Imagine the possibilities … the Gloria Estefan Key Biscayne Chamber Theater, the Lionel Messi Village Green Soccer Complex or the HCA Florida Mercy Hospital Key Biscayne Community Center.<\/p>\n
As Village leaders ponder how to tangle with this year’s budget, and how future budgets might be affected by state property tax reform, the possibilities about raising funds have expanded to out-of-the-box thinking with potential valuable recognition partnerships or creating a brand to Key Biscayne or “Key Rats,” for example.<\/p>\n
In other words, anything is possible.<\/p>\n
Last week, Village Council and staff leaders held a Budget Workshop for a proposed $56,086,462 budget ($44.4 million of that just for everyday operations).<\/p>\n
But, they kept a wary eye on the next couple of years if a November vote favors lowering homesteaded property taxes, which would slice an estimated $800,000 off the upcoming fiscal year revenues and $1.6 million the following fiscal year.<\/p>\n
The good news, at least, is that last week, the Miami-Dade Property Appraiser’s Office issued its July property value appraisals, which showed a 5.1% increase (or $592,559,895) for a $12.301 billion total. That was up from the June estimate of $12.2 billion (4.2% above last year), meaning a little more funding, like $100,000, from ad valorem taxes will be forthcoming.<\/p>\n
Key Biscayne’s $44,449,897 baseline budget (at this point) is actually $966,193 less (-2.1%) than FY 2025-26. The $56,086,462 total budget includes $7,538,565 from Special Revenue & Enterprise Funds, and $4,098,000 from eight recommended Proposed New Initiatives.<\/p>\n
By consensus, Council agreed on the early proposed millage rate maximum of 3.0066, which is 4.2% higher than the current 2.8846. However, that came with a caveat from Mayor Joe Rasco that the next time they would meet (two Budget Hearings are Sept. 8 and 30), that the figure would be reduced.<\/p>\n
Chief Financial Officer Benjamin Nussbaum pointed out that the millage rate in Key Biscayne has dropped or stayed the same over the past five years. That might be a difficult ask this time around.<\/p>\n
Village Council now looks ahead at making some some tough decisions after the Budget Estimate was unveiled Tuesday night.<\/p>\n
For example, there are 13 Proposed New Initiatives (totaling $7,023,000), starting with a baseline millage of 2.6530 for the $44.4 million baseline budget “to keep the lights on,” as they say. The top eight that are listed (three contain matching funds or grants) would only push the millage rate to the aforementioned maximum of 3.0066.<\/p>\n
“We laid out what we can do this year,” Village Manager Steve Williamson said.<\/p>\n
Proposed New Initiatives<\/p>\n
\u2022 Re-nourish Beach and Dunes** (Protect Shoreline) $1,300,000<\/p>\n
\u2022\u00a0Rehab Village Facility Elevators (Enhance Public Spaces) $500,000<\/p>\n
\u2022\u00a0Replace MAST Athletic Field Turf** (Enhance Public Spaces) $1,250,000<\/p>\n
\u2022\u00a0Add One Firefighter (Ensure Community Safety) $144,000<\/p>\n
\u2022\u00a0Upgrade Community Center Sewer System to Gravity Flow (Enhance Public Spaces) $100,000<\/p>\n
\u2022\u00a0Replace Police Boat** (Ensure Community Safety) $204,000<\/p>\n
\u2022\u00a0Upgrade Council Chambers Studio Multi-media (Enhance Public Spaces) $250,000<\/p>\n
\u2022\u00a0Replace Village Police Vehicles (Ensure Community Safety) $350,000<\/p>\n
The next five<\/p>\n
\u2022\u00a0Install Calusa Park Court Lights (Enhance Public Spaces) $150,000<\/p>\n
\u2022\u00a0Replace Fire Engine (Ensure Community Safety) $2,300,000<\/p>\n
\u2022\u00a0Replace Community Center Generator (Enhance Public Spaces) $150,000<\/p>\n
\u2022\u00a0Resurface Calusa Park Courts and Increase Pickleball Courts (Enhance Public Spaces) $225,000<\/p>\n
\u2022\u00a0Improve Customer Service Reception Areas (Enhance Public Spaces) $100,000<\/p>\n
** denotes matching funds or grant funding<\/p>\n
Williamson has been tasked to see if paying for the new fire engine upfront is necessary, since delivery has been running four to five years after the application.<\/p>\n
Fire Rescue Chief Joe Fernandez explained that the additional firefighter would complete the three shifts at 12 personnel each, avoiding overtime pay in most cases.<\/p>\n
Replacing the MAST field turf comes with a 50-50 split between the Village and Miami-Dade Public School Board, Williamson said.<\/p>\n
Police services are expected to account for $12.2 million (27.6%) of the budget, while Fire Rescue services come in at $11.4 million (25.7%). Parks, Recreation, the Community Center and athletics are next at $7.6 million (17.1%).<\/p>\n
In addition, there are 34 proposed Capital Improvement Projects lined up (14 new and 20 continuing). They range from a new fire engine and police boat to lights at Calusa Park, accounting for $64.1 million, of which $22.8 million should be covered in grants, $21.7 million from the General Obligation Bond fund, $6.9 million from the General Fund and $12 million from Rollover Funds.<\/p>\n
The two biggest drivers are $26,988,182 to reduce flooding and $10,416,191 for public safety.<\/p>\n
Nussbaum showed a slide in which the Village maintains “healthy” reserves of $27 million with an available debt capacity of $117 million. There are $21.5 million in grants under management and the Village’s credit rating is “high grade, low risk;” with the lowest overlapping millage in Miami-Dade County at 15.5108.<\/p>\n
“Look at this page,” Mayor Rasco said. “We’re running a really good show with our financial strength; this is remarkable how sound financially the Village is … we need to thank staff and ourselves up here, something we’ve been doing for many many years, the fruit of our incorporation (35 years ago).”<\/p>\n