City Commission - Regular Meeting

Go ahead and get started with this regular commission meeting for Wednesday, September 9th, 2026. I'm going to please ask the clerk to call the roll.

Commissioner.

He is here, but he stepped out.

Here.

Here.

Here.

Here. Present.

Here. Right. Here. At this time, we're going to go and do the invocation and the pledge. I'm going to ask Commissioner Howington, if she can please lead us in that, and also the honoring of the veterans.

I pledge allegiance to the flag of the United States of America and to the republic for which it stands, one nation, under God, indivisible, with liberty and justice for all. And if the commissioners can please join me on the floor. I'd like to call Jason Volz forward, please. So tonight I opted to honor three veterans, and unfortunately, just after 6 o'clock tonight, I found out that two of them would not be able to make it this evening. However, Commissioner Caldwell has been gracious enough to do the honors for those two at the next meeting. So we have Army Sergeant Jason M. Volz and Sergeant Jason M. Volz served as a combat engineer 21B in the United States Army from July 14, 2000 to May 31, 2005. He began his military career by attending basic training at Fort Leonard Wood, Missouri, where he completed the combat engineer course. He later graduated from the primary leadership development course, preparing him to lead both mounted and dismounted teams in some of the most demanding environments a soldier can face. Following training, his duty station was Fort Hood, Texas, where he was assigned to Bravo Company, 8th Engineer Battalion. During this period, he completed three National Training Center rotations, a Joint Readiness Training Center deployment, and a wildfire deployment to Montana in 2003, supporting emergency operations to protect American communities from wildfires. As a team leader, Sergeant Vols was responsible for more than $1 million in vehicles and equipment, earning the driver and mechanic badge and driver bar for his proficiency and reliability behind the wheel. In March of 2004, Sergeant Volz deployed to Baghdad, Iraq, serving at Camp Farron Huggins until March of 2005. During that year, he took part in over 250 combat missions, supporting route clearance, security operations, and stability efforts during one of the most pivotal moments in Iraq's history, the nation's first free elections. His actions helped secure the southern sector of the city, ensuring civilians could vote without fear. While deployed, he also served as his company's reenlistment officer, meeting or exceeding retention goals every quarter, a testament to his leadership, professionalism, and ability to inspire others, even under the most challenging circumstances in a combat zone.

So with that,

I'll let you keep that. And then I have this certificate of recognition that I'd like to present to Jason Volz, Combat Engineer 21B, U.S. Army, in recognition of dedicated service, sacrifice, and commitment. Deep gratitude is extended for your contributions in defending and protecting our nation. We thank you for your service. Signed, Mayor Santiago Avila, Jr., September 9th of 2026. Thank you for your service. Yes.

All right, this time we're going to go ahead and go into additions and deletions. And Deputy City Manager, and then we'll go to Commissioner Howington.

Thank you, Mayor, Commissioners. We'd like to pull item number, just so I can make sure. would be nine under action items. Item C, staff is still working with our consultant and one of the other agencies, so we'd like to pull it to a future date.

All right, hold on. Can you click on your microphone, please? Commissioner Howington?

I'd like to get a consent to add an action item to tonight's agenda for the ratification of the District 4 appointment to the Planning and Zoning Board. This action implements Article 3, Section 1 and 5 of the Planning and Zoning Board bylaws adopted by resolution number 2025-55. Those provisions authorize each commissioner to appoint a member subject to the commission ratification and require a vacancy to be filled within 60 days. The District 4 vacancy occurred on May 4th, 2026, and the application process was completed. And we are officially at, I believe, 128 days of a vacancy where the District 4 residents are not being represented on the Planning and Zoning Board as required by the bylaws.

All those in favor? Aye. All those opposed? All right. This will be action item 9D as in David. City Attorney, is that good under action item? Yes, Mayor. Okay. Commissioner, I'm getting there. 9D isn't David. Commissioner Caldwell? Did you want to do an addition or deletion?

I want to do an addition. I was going to do it for this evening, but I think after discussing this with the attorney, I'd like to add it to the next agenda, which is Resolution 2025-26 to assure that that resolution has been rescinded. This is the agreement between Aloha Estates and Enrico.

Yes, Commissioner, thank you. As per our discussion, We would prefer to pull it, review it. I was working with Jordan before the meeting to try to get it, but we haven't been able to locate it. My recollection is that it was self-executing, and because they failed to pull the bond, it was moot. But we would prefer an opportunity to have it, prepare it, prepare a packet, prepare a memo. and bring it to the next meeting if that's acceptable.

So this would remove the accepted plot that was brought to the commission at that time in agreement with the bonds and all that and the conditions?

Well, I don't have it in front of me. We haven't been able to locate it, but we can have it ready for the next meeting with an analysis and a memo that either recommends rescission or informs that because they failed to pull the bond, rescission is not needed and it is moot. But we'll do that analysis in the interim if that's acceptable.

All those in favor to have this added to the next commission meeting, please say aye. Aye. All those opposed? All right. Thank you. Vice Mayor Villavazquez?

Thank you, Mayor. I don't know if this falls on the, I don't see the NAACP proclamation request on item E, on item B for request for recognitions.

City Clerk, do you know if they send one in? They usually do.

I send it in to administrators.

All right. All those in favor, just adding it in Section B under the consent agenda. All those in favor? Aye. All those opposed? Okay. That's it? Yes, thank you. All right. At this time, we're going to go to the consent agenda item. If I can... Please get a motion and then a second and we'll go to public comment. Commissioner Herriot.

I'll make a motion to approve the agenda or the consent agenda as presented.

Commissioner Naubeck.

Second.

There's a motion by Commissioner Herriot, second by Commissioner Naubeck. Is there any public comment on the consent agenda? No, sir. All right, there's a motion and a second. Can we please vote? motion passes five to one oh can we can we there's vice mayor villa vasquez is missing on that it didn't even pop up all right while they're fixing that can you do you mind doing a verbal Hold on, I'll get to you. Go ahead. No. So the motion passes five to two. Want us to do it again?

