Fernandina Supports $168 Million Wish List Despite Mounting Financial Challenges

By Mike Lednovich/Editor

FERNANDINA BEACH — The Fernandina Beach City Commission unanimously supported a five-year Capital Improvement Plan Tuesday, endorsing an ambitious blueprint for nearly $168 million in infrastructure and public facility projects while acknowledging that many of those projects will ultimately compete for limited dollars during future budget cycles.

The commission voted 5-0 to adopt the plan, the first formal step in the city's annual budget process. The plan outlines approximately $47 million in capital projects for fiscal year 2026-27 and roughly $167.6 million over the next five years, but city officials repeatedly emphasized that the document is a planning tool rather than a spending commitment.

"This is our five-year capital improvement plan that is in front of you this evening," Deputy City Manager Jeremiah Glisson told commissioners. "This is a five-year look for current and future capital expenditures. It identifies each capital project, anticipated start and completion date, the amount to be spent each year, and the funding source."

Glisson stressed that the Capital Improvement Plan remains flexible as the city's financial picture evolves.

"Because community priorities evolve, the CIP is a living document, so this will come back to you as part of the final adoption of this year's budget," he said. "No doubt, some changes and revisions based off of your decisions during the budget process."

The vote came as the city faces a growing list of expensive priorities that could strain future budgets.

Among them are the ongoing redevelopment of the downtown marina, demolition of the former Brett's Waterway Cafe, construction of new seawall segments, wastewater improvements required by future state regulations, airport improvements, stormwater projects, beach harmonization and recreation facilities.

Outside the adopted plan, commissioners also face the challenge of finding at least $4 million for new soccer fields while preparing for the possibility that a proposed increase in Florida's homestead exemption could significantly reduce future property tax revenue.

Although the city's paid parking program is projected to generate about $1.1 million annually in net revenue, commissioners have already indicated those funds will largely be dedicated to waterfront improvements, limiting their availability for other capital needs.

Glisson said the size of this year's plan reflects several unusually large projects.

"It's a big one. It's $47 million," he said. "There are some generational projects that are part of this year's plan. Our last capital plan ... is just shy of $40 million. So, you see this is a big step up. And again, it's largely due to some major projects."

He pointed to marina redevelopment, wastewater improvements to meet the state's 2032 reclaimed-water requirements, airport work associated with Runway 13/31, beach harmonization, fleet facility upgrades, MLK sports field improvements and expanded stormwater projects as major drivers of the increase.

Despite the headline figure, Glisson said relatively little of the $47 million relies on the city's General Fund.

"A majority of what's happening here in fiscal year 2027 is related to enterprise funds," he said, citing the marina, airport and wastewater utilities.

"We have a lot of grants ... mostly for the seawall construction. We have financing as part of this $47 million plan. General fund is a much smaller part of the pie at $6.8 million."

Other funding sources include recreation impact fees, Community Redevelopment Area funds and the law enforcement recovery fund.

Glisson also said the city is working to better integrate several long-range planning efforts — including the stormwater, airport, harbor and parks master plans, along with the Vision 2050 comprehensive plan update — into future capital budgets.

"We're in the throes of a number of master plans," he said. "That will start bridging the gap between the five-year and the 20-year look per our comp plan."

Two Commissioners praised both the planning process and a new software platform that organizes the city's capital projects.

Commissioner Genece Minshew called the new system a major improvement.

"This is like a huge — for someone who loves process — this is like, it's like, yay," Minshew said. "This has been a really big step in the right direction."

She said she wants future versions to make funding sources even easier to trace.

"You can tell me it's going to cost $2 million to do this. But what I really want to know is where's the $2 million coming from?" Minshew said. "If it has come from multiple pots, I want to know that, too, so that I can tick and tie all these things together."

She added, "It's a huge step in the right direction for the professionalism of staff and the professionalism of the way the city interfaces with the community and does their long-term planning. So, good job. Thank you very much."

Mayor James Antun echoed those comments, thanking staff for the work.

Commissioner Joyce Tuten also praised the presentation.

"It took me a while to go through it because the format's so different compared to last year's, but it's beautifully organized and it was easy to read," she said.

"When I heard that it was built in and talking to our other software, that's just so great."

Glisson said Tuesday's approval establishes the city's capital priorities but does not lock in future spending. The Capital Improvement Plan will return to the commission later this summer as part of the fiscal year 2026-27 budget process, where projects may be revised, delayed or reprioritized depending on available funding and commission direction.