From Staff Reports
In Summary:
Apopka commissioners will vote Thursday on a tentative $228.85 million citywide budget and an operating millage rate of 4.6761 mills. The proposed rate is 10% above the rollback rate and is expected to generate approximately $41.21 million in property tax revenue. The budget would reduce the general fund balance from an estimated $28.16 million to approximately $21.93 million by the end of the fiscal year.
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After breaking a weeks-long stalemate over property taxes in July, the Apopka City Commission will return Thursday evening to decide whether the compromise rate — and the spending plan built around it — should advance toward final adoption.
Related: Two years after Apopka’s financial wake-up call, the alarm is still ringing.
The commission will hold its tentative budget hearing at 5:15 pm. Thursday at the Apopka Community Center. Commissioners are scheduled to consider a tentative citywide budget totaling approximately $228.85 million and an operating millage rate of 4.6761 mills.
The hearing will include a public comment period and will be livestreamed on the City of Apopka’s YouTube channel.
The proposed rate is 10% above the rollback rate of 4.2510 mills, according to the hearing agenda. The rollback rate is the rate that would generate approximately the same property tax revenue as the previous year, excluding revenue from new construction.
At 4.6761 mills, property owners would pay approximately $4.68 for every $1,000 of taxable value. The rate would generate an estimated $41.21 million in property tax revenue during the 2026-27 fiscal year.
For a property with $200,000 in taxable value, the City portion of the tax bill would be approximately $935 before any applicable exemptions or adjustments. That calculation covers only Apopka’s operating millage and does not include taxes levied by Orange County, the school district or other taxing authorities.
A compromise after two deadlocks
Thursday’s hearing follows a contentious summer budget process during which commissioners twice failed to agree on a tentative rate.
City staff initially discussed a one-mill increase before reducing the proposal to a 0.75-mill increase, which would have set the rate at 5.1876 mills. That proposal stalled as commissioners debated new positions, infrastructure needs, employee compensation, and how much additional burden property owners should carry.
The commission ultimately voted 4-1 on July 30 to set the tentative rate at 4.6761 mills. The compromise allowed the City to meet its Truth in Millage requirements while leaving commissioners additional time to reduce the rate or adjust the budget before final adoption.
Mayor Nick Nesta emphasized during that meeting that the tentative rate was a ceiling rather than a commitment to adopt that exact rate in September. He said commissioners could continue examining departmental requests and identifying reductions before the two required public hearings.
Commissioner Nadia Anderson cast the dissenting vote. She argued that residents had not received enough detail about how the additional revenue would be spent and objected to approving what she described as a “blank check.”
Her concerns focused partly on the cost of proposed new positions, including the City’s new Public Information Office. Anderson estimated that the communications operation would cost about $439,000 annually, including salary, benefits, retirement contributions, insurance, and operating expenses.
Budget would draw down reserves
The tentative budget includes approximately $203.15 million in projected revenue and $228.85 million in expenditures across the City’s funds. The City would cover the difference through existing fund balances and reserves designated for projects and other expenses.
The general fund, which supports most core city operations, is projected to begin the fiscal year with approximately $28.16 million in reserves. It would receive nearly $103 million in revenue and fund approximately $107.25 million in expenditures.
After adjustments for personnel, employee compensation and capital financing, the general fund is projected to end the fiscal year with approximately $21.93 million. That would represent a $6.23 million, or 22.1%, reduction in the general fund balance.
The budget documents identify approximately $5.59 million in new-position and reclassification requests, followed by approximately $5.31 million in reductions to those requests. Another $4.12 million is associated with a salary study and fire department union negotiations, while capital financing adjustments add approximately $2.41 million back to the projected fund balance.
Across all funds, the City projects beginning the fiscal year with about $109.81 million in combined fund balances and ending with about $80.33 million, a decrease of nearly $29.5 million. Much of that reduction reflects planned capital projects and the use of restricted funds that cannot be redirected to general operations.
The proposed budget also includes approximately $58.07 million in utility fund spending, $16.06 million from the utility impact fee fund, $9.81 million for sanitation and $7.85 million for the Community Redevelopment Agency.
Emerson Park assessment also on agenda
Before considering the millage rate and tentative budget, commissioners will vote on the annual non-ad valorem assessment roll for the Emerson Park Assessment Area.
The assessment funds pavement repairs, asphalt installation, curbs, sidewalks, streetlights and traffic signs within the community. Property owners benefiting from the improvements pay the assessments in 15 annual installments collected on their property tax bills.
The program began with tax bills mailed in November 2025. According to the resolution, no additional parcels have been added to the assessment area since the original roll was approved.
Following public comment, commissioners may adopt the tentative budget as presented or approve adjustments resulting from the hearing. They will then announce the final millage rate and budget hearing, scheduled for 5:15 pm. Wednesday, Sept. 16.
The commission may lower the millage rate before final adoption, but increasing it beyond the advertised tentative rate would require additional notification procedures. That makes Thursday’s hearing an important test of whether the July compromise will hold — or whether commissioners will seek further reductions before the final vote.
Five key points:
- The tentative budget hearing begins at 5:15 pm. Thursday, September 3, at the Apopka Community Center.
- The proposed citywide budget includes approximately $228.85 million in expenditures.
- The proposed 4.6761-mill rate is 10% above the rollback rate of 4.2510 mills.
- The millage rate is projected to generate approximately $41.21 million in property tax revenue.
- The final millage rate and budget hearing are scheduled for September 16 at 5:15 pm.