Let's see. Okay. Mine didn't, yeah, I had to hit mine again.

All right, the motion passes five to two. All right, at this time we're gonna go to action items. 9A is an alpha, request for approval resolution number 2026-79, adopted the tentative millage for fiscal year 2026-2027. Sorry. Well, it's all the way in the bottom next to the footer, so that's my fault. Eight, ordinances and public hearings. A is an alpha public hearing ordinance number 16-2026, amending section 7-30. City Attorney, can you please read that into the record? And then Jordan will do a presentation, and then we'll do public record.

Thank you so much, Mayor. This is ordinance number 16-2026, an ordinance of the City of Deltona, Florida, amending the City of Deltona Land Development Code by amending section 70-30 definitions. Amending section 110-321, statutory uses. Amending chapter 76, affordable housing under the Live Local Act. To update definitions, applicability, administrative review procedures, Development standards and related provisions consistent with section 166, spot 04151, Florida statutes. Providing for codification, providing for conflicts, providing for severability, and providing for an effective date. This is first reading.

Thank you. This time I'll entertain a motion before going to Jordan. Commissioner Novick, you're on here first.

I make a motion to approve ordinance number 16-10. 2026, amending section 7-30 definitions, section 110 through 321.

Commissioner Santiago, you're on next? Second. Okay. So we got a motion and a second. Jordan, please go ahead.

Good evening, Mayor, Commission. This is ordinance number 16-2026, which updates chapter 76 of the Land Development Code related to the Live Local Act. We already have regulations in place. This ordinance updates these regulations based on changes made by the legislator. The Live Local Act was originally adopted by the state in 2023 and has been amended several times since then. The act allows qualifying affordable housing developments in certain commercial, industrial and mixed use areas without going through the city's normal rezoning or discretionary approval process. If a project qualifies, it is reviewed administratively. The act also preempts some of the city's zoning authority, particularly related to use, density, and height, allowing us to continue applying other development standards where they have not been preempted. The city adopted Chapter 96 in response to the original legislation, and we updated it following the 2024 changes. House Bill 1389, made additional changes effective July 1st, 2026 of this year, which is why chapter 76 needs to be updated again. There are a lot of red lines in the ordinance in front of you, but there are really five areas being addressed. Number one is eligibility. Number two is administrative review. Number three is affordability and ongoing compliance. Number three is development standards and related code changes for consistency. The affordability requirement itself is not changing and the review has always been administrative. We are primarily updating the code to reflect current state law and removing provisions that are no longer consistent with the statute. One of the bigger changes is where live local can apply. Our current code is limited to certain commercial and industrial zoning districts, and specifically excluding PUDs. Under the revised law, certain PUDs and other flexibly zoned properties may now qualify, along with eligible government-owned property and property owned by a qualifying religious institution. These changes are made to reflect the expanded eligibility established by the state law. This does not mean that properties automatically qualify. The property still needs to meet the requirements of the statute. Qualifying live local projects have always gone through an administrative review process. That is not changing. Projects will still go through our pre-application and DRC process and be reviewed by the appropriate departments. What is changing is some of the discretionary language in our current code. The decision must be based on whether the project complies with the Live Local Act, the comprehensive plan, and the applicable provisions of our land development code, and have not been preempted. Any conditions also have to be tied to an applicable requirement and cannot restrict an entitlement provided by the Act. A qualifying project is not subject to a rezoning, conditional use, variance, or other discretionary land use approval unless specifically authorized by law. So we still have the review project, but the review is based on compliance with an applicable requirements rather than a discretionary land use decision. Although some of the city's authorities preempted, these projects are not exempt from our land development standards. Density and height are governed by the Live Local Act, and setbacks are subject to the limitations in the statute. Parking and mobility requirements continue to apply, except where the Act requires a parking reduction. Our landscaping, open space, building design, and amenity requirements also remain. This includes 65% maximum pervious surface ratio and 35% minimum open space requirement. So where state law has not preempted us, our local development standards continue to apply. Another significant change involves the residential and non-residential mix. Our current code requires 65% residential and 35% non-residential. Under the current statute, at least 65 must be residential, but the city cannot require more than 10% non-residential. We are therefore removing the existing 35% non-residential requirement to bring the code into compliance with state law. The non-residential uses may be located in the same building or in separate buildings under unified control. The affordability requirement itself is not changing. We are clarifying how compliance is documented and monitored. Before the first building permit, a restrictive covenant must be recorded identifying the affordability requirements. The property owner must provide an annual certification demonstrating continued compliance. We are also replacing the current $1,000 per day fine with a notice and cure process. This does not eliminate enforcement. Generally, the property owner will have 30 days correct the issue or submit an acceptable corrective plan the planning and zoning board heard this ordinance on august 19th i recommended approval by a vote of five to two tonight is first reading but for the city commission you're considering the code amendment not a particular live local development once adopted individual projects that qualify under the act are reviewed administratively and do not come back to the planning and zoning board or city commission for discretionary land use approval Staff recommends approval of ordinance number 16-26 on first reading. Overall, this is really an update to the regulations we already have in place. If approved tonight, the ordinance will come back to the city on October 5th for the second and final reading. Thank you.

Before we go to public comment, this is a state requirement, a preemption from the state, correct?

We are correct, and we are just making changes to what the legislator did with House Bill 1389.

Is there any public comment, Liz?

Hey, good evening again.

So this came up to the Planning and Zoning Board a few weeks ago, and I was one of the two that had voted no. And if you all recall, this was, I also brought up and expressed concern about this at our last joint planning and zoning and commission workshop. The only thing that I would ask you all to look into, and perhaps Jordan can confirm it tonight, is when we were talking about our future land use map, And when we were talking about the mixed use in having pockets of growth in Deltona for our 2055, whatever vision it is, one of the things that we were talking about was allowing nine story buildings. If I recall correctly in this provision, this now also allows affordable housing to match the height of any building within a one mile radius. So my concern is, Even if we have pockets of where we're allowing what I will refer to as high rises, we're now opening up a one mile radius where potential affordable housing could now be up to nine stories. I know at the time, Jordan, not to put you on the spot, Oh, thank you. I know at the time Jordan thought that there was a height restrictions, but I was purposely listening for that tonight and I didn't hear it. So I would just ask that we confirm that before a decision is made. Thank you all.

