Palm Coast, Fla. considers water rate hike to cover system upgrades through 2029

According to The Observer, the city of Palm Coast, Fla., will have to take steep measures in order to cover the $701 million in upgrades and maintenance city staff say is needed for its water and wastewater treatment facilities. A financial consultant proposed at a recent City Council workshop that the city increase utility bills for residents by 32% in the next two years.

Mayor Mike Norris and City Councilman Ty Miller voiced their support for whatever measures need to be taken to ensure that water and wastewater utilities are operating properly, The Observer reported.

The City Council will vote on the plan twice, March 4 and March 18.

One City Councilwoman in attendance, Theresa Pontieri, expressed concern over the proposed plan, stating that so much burden — $456 million of the total $701 million in utility improvements — would be bonded based on fees paid by residents, rather than more of the cost being funded by developers and the state.

Carl Cote, director of Stormwater and Engineering, responded that any “fluff” was already trimmed from the list in response to City Council’s requests in 2023. Now, if the city doesn’t pay to expand water capacity in addition to wastewater treatment capacity, the state will levy fines against the city.

Palm Coast’s director of Stormwater and Engineering, Carl Cote, has pointed out that if the city does not pay to expand water capacity, the state may levy fines against the city.

The decision will rest with the City Council to set the policy, with many officials urging them to be proactive rather than waiting until it’s a bigger problem.

In 2024, the City Council voted against increasing the utility rate, however, the city later received a Consent Decree letter from the Florida Department of Environmental Protection ordering the city to increase its wastewater system’s capacity and performance.

 

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