MELBOURNE — City council members have decided to stop granting tax dollars to parades — potentially ending emotional, divisive Melbourne City Hall debate over the Confederate flag.

Tuesday night, council members voted 4-3 to stop helping fund four parades: Fourth of July ($2,500), Memorial Day ($2,000), Veterans Day ($2,000) and the Melbourne Light Parade ($7,000). These parades are organized by nonprofits.

The first three parades typically include floats decorated by Confederate Sons Association of Florida Indian River Camp 47 and Sons of Confederate Veterans Capt. J.J. Dickison Camp 1387.

Two years ago, Councilwoman Teresa Lopez unsuccessfully called for the city to cease sponsoring those parades, saying the Confederate flags make some spectators feel "belittled, insulted and upset." Her proposal drew a boisterous capacity crowd to City Hall in July 2015 and triggered a flag rally that September.

Lopez revived the topic during a July 31 budget workshop, to no avail. But Tuesday, Councilman Paul Alfrey successfully moved that city stop funding parades. Why? He cited fiscal reasons, particularly in light of the looming 2018 Amendment 1 ballot question that could increase homestead property-tax exemptions from $50,000 to $75,000.

Lopez, Alfrey, Vice Mayor Debbie Thomas and Tim Thomas voted yes, while Mayor Kathy Meehan, Yvonne Minus and Betty Moore voted no. The vote was not scheduled on the agenda, and council members did not mention the Confederate flag during discussion.

Wednesday morning, Melbourne Light Parade President Karen Harshaw said her event is now in danger of cancellation. The 25th annual Christmas-themed parade is scheduled for Dec. 9, and she said the city was slated to cover $7,000 of the parade's $17,000 budget.

"We have to come up with $13,500 just to pay the city alone. That does not include insurance, sponsor T-shirts, portable bathrooms, advertising, golf carts, and a few other miscellaneous items," Harshaw posted on the parade's Facebook page.

"It's a very sad day for the Melbourne Light Parade," she wrote.

Harshaw said the parade typically draws 25,000 to 30,000 spectators.

"I hope people will step up and actually help us this year. You can't always rely on the city for everything. If 3,000 of those spectators come forward and give me $5, that would almost fund the whole parade," Harshaw said in an interview.

Confederate flag controversy hits Melbourne again

Confederate flag controversy hits Melbourne again

After the vote Tuesday night, co-organizer Eileen Petrovic canceled a "pack the house" campaign to rally Confederate flag opponents to speak during the Sept. 14 city council meeting.

"I am happy the council decided to no longer contribute money to an event that includes imagery that, to me and many Melbourne residents, celebrates racism. It was the responsible decision, both for reasons of public safety and fiscal responsibility," Petrovic said.

Regarding parade funding, Alfrey said “any good 501c3 can easily raise that money.” He said Amendment 1 could cost the city $1.5 million in annual revenue, and he cited the potential $20 million cost to construct a new police headquarters as reason to seek budget cuts.

Moore serves as board president of Honor America, which organizes the city's Fourth of July and Veterans Day parades. She apologized to Melbourne residents after Tuesday's vote, and Meehan apologized to fans of the Melbourne Light Parade.

"I think the citizens are going to be very disappointed. I'm very disappointed," Meehan said.

Debbie Thomas replied that she is willing to revisit the issue if parade organizers are fiscally struggling.

Marc Thornton is commander of Sons of Confederate Veterans Capt. J.J. Dickison Camp 1387. Wednesday, he said his Melbourne-based group plans to continue marching in city parades, so long as participation remains financially feasible.

"We have two different issues going on here: we've got the one about the flag, and we've got the one about money and the way the Melbourne City Council wishes to spend it," Thornton said.

"I am disappointed that these parades won't be funded. But I'm an American, and I like to see the American system work," he said.

Contact Neale at 321-242-3638, rneale@floridatoday.com or follow @RickNeale1 on Twitter.