Newberry Sets Tentative Property Tax Rate, Budget

NEWBERRY ‒ The Newberry City Commission has approved a tentative property tax rate and budget for the 2025-26 fiscal year, taking the first step toward finalizing how the city will fund services and projects in the year ahead.

At a public hearing on Monday, Sept. 8, commissioners unanimously adopted a tentative millage rate of 5.8800 mills and approved the city’s tentative budget of just over $75 million. The decision came after the property appraiser certified taxable values in June and after residents received Truth in Millage (TRIM) notices in August that explained proposed changes.

What the Millage Rate Means for Property Owners

The millage rate determines how much property tax residents and businesses pay to the city. One mill equals $1 for every $1,000 of taxable property value. At the approved tentative rate of 5.8800 mills, a property assessed at $200,000 — after exemptions — would owe about $1,176 in city taxes.

The approved rate is slightly higher than the rollback rate of 5.6995 mills, which is the rate that would generate the same amount of revenue as the previous year, not counting new construction. Because the new rate is above the rollback level, it represents about a 3.1 percent increase in revenue for the city.

Although commissioners had previously approved a preliminary rate of 6.0623 mills in July, state law prevents them from raising the rate beyond that ceiling. By adopting 5.8800 mills, they chose a lower figure heading into final budget approval later this month.

Budget Overview

Alongside the millage rate, commissioners adopted Resolution 2025-43, establishing the city’s tentative budget. The plan totals $75,124,284 in revenues, financing sources, and reserves. That figure includes:

• $34 million is grant related earmarked for the city’s wastewater treatment plant expansion, the single largest project in the budget.
• $66.7 million in total revenue and other financing sources, plus $8.4 million in reserves carried forward.
• Appropriations of $32.4 million, with an additional $42.7 million set aside in reserves.

Next Steps

The unanimous city commission vote does not make the millage rate and budget final. State law requires two public hearings before adoption. The second and final hearing is scheduled for Monday, Sept. 22, at 7 p.m. in City Hall’s Commission chambers. At that meeting, commissioners will set the official property tax rate and adopt the final budget for the 2025-26 fiscal year.

For Newberry residents, the tentative vote offers a preview of how the city plans to fund services, manage growth, and invest in infrastructure in the coming year. The final decision later this month will determine the property tax bills included on county tax notices.

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