Brevard County's proposed budget rises to $2.24 billion, with reduced property tax rate

Brevard County Manager Frank Abbate is asking the County Commission to increase next year's budget by nearly 10% from the one commissioners approved a year ago to pay for such items as widening Ellis Road in Melbourne, upgrades to the county jail and fixing miles of sidewalks across the county.

But while the budget is proposed to increase to $2.24 billion, the proposed property tax rate decreases due to rising property values and new construction.

Because of limits on how much a property's value for taxing purposes can increase each year, some homeowners could see a drop in the county portion of their property tax bill for the coming year, even if the market value of the property soared.

In his 16-page budget message, Abbate told county commissioners that this budget exemplifies their "dedication to providing responsive, quality services to residents, maintaining fiscal sustainability, and decreasing property tax rates."

Abbate noted, however, that the county "has faced considerable challenges, such as a competitive labor market, rising operational costs and supply-chain disruptions," as well as rising health, property and casualty insurance costs.

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Abbate's budget proposal stays within the parameters of the cap on property tax increases detailed in a voter-approved provision within the Brevard County Charter. Under that provision, the amount of money raised through taxes on existing properties cannot be more than 3% unless a "supermajority" of at least four of the five commissioners agrees to do so.

Because the formula excludes property taxes raised from new construction, the continued boom in construction within Brevard County helps in balancing the budget without busting the charter cap. All the taxing districts are in compliance with the charter cap provisions.

The proposed $2.24 billion budget for the 2024-25 fiscal year that begins Oct. 1 is about 9.5% higher that the $2.04 billion budget that commissioners adopted last September for 2023-24. That 2023-24 budget has since been adjusted to $2.14 billion, so the proposed 2024-25 budget is up 4.24% from that amount.

Proposed tax rates

Under the proposed budget, the tax rate for general revenue — paid by all property owners in the county — would be $2.9207 per $1,000 of taxable value, down from $3.0486 per $1,000 in the current 2023-24 budget. This would be the 11th consecutive year that tax rate has dropped.

Because of Florida's property tax laws, some homeowners could see the county portion of their tax bills decrease slightly, even if the market value of their home soared.

Take a homestead property that had an assessed value of $200,000 last year. After the standard $50,000 exemption for such properties, last year, the owner would have paid $457.29 in county general revenue taxes for the current budget year.

Florida's Constitution limits the annual increase in the assessed value of homestead properties to 3%. Under the proposed budget, the same homeowner would pay $455.63 for the next year.

Say the property was sold, though, and the assessed value rose to $250,000. Under that scenario, the homeowner would pay $584.14 in general revenue taxes, even with the $50,000 homestead exemption.

Any time a property is sold, the assessed value is readjusted to reflect current market vales. That had led to a situation in which neighbors have wildly different tax bills for similar properties,

The proposed aggregate tax rate ― which includes the general fund tax rate and various other county property tax rates ― declined as well. The proposed rate is $4.4390 per $1,000 of taxable value, down from $4.6383 per $1,000 in the current 2023-24 budget.

Here are some highlights of Abbate's budget message to commissioners:

Ellis Road widening project

Abbate said the Ellis Road widening project "is the No. 1 transportation priority for the county and the region."

The Ellis Road project "has been in the planning stages for over a decade," Brevard County Public Works Director Marc Bernath said. "The road is over capacity and a bottleneck for traffic going to the Melbourne Orlando International Airport, as well as a hindrance to the growth of the surrounding health, aviation and aerospace sectors. It also floods and lacks sidewalks, lighting, etc."

The project aims to expand the road from two to four lanes, significantly improving traffic flow and reducing congestion. This project also will include the construction of new sidewalks and bike lanes, promoting safety and accessibility for users.

"While the county and its funding partners continue to incrementally fund this transformative project, inflation continues to outpace our progress," Abbate said. "Federal or state grants will be necessary to cover the projected $46.9 million shortfall."

Abbate said the county's Public Works Department applied for a Federal Infrastructure for Rebuilding America Grant for the second time in May, and is working with Florida Department of Transportation District 5 leadership on alternative funding strategies.

The Florida Legislature approved $5.8 million in its 2024-25 budget to help accelerate the project by providing money to perform various preliminary site work, as well as to address any increases in right-of-way acquisition costs.

Paving program

Abbate said his budget proposal reflects continuing investments in improving the county's transportation network. Since 2017, the county has reconstructed, resurfaced or treated 770 miles of county-maintained roads, reducing the overall backlog by 87%. Requests for pothole repairs have declined 76% over the past five years.

Since 2019, the miles of roads classified as being in good condition has risen from from 498 miles to 699 miles. During that same period, the miles of road in fair, poor, very poor or serious conditions dropped from 306 miles to 132 miles.

With fewer roads at risk of deteriorating into a condition in need for reconstruction, the Public Works Department also is continuing its pilot program to add preservation treatments to the county's newest roads to maintain them at a higher level for a longer time period and more cost-effectively extend their service life.

