The commission reviewed the general fund and deliberated on various city commission budget items, public outreach, administration, police, fire, and public works. A significant portion of the meeting was dedicated to the Police Department’s budget increase of $1.5 million, intended for personnel expansion, including the addition of 12 new officers. This proposal was linked to the collection of police impact fees, the exact amount of which on single-family homes led to a moment of confusion, with one participant stating it was under $200. Further, the current balance of the forfeiture fund and an estimated $30,000 additional confiscation for the year were also discussed.

Addressing the Fire Department’s needs, the commission considered a budget increase of a million dollars, necessitated by high workload and burnout concerns, and the proposal of an 18% increase in fire services. The potential for using police impact fees for equipment such as radios, light bars, and gear cameras was also a topic of conversation.

The discussions on the budget also tackled the reduction of electric transfer, a move prompted by pressures from the state legislature and market-related challenges, with a proposed $1.5 million decrease. This move was seen as a strategic alignment with legislative priorities and a mitigation tactic for inflation and rising personnel costs.

The intricacies of managing city growth were evident in the debates over development, especially regarding The Villages and Corleyburg. The commission noted the complexities of forecasting growth and the role of the Community Redevelopment Agency (CRA) in managing such development, considering the city’s overall growth rate and the estimated portion of growth coupled with the county’s contribution.

Taxation was a recurring theme, with a projected tax increase of 7.5% at the current millage rate sparking discussions on historical tax trends and the city’s tax rates compared to other Lake County municipalities. The commission broached the subject of setting the maximum millage rate at 3.4752 and scrutinized the impact of the proposed tax increase on commercial properties and the effective tax rate from the previous year. The revenue projection for the city was expected to increase from $33.4 million to $37.5 million.

Employee compensation was another focal point, with approximately $1.47 million allocated for a projected 4% pay increase for city staff. The commission also highlighted adjustments made to cover the increase in fire assessment fee. The discussion on employee benefits extended to the health insurance fund, which may require subsidization due to recent spikes in health insurance claims.

The potential challenges of city growth led to conversations about public works, including street maintenance and the high vacancy rate in the department, prompting consideration of contracting for grass mowing and grounds maintenance. Community development, planning and zoning, and housing contract services were also on the agenda, with $35,000 earmarked for demolition costs.

Notably, the budget proposal highlighted the strengths of increasing public safety and maintaining a low millage rate while considering the weaknesses, such as the reliance on $600,000 of new growth for the police department, and the potential need to dip into general fund reserves for future capital improvements.

Lastly, the commission addressed the financial risks associated with events like Bikefest and discussed the necessity of incorporating these numbers into the Marina budget. The possibility of hiring a marketing firm to attract businesses to South Leesburg sparked a debate, reflecting on past attempts and the importance of demographics in commercial growth.