Commissioners set tentative millage at 4.8530 mils to build reserve against possible Amendment 3

The Fernandina Beach City Commission voted to adopt a tentative millage rate of 4.8530 mils during a Sept. 3 special meeting, setting the tax rate that will underpin the proposed fiscal year budget.

Commissioner Michie urged keeping the higher rate to preserve the city’s long-term financial stability, telling colleagues that the additional revenue should be used to build a reserve and not to fund new recurring expenses. "Our responsibility is to protect the long term financial stability of Fernandina Beach," Michie said. He and other commissioners cited the potential impact of a state constitutional 'Amendment 3' on local property-tax bases and noted new debt service tied to marina work.

Vice Mayor Askew argued for lowering the millage now to return money to residents, saying voters have signaled a desire for spending restraint. "I'm choosing to listen to them and say, hey, let's roll this back, let's give back some money," Askew said.

A motion to set the tentative millage at 4.8530 mils was moved by Commissioner Pointer and seconded by Commissioner Michie; the clerk recorded the motion as passing (vote announced as unanimous). The commission may revisit the millage at its final-adoption hearing on Sept. 15.

Why it matters: Commission discussion focused on balancing near-term taxpayer relief against the risk that a change in state law could sharply reduce municipal property-tax capacity. Keeping the millage now creates an immediate contingency the commission can restrict or reallocate at a later date if conditions change.