City Council - Regular Meeting

Summary

The City Council is considering authorizing the City Manager to execute a new three-year Small Municipal & County Government Enterprise Licensing Agreement (SGELA) with ESRI for the City's Geographic Information Systems (GIS) program. This agreement is a renewal of a previous one that expires on March 22, 2026. The new agreement will continue to provide essential GIS software and maintenance, which has improved mapping accuracy and efficiency since FY 2009-10. The annual licensing cost will increase from $27,500 to $30,200, making the total three-year cost $90,600. This cost is budgeted within the FY 2025-26 GIS Division of the Utilities Fund, with subsequent years to be accounted for in future budget cycles. Staff recommends approval as this is the most cost-effective method for continued GIS operations, offering lower per-unit costs, reduced administrative expenses, and flexibility in software deployment.

Citizen Impact

This agreement ensures the continued operation of the City's GIS program, which is crucial for mapping infrastructure and improving city services. Residents will benefit from the ongoing efficiency and accuracy in city planning and utility management, with no direct increase in taxes as the cost is covered by the existing Utilities Fund budget.

Confidence

high

Summary

The City Council is considering a Task Order with HDR Engineering, Inc. for $134,880.00 to develop a hydraulic model of the City's potable water distribution system. This system includes eight water tanks, nine water wells, and approximately 149 miles of piping. The development of this model was identified as a priority in the FY 2025-26 budget process. The benefits of the model include improved planning and growth management, enhanced fire flow analysis, optimized operational efficiency, better water quality, improved emergency preparedness, capital improvement planning, regulatory compliance, and identification of system inefficiencies. HDR Engineering, Inc. is a pre-qualified General Engineering Consultant for the City. The funds for this task order are budgeted within the Utilities Fund for FY 2025-26. The project is expected to take approximately 24 weeks to complete.

Citizen Impact

This initiative aims to improve the reliability and efficiency of the city's water system, which can lead to better water quality, more effective firefighting capabilities, and better long-term planning for infrastructure needs.

Confidence

high

Summary

This item authorizes a Task Order to ARDURRA Group, Inc. for utility line locating services for the City of Fort Walton Beach. This is a continuation of an agreement approved in February 2025 for Fiscal Year 2024-25. ARDURRA Group is an approved General Engineering Consultant. The services are required by Florida law (Chapter 556, Florida Statutes) to prevent damage to underground facilities when digging. The estimated cost for these services for FY 2025-26 is $285,000, which is budgeted within the Utility Fund. The City Manager is authorized to execute the agreement.

Citizen Impact

This contract ensures the safe and legal operation of utility work by accurately locating underground water and sewer lines, preventing service disruptions, injuries, and costly repairs for residents.

Confidence

high

Summary

This Resolution (No. 2026-02) authorizes the City of Fort Walton Beach to issue a Capital Improvement Revenue Note, Series 2026, for up to $7,500,000. The funds will finance an expansion to the City’s Recreation Center and cover associated issuance costs. The project contractor, Gum Creek Farms, Inc., was previously awarded the expansion contract for $7,059,312.75 on October 28, 2025. This financing was secured through a competitive Request for Proposals (RFP) process, which received seven bids.

Financing Details:

• The City accepted a proposal from Webster Public Finance Corporation (Webster Bank), offering a fixed interest rate of 4.08%.
• The loan has a maturity date of July 1, 2040, with semi-annual interest payments starting January 1, 2027, and annual principal payments starting July 1, 2027.
• The total principal and interest payments over the loan term are projected to be $10,185,355.02.
• The Note is repayable from legally available non-ad valorem revenues of the City, meaning it will not be funded by property taxes.
• Prepayment flexibility allows the City to call the note at 101% from July 1, 2030, to June 30, 2032, and at 100% (par) from July 1, 2032, onwards.

Citizen Impact

This financing will enable the expansion of the City's Recreation Center, providing enhanced facilities and programs for residents. The loan is structured to be repaid from non-ad valorem revenues (e.g., fees, utility charges), rather than property taxes, committing future city resources over the next 14 years.

Confidence

high

Summary

This resolution, Resolution 2026-03, amends the City Council's Rules of Procedure (previously established in Resolution 2025-29). Key changes include:

• Removal of the Second Set of City Council Comments: This section at the end of meetings will be eliminated.
• Supermajority Vote for Rule Suspension: Suspending the Council's rules will now require a majority plus one vote.
• Limitation on Directing Charter Officers: A new section (Section 13) restricts individual Council Members from directing Charter Officers (e.g., City Manager, City Attorney) regarding the negotiation, sale, or encumbrance of City-owned capital assets without prior Council approval. Communication with the City Manager or Clerk, and consultation with the City Attorney for legal advice, are still permitted.

The resolution has no immediate financial impact and will be effective upon adoption.

Citizen Impact

This change alters the structure of council meetings by removing a comment period and requiring a higher threshold to change meeting rules. It also clarifies limitations on how individual council members can interact with city management regarding city assets, potentially leading to more formalized decision-making processes for such matters.

Confidence

high

Summary

Ordinance 2194 amends the Land Development Code by creating Section 5.04.33 to establish procedures for the review and approval of certified recovery residences. This ordinance is required to comply with Florida Statute 397.487, which was amended on June 26, 2025. Key requirements include a written application process, a 60-day timeline for final determination (with applications deemed approved if not met), and consistency with federal laws like the Fair Housing Amendments Act and the Americans with Disabilities Act. The ordinance also defines various terms related to recovery residences, including "Certified Recovery Residence," "Oxford House," and "Peer-Run Recovery Residence." A specific provision requires a 1,000-foot separation between certified recovery residences affiliated with the same owner or operator to prevent clustering. The City Attorney noted that while federal law limits regulation of smaller facilities (six or fewer residents), the city can potentially implement distance requirements. The ordinance was adopted by the City Council on January 13, 2026, after initial postponement for revisions.

