Miramar City Commission FY27 Budget Planning Workshop - June 25, 2026

The Miramar City Commission met in a special budget workshop on Thursday, June 25, 2026, to review the proposed Fiscal Year 2027 (FY27) budget. City Manager Dr. Virgin and Budget Director Rafael San Miguel presented a $442 million balanced spending plan that keeps the city's operating millage rate flat while proposing a fire assessment increase. Staff also reviewed state property-tax legislation, a November 2026 ballot initiative that could create major future budget gaps, a five-year general fund forecast by Stantec Consulting, and the proposed five-year Capital Improvement Program. The session was informational; no formal votes were taken, and the meeting ran about 15 minutes over its allocated two hours. Mayor Messam participated virtually.

Discussion Items

• FY27 Proposed Budget Summary: Total proposed spending across all funds is $442 million. The general fund accounts for 57% ($252.9 million); enterprise funds, 23% ($101 million); internal service funds, 13% ($58.2 million); debt service funds, 2% ($11 million); capital projects and special revenue funds, 4% ($15.6 million); and subfunds, less than 1% ($3.4 million). Overall spending is a net decrease of $15.7 million from the FY26 adopted budget, and this year's proposed budget includes the CIP for an apples-to-apples comparison.

• General Fund Details: The general fund increases 4.6%, or $11.2 million, to $252.9 million. Personal services rise 5.7% ($9 million), driven by collective bargaining increases, pensions, and 12 additional firefighters to fully staff the fourth firefighter shift under the IAF contract. Operating expenses are essentially flat (-$0.2 million), capital outlay decreases 51% (-$3.5 million), transfers rise 19% ($2.4 million), and grants/debt/other rise by $3 million. Ad valorem taxes provide 46% ($117 million) of general fund revenue; permits, fees, and special assessments 21% ($53 million); charges for services 11% ($26.5 million); other taxes 10% ($26.4 million); intergovernmental revenues 8% ($19.9 million); and other sources 4% ($10.3 million). Salaries and benefits are just under 70% of general fund expenses ($174.9 million). Public safety is 50% of the general fund ($126.5 million), while community and culture is 20% ($51.5 million), administration 12% ($30 million), public works 5% ($13.8 million), debt service 7% ($17.4 million), and other items 5% ($13.3 million).

• Millage and Fire Assessment: No increase in the city's operating millage rate is proposed; the rate remains 7.1172 mills. Staff propose updating the fire assessment, with the residential rate rising from $479.21 to $574.22 per dwelling unit. The average homestead single-family home's valuation rose by $8,000 (capped at 2.7% by the Save Our Homes provision), producing a $57.23 city tax increase and a combined city tax plus fire fee increase of $152.24 per year, or $12.69 per month. A 25th-percentile homestead property would see a combined increase of $121.06 per year ($10.08/month); a 75th-percentile property would see $164.09 per year ($13.67/month). A typical commercial property of just under 17,000 square feet would see a combined increase of about $4,500 per year ($376/month). The city's hardship exemption for the fire assessment would be expanded from an assessed value of $250,000 to $300,000, doubling eligible properties; applications run through July 31, 2026, and residents over 65 who receive the Broward County senior exemption are automatically enrolled.

• Fire Assessment Study (Stantec): Peter Napoli presented the updated fire fee study. The city retained its calls-for-service methodology; residential's share of calls moved from 71% to 69%. The net assessable fire budget is $38.4 million, reduced by exemptions to $34.8 million. The study recommends rates at 100% cost recovery, generating an estimated $32.4 million in FY27, up $6.2 million from current levels. The residential rate would rise by $95 per year. Stantec noted that the proposed rate uses a five-year average of projected fire costs and that other cities' rates vary based on call allocation, density, and whether they choose full cost recovery or subsidize the fee with property taxes.

• State Legislative and Ballot Impacts: Budget Director San Miguel summarized three measures. Senate Bill 4F, signed into law the day before the workshop, removes the per-capita personal income adjustment to the rollback rate, requires a two-thirds (4-1) commission vote for millage increases up to 110% of the rollback rate, and requires a unanimous vote for increases above that threshold; it is effective immediately. House Bill 1329, also signed, requires local governments to publish detailed financial information online and to hold budget workshops that include a 10% reduction exercise before adopting the final budget, beginning with the FY28 budget cycle. Senate Bill 2F, a November 2026 ballot initiative, would increase the non-school homestead exemption from $50,000 to $150,000 in the first year and to $250,000 in the second year, and would lower the non-homestead assessment growth cap from 10% to 5%. Staff estimate the initiative would cost the city $19.1 million in FY28 and $32.5 million in FY29 and beyond. Under the current structure, the average homestead property tax dollar going to the city would fall from 35% to 18%.

