News Release

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FY 2026 Proposed Consolidated Budget Lowers Property Tax Rate and Invests in Strategic Priorities

Town Council advances $174.7M budget at first reading featuring property tax relief, increased fund reserves, accountable debt managment, and investments aligned with Town Council's strategic vision

May 6, 2025

At its regular meeting on May 6, the Hilton Head Island Town Council approved (7-0) the first reading of the Town Manager’s proposed fiscal year (FY) 2026 consolidated budget, a balanced and strategic financial plan totaling $174,711,350 million in projected revenues and scheduled expenditures. It spans six major funds and includes a 2-millage (mills) property tax rate reduction, decreasing the rate from 21.4 mills to 19.4 mills, and reflects the Town’s ongoing commitment to fiscal responsibility and service to residents.

"This budget allows us to move forward on protecting our Island’s character, investing in resilience, and strengthening community services," said Mayor Alan Perry. "The Town Manager and his staff have done a fantastic job of bringing forward a balanced budget that eases some of the tax burden on our residents, puts shovels in the ground on some big projects, plans for future capital investment and economic growth, and creates some tangible, long-awaited improvements in our land management ordinance. I encourage everyone to do a deep dive into this budget because I think our community will be pleased with how well it positions us for success."

Town Manager Marc Orlando presented the proposed budget, emphasizing its alignment with the Town Council’s current 2023-2025 Strategic Action Plan, the 2020 Comprehensive Plan, and preliminary strategic priorities developed during the February 2025 Strategic Planning Workshop. Those strategic priorities include:

In support of these community priorities, the budget is also intended to:

"This budget reflects our commitment to renourishing our beaches, breaking ground on major capital improvement projects, improving our public services, and enhancing public safety—while lowering the tax burden for our residents," Orlando said. "It's a plan designed to improve quality of life through investments that matter most to our community."

Proposed Budget highlights include:

The public will have three more opportunities to learn more about and provide feedback on the proposed budget. These opportunities are scheduled for:

The public can view the budget sessions on the Town's YouTube Channel and the Beaufort County Channel. Citizens who wish to address the Town Council about the budget during any of the scheduled meetings should sign up to speak online or contact the Town Clerk at 843-341-4701. Public comment sign up will also be available in person within Council chambers prior to the beginning of each meeting. Citizens must sign-up prior to the start of meeting business to address Town Council during the public comment period.

The full proposed FY26 consolidated budget and presentation are accessible on the Town's website at hiltonheadislandsc.gov/finance.


Note: To view this news release in Spanish or other native languages, choose your appropriate language from our dropdown menu on the upper right side of our website page.

Nota: Para ver este comunicado de prensa en español u otros idiomas nativos, visite hiltonheadislandsc.gov y elija el idioma apropiado de nuestro menú desplegable en el lado superior derecho de la página de inicio del sitio web.

Contact
Heather Woolwine, Communications Director
843-341-4604
HeatherW@hiltonheadislandsc.gov