Port Richey has adopted a 6.25 millage rate for the 2026-2027 fiscal year, reducing the rate for the third consecutive year.
In September, the City Council approved the rate, which determines how much property owners pay in city taxes based on the taxable value of their property.
“The reduction is $4 for every $100,000 of taxable value,” Port Richey Mayor John Eric Hoover said. “We’ve gone from 6.53 to 6.35, then 6.29, and now 6.25.”
While the rate isn’t a dramatic reduction, Hoover says it is moving in the right direction.
“A lower millage rate doesn’t guarantee someone’s tax bill will go down because property values can increase, but it does mean they’re paying less than they would have at the higher rate,” he said. “My philosophy is pretty simple — increasing property values shouldn’t automatically mean government needs to collect more money.”
Based on the current gross taxable value of about $512.6 million, Hoover says adopting a 6.25 rate instead of the 6.3822 rate — the rate needed to maintain the same property-tax revenue — means roughly $68,000 less in gross property taxes.
“We were able to do that through conservative budgeting, controlling expenses and making good use of grants and other revenue sources,” he said. “Most importantly, we did it without cutting services or reducing staffing.”
The $31 million city budget for 2026-2027 maintains 70 positions and the General Fund reserves will remain at about 30%, he said. Some of the most significant changes in the approved budget include increased investment in infrastructure and public safety, along with higher personnel and benefit costs, Hoover said.
“For example, police salaries and retirement costs increased, and we’re making larger investments in water, sewer and stormwater infrastructure,” he said. “We also have about $6.65 million in capital projects planned this year.”
As the calendar year is just months away from coming to a close, Hoover says some of the challenges the city continues to face include aging infrastructure, rising operating costs, and recruiting and retaining quality employees.
“The goal is to address the needs we have today without creating bigger financial problems for our residents tomorrow,” he said.