The City Council on Sept. 22 unanimously adopted a $36.6 million budget for the 2026-27 fiscal year and left the city’s property tax rate unchanged, even as officials warned that a proposed state constitutional amendment could force deep cuts to city services.
The Council voted 5-0 to keep the tax rate at 2.4793 mills, or about $2.48 for every $1,000 of taxable property value. The rate has not changed since 2008. But because property values have risen, it is 1.36% higher than the rolled-back rate of 2.4460 mills, which is the rate that would bring in the same amount of property tax revenue as last year.
Mayor Leslie Waters said property taxes are what keep Florida’s cities running.
“Property taxes is what fuels your city,” Waters said. “We don’t sell doughnuts. We don’t have vendors out on the front trying to get money to take care of local government. It’s property taxes that fuel the 410 cities across the state of Florida, and the Legislature is trying to do a real great job of stomping all over property taxes.”
Waters was referring to Amendment 3, a proposed constitutional amendment on the Nov. 3 ballot that would expand homestead property tax exemptions and limit how local governments can spend property tax revenue. It needs 60% voter approval to pass. Local officials across the state have warned it could cost cities and counties billions of dollars.
“The unintended consequences are going to be pretty drastic to everything that the city is involved in: your rec center, your library, your public works,” Waters said. “That pothole in front of your house is not going be filled real quick. It won’t be the service that you used to receive perhaps.”
During public comment, former council member Jim Quinn said state lawmakers are undermining the city’s long-term finances.
“Eighteen years of outstanding financial reports. … Many years going to Tallahassee to push for home rule,” Quinn said. “And now Tallahassee has taken control of all of the cities of Florida, by controlling our way of getting revenue to provide the services and recreation that is an important part of what makes this city great.”
The general fund, which pays for core services such as public safety, parks and administration, accounts for just over $30 million of the new budget. Other allocations include $1.9 million for stormwater management, $1.8 million for the Capital Improvement Program fund, $1.58 million for the Penny for Pinellas infrastructure fund, $766,090 for the building fund and $255,000 for grants. Smaller amounts go to special events, tree mitigation and the library.
The hearing also revived a recurring debate: whether the city should give taxpayer money to the Greater Seminole Area Chamber of Commerce.
Waters pointed to Largo, which she said pays for a membership in the Central Pinellas Chamber of Commerce but provides no other money.
“They have a membership with their chamber. That is it. They only have the membership. They don’t give any funds, any appropriations, any taxpayer money, to the chamber,” Waters said. “Their attitude is it’s a business organization. It has over 300 businesses in their membership. And if the chamber as a business entity needs more money, they need to increase membership or increase the membership dues.”