In a meeting that was awkward at times, the Fort Myers Beach Town Council has approved a final 2026 millage rate of 1.0294 per $1,000 of assessed property value. That’s an increase of about 4% over the 2025 millage rate.
The higher millage rate will generate an additional $177,149 into the budget which will be used for the town’s Emergency Fund and to match any state grants the town may receive. Council member John King voted against the increase, which needed 4 votes to pass. He said, “I stand with the taxpayers. I cannot support an increase.”
The additional $177,149 will be split and distributed into two funds, $88,574 to the town’s emergency reserve fund and $88,575 to match any state grant money that the town receives for future projects. If there is no grant money that needs to be matched, all of the money will go into the woefully underfunded emergency reserve fund.
Before the 1.0294 millage rate was approved, King voted against a proposed increase to 1.15 mills which would have generated an additional $719,000. That increase is what staff and Town Manager Will McKannay recommended and were heavily pushing for after staff made $1.2 million in cuts to the original tentative 26% increase. Because the increase to 1.15 (16%) was considered significant all 5 council members needed to approve. It failed without King’s vote. Even after the failed vote, and seeing how underfunded the reserve account was, several council members tried to change King’s mind to get him to vote for the higher tax increase. King wasn’t budging on an increase.
At the first budget public hearing, Town Attorney Nancy Stuperich advised the council they had the option to go all the way back up to the tentative millage increase of 1.25 mills which would have generated an additional $1.12 million in revenue. That turned out to be incorrect and was relayed to council members between public hearings. When the council approved 1.15 mills at their first public hearing, that was as high as they could go, but they could go lower.
Something new that came to light Wednesday night was the potential for a $9 million deficit the town may face as they await FEMA reimbursement funds that the town had to spend on emergency projects after Hurricane Ian. Mayor Dan Allers said to Finance Director Joe Onzick, “I wish we would have known this before. Then when the 16% millage increase failed, Allers said, “This leaves us open to potential dangers.”
Vice Mayor Jim Atterholt changed his vote from a no to a yes on the increase when he was assured by McKannay that the additional ad valorem revenue generated from any increase over the 2025 .99 rate would only be used to fund the Emergency Reserve account to match any state grant money that came the town’s way. It’s not unusual for the state to send municipalities money for projects as long as those municipalities match the funding for that particular project.
Allers went on to say that not voting for the higher increase was “reckless.” A word he used several times during the hearing.
Since Hurricane Ian the town has spent $43.5 million from its emergency fund.The chart below details how the town was able to maintain its emergency fund balance and what the town faces if FEMA and FDEM (the state) do not reimburse the town for money it has already spent on emergency projects and that the town was told would be reimbursed for.
The budget and millage rate approved by the town Wednesday night includes cuts made to the budget after the tentative millage rate was set including, all money for 2 fireworks celebrations (New Years Eve and the the 4th of Jul), town-run pickleball leagues, youth leagues and clinics, several staff positions will remain unfilled, hours at Bay Oaks might be shortened, and services at The Mound House could be reduced.
Fort Myers Beach taxpayers were already going to pay more, even if the town rolled back their millage rate to generate the same amount of revene from taxes as last year. Lee County Property Appraiser Matt Caldwell reported property values on Fort Myers Beach increased 12% over the previous year. Onzik said in August that the higher property values will bring the town an additional $670,000 next year. So all in, the town will see an additional $847,000 in fiscal 2026 from taxpayers; $670,000 from higher property values and $177,000 from the increase in the millage rate.
Two residents spoke at public comment during the public hearing, Ellen Vaughan and Tom Torgerson. Both urged the town council to raise the millage rate.
Well, as long as the town continues to incentivize empty, over-grown lots, empty, storm-ravaged homes, and mostly vacant trailers for another 2 1/2 years, I expect your coffers to remain empty. The aforesaid, are not inclined to build, or re-build when they don’t have to pay for flood or property insurance nor, do they have to pay for a new mortgage and higher insurance like us. What a massive cluster. The media are somewhat under-reporting, and mostly leaning towards positive light to these council meetings and voting agendas. Anti-resident, and biting the hands that feed all is what is really weird and those reasons why are just a few, that this town is now a “ghost town”, and the businesses are hurting from the eyesore and management made on emotions and not facts and law. Just like voting for the tax increase of 26% when it was actually too high and illegal. The lawyer wants more money for not being prepared and not knowing law? Hmm…
….property values on Fort Myers Beach increased 12% over the previous year. Not seeing this increase for beach front condos.
Dear Steve’s dad, I was never a vacationer here prior to purchasing my full time residence. I did my due diligence first. I would be happy to put my intellect up against yours anytime. Go back to vituperation as it’s probably the most intelligent thing you can do.
Just wondering how our real estate values went up 12 percent .when condos that were selling for say.525,000 before Ian.can,t even sell for 500 000 dollares.with most now being taken off the market. It’s the new housing thats going up that costs in the millions. That are making taxes go up. This town will never be the same town .And will probably eventually have to go back to Lee County .
P
Bigger houses equal bigger tax bills and more revenue for the town. Your argument makes no sense?
King just trying to get the votes so he doesn’t get recalled.
King has voted not to raise taxes each of the last three years. Just like the recallers, don’t let the facts get in the way of fiction.
My opinion is Mr.King is looking out for the citizens of ft Myers beach who have been living here for quite awhile..and are full timers.thats why you elected him.But the future is build bigger and higher and a small town becomes more costly for the original citizens.
I am a full time resident who has lived here substantially longer than King and he has no regard for the long time full time residents who do not want to turn this town into nothing more than a vacation rental destination.
Not my goal, Steve. Interesting that you continue to change the Goal Posts. First it was I voted down the tax increase for recall votes. Now it’s something else I’ve never supported. Keep trying maybe eventually you’ll make something stick.
PS: If you’re proud of your work, sign your name!
Steve, you moved to an island in Florida. Which means you were once a vacationer and then moved to the island. A vacation destination. It was that before you moved there and will be that forever. Just like every other island. Common sense goes a long way. Stupidity knows no bounds.
Thanks John King –
Your standing for Fiscal sanity is greatly appreciated –
With the post-vote comments by the town manager and mayor saying we are indeed financially ok, the dialogue at the budget meeting appears to have been a manipulation aimed at getting the higher rate pushed through. Kudos to John King for standing firm.
I agree 100% with Dan . But no worries. If or when we don’t have essential funds we can always start up a Go Fund Me! 🤷♀️