• Five-Year General Fund Forecast (Stantec): In the baseline forecast, which assumes a flat 7.1172 millage rate and the fire assessment increase, reserves remain above the city's minimum reserve policy throughout the five-year period. If the fire fee were held flat at $403, the general fund would run cash-flow deficits and reserves would decline. In a scenario incorporating the property-tax ballot initiative, the fund balance drops below the minimum reserve target in FY28 and is essentially depleted by FY29, with projected deficits of $15 million in FY28 and $33 million in FY29, absent offsetting revenue or expenditure changes.

• Capital Improvement Program: CIP Manager John Maggirani presented the proposed FY27 CIP: 43 projects at $50.1 million, compared with 56 projects and $87.1 million in the FY26 adopted CIP, a decrease of $37 million. The five-year CIP includes 90 projects totaling $277.1 million. Key funding sources include capital grants, the utility fund, and $5.3 million from the general fund for 14 projects. Infrastructure redevelopment and improvement receives more than $42 million; public buildings approximately $4.5 million; capital equipment, vehicles, and software approximately $2.6 million; and parks/facilities approximately $698,000. Staff highlighted projects including Bass Creek Road design, Pembroke Road/Miramar Parkway extension to US 27 ($10 million for construction), Historic Miramar Complete Streets phases, Sherman Circle path improvements and lighting, Miramar Regional Park Aquatic Complex resurfacing, Fairway Park improvements, Sheridan Park playground replacement, athletic field mower purchase, street resurfacing, drainage improvements, outfall pipe restoration, East Water Treatment Plant filter and sand separator work, a third digester at the wastewater reclamation facility, lift station generators and rehabilitation, water meter replacement, and Building L renovation.

• Commission Discussion and Questions: Commissioner Chambers asked about utility projects, including the sand separator at the East Water Treatment Plant, automatic stationary generators for lift stations, and digester redundancy. Commissioner Colbourne requested a detailed explanation of the bills; staff explained that the proposed flat millage still exceeds the calculated rollback rate of 6.780 mills by less than 10%, which will require a 4-1 vote for adoption. She also asked what mitigation measures are planned if the ballot initiative passes; staff cited voluntary retirement incentive programs, vacancy freezes, benefit and organizational restructuring, contract and program reductions, and possible layoffs. Commissioner Cherasard asked what departments sacrificed to reduce spending; staff said about 13.5 FTEs were cut across all funds and all non-public-safety departments were asked to reduce budgets, adding that these cuts likely would not have been implemented absent the pending tax legislation. Mayor Messam said residents want property tax relief but are largely unaware of the city's budget process and how much of their property tax bill goes to the city; he asked about legal interpretation of permitted uses for ad valorem revenue. The city manager noted the municipal operations and administration category in the bill is broad and still being analyzed, while public works infrastructure appears covered. Mayor Messam stressed that the general fund increase has been driven primarily by public safety hiring. Mayor Messam and Commissioner Cherasard both urged staff and commissioners to take the budget presentation to community venues over the summer.

Key Outcomes

• No formal votes were taken; the workshop was informational.
• Proposed FY27 budget: $442 million in total spending, no millage increase, proposed residential fire assessment of $574.22.
• Scheduled next steps: July 8, 2026, the Commission will set the maximum millage rate, fire and stormwater assessment rates, and the date for the first September public hearing; August 24, 2026, TRIM notices will be mailed; September 14, 2026, the first budget hearing for the tentative budget will be held and final fire and stormwater assessment rates adopted; September 28, 2026, the second and final budget hearing will be held; October 1, 2026, the FY27 budget becomes effective.
• Because the proposed 7.1172 mills exceeds the rollback rate of 6.780 mills, adoption in September will require a four-to-one vote under Senate Bill 4F.
• Staff will continue developing mitigation strategies for the potential ballot initiative and will work with marketing and commissioners to educate residents; the city manager was asked to consider taking the budget presentation to the community over the summer.