Thank you. That was the only one. All right. Commissioner Caldwell, I see your.

Go ahead. Yeah. Question for Jordan. One is, I just want verification, you stated that it's always been administrative?

Yes, yes, Commissioner, yes.

You and I were talking in the comprehensive plan coming up about including green certification. Could this be applied in this here also? Requiring green certification?

on multi-use or so for a second reading we can look into that i would have to give legal um i'm not sure if that is something that we can apply as a development standard but maybe as a bonus but i would have to work with legal on that but we can get you an answer for second reading okay and i want to touch on what tara said is she getting ready to talk

So we're happy to work with staff on this. I know that there's a, I know there's language where we cannot require more than 10% of total square footage to be non-residential for mixed use projects, but we'll work with staff to.

What this is, is for a certification, a green certification. Green certification. Meaning that they would up the standards of their building and be certified.

We'll have to look into it. I mean. We'll have to look into it. It's unlikely. It is unlikely partly because this was a revision because governments were using workarounds. I mean they specifically in this new revision say these are now language to prevent workarounds. So they've tightened it up even tighter in this last session. But we can work with staff.

This is intended to be a workaround. It's intended to up the standards of the building in the area.

I understand that, but it typically would increase the cost. Exactly.

And it would become more burdensome as well.

Yeah. So we'll work with staff to see if we can add that for second reading.

And the last question is to Tara's comment there on the height. Is that a state requirement?

That is a state requirement. So the maximum building height should be the greater of the highest building currently allowed or currently approved for a commercial residential building within one mile or three stories. And we're authorized by section 166.04151. The city may apply the statutory height limitations for development of adjacent to qualifying single family properties or historic properties.

So that would mean the Halifax Hospital would set the standards, and as long as they developed within a mile of each additional construction, they could go nine stories all across the city, basically?

If it's within a one-mile radius, they can go one mile or three stories. Okay.

All right, thank you.

Vice Mayor Avila-Vasquez?

Thank you, Mayor. So the DRC gets to review the plans, and they get to say if it's a go or not?

The DRC will make a recommendation to the administrative official.

So the DRC can't even say this program or this project is not?

So planning staff, we have a bunch of requirements that they need to meet. So planning staff would go through that, making sure all the boxes are checked, and then it would go to DRC for review for engineering, for utilities, for fire, and they would make a recommendation. But as long as it meets the compliance for state statute, it would have to be approved.

Okay. So actually, we have no saying in this. whether we approve, we say yes or no, it's still gonna go according to the state's regulation of how they want it.

Correct, but we still have control with development standards in terms of amenities, building design, so we have stuff in there to at least get a nice product from the developer.

Sorry. All right.

All right, we're going to Commissioner Howington and then we're going to call for a vote.

In December of 2024, we had opted to require vertical construction with commercial on the bottom floor. How does this change that requirement?

So we still require one of the things that changes we can only we can we cannot require more than 10%. and it can be in the same building or it could be in a separate building. Those were the changes because they made revisions to the definitions of mixed use.

So it would preempt that judgment that we made on that. Correct. Thank you.

All right. Can we please go ahead for a vote? We have a motion by Commissioner Novick and a second by Commissioner Santiago. She got it. The motion passes five to two. All right. At this time, we're going to go ahead and move to action items 9A. And I made sure that I didn't skip another one. So we have a request for approval resolution number 2026-79, adopting the tentative millage rate for fiscal year 2026-27. Mr. McKinney, we'll go to you before we go to a motion.

Thank you so much. If I may, Mayor, I will read the title of both resolutions for A and B, and then Mr. McKinney will begin his presentation. This is resolution number 202679, a resolution of the City Commission of the City of Deltona, Florida, establishing a proposed operating millage rate of ad valorem taxation for the fiscal year beginning October 1st, 2026, and ending September 30th, 2027, providing for Scrivener's errors and an effective date. For B, it is resolution number 2026-80, a resolution of the City Commission of the City of Deltona, Florida, adopting the tentative budget for each of several funds and departments of the city for the fiscal year beginning October 1st, 2026, and ending September 30th, 2027, approving the tentative capital improvement plan, providing for appropriation and procedures, providing for conflicts, severability, scrivener's errors, and an effective date.

Mr. McKinney, please do your reading, and then we'll go to a motion, and then we'll go afterwards to presentation and then public comment.

Thank you, Mayor, Commission. The fiscal year 2027 budget commences on October 1st, 2026, and continues through September 30th, 2027 for the City of Deltona. the City Commission shall discuss the tentative millage necessary to fund the fiscal year 2026-2027 final budget for the City of Deltona. The City of Deltona is the taxing authority and the current year taxable value for operating purposes is $5,920,885,741. The tentative millage rate of 6.4948 mils per $1,000 of valuation is a 0% increase in ad valorem tax revenues above the rollback rate of 6.4948. I'd just like to point out that we are, staff is recommending the rollback millage rate. This budget includes all operating and capital costs for fiscal year 2027. This budget includes the general, special revenue, capital, enterprise, and internal service funds. The proposed citywide fiscal year 2027 budget for all funds is $177,524,364. As required, I just want to highlight a few of the general fund proposed appropriations for the upcoming fiscal year. This budget includes appropriations for the AHAC of $356,665, the general fund debt reduction of $356,665. It funds the tax increment for the CRA of $477,735. It shows an increase in the sheriff's contract of $1.17 million. Planning and Development Services did see an increase of $258,821. All other general fund departments showed a decrease. This budget includes a reduction of 10 open positions that have been held for a total reduction of $443,186 with the general fund seeing a savings of $271,529. Capital outlay funded by the general fund of $5,875,000. This includes two fire suppression apparatus, two ambulances previously approved by resolution 26-06, I'm sorry, 02, that was to be funded as part of this fiscal year. It has vehicles for parks and rec, one utility truck, five general trucks, and two off-road utility vehicles. two half-ton pickup trucks for the engineering department, one quarter-ton pickup truck similar to a Ford Maverick for the center. It also includes equipment acquisitions of $957,000 for an MSA Lunar and SCBA for the Fire Department, scoreboards, soccer goal replacement, lightning protection devices, light tower, lawn trailer, debris blowers, sprayers, mowers, message boards, line laser for parking lines, replacement robot lining for sports fields for the Parks and Recreation Department. Within the Public Works Department, a vibratory roller for streets, equipment trailer, and an enclosed trailer. The center shows curtain replacement, surge protector, and video matrix upgrades. We also are funding within the general fund part of our capital improvement plan, a fuel depot of $250,000, a fire storage bays of $300,000, the phase three of the fire training complex of $250,000, parks and rec, parks capital improvements of $2.48 million for general park improvements, restroom upgrades, basketball field upgrades, includes citywide broadband enhancements of $531,685, and a transfer to the stormwater CIP for water quality, drainage, and pump improvements of $1.15 million. Mayor, that's all done going to the rollback of 6.4948 mills.

