Cape Council to set not-to-exceed tax rates Wednesday
Multiple caps higher than current rates
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Cape Coral City Council will set the city’s not-to-exceed millage rates Wednesday.
Previous Council consensus was to cap the property tax at 5.5188 mills for General Fund operations.
The not-to-exceed rate can be lowered as the budget process continues through September but cannot be raised once set.
The City Manager's Proposed Budget was developed using the current property tax rate of 5.2188 mills for the General Fund as well as an additional 0.1608 mills for the voter-approved General Obligation Bond for Parks Debt Service.
One mill is equal to $1 for every $1,000 of taxable assessed property valuation.
The city manager’s submitted budget did not include $66.5 million in additional unfunded staff requests for which Council has been presented with three options: Raise the property tax, raise the fire services assessment or leave all or part of the requests unfunded.
According to the presentation for Resolution 210-25 to be considered Wednesday, the proposed millage rate, as well as notification to the property appraiser's office, are required to be set within 35 days of the certification of value with a due date of Aug. 4.
The meeting will also include a number of other public hearings for the Fiscal Year 2026 budget which will go into effect on Oct. 1 following Public Hearings on Sept. 11 and Sept. 25.
Other levies to be considered include:
The lot mowing assessment for undeveloped lots includes increases for three of the four districts.
The lots on this program are mowed 13 times a year - February through December - for vacant parcels in four districts.
District 1, which has a proposed $15.94 reduction due to the increase to finish Hurricane Ian cleanup, now has a proposed rate of $70.48.
District 2 proposed rates will go from $44.77 to $48.05 if approved, District 3 from $47.32 to $51.44 and District 4 from $43.21 to $44.63.
The annual assessment for the standard parcel for District 1 will go from $172.84 to $140.96, District 2 from $89.54 to $96.10, District 3 from $94.64 to $102.88 and District 4 from $86.42 to $89.26.
The estimated solid waste cost and assessment rates are also among the public hearings.
According to the presentation, Waste Pro will receive a 1.66% CPI increase, and Lee County Solid Waste is proposing an 8% increase in disposal fees.
Residential and commercial collection rates will be set by Council on Aug. 27.
The proposed annual residential rates for fiscal year 2026 is $384.25, a $38.49 increase from 2025.
The fire services assessment is proposed for FY 2026 is proposed at 81% cost-of-recovery. The current rate to recoup the cost of the Cape Coral Fire Department providing fire protection services is 70%.
The assessment goes into the city’s General Fund.
For tier one rate per parcel, it will go from $278.84 to $349.32, a 25.28% change, if approved. Some of the key investments includes Fire Station 5 rebuild, direct exhaust system, staffing, facilities maintenance, generator replacement and docking stations and a rescue truck.
There is also a proposed stormwater fee increase from $149 to $156. The proposed capital projects include environmental and water quality improvements, flood prevention and drainage improvements.
There is also a resolution regarding delinquent water, wastewater, irrigation, fire service non-ad valorem special assessments and capital expansion and contributions in aid of construction loans on the agenda.
There are 19 properties in Southwest 6 and 7, North 2, and North 1 assessment areas that have outstanding deferred hardships amounts. Of those, 15 are no longer enrolled in the hardship program and four ownerships have changed, and the deferred hardship amounts were not remitted to the city.
If the resolution is approved, the imposition of the outstanding balances on the tax roll will be utilized through the uniform method of collection.
The North 1 West irrigation assessment also will be discussed.
According to the presentation there are 22 properties that were incorrectly coded and improperly exempted from paying the first installment of the irrigation assessment. These properties were miscoded as being within 75 feet of a potable well - normally prohibiting connection. The city pays the assessment until the parcel can receive service.
The resolution would notify property owners of the original North 1 irrigation line extension and the amounts; have a 30-day prepayment period - if not prepaid by Sept. 30 - will have installments beginning the November 2025 tax bill; owners will have the full 30-year term and the city will be reimbursed for the first year that was paid on the property owner's behalf.
The meeting will be held at 4 p.m. Wednesday, July 23, in City Council chambers, 1015 Cultural Park Blvd. The meeting is open to the public.
Town Hall meeting on the budget set for July 31
For those who would like additional information, the city will hold a Town Hall meeting to discuss the proposed budget.
The event will be held Thursday, July 31, at 4 p.m. in City Council Chambers at City Hall, 1015 Cultural Park Blvd.
The Town Hall will offer a comprehensive overview of the proposed FY26 budget, officials said, adding the city will outline key priorities, upcoming projects, and funding allocations. Attendees will have the opportunity to provide input and ask questions.
For those unable to attend in person, the meeting to be held at city hall will be broadcast live on CCTV and available on demand. Residents can also submit e-comments online to ensure their voices are heard.
Additional public involvement opportunities are scheduled for this fall. In preparation for the final budget adoption, the City will host three budget workshops on Aug. 5, 12, and 19 at 2 p.m. in City Council Chambers.
Upcoming meetings can be viewed on the public calendar at capecoral.gov.