Sidewalk program

With an estimated $4.54 million, the county plans to repair or replace 35 miles of sidewalks over the next five years, with a focus on improving pedestrian safety and addressing Americans with Disabilities Act considerations.

Bridge program

Abbate said two major projects in the county's bridge program — the reconstruction of the Micco Bridge and the Sykes Creek Bridge at Sea Ray Drive — are underway and are expected to be completed in the 2024-25 budget year. The Sykes Creek Bridge in Merritt Island has been closed since it was damaged by Hurricane Irma in September 2017.

The Public Works Department's five-year plan includes targeted maintenance and rehabilitation for numerous bridges, such as a recoating the James Jay Clark Pedestrian Bridge over U.S. 1 in Sharpes near Fairglen Elementary School.

The department also is planning continuous preventative measures and functional improvements on Mathers Bridge.

But Abbate cautioned that "we are mindful of the challenges posed by funding shortfalls. Despite securing $11.37 million, there remains a $16.53 million gap for essential bridge reconstruction projects over the next five years. To address this gap, county staff is actively seeking additional federal grants, prioritizing all transportation projects based on critical needs and safety."

Traffic Management Center

Abbate said a construction award is anticipated in late summer or early fall on a new county Traffic Management Center.

"When complete, the TMC will greatly enhance the operational efficiency of traffic signals, maximizing the capacity of the county's transportation network through cost-effective intelligent transportation systems technology," Abbate said.

The facility is anticipated to become operational in the 2025-26 budget year.

The Florida Department of Transportation is helping fund the project.

Jail projects

The budget includes continuation of infrastructure upgrades at the Brevard County Detention Center in Sharpes.

The budget proposal continues to set aside money for a multiyear phased approach to replace cell doors and locks; refurbish plumbing; improve the smoke evacuation system; restore inmate showers; make heating/ventilation/air-conditioning improvements; and make roofing upgrades. Additional capital investments include new kitchen and laundry equipment, as well as perimeter lightning protection and gate controllers.

Courthouse projects

With the County Commission's approval in May, the budget proposal allocates an additional $554,000 to the $5.5 million state grant for upgrades to Harry T. & Harriette V. Moore Justice Center in Viera.

This includes renovating the existing space, as well as creating a new jury assembly area with a capacity of 275; an additional large courtroom; and expanded clerk evidence space. The project is under design, and is anticipated to be completed in the 2025-26 budget year.

This initiative also included the renovation of the Melbourne Courthouse, increasing its functionality after aperiod of underutilization.

Parks and recreation projects

Abbate said the Parks and Recreation Department continues to work to improve current facilities and replace aging infrastructure.

For example , the Parrish Park Trailhead in Titusville will be completed in the 2024-25 budget year. The parking and non-motorized boat launch amenities will assist in protecting the natural habitat and animal species, such as thehorseshoe crab.

At Hoover Middle School in Indialantic, athletic fields have undergone extensive renovations, including lightedsoccer fields, a new basketball court and additional parking.

The County Commission and the Brevard School Board last year approved an interlocal agreement clearing the way for this project, as a way to expand public recreational facilities within the county.

Other infrastructure

The Utility Services Department is working to address long-term utility infrastructure, water and sewer demands related to development growth. Its projects include various water, sewer and wastewater treatment plants.

The Solid Waste Department is moving forward with securing necessary long-term financing to ensure sustaineddisposal capacity at its facilities.

Employee recruiting and retention

Abbate said the county's "dedicated employees are our most valuable resource."

He said his proposed budget "furthers the board's commitment to addressing staffing levels, attrition and the overall challenges in the current labor force" by providing cost-of-living raise of the greater of 4% or $1 an hour.

The cost-of-living increases were 5.38% in the 2022-23 budget year and 5% in the current 2023-24 budget year.

Abbate said county vacancies have continued to decline over the past 12 months. As of June 30, there were 281 full-time and 32 part-time vacancies. A year earlier, there were 340 full-time and 40 part-time vacancies.

"To continue reducing the number of vacancies, the county is utilizing targeted recruiting initiatives," Abbate said. "Efforts include multiple military veteran job fairs, in addition to participation in community job fairs."

The county also is partnering with Brevard Public Schools to place student interns in multiple departments through the Career and Technical Education Student lnternships Program.

What's next on the county budget?

The County Commission on Tuesday will vote on giving preliminary approval to the proposed 2024-25 property tax rates. That's so the Property Appraiser's Office can prepare and mail the “2024 Notice of Proposed PropertyTaxes” to all Brevard County property owners by Aug. 24. Once the proposed tax rates are approved, they may be reduced or increased at subsequent county public hearings.

Commissioners will hold public hearings on the budget at 5:30 p.m. Sept. 10 and Sept. 24, then vote to give final approval to the budget for the fiscal year that begins Oct. 1.

Dave Berman is business editor at FLORIDA TODAY. Contact Berman at dberman@floridatoday.com , on X at @bydaveberman and on Facebook at www.facebook.com/dave.berman.54

This article originally appeared on Florida Today: Brevard County's proposed budget rises to $2.24 billion, with reduced property tax rate