Citizen Impact

This ordinance establishes clear procedures and timelines for approving certified recovery residences, impacting where and how these facilities can be established within the city. It aims to balance state mandates with local concerns about neighborhood concentration, potentially affecting the availability and location of recovery housing.

Confidence

high

Summary

This ordinance establishes a temporary moratorium on the enforcement of specific short-term rental requirements previously set forth in Section 8.13 of the City Code (created by Ordinance No. 2181). The moratorium is set to last for six months, expiring on July 27, 2026. This action is taken in recognition of pending litigation concerning the constitutionality of Florida Senate Bill 180 and the potential for legislative modifications to SB 180 in 2026. The ordinance includes standard severability clauses and an effective date upon adoption.

Citizen Impact

Residents will experience a temporary pause in the enforcement of certain short-term rental regulations, potentially affecting neighborhood dynamics related to short-term rentals until July 27, 2026.

Confidence

high

Summary

The City Council is considering a Development Agreement for "Ashtyn's Place," a three-unit multi-family apartment development located at 105 Carson Drive SE, Fort Walton Beach, FL 32548. UM Development, LLC will receive $150,000.00 from the City's Workforce Housing Incentive Fund. The development agreement mandates that at least two of the three units must be maintained for workforce housing, defined by HUD income guidelines, for a period of 15 years. The project aims to address the documented shortage of workforce housing in the area, particularly for middle-income and working-class residents, including military families. The development is also situated within a Community Redevelopment Area (CRA) and aligns with the city's comprehensive plan and Okaloosa County's attainable housing strategic plan.

Citizen Impact

This development will add three new housing units to Fort Walton Beach, with two specifically designated as workforce housing for residents earning between 30%-120% of the Area Median Income. This initiative aims to alleviate the local workforce housing shortage and provide more affordable rental options.

Confidence

high

Summary

The City Council of Fort Walton Beach is considering a proposal to increase residential garbage pickup from once a week to twice a week. This change was directed by the City Council on December 16, 2025, and staff has developed an operational analysis and rate proposal. The proposed schedule would involve two routes for trash collection (Monday/Thursday and Tuesday/Friday), with recycling split into four zones across those days, and yard waste/bulk pickup remaining unchanged. Implementation could begin as early as October 1, 2026, allowing time for a new truck delivery and public education campaign. The current rate is $27.13 per month, and the cost for the new service will be presented at the January 27, 2026, Council meeting. Rate comparisons with surrounding municipalities show that a two-day pickup service typically ranges from $24.09 to $38.76 per month.

Citizen Impact

Residents may see an increase in their monthly garbage collection fees if the proposal for twice-a-week pickup is approved. The exact cost will be determined and presented at the upcoming council meeting, but it is expected to be higher than the current $27.13 per month.

Confidence

high

Summary

The City of Fort Walton Beach is initiating a procurement process to select a new independent certified public accountant for its annual audit services. The current firm, Warren Averett, LLC, has provided services for fiscal years 2020-2026, and the city has utilized the same organizational lineage for audit services for the past 30 years. This process is mandated by Florida Statute 218.391, which requires the establishment of an Auditor Selection Committee. This committee will be responsible for establishing evaluation factors, publicly announcing Requests for Proposals (RFPs), evaluating proposals, and recommending at least three qualified firms to the City Council. The GFOA recommends competitive processes at the end of audit contract terms, typically five-year agreements, to ensure quality services are the principal factor in selection. There are no additional costs associated with this RFP process beyond legal advertising.

Citizen Impact

This item initiates a standard procurement process for the city's annual audit. Residents are not directly impacted by the selection process itself, but it ensures continued compliance with state law and proper financial oversight.

Confidence

high

Summary

This is the City Attorney's monthly status report for January 2026, detailing ongoing legal cases and matters. Key items include:

• Miller v. Mastec North America & City of Fort Walton Beach (2023 CA 001023): A slip and fall case where the City was added in October 2025. Defense is being provided by insurance coverage counsel. The complaint alleges injury from a hole dug by Mastec in the right-of-way.
• Jackson Land Company v. City of Fort Walton Beach (2024 CA 003512): A property rights case concerning the alleged violation of a reverter clause in the City Hall deed due to commercial use of the Highway 98 parking lot. Mediation is pending.
• Lowery-Vamderford v. City of Fort Walton Beach, et. al. (2025 CA 001252): Another slip and fall case, alleging injury from tripping on a sidewalk the City allegedly maintains, during the 2024 Musical Echoes Native American Flute Festival. Defense is provided by insurance counsel.
• FWB Watch Group v. City of Fort Walton Beach, et. al. (2025 CA 000115): An injunction and declaratory action challenging 5 out of 6 ballot questions for the March 10, 2026, referendum. The City Attorney will seek Council approval to defend these questions. If Council votes not to defend, an ordinance will be required to repeal the relevant ballot question ordinances.
• Risk Protection Orders (RPOs): A list of active RPOs with their expiration dates through December 2026 is provided.

Citizen Impact

Residents are informed about ongoing legal actions that could potentially impact city services, finances, or future ballot initiatives. The City Attorney's office is actively managing these cases, with defense often covered by insurance.

Confidence

high