All right, this time I'll entertain a motion for section of the tentative millage rate 9A, then afterwards we'll do 9B, but right now we're concentrating on 9A. Commissioner Santiago, you're on here first. Thank you, Mayor.

Mayor, I'm sorry to interrupt. If I may, as I spoke with the city attorney, may I read the required motion for the tentative millage to be completely compliant with state statute?

Go ahead.

A so motion would be motion to approve resolution number 2026-79 adopting the city of Deltona fiscal year 2026-2027 tentative millage rate of 6.4948 mils per $1,000 of valuation. Thank you and I apologize, Mayor.

Thank you. Commissioner Santiago.

Wow, I didn't write that fast.

You can say so moved.

So moved. Thank you. Commissioner Harriot, you're up next.

I'll second that.

All right. We have a motion by Commissioner Santiago and a second by Commissioner Harriot. Is there any public comment? No, sir. All right. Do you want to go ahead and do your presentation, and then we'll go to the commission for comments.

Okay.

Thank you, Mayor, commissioners. So we attended very recently, as well as a couple of the commissioners and the mayor, a meeting in reference to Volusia County. We discussed the property tax amendment and the effects to the city government. I wanna preface it, and I'll probably say it a couple times, Deltona is its own city. We're very different than the other cities in this county and throughout the state. This amendment will not affect any two cities the same. At that meeting, they talked a lot about the city of Daytona and their effect, as well as the city of Deltona and its effect. We were specifically mentioned. So we just want to give you some highlights. We'll be glad to post this presentation on the website. Be glad to answer any questions afterwards if you have those. So we just want to talk about the effects of the property taxes. uh... what's being proposed uh... amendment three again we all know that we're going from fifty thousand two hundred fifty thousand that's in general uh... and it's the first year and then the second year it's requested and to go to two fifty reduces the largest local revenue source for this city again i just say that because every city has to answer their questions and the answers as to the effect that they might see reduces the cap on the annual assessment increase for non-homesteaded properties, and we've got this information above. This does not change the cost of service, but it does not create a state trust fund, so there is no replacement of revenue. Once this Amendment 3 is passed, these are some of just the outcomes of what will happen. What we want to do is provide some understanding of the proposed property tax. We'll put this online. We're not here to discuss one way or the other way. We just want to provide the general information to you all. Again, all general voters will look at this on November 3rd. It's a part of the election ballot, and we'll bring it back to you once we know the outcome. But there's general information within this document.

we've talked about who could be affected so we want to talk a little bit about homesteaded i'll turn that over to john the homesteaded homes that will be affected yes so in the city over 60 percent of all parcels have a homestead exemption and could be affected by the proposed amendment three of those homesteaded properties approximately 92 percent of those homes would pay no taxes if this is approved November 3rd. Approximately 40% of the parcels do not have a homestead exemption and would not qualify for the expanded homestead exemption, such as rental properties, businesses and commercial properties, second homes and vacation homes, vacant land, and other non-homesteaded properties.

So we wanted to focus on homesteaded. Again, some of the commentary looks at it from a different perspective. We looked at it homesteaded. During our presentation, they looked at it from a little different perspective. So we did present this one to you this time. So the average homestead, again, you've seen these types of charts before. We presented them to you. So a market value is very different than an assessed value, and this is one of our typical homes here in Deltona. Once it's subject to the exemption of the $150,000, or for the current year, excuse me, $50,000. It goes from $172,000 to $122,000. So the six city taxes are $793. This millage rate is applied to taxable value, not market value. So I would just encourage you all, you've received your term notice, to read your term notice, learn how to read your this bill or this trim notice in this respect, and understand the difference between your market value and your assessed value, it will come into play when you look at whether or not you are $150,000 and $250,000, if you even have a market value that exceeds the $250,000, which is what we're seeing we have in a lot of homes that do not do that, which is why it'll be a zero tax in the future.

