- January 19, 2025
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Lower taxes? Volusia County is aiming to adopt the rollback rate of 4.8506 mills — or $4.8506 per $1,000 of taxable value — for next fiscal year’s general fund, meaning residents won’t see a property tax increase. But county staff cautioned the council that looming concerns that could impact the budget in future years.
The Volusia County Council unanimously approved the adoption of the tentative property tax rate at its meeting on Tuesday, July 19.
The tax rate must be reviewed during two public hearings in September to become official. The council also moved forward with a $1.06 billion operating budget, which includes over $352 million of reserves.
Included in next year’s budget is a recommended wage increase of $1 per hour for all county staff; all staff will be earning at least $15 per hour as of Oct. 1.
The last time Volusia County adopted the rollback rate for its general fund was in 2018. In addition to the general fund millage, four other funds are also planned to go to rollback: The library fund (0.4635 mills), Ponce De Leon Port Authority (0.0760 mills), Municipal Service District (1.8809) and Silver Sands Bethune Beach Municipal Service District (0.0129 mills). The remaining four funds — the Fire Rescue District, Volusia ECHO, Volusia Forever and East Volusia Mosquito Control — will all see a rate increase.
“There’s challenges, but you have planned well for an uncertain future,” County Council Chair Jeff Brower said. “I’m really comfortable.”
Brower commended staff for preparing not only a fully funded budget, but one that has increases for public safety and recognizes that taxpayers are facing the same threats of inflation as the county.
“Rollback is awesome,” Councilman Fred Lowry said. “But next year — I won’t be here but I don’t see that happening.”
Lowry, who is running for the Volusia County School Board, said people need to be aware of the future financial impacts of both Amendment 10 and SunRail.
County staff also presented the council with possible challenges for the future: varying sales tax revenue and the need to stay competitive in the labor market.
Aaron Van Kleeck, county management and budget director, said the county had expected to receive $28.6 million in sales tax revenue next fiscal year, but that on July 5, the state Office of Economic and Demographic Research had released county revenue estimates showing the county’s revenue at $25.4 million — $3.1 million less.
“They’re banking on some form of recession, if you listen to a lot of what’s out there,” Kleeck said. “They are calling for a possible recession where it would take a slight dive, flatten out for a year and then start to climb back up.”
He said county staff members are comfortable with the sales tax revenue, but wanted to inform the council as it would impact the 2023-2024 fiscal year, when county staff knows there will be an existing $5.2 million deficit of recurring expenses, which county staff are planning to fill using one-time dollars.
Kleeck also said that the county received a July 15 letter from the Department of Juvenile Justice sating that Volusia’s share of costs is rising next fiscal year by $243,000 over what the county previously budgeted, bringing its share to $2.2 million.
The first public hearing to set the millage rate and budget is scheduled for 6 p.m. Tuesday, Sept. 6.
