The council focused on understanding the local option gas tax, traditionally generating over $300,000 to $350,000, but projected to decrease by $100,000. This decline prompted concerns about potential effects on city projects. Discussion revealed uncertainty surrounding the calculations and classifications of these taxes, with the local option described as a sales tax on gasoline purchases and the municipal tax based on consumption. The absence of a previously available state reference book on these computations further complicated the matter.

Council members speculated about additional taxes on natural gas services to homes and businesses under a franchise agreement with Chesapeake Utilities. The city manager was tasked with examining whether taxes were being imposed on these services and exploring the potential for new taxes, in compliance with state law, to capture untapped revenue streams. The city attorney was also involved to ensure any changes would meet Florida legal standards.

Simultaneously, the council tackled budgetary issues, discussing adjustments in various line items to achieve fiscal balance. A notable suggestion included a legislative cut of $20,680 from a proposed $86,000. There was a clear emphasis on consensus to streamline budget adjustments. The discussion extended to travel and training costs, where members expressed concerns about negative impacts on employee development if cuts were made.

The infrastructure maintenance budget was another focal point, with a proposed expenditure of $3,261,000, above the five-year average of $1 million. A reduction of $109,250 was agreed upon to maintain a budget still well above the average.

Attention also turned to the Parks and Recreation department, facing a proposed budget of $1.8 million compared to an average of $1.1 million. A recommendation to cut $79,000 sparked discussions on the potential impact on programs like the PAL program, tied to community events such as the reindeer run. The council aimed to maintain program integrity while implementing necessary cuts.

Promotional activities and special events were scrutinized, with a proposed promotional budget of $18,000, higher than past averages. Given COVID-19’s impact on prior years’ expenditures, some members suggested aligning the budget closer to historical norms, proposing reductions to $6,000 or maintaining $7,800.

Vehicle replacement and professional services budgets were also evaluated, with adjustments proposed to ensure operational needs were met without excessive spending. The council supported reducing the vehicle budget from $40,000 to $30,000, while professional services faced a cut from $23,550 to approximately $9,550, prompting discussions about the implications for community art programs.

Deliberations on the reindeer run event were notable, with a placeholder budget of $15,000 maintained amidst discussions of potential postponement due to logistical challenges and the retirement of a key staff member. Concerns about delivering the expected quality of the event led to suggestions of taking a year off to regroup, despite disappointment from community groups.