And we just wanna point out that we're only speaking regarding the city tax. So this exemption only would apply to your county and city taxes. It would not exempt you on your school board taxes. So this home that's got the current assessed value of 172,000, if this passes, then the second year they would pay no taxes to the city of Deltona.

those other taxing authorities again very different so we just want to point that out to you. Again we just mentioned to understand for each of you reading your tax bill and understand what it means by market value, assessed value, taxable value, millage rate. Remember that your tax bill includes your taxes for multiple again restating what John said but I think it's important because a lot of times when we speak to citizens they talk about their total tax bill They do not necessarily talk about their city tax bill. To them, it's their tax bill, and we understand that. We can only really discuss your city portion, so we would encourage always for you as a resident to speak to the school board and also to the county if you have questions in general about those applied, whether it's discounts or just in general their millage rate. So from the city's perspective, the bottom line, it's not a tax cut, it's a tax shift. It doesn't protect public safety. It can defund it, and we will see some changes here, we believe, in the future. It doesn't empower the community. It makes them dependent on the state in some respects. Who else pays for more under a tax shift? Under this perspective, local businesses, we know that the commercial will actually pay more. We also know that the renter in this area will pay more. They are not homesteaded. So unless somebody has filed something that would not necessarily be legal at the state level or through their county and their city, then it's a non-homesteaded because, again, you're renting a property. So therefore, that dollar value is going to increase for that home for those taxes. Go ahead.

and for the consumer, which is very important. We have a lot of mom and pop businesses here in Deltona. So when the taxes go up on their, you know, where they rent, you know, their business or whether they own or not, they're gonna see their property taxes go up and then they're just going to shift that increased cost over to their customers.

And then unfortunately, our first time home buyers with a new program, they also will be disqualified for a period of time. So again, those are the current rules, and that will be part of the ballot language. So we just mention that to you. Being a tax shift, not a tax cut, we talk about Amendment 3. The cost of services without replacing revenue will require change to our level of services. So I would just mention that we understand, and we'll present you some data here in just a second, that the 250, once it hits the second year, smaller cities, there will be an impact to the total revenue that this city receives. Again, every city is different, so I'll continue to say that. We may receive, I think at the, Volusia County talked about Daytona only had, the city of Daytona only having an impact of about 9%. The city of Deltona, on the other hand, had an impact of about 43%. And those are numbers you're welcome to, we can give you data, but it's also on the website for the Department of Revenue and other sites. So we will see an adjustment very different here in this city than other cities. So no two cities are alike.

And then on that, as it states, how do we go about funding the operations of the city in the future years? I would just like to point out that on the June 22nd, 2026 budget workshop, we talked about special assessments. So this might be something on page 19 of the presentation, we did talk about future assessments that we might have to look at if this does pass. On this slide, we just want to point out is that you have the longtime resident and you have the person that's lived there less than five years. So that person that's lived here for 30 years in the same exact house as the individual next door, once this goes into effect, the longtime resident will pay zero taxes and the burden, the tax shift, is borne by the individuals that have lived here for less than five years.

So if we look at city services, we've just given you a quick breakdown of how your property taxes fund today. I'm just gonna run through it quickly. So prospectively, from the public safety is about 36 million point six, so 47 cents to the dollar, or 47%. You've got transfer reserves and other uses, which would include your fund balance and other types of funds that are utilized within the budget. That's about 27 cents per the dollar. General government, about 10 cents. Your parks, which is 5.6 million, it's about seven. Public works, six cents at about 4.6 million. And development services, about 2.6 million or three cents. What we've gone through is try to give you an idea of what falls in each of these categories because sometimes we speak so quickly about the category title, we don't always tell you who's in that category or what funds that category. So we've tried to give you a little bit more information here and just give you a perspective again. So we'll, again, make this available to you and put it online for our residents to see. And what does this mean to our city? It means that current millage rate, which is presented to you tonight at rollback rate 6.4948, is approximately $38.4 million in property tax money. Assuming Amendment 3 passes, so I'd just like to take it from that perspective first. Next year, we will go to approximately an annual dollar value of $26.4 million in property tax revenue.

Assuming the same 6.4948 mils.

right so we've also discussed up here and for disclosure that if you try to bring in the same dollars that you have this year otherwise as we call rollback rate your rollback rate although determined by the florida department of revenue as we've stated we've computed it could go to somewhere around eight point zero zero zero five that's to bring in the same dollars The following year, we're looking at about 21.3 million would be our annual tax, projected property tax revenues. Again, assuming to John's point that you started out at the 6.4948.

So it would require for the second year, the millage rate would go to the statutory maximum of 10 mils. And even at a 10 mil millage rate, we would still be short over $4 million in revenues that we would currently receive based on this evening's budget.

So in essence, basically, what we presented to you is what we can compute as best we can. Again, we do not calculate the rollback rate. We actually receive that. But we've tried to compute it as best we can to give you an idea. Sure, we could be off a little bit, a tenth or something, but doubtful that we're off that much. But I would mention that anytime you drop below the current rollback rate, if there's a consideration next year, this year, whenever it might be, you're looking at a reduction in millage also as a reduction in your revenues. So if you reduce that millage rate, that 26.4 also is reduced. Or the following year, the 21.3. Again, we would have to look at the numbers the state provides us, but that is the flow because it's based on the millage rate of the prior year. The city is very fortunate to have a very healthy fund balance, and that's due to many years here at the commission being very frugal in the sense of making sure that there were always dollars put into the fund balance. But looking at your fund balance, and we presented that to you, in the order that you would typically use a fund balance, we've got $35 million in unassigned, $17 million in capital outlay that's committed, but that would be available to you to utilize in a way that you could possibly cancel phases of projects. Again, you'd have to look to see where you're at in that process. Economic development dollars, 525,000. Some change, 378 for grant match reserves, 10 million natural disasters, 11 plus million operating reserves, and a $12 million economic emergency.

And the way these are slated on here would be by priority of usage. So the unassigned could be used at any time versus the Economic Emergency Reserve would be used in an economic emergency such as Amendment 3 passing.

If you chose to use your fund balance to make up the difference of the millage rate that we just spoke of a moment ago, which is a $12 million difference and a $17 million difference, these fund balance dollars in total would be able to help fund the city for maybe five years. So that's using all these dollars and changing your policies, and you would have to change your policies in order to use these dollars. And I say maybe five years because it could go a few dollars more or so, one way. But in looking at what we've been provided and presented, these dollars would cover us for approximately five years, along with the Avalor that you would bring in, assuming that you just looked at the initial loss, right, the initial $12 million and $17 million.

And that's assuming no change in level of service.

