Shocking Budget Proposal! Budget workshops Tues, Wed, Thurs at 3 PM - Show Up; Speak up, or Pay up. Council approved an initial millage rate of 3 mills that would result in a tax increase of well over 20%, but assured the public that this is just a starting point. Cuts would be coming. But will they?

In the agenda for the Wednesday, August 6, Budget Workshop #2, the public and council got the first look at the proposed budget for Oct 1, 2025 - Sep 30, 2026. Reduction in Fund Balance to cover the deficit! The proposed expenses are up $4.8 million over the projected expenses the current year… 21% increase in the general fund costs.  Even at the highest millage rate (3 mills), the Village would need to eat into the fund balance.   With the possibility of less in reimbursements from FEMA if the Village has damage from a natural disaster, reducing the fund balance may not be wise. Tab 5 of the agenda provides the projected numbers for current year ending 9/30/25.  They are highlighted in green in the table below.  The next three lines are the projected numbers for the proposed 2025-2026 budget.   Concerns: Projectedincrease in general fund expenses this coming year: $4,776 million Reduction in Fund balance, best case, almost $1 million.  At rollback $4.8 million Cost of Employee Insurance Benefits: $2,827,857 Increase in Employee Insurance Benefits: almost $920,000 increase in one year. And again we have major concerns with Wastewater Fund spending.

When taxpayers see their TRIM notices in another couple weeks: Shock might set in.

In a continuing effort to inform and educate the residents of current events, mandates and issues that affect the lives of residents and our unique environment, I submit the following:

Another self inflicted gunshot wound:

Four Laning U.S. One: Earlier this year, for some unknown reason, the Monroe County Commission directed their staff to prepare amendments to the County Comprehensive Plan, an amendment to delete the prohibition against additional 4-laning of U.S. One in the Keys.

This would destroy Islamorada in many ways.

Last week, the proposed amendment was heard by the County Planning Commission.

They voted 3 to 1 recommending the Commission reject the requested proposal to delete their 4-lane highway change. We commend them for using common sense.

This will go to the County Commission soon for their vote.

If past be prologue, the County Commission take on unfettered development is dismal (see the vote on Publix at Cemex). Their constituents were solidly against the Publix but the Commission voted for it under the guise of “affordable housing”.  For whom?

At a time when the county criticizes the state for preempting local authority, to propose that FDOT make the 4-lane highway call is flat. Asking for pre-emption!

U.S. One is a local issue. Residents who depend on this highway to live, work and send their children to school should decide.  Not elected officials or bureaucrats

A 4-lane highway will ensure increased traffic, more development, increased stress on our environment and infrastructure. This diminishes and destroys our quality of life.

Crossing and navigating a 4-lane highway opens up dire safety concerns. A 4-lane highway running through our community enhances the danger of crossing or turning from or to a four-lane highway for vehicles, bicycles, and pedestrians.

What will Islamorada do?

I urge our officials not to take the easy way out! Vote and support our “fishing village”, not the new Miami Beach. Tell the County Commission you say “No!”

A 4-lane highway could also affect the evacuation time. Evacuations might no longer be a limiting factor in the Keys’ rate of growth.

Questionable “studies” will tell you Islamorada and the Keys can handle the additional growth - wastewater treatment, schools, water supply, stormwater runoff from the widened highway. 

We cannot handle all of the above without huge tax consequences. Tax increases will drive more long-term residents away.

Maybe the goal is to be a village of vacation rentals and a few wealthy residents.

And what about our workforce? No workforce could survive

If we give up the right to determine our future, and U.S. One is widened through Islamorada, what will happen to our businesses that will have a 4-lane highway right out their front door – with no parking! 

Chamber of Commerce and TDC, where are you on this?

There is a saturation point for access and parking. There are many other poor outcomes. Imagine the tremendous cost of widening the 42 bridges in the Keys!

Again it comes at the cost of higher taxes – local, state and Federal.  

Question -what creates the existing traffic on US one? The very worst is on holiday weekends, mini-season, and when weather elsewhere is miserable.

The congestion is not created by residents.

The Tourist Development Council continues to advertise to bring more tourists. The statute that guides the TDC should be revised to pay more toward infrastructure for the victims of increased tourism.

Let your feelings be known!

Contact your County Commissioner and Village officials today!

Elections have consequences and this is just another one.

As always,

Tom Raffanello

Reply to: ICA.in.Keys@gmail.com

Lincoln's quote reflects the concept of participatory democracy. A strong government should be made up of representatives chosen by the people, but also actively involve the citizens in policy formulation and implementation.

Share our newsletters and this site with your friends. We’d love to add even more readers to our distribution list. Send us an email at ICA.in.Keys@gmail.com

Great to see an Islamorada resident, a regular attendee at Village Council meetings, and member of the Village Budget Task Force participate in the 2025 Ernest Hemmingway Look Alike Contest!

Following the feedback received at the June 24 Draft Master Plan workshop, Miller Legg has requested additional response from the public regarding the plan proposed: what members of the community liked the most and what they liked the least.

Click here to complete the short survey.  The Founders Park Conceptual Plan can be found here.

Perhaps what needs to be mentioned are the implementation costs of the suggested improvements in the master plan draft…$78,922,864 over 11 to 15 years.

Council approved removal of previously approved conditions restricting outdoor amplified music and special events, at the Safari lounge.   Council approved 1st reading of ordinances before the draft of amendments to Comp Plan is released by Able City East. Council approved 1st reading of zoning change to allow storage and/or recreational use at former tennis club.

