- February 23, 2025
Change aims to encourage destruction of deteriorated buildings.
Wayne Grant
News Editor
The City Commission gave final approval to the millage rate and budget for the 2015-2016 fiscal year at their meeting on Sept. 23. No changes were made to the millage that was approved in the first reading.
The millage will be 4.2843, but after general obligation bonds are added, it will be 4.557. The bonds, approved by voters, cover construction of a police station, fire station and Andy Romano Park, and all will end when the debt is paid.
Only one person spoke at the City Commission meeting before the vote, Realtor Marvin Miller, of Ormond Beach.
Miller said he looked at his statement from the county property appraiser, known as the TRIM notice, and saw that his total taxes, city and county, for rental property he owns will go up 11.3%.
“I can’t go to a tenant and raise the rent 11.3%,” he said. “This expense is hard on rentals and all nonhomesteaded properties.”
He suggested the city challenge each department to cut expenses by 10%, and made one recommendation, to put parking meters at Andy Romano Park to offset the cost of maintenance.
“I personally don’t like to subsidize parking,” he said. “Users fees are fair and equal for all. One dollar per hour would still be the best deal in town.”
Mayor Ed Kelley responded that there were public several meetings throughout the year and many suggestions were considered.
“I think the city has done a very good job in maintaining the third lowest tax rate in Volusia County,” he said.
There were no other comments about the parking meter suggestion.
Impact fee for businesses revamped
The City Commission gave final approval to an amendment on impact fees at their Oct. 6 meeting which officials hope will encourage businesses to tear down deteriorated buildings.
If a person tears down a building and builds a new one on the lot, he gets an impact fee credits based on several factors. For instance, if the old building had three toilets, and the new building has four toilets, he gets credits for three toilets because he is only adding one.
The problem occurred if the owner was not ready to build the new building right away. If he tore down the building, the impact fee credits would start being reduced 10% per year until a new building would be constructed. If they constructed a building after 10 years, they would not get any impact fee credits. This meant that an owner would sometimes leave an unsightly, deteriorated building in place to preserve the credits.
Planning Director Richard Goss told the commissioners that a couple of people had inquired about the fees.
“This amendment allows an owner to redevelop a property,” he said. “There won’t be a disincentive to tearing the building down.”
Mayor Ed Kelley said he always felt the rule was wrong and suggested the change years ago.
“Impact fees should not be paid on the same property again,” he said.
The City Commission unanimously approved an amendment to the Land Development Code to permit full impact fee credit preservation upon demolition of a building “if approved through a development agreement or some other acceptable legal instrument.”
The Planning Board had earlier given unanimous approval.
