Southaven Aldermen Approve $121M Budget, Cut Property Tax Millage Rate by 13.5 Percent

SOUTHAVEN, Miss. – The Southaven Board of Aldermen on Tuesday, Sept. 9, adopted the city’s Fiscal Year 2026 budget and approved a significant reduction in the property tax millage rate during a brief special meeting at City Hall.

The new millage rate will be 40.45 mills, down from the current 46.78 mills. The 6.33-mill drop amounts to a 13.53 percent decrease, city officials said.

As presented in late August, Southaven will operate under a $121.24 million budget beginning Oct. 1, a $17.24 million increase from the current year. Despite the larger budget, city leaders said there will be no property tax increase for residents, with sales tax collections projected to remain steady.

Revenue and Rates

City revenues will be bolstered by increases from the Mississippi Infrastructure Modernization Act, higher franchise fees, and growing returns from parks and BankPlus Amphitheater operations. Sanitation rates, which rose from $12 to $20 on May 1, will remain in place. Utility rates will stay unchanged.

Public Safety Priorities

Public safety accounts for 51 percent of general fund spending in the new budget. Plans include:

• Establishing a real-time crime center for police.
• Hiring 10 additional police officers.
• Providing pay raises for police and fire personnel.
• Purchasing three new fire vehicles.

Parks, Staffing, and Improvements

The budget also funds new staff across departments to manage increased workloads. Parks projects include improvements at Cherry Valley Park and construction of eight new tennis courts.

Capital Projects

Southaven’s major capital plans for the year include:

• Completion of Fire Station #5 on Stateline Road.
• A $5 million road overlay program.
• Widening of Snowden Lake.
• Extension of Nail Road between Getwell and Tchulahoma roads.
• Large drainage improvement projects.
• Neighborhood park upgrades.
• Renovations to court buildings.

Property taxes are expected to provide 41 percent of the city’s revenues, with sales tax contributing 34 percent.