The St. Petersburg City Council convened on July 17, 2025, to discuss key financial matters, including the proposed budget for fiscal year 2026 and adjustments to the cost of living increases. The meeting began with a review of the cost of living adjustments, noting a proposed reduction from 3.5% to 2.5% for both the October 1 increase and the anniversary date increase for the upcoming fiscal year.

Council members expressed concerns regarding grant funding exclusions affecting local organizations, particularly the SPIFFS group. Vice Chair Hanlon emphasized the need for clarity on the criteria that led to these exclusions, indicating that the committee responsible for the funding decisions may not have intended for any groups to be left out. The council plans to follow up on these concerns by the end of the month.

The primary focus of the meeting was the first official step in adopting the FY 26 budget. A presentation outlined the proposed millage rate, which remains unchanged from the previous year at 6.4525 mills. This rate is expected to generate approximately $228.9 million in ad valorem revenue, reflecting a $10.5 million increase over the FY 25 budget. The council discussed the implications of property value increases, which rose by 4.93% for FY 26, and the associated contributions to the city's Tax Increment Financing (TIF) districts.

The council also reviewed the rollback rate, calculated at 6.2083 mills, which would yield lower revenue than the proposed budget. The meeting concluded with a reminder that the city must submit the proposed millage information to the county property appraiser's office by July 29, ensuring compliance with state statutes regarding public hearing dates.

Overall, the council's discussions highlighted the importance of transparency in funding decisions and the careful management of the city's budget as it prepares for the upcoming fiscal year. Further public hearings are scheduled for September 11 and September 25, where community members will have the opportunity to provide input on the proposed budget.