City of Atlantic Beach officials recommended on July 20 that the commission adopt the current millage rate of 2.7499 as the budget ceiling for FY 2026–27 while staff prepares contingency plans in case a statewide property-tax referendum affects local revenue.
The recommendation came during the city's second budget workshop, where City Manager Kevin Hogancamp described three millage scenarios and the vote thresholds tied to each. "The rollback rate that we anticipate ... would be 2.5815 mills," Hogancamp said, adding that maintaining the current flat rate would require four of five votes because under the new law the rollback becomes the baseline for voting thresholds.
The discussion focused on how much additional ad valorem revenue the commission could expect if it held the flat rate. Staff estimated keeping the rate at 2.7499 would add roughly $633,000 in new tax revenue for the coming fiscal year; the larger 2.8397 rate would generate still more but trigger a higher voting threshold.
The mayor urged caution. "I would recommend we adopt, as the ceiling, the current millage, 2.7499, and send that in," the Mayor said during the meeting, framing the approach as preserving flexibility while the fiscal picture becomes clearer.
Commissioners asked staff to provide a line-by-line spreadsheet showing what programs and positions would be reduced under lower-millage scenarios. Several members also urged preparing two complete budgets ' one that assumes the referendum passes and one that assumes it does not ' so the commission can respond quickly as revenue information solidifies.
Finance staff flagged a procedural deadline: the city must report a proposed millage to the property appraiser by Aug. 4; whatever range the commission sets on that date cannot be exceeded later. Commissioners said they plan to revisit the issue at the next workshop on Aug. 19 and may call a special meeting if needed.
Next steps: staff will prepare the requested scenario spreadsheets and publish supporting budget materials on the city budget portal ahead of the Aug. 19 workshop.