services and benefits residents and property owners expect. He emphasized, “It’s not like we’re going to live in austerity. We maintain or improve our quality of life, yet we do it with less money because we do things more efficiently and we utilize what we’ve got in terms of the carryover from projects we couldn’t finish.”
At 1.8245 mills, Anna Maria property owners would pay approximately $1.82 per $1,000 of assessed property value after homestead and other tax exemptions. According to the Manatee County Tax Collector’s 2024 Preliminary Taxing Authority Report, the taxable value of Anna Maria’s 1,707 properties is $2.32 billion.
Anna Maria’s current 2.05 millage rate is historically the lowest on Anna Maria Island and in Manatee County. In comparison, Holmes Beach lowered its millage rate from 2.15 to 2.05 over the past two years, while Bradenton Beach’s rate has remained at 2.3329. Anna Maria property owners also pay Manatee County property taxes, with the county’s 2023 millage rate at 6.2326, along with taxes from various local districts.
City revenues for the 2023-24 fiscal year totaled just over $10.1 million, with projections for the 2024-25 fiscal year at $18.1 million, including $6 million in unspent project funds carried over into the new fiscal year. Murphy said $12.8 million is already earmarked for specific projects and expenditures, with the remaining $5.3 million not yet allocated.
Murphy noted that $1.28 million of the projected $3 million in stormwater revenues is carryover from the current fiscal year, with some projects delayed due to contractor labor shortages. Stormwater revenues come from the Southwest Florida Water Management District, FEMA, and annual stormwater assessment fees levied on Anna Maria property owners.
Regarding stormwater projects in the new budget, Murphy said, “When this is completed, the whole city is covered with vertical infiltration and stormwater treatment.”
Projected revenues also include a previously approved $2.6 million state appropriation for the Reimagining Pine Avenue safety improvement project and an additional $185,094 in remaining American Rescue Plan funds for new Pine Avenue streetlights.
Murphy mentioned that Governor Ron DeSantis recently vetoed the city’s $475,000 state appropriation request for a public comfort station near city hall and the Island Players. However, Murphy expressed optimism about securing $288,000 in tourist development tax revenues to fund the project, with support from Bradenton Area Convention and Visitors Bureau Executive Director Elliott Falcione.
Commissioner Mark Short discussed tax exemptions for Manatee County property owners, noting the potential to increase the senior citizen tax exemption to the full $50,000 allowed by the state. “As we move forward, I would like to take that into account,” Short said.
The mayor and commission will discuss operating expenses on Thursday, July 18, and capital project and improvement expenses on Thursday, July 25, when the tentative millage rate will also be set. Both meetings start at 5 p.m. The final millage rate will be set on Thursday, Sept. 12, with the final budget adoption on Thursday, Sept. 26.