That is correct. Impact on city services. Again, this relates a little bit to what we talked about earlier. This is just in general, the general fund, charges for services, revenues. We've given you a breakdown of approximately basically what your budget book shows you, the dollars and their categories. The same with the funds. So property taxes are about 47% of our revenue. EMS transport is about 3%. State revenues and other taxes are 16%. So that includes your second, your state share and your half cent as well as other. So and so forth. Keep in mind that as you go through this and look at general expenditures, we'll look at EMS transport. That's a 5% increase. It's a pass-through from the county. We do receive funds for transport. It does not pay for the entire program. you as the city government, you approve us to be able to supplement basically general fund to finish paying for that program.

So why that's on there specifically is in certain areas of the city we've established enhanced level of service. So we would have to go into next year, the fiscal year 27-28, and what level of service do you want us to fund? We will not have the same revenue by which to do it unless we go into the use of fund balance. and we talked about it at the last meeting, Commissioner, you typically do not use fund balance for continuing operations. You use fund balance for one-time procurement, enhancing a park. We talked about previously building a fire station. You use it for that one-time expense, not ongoing expenditures.

That's where you would be required to change your policies and establish your new policy for how you use your fund balance if that's your choice going forward.

And I would like to point out during the July timeframe, you did authorize by majority of vote Purvis and Gray to look at our fund balance policy. And we're looking to bring that back to you at your October meeting. We've been working on going with Purvis Gray.

potential effects of the city services. Again, we've just kind of, again, given you some ideas of infrastructure emergency response. Again, we can go over this as needed, but I would just mention that the city has, as we look at each budget year, we've actually looked at reducing, which we have reduced the budget each year. We've also reduced FTEs. Last year, we had 13 FTEs. This year, the 10. We also have on hold approximately eight other positions. Six of those are for our fire department for the transport unit. The fourth unit. Yes. But we have a couple other positions on hold at this point in time until at least January. So, again, it's part of this budget. That's what's presented. We have taken a very proactive look at the budget annually. We reduced positions that have either stayed open or were not filled for any reason or we couldn't justify them at any point in time. We've also made sure that when we have had hiring of new positions, especially in our planning division and our engineering division within the public works and utilities area, those folks out there can multitask. And in the past, we did not necessarily have that, so we've been able to have the benefit of that. There have been some very smart hires from that perspective so that we've been able to cut some of these positions.

And those held positions are clearly marked as a contingency within the non-departmental 001900 fund in the budget document as presented to you all previously. So if November 3rd fails, then we would bring back at one of the budget amendment, quarterly amendment updates to you to move that money from contingency back to the two departments.

The other thing we looked at for revenue reductions to be addressed, again, we talked a little bit about assessments. A lot of the cities are using different assessments, so it's not just a singular assessment. There are parks assessments, there are fire assessments, there are other assessments. I believe a local city here next to us, Deberry, has very effectively applied the use of assessments, which is why they also have a lower millage rate. So that there is an advantage. We know that we will be looking at reductions. We also know that we have two governor, I guess would be the correct candidates in which both of them have spoken in reference to continue to reduce the revenues. If Amendment 3 does not pass, they'll both be presenting that through the legislative members of the Senate and the House. We know that both of them have spoken at least on their platform. in reference to reducing taxes into reducing fees as well as permits so if the tax amendment 3 does not pass in november we are by no at that point in time no no way finished it will continue on into the session and i'm sure that some of those mandates will come through to us as you all know house bills and senate bills and they those usually have mandates and time frames of july 1 or whatever it might be There could also be another vote presented to the citizens. We just don't know enough yet, but we know what they presented in their advertisement of their political campaigns. And so that's all we can present to you tonight. We don't have any more, but we also do know that we want to talk about assessments at some point in time, even if it's just an educational event.

And we'll have to look at contracts. For example, the Department of Transportation mows 95 I-4, all of their responsible corridors twice a year, whether it needs mowing or not. So we would have to look at our mowing. Do we mow currently where we mow 47 times a year? Do we reduce that even less to reduce our contracts? We also have to look at our law enforcement contract. Whereas we have the ability to look at open positions internally, we do not have that ability unless we inform the sheriff well in advance. For us to notify the sheriff that we would like to look at any changes, that has to be done in the mid to late December timeframe period. at minimum, he has to finalize his budget with the county commission and send it for certification to the state the first part of June. So if we are looking at any type of level of service changes, we have to make that decision long before then.

So our bonds and infrastructure definitely will be affected. We've already had phone calls from S&P and Fitch asking us if we have a plan in place. The state of Florida will be in that same influx. Again, as I stated earlier, not every city will feel the same pain or the same benefit. So if you speak to larger cities, Again, this is not even a consideration. They're not worried at all. So I say that knowing that we will bring the financial advisor to you, that it will be somebody, it's an outside source. It's not someone that obviously not part of our staff. So it's someone that can give you information in reference to where we stand. with our current debt and kind of give you a flow of what we would need to do we are in good shape from the debt perspective and as a budgeting 101 theory you always look to to pave your your debt first so that's always something that you would be presented as you pay your debt first and the mayor as part of this year's budget you put in the general fund debt reduction

so it's funded this year and it's in this year's budget so if this does occur we have very minimal debt simply to the general fund for the center specifically all of our other debt has general obligated funding sources whether it's our local option gas tax for a capital improvement bond stormwater is covered by the stormwater utility service fees and our water sewer debt is funded by charges for service for water sewer so All of our major debt has guaranteed sources of funding.

In conclusion, excuse me, we want to recap on Amendment 3. In our perspective, it's not a tax. It is a tax cut. It is a tax shift. It does not necessarily protect the public safety because, again, the level of service does change. To what level, that's something that you as commission will have to determine based on your dollars and the monies available. And from our perspective, it doesn't empower communities. It makes them dependent on the state. We've provided some resources and several questions. One of the questions actually came up about the millage rate. Again, we don't know if the state will make changes. That's part of Florida's statute. At this point in time is 10.0 mills. But I think several cities will be approaching that max mill during their second year. So I don't know if the state will relook at that. So it's just something that will be seen in the future.

Mm-hmm.

