Ocean Ridge landowners will pay $5.40 for every $1,000 of taxable property value to fund next year’s proposed $11 million town operating budget, according to a preliminary tax rate approved July 8 by town commissioners.
The preliminary tax rate, which is the same rate the town has charged since 2023, is set with the idea that it can be reduced during budget hearings in September but not increased, said Town Manager Michelle Heiser.
While the tax rate would remain unchanged, the town will collect about $1 million more in property taxes — a roughly 6% increase — during the fiscal year that begins Oct. 1. To collect the same amount of money it did this year, except for taxes from new construction, the town could impose a reduced tax rate of $5.08 for every $1,000 of taxable value.
In addition to daily operating expenses, the town plans to spend $4.6 million on construction projects.
The proposed tax rate would find the owner of a house, with a taxable value of $1 million, paying $5,400 for town services next year. If the town held steady on spending, that homeowner would pay $5,080, a savings of $320.
That doesn’t include the extra money landowners will pay because of property value increases. The assessed value of homesteaded property can only increase by a maximum 3% a year, according to state law. However, the assessed value of commercial property and second homes can increase by as much as 10% annually.
The first of two budget hearings, to give town residents a chance to comment on the proposed budget, will be held Sept. 14.
— Jane Musgrave
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