In a 6-1 vote, the Daytona Beach City Commission signaled its support for a $406 million budget and a flat property tax rate of 5.93 for the 2026-27 fiscal year.
Commissioner Stacy Cantu was the sole dissenter.
The figure represents another budget increase for the city. The board last year adopted a $380 million budget for 2025-26, and a $343 million for the prior year.
Of the $406 million, the general fund is the largest spending portion — $165.1 million. The amount, which comes in part from property tax revenues, covers police, fire, parks, administration and other municipal operations.
Daytona Beach City Commissioners hold business meeting at City Hall to hold first vote on proposed 2026-27 budget and tax rate, Sept. 9, 2026.
Other non-ad valorem expenditures include $83.9 million from the water and sewer fund; $30.6 million from the solid waste management fund; and $22.8 million from the stormwater improvement fund.
Operating expenditures and transfers amount to $310.3 million, with capital expenditures at approximately $25.2 million.
The tentative 5.93 tax rate is the same as last fiscal year's. For every $1,000 of taxable property value, a homeowner will pay $5.93 in city taxes.
The figure is approximately 3.5% above the rolled-back rate of 5.73.
While the tax rate remains flat for next year, rising property values mean the city will collect more property-tax revenue than it would under the rolled-back rate.
According to estimates from Volusia County's property appraiser, "Daytona Beach's citywide taxable value is projected to grow from approximately $10.4 billion in 2025 to $11.7 billion in 2026, marking an increase of over $1.3 billion," the city website states.
The budget also includes "an increase to salaries and wages for all bargaining unit employees with the city."
That includes non-public safety employees who are part of the American Federation State Municipal Employees union, including but not limited to the city manager, city attorney and city auditor.
On Oct. 4, these employees will receive 3% increases across the board. The minimum and maximum of each pay range will also increase 3%.
On April 4, 2027, those employees will receive an additional 2% salary increase. The minimum and maximum of each range will not increase. Employees at the maximum of the pay range will be eligible to receive a lump sum payment of 2%.
Police officers and firefighters will also receive raises.
Those employees belonging to the Coastal Florida Police Benevolent Association, Fraternal Order of Police, and International Association of Firefighters will receive 3% raises across the board on Oct. 4.
The city will hold the second and final budget adoption hearing on Sept. 23.
— Brenno Carillo is a local government reporter covering Flagler County, including Palm Coast and Flagler Beach, for The Daytona Beach News-Journal.
This article originally appeared on The Daytona Beach News-Journal: Daytona's spending plan includes $406M budget, flat tax rate, raises