And Mayor, I just, you know, because we've already gone through some of my, a good portion of my PowerPoint or presentation earlier, I just want to show how the rollback rate works. The rollback rate is provided by the Florida Department of Revenue and is designed to provide local government to collect roughly the same amount of property tax revenue from existing property as it collected the year before. That excludes new construction. So while we might bring in more ad valorem proceeds next year than this current year, it wasn't on homesteaded properties. So unless you enhanced your house with a new pool, a new garage, or you recently purchased the house, or you refinanced the house, you will not see as a long-term resident an increase in your tax bill. If you had an increase, it could have been a look back that the city has absolutely no control over. That is handled by the property appraiser and the tax collector. So by statute, we legally are showing a 0% increase in ad valorem proceeds by Florida statute. And over the last 11 years, you as the city commission has led the charge to annually reduce the millage rate over the last six years. So commission should be commended for being able to bring in a lower millage rate now five years in a row. That's all mayor.

Thank you, mayor. All right. So I have Commissioner Howington that's on here. A lot of that stuff really kind of belonged to the budget. Unfortunately, it's all mixed in together. So let's stick to the millage rate. And then when we do the motion and stuff on the budget, we can mix everything else in. So Commissioner Howington.

Thank you, Mayor. So given that we do have the potential for losing a lot of revenue through property taxes if this amendment passes, we need to be conservative. And I know that we always put the tentative millage rate before the budget because that's required by state statute. It's a little backwards because if you end up voting no on the budget but you vote yes on the tentative millage, you're still collecting those funds from the residents, whether it's being allocated to something in the budget or not. As part of the consent agenda, we just approved increasing stormwater fees by $20 or approximately $700,000 to the city. In this budget, we're also including almost $700,000 in promotional events. So we have to raise our stormwater fees that we're charging every household because it is a non-advalorant fee. But then we're having... almost the same amount of money in parties, and that's concerning, especially when we're looking at losing a lot of money, and we can't look at our fund balance as being our piggy bank that we can just pull from. I'd like the Commission to consider whether or not we should, number one, go below the rollback rate, and number two, look at what's included in the budget to possibly either add items to go to fund balance so that we can help protect ourselves and our residents in the event that Amendment 3 passes, and be more conservative with the funds. Thank you.

All right, we have a motion and a second on the floor. Can we please call the vote?

Yeah, I read the motion.

The motion passes five to two. All right, at this time we're gonna go into section nine B as in boy, which is a request for approval resolution number 2026-80 adopting tentative budget for fiscal year 2026. City attorney, can you please read that into the record and then we will give it to Mr. McKinney to do his legal required reading and then we'll do motions and then public comment.

Yes. This was read as part of the previous one, but happy to Read again. This is resolution number 202680, a resolution of the City Commission of the City of Deltona, Florida. Adopting the tentative budget for each of several funds and departments of the city for the fiscal year beginning October 1st, 2026 and ending September 30th, 2027. Improving the tentative capital improvement plan, providing for appropriation and procedures, providing for conflicts, severability, scrivener's errors, and an effective date. Thank you. Thank you. Mr. McKinney.

Yes, Mayor. I provided at the beginning of this meeting a revised Exhibit A. I would like to just read out that the general fund tentative budget is $78,682,518. Special revenue budget of all funds, $9,194,740. total capital project fund budget of $10,426,234, total enterprise fund budget of $63,060,197, and a total internal service fund budget of $16,160,675 for a total citywide budget of $177,524,364.

Thank you. Commissioner Herriot, I see you're on first.

Thank you, Mayor. I would like to make a motion to approve Resolution 2026-80, adopting the tentative budget for FY26-27 as presented.

There's a motion by Commissioner Herriot. Commissioner Santiago, I see you're up next. Second. Second by Commissioner Santiago. Is there any public comment? Yes, sir. Pat Blodgett, please.

Where do I begin? We were told to tighten our belts. When is the city gonna tighten their belts? State law, Senate Bill 1134, State 116.04971, effective January 2027. Municipal funds can only be used for municipal purposes. Let that sink in. The new state law prohibits counties and municipalities from funding or promoting or supporting cultural events unless connected to a recognized state or federal holiday. Celtic Festival, 100,000. If Amendment 3 passes, we're told that less money can be used for essential services, slower emergency responses. We need to cut wants in the budget, not needs. I would rather not have a Celtic festival or another festival and get essential services, pay for essential services. I looked at the budget and I went over line by line and I just can't believe all the waste and fluff and as Maritza said, stuff. We just don't need it. Let's worry about our needs and not our wants.

Thank you. Tim Blodgett, please.

Be right with you. Okay. Just to clarify, that was State Statute 166.04971. And what it does is... It puts municipal services into the clear category of things that you need, not what you want. And if you take a look at our budget, you kind of wonder what exactly are we doing? What are the extras that we're asking for that are not allowed by the state regulations? That's part of the fluff or stuff. What other stuff do we have? Well, we have four sheriff's deputies here to protect us from clappers. We have helicopter service for celebrities. We have multiple suburban tanks, whereas how many do we need in Deltona? Not to mention an armored skid steerer. We've got a lot of fluff. We need to restack the deck, reshuffle the deck, and figure out just exactly where our priorities are gonna be. I look at this as an opportunity. John did a great job, as usual, figuring out the budget. I'm sure somebody got their hands on it afterwards and started stuffing in extras for the I wants and the gimme's. So let's look at this as an opportunity because it's gonna pass and we're gonna have to figure out a new way of paying for city services. And if we have to do it line item by line item, so be it. That's it.

Thank you. Kathy Bryan, please.

