Bethany Beach Town Council has unanimously approved the town’s fiscal year 2026 budget without raising property taxes.
However, the budget does include an increase in summer parking fees to $4 per hour.
Budget Highlights
- Property tax rate remains unchanged at $2.07 per $100 of assessed property value.
- Summer parking fees increase to $4 per hour to help fund town expenses and to help continue the future seasons of free summer concerts.
- Water rates increase by 20%, marking the first hike in a decade, to sustain the water department’s financial reserves.
- Personnel costs rise by $611,000, with $331,000 allocated to police salaries to remain competitive.
- Total operating expenses reached $12.9 million, up $1.1 million from the previous year.
Balancing Costs for Residents
Mayor Ron Calef emphasized the importance of balancing summer revenues with summer expenses to avoid placing the financial burden solely on residents.
“With rising costs, we aim to ensure residents and businesses aren’t shouldering all the increases. By adjusting parking fees, we offset seasonal expenses like hiring 150 summer employees,” Calef explained.
Water Rate Adjustments
The water fee increase is designed to maintain the department’s reserves over the next five years.
The adjustment, which had been postponed since 2021, is expected to add less than $100 per year to most property owners’ bills.
The tiered billing system provides relief to properties with lower water usage.
Future Investments
The budget projects $15.2 million in revenue, with $13 million allocated to operating expenses, $4.2 million for capital projects, and $246,000 for debt payments.
Key investments include:
- Ensuring competitive wages for full-time and seasonal police officers
- Increasing pay for lifeguards to attract seasonal employees
- Covering rising health insurance premiums and complying with Delaware’s new paid leave program for government employees
Looking Ahead
Bethany Beach’s fiscal year 2026 runs from April 1, 2025, to March 31, 2026.
While some residents expressed concerns about fee increases, town officials maintain that these adjustments are necessary to sustain essential services.
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Source: Coastal Point