REHOBOTH BEACH, DE — Rehoboth Beach Board of Commissioners has unanimously voted to raise parking fees and rental taxes starting this year. This decision comes as the city looks to fill a $4.4 million gap in its $37 million budget for the 2025 fiscal year.
With an eye on maintaining Rehoboth’s charm and ensuring it remains a top destination, the city is taking steps to manage its finances responsibly. The budget for the upcoming year is $2 million more than the current one, with plans to invest in the city's staff and infrastructure, including pay raises and dealing with rising health insurance costs.
Here’s what’s changing: Parking meter rates are going up to $4 an hour from $3, and parking permits are seeing a 30% hike. The new permit prices for the 2024 season, which runs from May 15 to September 15, are as follows:
- Seasonal, can be transferred: $325
- Seasonal, starting August 1, can be transferred: $165
- Seasonal, can't be transferred: $295
- Seasonal, starting August 1, can't be transferred: $150
- Weekly: $120
- Three-Day Weekend: $60
- Daily: $25
- Scooter (seasonal): $55
Rental properties will also feel the impact, with the tax on gross rental receipts increasing from 6% to 7% for agreements made on or after April 1, 2024.
And there’s more on the horizon. The city plans to discuss raising property tax and wastewater rates on March 15. These steps are part of a broader effort to ensure Rehoboth Beach can continue offering the high-quality services and experiences residents and visitors expect.