Kathy Bryant, Deltona. So Amendment 3, for those of us who've lived in the same house for many, many years, sure, we're not going to have to pay taxes. We'll be. Because when the cities and counties decide to put forth special assessments, what do you think, what's an assessment? Oh, that's right, it's something you have to pay to the government. So now you're going to have people who have just moved here who are making an impact and we're gonna be paying more as long-time residents. So when you do these special assessments, can you divvy them up based on length of stay or your housing or otherwise because this is who it's hurting is the people who've been here a long time. The other thing is I'm very surprised that parks and recs should have a bigger budget than public works when public works is one of our most needed departments out there. That's where a lot of our needs live instead of our wants. So I would rather see that reversed. And just remember that just because you say it's a rollback and you're not paying more taxes, well, That doesn't mean when you get that bill in the mail, it's gonna be lower than last year because of the increase in assessments, et cetera. So I'm just saying, I know a lot of people are gonna jump on Amendment 3, but if you've lived here for a long time, think about it. Thank you. Thank you.

Mayor, that ends public comments.

Commissioner Caldwell.

Yeah. I want to talk about, I was too in that meeting that Robin referred to in the beginning. In fact, they even went on to say that most likely the city of Lake Helen would cease to exist and Deltona would shortly follow. As a longtime residence here, I know that the surrounding cities depend largely on commercial taxes, whereas our unique city of Deltona and Lake Helen don't have that option. I'm very concerned about all the fluff that we have in here to include the events that we have budgeted in here for this next year. I can't see approving this myself at this point.

Alright, let's go ahead and go for a vote because there's nobody else on so. Motion passes 4 to 3. This time we're going to go to Section 9 D. 9D as in David, election of the District 4 PNZ rep. Commissioner Howington.

Thank you. I move to appoint Timothy Belagia as the District 4 member of the Planning and Zoning Board.

Commissioner Caldwell. Second. Commissioner Harriot. Got it. All right. Is there any... We do public comment on this as well, Gemma? Sorry, Ms. Torcivia.

You can. I mean, you can.

If anybody in the public wants to make a comment, you're welcome to. No? All right. Can we please vote? Motion passes six to one. All right. City attorney comments?

No comments tonight. Thank you, sir.

City manager comments?

Yes, a couple of things, Mayor. Thank you. It looks like November 2nd, not a hard date yet, but close. It will be the opening of our Culver's restaurant on Howland. For those that have never had Culver's, it's God's food. It's right up there with Chick-fil-A. Another piece, 4B Lake Park Lakeshore Restoration. final project meeting was last week where they discussed the final construction how we're going to redo it the boat ramp is included contractors now mobilizing supplies as of today with construction fencing coming in by the end of the week if not at least early next week looking at about a six month time frame for the restoration to be complete at the site and once completed we'll then continue development on the 4b straw project to provide much needed alternative water supply and aqua fire recharge project for the fulfillment of the city's cup one last thing just want to mention it appears that we made the u.s news and world report august 31st just came out about a week ago regarding rankings of cost of living education quality crime rates weather and job markets in the state of florida we came in number 38 deltona so 411 cities in the state we came in 38th Of 19,500 in the United States, we came in at 353, the city of Deltona. So that's good juju there. Thank you, Mayor. That's it.

All right. Commissioner Novick, we're going to go start with you with Commission comments as we went the other way last time.

Okay. Nothing tonight, sir.

Commissioner Caldwell.

yes as a result of attending the aac affordable housing convention this year i was able to sit on in on a presentation with in regards to ai expediting permitting process here in deltona i've since entered into conversation with the city manager and staff in regards to this where we've reached out to some of these companies what my request is is we get a presentation by one of these companies if not several at the next meeting Do we need to get consensus on that?

Yes.

All those in favor?

Yes.

All those opposed? All right. Thank you. That's it. All right. Commissioner Howington?

I'd like to say thank you to the city manager for correcting the stanchion issue that we had and helping to prevent us from having ADA issues. I do appreciate that. For the fourth time, I'd like to request that we get an ADA presentation. If I can get consent for that, I would really appreciate it. Our residents have been asking for it.

I don't wanna speak. All those in favor for that consensus?

Aye.

All those opposed? All right.

So can we please get that added to?

Commissioner, I would like clarity. What is the presentation you're seeking?

I've given clarity on the past three times I've asked.

You want to know what changes we have made?

What the city has implemented. Obviously, we just heard a complaint this evening that the ADA email is not working, the ADA phone number is not working, so we need to make sure that what we're doing in the community... is efficient based on what's required by federal and state requirements. And what have we done? Because I know that we have done things to help the ADA community, and it would be nice if we could tell the community what we've done. This is not supposed to be based on individual needs.

Okay, so you are seeking a presentation about ADA?

Our ADA program that we do here in the city. How it works, how people would reach out for assistance.

Okay, very good, thank you.

Thank you, and that's all I have.

Just for clarification, the situation, the city clerk has said that has been fixed. So emails are not working, got it.

Thank you.

Commissioner Santiago?

Thank you, Mayor. Really quick, there are a few events coming up this weekend. One is the amphitheater concert. I do know that Saturday the weather is not going to cooperate. So if we do decide, probably by tomorrow, to reschedule that event due to the weather. Right, Mark? Okay. And that's all I have. Thank you. Have a good night.

Commissioner Harriot. Thank you, Mayor. I'd like to get consensus from the dais to ask D Ranch and Conservation Florida to come and do a presentation on what they have planned and have asked for an echo grant for at the next commission meeting, if we could.

That'll be based on their availability, right?

Yes.

Okay. All those in favor?

Yes.

All those opposed? All right.

That's all I've got. Thank you, Mayor.

Vice Mayor Avila-Vasquez?

Thank you, Mayor. I just want to, I hope I don't lose my voice right now. I just want to let everybody know that on Saturday, September 12, we have an event called Festival of Nations right here at the courtyard. And we currently have 11 groups from all over the world representing their dances, their music, and it's from 11 to 4. It's free admission, and everyone is invited to attend. It's right here at the courtyard, Festival of Nations, and I see that Albert left, but we do have the Native American Apache representing in this event today on Saturday, so please attend. It's going to be really, really nice, and thank you, everyone, for coming out in this rain. 11 to 4. And commissioners and elected officials are invited as well and all staff. Thank you.

Everyone have a good night. Thank you for being here. Meeting is adjourned.