Tax Relief for Residents
By Mayor Norman S. Edelcup

Rising property values have provided the City Commission with a golden opportunity to provide tax relief to the residents of the City of Sunny Isles Beach.

At the upcoming budget hearings (September 8 & September 22), I intend to recommend a tax cut for the residents of this wonderful city. A tax cut is the right thing to do because the City's coffers have swelled over the years due to skyrocketing property values. The tax base of the City has increased by 21% from the previous year.

Cutting taxes during a period of drastic increase in property values is consistent with good government practices because more tax revenue can still come in with a smaller millage rate. If the City does not cut taxes, property owners would have to face a higher tax burden than for the previous year.

While a tax cut will reduce the tax burden, property owners may still have to pay slightly more taxes due to rising property values. However, having property owners pay taxes at last year's rate would be wrong in light of the skyrocketing property values. If my colleagues on the City Commission agree with my recommendation, we will be able to reduce the tax burden for all property owners in the City.

Currently, the City has one of the lowest tax rates in Miami-Dade County. My proposal will lower our tax rate from a millage of 3.35 to 2.95. A 13% decrease in the millage rate. A change in the City's millage rate will not impact the school district taxes and other items that appear on a homeowner's tax bill.

What does the lower tax rate mean to the average homeowner, whose property is homesteaded property? It means that the City's portion of your tax bill will be reduced for the upcoming year. For example, the owner of a $150,000 home who claims a homestead exemption will have to pay approximately $368 of City taxes under the proposed 2.95 millage rate. Under last year's mileage rate, the owner would have had to pay approximately $419. Thus, a homeowner would gain a tax saving of $51 from last year's rate.

It is important to note that the tax relief proposal will not have any impact on the level of services the City currently provides. In fact, the City intends to provide more services in the upcoming year. We intend to create new parks and a new school with the assistance of Miami-Dade County School District. Because of the skyrocketing property values, the City will receive more revenues to fund the services to be provided.

I hope my colleagues on the City Commission will agree that skyrocketing property values have provided us with a golden opportunity to reduce taxes and that they will support my recommendation to provide tax relief to our residents.

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