- March 28, 2025
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Flagler County Administrator Heidi Petito has a plan to save the beach. All she has to do now is convince dozens of local elected officials that it’s a good idea to impose a half-cent sales tax on residents — and tourists.
“Together, we can secure Flagler’s coastline,” Petito said at the Feb. 25 Palm Coast City Council workshop. “ … The time for delay is over. I think we need to come together and commit to a solution that benefits not just the county and the community but also the visitors and the future of what this community is.”
While the Flagler County Commission would have to vote by a supermajority to enact a sale tax, three members of the City Council said they felt it would be more appropriate to have a referendum so the voters can help decide how to fund the 18-mile project.
Petito is meeting with each Flagler County municipality to make the case; a joint workshop will be held March 12.
IMPORTANCE OF THE BEACH
With tourism bringing in over $890 million to Flagler County annually, and supplying about 23% of the county’s jobs, the beach needs to be protected, Petito said. About 50% of the tourists come for the beach, she added.
Hurricane Matthew in 2016 was a “turning point” for Flagler County’s beaches, she said. Since then the Board of County Commissioners has declared a state of emergency 192 times in a row at its business meetings to keep emergency grant funding available, but a long-term local plan is needed, Petito said.
And all local municipalities benefit. Because of the interconnected waterways and drainage system in Palm Coast, hurricanes impact many areas west of Interstate 95 as well, and that means the protective dunes impact the whole community, Deputy County Administrator Jorge Salinas said.
HOW TO FUND IT
The local portion of the funding for maintenance of the dunes is about $12 million annually for the next six years, after other state and federal grants account for the largest share. Petito proposed funding the shortfall with a combination of Tourist Development Council funds, fees called Municipal Services Benefit Units paid by beachside property owners, and a half-cent sales tax paid by everyone.
Flagler County, Flagler Beach, Beverly Beach and Marineland would contribute 100% of their sales tax collections toward beach maintenance, in what Petito called the Beach Management Plan. Palm Coast and Bunnell would contribute 50% of their sales tax collections, keeping the other 50% for their general fund purposes. In Palm Coast’s case, that would result in about $2.7 million for the city’s general fund, with $2.7 helping to fund the Beach Management Plan.
CITY COUNCIL REACTS
But it wasn’t clear whether the Palm Coast City Council will support the plan.
Vice Mayor Theresa Pontieri said she is concerned about the upcoming workshop with the Flagler County Sheriff’s Office. It’s likely that an increase in funding will be requested, she said, and any sales tax increase would be better spent on public safety than the beach. The law only allows one more half-cent increase in the sales tax.
“I don’t know if there’s more appetite to dedicate it for [the beach], or to use it for public safety,” Pontieri said.
Petito said the county would dedicate 2% of its general fund toward the beach. Mayor Mike Norris challenged her on that. “You have room in your budget to carve out 2%?” he said, incredulously. Later he pressed the issue again, saying to Petito: “This is a little out of bounds, here, but are you growing your staff, or reducing?”
City Councilman Charles Gambaro was the first to suggest that the sales tax go to a referendum, rather than be decided by elected officials. Forecasting a utility rate increase on Palm Coast residents, he didn’t want to face the political pressure of also raising the sales tax (although the County Commission would have to make the vote, not the City Council, if there is no referendum).
“Imposing, from a council or a board perspective, another cost on their everyday lives — I’ll get run out of my own neighborhood over this,” Gambaro said.
City Councilman Ty Miller said he likes the sales tax plan over other plans that were proposed, because 30% of the sales tax is paid by tourists. He also agreed with Gambaro, as did Pontieri, that an increase should be via referendum.
“Residents should decide whether they want it or not,” Miller said.
As Norris had already, Pontieri questioned the county’s planning. Why there wasn’t a solution already in place for beach funding?
Petito pushed back about the referendum, asking Pontieri: “If you feel strongly about public safety,” would you also insist on a referendum for that?
PAID PARKING?
Pontieri suggested that the community could raise funds by charging money for parking at the beach.
“It’s pretty standard to pay to park at the beach,” she said. “My question is, has there been any financial analysis done?”
Norris agreed and suggested that someone could build a “parking deck” in Flagler Beach, similar to the parking garage in St. Augustine.
Email brian@observerlocalnews.com.
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