The Euharlee City Council voted to roll back the city’s millage rate to zero percent at its Tuesday meeting.
Before the vote, Mayor Dennis Thacker implored the council to make sure it was a wise decision and the city had adequate reserves.
“Looking at the budget, there is a deficit of about $130,000,” Thacker said. “I think we are still in a good place. With that I will entertain a motion to roll the interest rate back to zero.”
When asked about the deficit, City Manager James Stephens said the imbalance came from less-than-expected Local Option Sales Tax (LOST) proceeds.
“We expected to receive about $900,000 in LOST funding,” Stephens said. “But as of July, we expect the actual proceeds to be about $770,000; a $130,000 shortfall.”
Stephens said other variances including the Title Ad Valorem Tax (TAVT) for automobiles, other excise taxes, proceeds from business licenses and other types of revenue were all considerably above budget.
“I expect more than enough revenue from these other sources to more than cover this deficit,” he said.
In other business, council:
The Euharlee City Council will meet again on Tuesday, Aug. 16 at 7 p.m. at Euharlee City Hall.