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Clay County leaders vote to deny utility tax increase despite budget shortfalls

Clay County Florida seal
Clay County Florida seal Clay County Florida seal

CLAY COUNTY, Fla. — In a meeting Tuesday night, the Board of County Commissioners in Clay County voted 4-1 to shut down a proposed increase in tax on certain utilities for customers within unincorporated portions of the county, including those who use Clay Electric.

Leaders were considering raising the Public Utility Service Tax from 4% to 10%, which would affect electricity and gas bills. The new rate would have been the highest allowed in Florida. It would have been the first time the county raised the tax since 2004.

Clay Electric estimates the higher utility tax would have added $6 to the average monthly electric bill, or $72 more per year.

The county had proposed the increase as a way to help address current “budget shortfalls” impacting public safety services like the Clay County Sheriff’s Office.

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Commissioners seemed unconvinced that maxing out the tax would be enough to remedy the revenue issue in the long term.

“I’m very uncomfortable with making a decision that only addresses today,” said Commissioner Alexandra Compere (District 2) prior to the vote. “These are short-term solutions, and as the years continue, those figures get exponentially higher.”

Compere instead seemed more in favor of a wider-ranging revenue source, like a sales tax.

Chair Betsy Condon (District 4), who described herself as a fiscal conservative, proposed that the county review its spending to find savings through a sort of Department of Government Efficiency (DOGE) effort.

“I don’t think we’ve looked under every rock, and our constituents demand it of us.”

During the discussion, both commissioners had proposed postponing consideration of an increase to later in the year after searching for funds elsewhere.

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Kiley Miller, Action News Jax

Kiley Miller is a Content Creator/Coordinator for Action News Jax.

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