Rehoboth Beach approves $38.6M budget amid “challenging” year
REHOBOTH BEACH, Del. – The City of Rehoboth Beach has adopted a $38.6 million budget for Fiscal Year 2025. The budget includes about $10 million for capital improvements, and funding for boosting up the city’s staffing.
“Extremely challenging” Budget Year
However, Mayor Stan Mills says this was an “extremely challenging” budget year; with the balanced budget, will comes significant increases in certain taxes and fees for residents.
Commissioners approved a 29% property tax increase, which was first voted on in June 2023. Additionally, residents can expect a 28% increase in their wastewater meter fees. Mercantile license fees may also rise in the future, to bring in about $138,000 in additional revenue.
In the recent past, commissioners also raised parking meter fees from $3 to $4 per hour, and increased the rental tax rate for contracts entered into after April 1st, from 6% to 7%.
“Costs are increasing exorbitantly, and faster than we anticipated,” said Mayor Mills. “This year alone, we had a 27% increase in health insurance. We also invest heavily in our employees. We did a compensation study, and our wages increased significantly, also.”
Pushing for Public Safety, New Hires
Several new staff positions are also included in the budget. The police department will soon hire a new deputy chief, as well as two new entry-level patrol officers. Another dispatcher position has been added to the 911 communications center, as well.
“We enjoy being a town that’s clean, safe, and friendly. And, the safety component is our police department,” Mayor Mills said. “As our town grows, we need to make sure we have enough adequate police officers, but also we’ve had some voids lately, that we want to fill, such as the 911 dispatcher’s office.”
A part-time deputy city clerk position, and part-time communications specialist position have also been added under the budget. Funds will also be used to build a new city website, flesh our a storm water management plan, extend hours for seasonal restroom attendants, replace a street sweeper, and contribute to community organizations.
Capital Improvement, Looking Ahead
Meanwhile, several capital improvement projects will be getting underway. A new beach patrol headquarters and comfort station will be constructed at Baltimore Avenue. Mayor Mills anticipates that project to take about two years to complete.
“We’re going to be bringing in temporary beach patrol offices, and temporary restrooms facility trailers, and putting them north of the Baltimore Avenue area, where the beach patrol building and restrooms are being built now,” Mayor Mills said.
Additional capital improvement projects include the continuation of upgrades at the waste water treatment plant, and repaving of Rehoboth Avenue. A water main will also be replaced on Maryland Avenue.