There are plans to make significant improvements to the high school baseball field at Islamorada’s Founders Park.   A survey aims to find out what residents of the Village think about the improvements. At the July 22 Council meeting there was concern that the survey is biased.   Click here to take the survey. You decide. At the last Parks and Rec meeting, committee members were tasked with addressing just two issues: 1. They voted 7-1, concurring with the Interlocal Agreement signed by Village Manage Ron Saunders with the School Board, with NO details spelled out as to cost, layout or building details. 2. They also voted 7-1 to support artificial turf. At last week’s council meeting, Village Manager, Ron Saunders, asked council if he could acknowledge the Village preference for artificial turf to the School District so they could move forward with the next step with baseball field plans. Was the vote legitimate? According to Village regulations, decisions of council must be noticed in the meeting agenda.  Votes, to be valid, must be by motion or resolution according to the Village Charter.  No thumbs up.

September Council Agenda will have a provision to protect the Old Highway Peacocks.  Mayor Mahoney announced the Village Attorney will present a law to assure peacocks will be protected and in exchange residents must no longer feed the wild birds.

Political issue or environmental issue?Councilman Steve Friedman introduced a resolution (Click Here) at the July 22 council meeting, stating “The Village Council opposes the construction and operation of the Alligator Alcatraz Facility in the Florida Everglades.”  The other members of Council thought the facility is not Islamorada’s concern.  Steve did not get a second.

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While we must provide services for more than just the residents of the Village, the dramatic increase in the general fund expenses since 2020 is extraordinary in a community that has strict rate of growth parameters.

Budget uncertainties are significant as concern about the future of FEMA grows. Will local governments see a reduction in FEMA assistance following natural disasters?   U.S. Rep.Daniel Webster of Florida is one of four representatives who have introduced bipartisan legislation to reform the Federal Emergency Management Agency (FEMA). As a Floridian, he knows how important effective preparation, response and relief is when tragedy strikes.

The FEMA Act, aims to streamline the bureaucracy. It would expedite permits, assessments, and relief efforts following disasters, saving money yet improving disaster aid efforts.

In a continuing effort to inform and educate the residents of current events, mandates and issues that affect the lives of residents and our unique environment, I submit the following:

The Village of Islamorada has not done an acceptable job of managing our tax dollars.

This has happened over time.

Current Village management has the ability and mandate to provide a much-needed solution to fix our faulty spending habits.

Programs established decades ago have survived at full funding and currently operate without regular analysis. It is a fact of life that programs and positions are overcome by events and can be run more efficiently.

In my experience, if you’re doing something for a decade or more, an analysis will result in financial adjustments to these programs. This quite often results in savings for taxpayers.

This isn’t political, it’s financial common sense.

Speaking of common sense, let’s talk Florida DOGE:

The Florida Department of Governmental Efficiency (FL DOGE) is a newly created state task force aimed at finding wasteful spending and improving government accountability.

In March, a two-page letter was sent to every local government in Florida, asking whether they have experienced any financial concerns in recent years. A second letter to local governments asked for more extensive documentation.

The FL DOGE initiative has prompted some local governments to scrutinize their own budgets and even take preemptive cost-cutting actions. As we all should.

FL DOGE is analyzing the data collected and will act based on their findings. This can take several forms:

Increased State Oversight

Mandated Financial Recovery Plans with state monitoring

Appointment of a financial emergency board or external administrator to guide (or even temporarily take over) the local government’s fiscal management.

At the Council meeting on July 22, the Council set a tentative millage rate of 3 mills that will be used for the August TRIM notices – projecting the maximum taxes for property owners this coming year. 

At 3 mills, along with Islamorada’s increase of $560 MILLION in taxable value this year, this rate would increase tax revenues for the Village by over $4.5 million.

Village Manager Saunders is working to implement cost reductions but explained that there are $1 million cost increases the Village will face that they have no control over.  And there is concern about whether disaster recovery reserves need to increase.

Saunders acknowledged the significant cuts being made by the County.  “It’s not pretty.  We hope to avoid some of the massive layoffs and decisions the county is making.”

 Changes in government spending are “never pretty”, but often necessary. We suspect our taxpayers think major tax cuts would be welcomed and celebrated!

FL DOGE? We think that Florida DOGE should be brought to Islamorada as soon as possible. We provide several factors in support of this recommendation:

One of the primary issues Florida DOGE is looking at is Chronic Deficits: Major fund balances in deficit for two consecutive years.

Our Enterprise Funds

An enterprise fund is a self-supporting government fund that sells goods and services to the public for a fee, intended to assure the long-term sustainability of infrastructure, without requiring tax from the general fund.

In Islamorada we have two major enterprise funds – Marina and Wastewater.

But these two major funds have not proven to be sustainable without added funds. Not even close. Not even with significant grant funding.

• Marina Fund: deficit of $1,279,000 over the last four years approved by Council in the annual budgets.

• Wastewater Fund:  deficit of $7,590,000 over the last four years, approved by Council in annual budgets, even with significant grant funding.

That is a total deficit of nearly $9 million for two major enterprise funds that are supposed to be self-sustainable without tax help.  Why have these deficits been approved?

Additional Oversight Critical: Who is responsible for oversight? For four years we have been allowing deficits in Enterprise Funds without considering ways to increase revenues and/or decrease expenses.

These deficits create the appearance that the Village cannot provide acceptable wastewater operations and maintenance.  

An oversight program would put fresh eyes on this problem. Let’s hope the Budget Task Force highlights this failure.

Stand up, residents, it’s OUR MONEY!

Elections have consequences and this is just another one.

As always,

Tom Raffanello

Reply to: ICA.in.Keys@gmail.com