TO: Honorable Mayor & Members of the North Port Commission
FROM: A. Jerome Fletcher II, ICMA-CM, MPA, City Manager
TITLE: A Resolution of the City Commission of the City of North Port, Florida, as the Governing Body of the North Port Road and Drainage District, Adopting, Certifying, and Confirming the Non-Ad Valorem Assessment Rates and Capital Improvements Assessment Rates and Adopting and Certifying the Non-Ad Valorem Assessment Roll for the North Port Road and Drainage District for Fiscal Year 2026-2027; Providing for Findings; Providing for Conflicts; Providing for Severability; and Providing an Effective Date.
Recommended Action
Option 1: Approve Resolution No. 2026-R-51 to adopt a 5% increase to the non-ad valorem assessment rate for North Port Road and Drainage District for Fiscal Year 2026-2027.
City Commission Options
Option 1: Approve Resolution No. 2026-R-51 to adopt a 5% increase to the non-ad valorem assessment rate for North Port Road and Drainage District for Fiscal Year 2026-2027.
• Pros: Supports the North Port Road and Drainage District’s financial capacity to fund maintenance, operations and planned capital improvements. The proposed 5% increase is within the annual adjustment authority established through Resolution No. 2023-R-64 and is consistent with the revised Fiscal Year 2026-2027 proposed budget.
• Cons: Raising assessment rates may pose an additional financial strain on property owners, particularly those on fixed or limited incomes.
Option 2: Deny Resolution No. 2026-R-51 and adopt a higher assessment rate than proposed, up to the not-to-exceed rate of 15% established on June 23, 2026.
• Pros: Increases the North Port Road and Drainage District’s financial capacity to fund maintenance, operations and planned capital improvements.
• Cons: Raising assessment rates may pose an additional financial strain on property owners, particularly those on fixed or limited incomes.
Option 3: Deny Resolution No. 2026-R-51 and adopt a lower assessment rate than proposed.
• Pros: The potential financial strain on property owners would be lessened.
• Cons: Establishing lower rates would reduce projected North Port Road and Drainage District revenue and would require expenditure reductions, project deferrals, use of available fund balance, or future assessment adjustments. It could also affect the North Port Road and Drainage District’s ability to maintain planned service levels and complete scheduled capital improvements.
Background Information
Chapter 66, Article III of the Code of the City of North Port, Florida, establishes the Road and Drainage District and outlines the District’s authority to levy and collect non-ad valorem assessments in order to provide funds to support the purpose of the District. Section 66-52 requires that methodology and rates be reviewed at least once every four years.
In 2022, the Department of Public Works contracted Stantec Consulting Services, Inc., to complete an evaluation of current and anticipated growth and market conditions to refine the methodology, allocation, sufficiency, rates, and future projections for the Road and Drainage District Assessment Fee. The Study highlighted the need to increase assessments and provided a phased approach with a 15% increase in Fiscal Year 2024-2025 and a 15% increase in Fiscal Year 2025-2026.
Pursuant to Section 66-56 of the Code of the City of North Port, Florida, and in accordance with Florida Statutes Section 197.3632, the Governing Body shall state its intention to use the uniform method for the levy, collection, and enforcement of non-ad valorem assessments. The annual assessments shall be placed on the annual ad valorem property tax bill of the assessed property and shall be collected by the Tax Collector of Sarasota County. The Governing Body shall certify the non-ad valorem special assessment roll on compatible electronic medium to the Tax Collector in and for the County of Sarasota pursuant to Florida Statutes Section 197.3632(5) on or before September 15 of each year.
During the Road and Drainage District Governing Body Meeting on March 30, 2023, the Governing Body approved final revisions to the 2022 Stantec Rate and Methodology Study. The revised Stantec Rate and Methodology Study was subsequently adopted through Resolution No. 2023-R-64, during the Road and Drainage District Governing Body Meeting on September 7, 2023.
The methodology provided for phased assessment increases through Fiscal Year 2025-2026. Resolution No. 2023-R-64 also authorized future annual increases of up to 15% to address unforeseen circumstances without requiring an updated methodology and additional first-class mail notices and special hearings.
Resolution No. 2026-R-23 established not-to-exceed Fiscal Year 2026-2027 assessment rates reflecting a maximum potential increase of 15%. Those rates were not the final adopted rates. During preparation of the Fiscal Year 2026-2027 budget, the City Manager’s revised proposed budget reduced the proposed assessment increase to 5%. Therefore, Resolution No. 2026-R-51 proposes final assessment rates reflecting a 5% increase over the Fiscal Year 2025-2026 rates.
The proposed Fiscal Year 2026-2027 non-ad valorem assessment rates are as follows:
|
Assessment Rates per Unit by Service Component |
Fiscal Year 2025-2026 Adopted |
Fiscal Year 2026-2027 Not-to-Exceed |
Fiscal Year 2026-2027 Proposed |
|
Administrative Services |
Per Parcel |
$8.07 |
$9.28 |
$8.47 |
|
Base Road Services |
Per Road Equivalent Unit |
$18.83 |
$21.65 |
$19.77 |
|
Enhanced Road Services |
Per Road Equivalent Unit |
$73.42 |
$84.43 |
$77.09 |
|
Primary Drainage (Drainage I) |
Per Drainage Unit (acreage based) |
$47.87 |
$55.05 |
$50.26 |
|
Secondary Drainage (Drainage II) |
Per Drainage Unit (acreage based) |
$36.69 |
$42.19 |
$38.52 |
|
Tertiary Drainage (Drainage III) |
Per Drainage Unit (acreage based) |
$106.21 |
$122.14 |
$111.52 |
Additionally, the North Port Road and Drainage District Capital Improvements non-ad valorem assessment rates to be adopted for Fiscal Year 2026-2027 are as follows:
|
Capital Improvements Assessment Rates per Unit by Service Component |
|
Base Road |
$4.38 per Parcel* |
|
Enhanced Road |
$41.62 per Parcel* |
|
*“Parcel” refers to each parcel in existence as of the Fiscal Year 2013-2014 capital improvements non-ad valorem assessment roll. Parcel splits or combinations will result in the assessment increasing or decreasing accordingly for each new parcel. |
The Department of Public Works will submit a Resolution annually for each additional increase identified within the Methodology and Rate Study for consideration during the appropriate fiscal year budget preparation.
Resolution No. 2026-R-51 has been reviewed by the City Attorney and is legally correct as to form.
Resolution No. 2026-R-51 was provided to the City Clerk’s Office on August 16, 2026, for signature, subject to City Commission approval.
Strategic Plan Pillar
Infrastructure & Facilities Integrity
Financial Impact
The North Port Road and Drainage District Non-Ad Valorem Assessment rates will result in an anticipated gross revenue of $23,051,938 to account 107-0000-344.10-00, based on a 5% assessment increase. This represents an additional $1,097,711 in revenue compared to 0% rate increase scenario, which would generate an estimated $21,954,227 in gross revenue.
Procurement
Not Applicable.
Attachments:
1. Resolution No. 2026-R-51
2. March 30, 2023 Meeting Minutes
3. September 7, 2023 Meeting Minutes
4. Approved Methodology
Prepared by: Garrett Woods, CPWP-M, Senior Business Manager
Department Director: Chuck Speake, Public Works Director