Watch now | Council unanimously approves budget goals, police staffing study, CATF oversight board, and $3.2 million in critical pipe replacement before a utility privatization debate reshapes the evening.
fyi- Interesting how Palm Coast city government issues often parallel Palm Bay
New ordinance makes it more difficult for Palm Coast to sell utilities
Brenno Carillo
Daytona Beach News-Journal 3-18-26
After signaling its support for a new ordinance that would make it more difficult for the city to privatize its utilities operation, the Palm Coast City Council Tuesday, March 3, made it official.
The board voted unanimously to approve the proposed ordinance, which adds a few bureaucratic steps in the path of a third party's attempt to buy the city's utilities, including additional public hearings and ultimately requiring voters' approval in a referendum.
The idea first came about at the end of 2025 when Vice Mayor Theresa Pontieri broached the topic during a City Council meeting. She voiced her concern over private equity firms like BlackRock, Inc., buying local utilities across the country, which she said could result in Palm Coast losing one of its greatest 'assets' while possibly dealing with less public transparency.
Pontieri thanked the council's support for the new ordinance. Councilman David Sullivan agreed with the need for adding more layers of protection for the city utilities, even if the ordinance has 'limited strength.'
'But I think it's in this day and age, with the changes that we see happening in the country, it makes sense to add that extra step,' Sullivan said.
How does new law protect Palm Coast utilities from purchase?
During the first reading on Feb. 17, City Attorney Marcus Duffy explained that the ordinance adds language to the city code, which currently requires City Council approval to sell the utilities.
The added language includes more obstacles should a third-party attempt to buy the city's utilities operation, including:
•Approval from a supermajority City Council vote (4-1), as well as from a citywide voter referendum
•Requirement of two public hearings for a proposed utilities sale, with an 'independent valuation; fiscal impact analysis; and service and regulatory analysis' of the proposal made publicly available.
•The purchasing party will be responsible for paying off all 'outstanding debt, including but not limited to revenue bonds, master lease agreements and interfund loans' if the sale is approved.
The city's latest move on utilities comes a few months after the board approved a 30-year $330-million utilities revenue bond, which seeks to secure funding for the city's expensive infrastructure plan.
The City Council last year also voted to increase water and sewer rates by 31% over three years.
Thank you Tom. Good to see somebody confronting our State representatives on the folly of septic conversions by 2030 (especially on properties far away from the IRL). I'd urge everyone who comes in contract with our Legislative delegation to bring this up. Maybe we can work a waiver out of them given it's election season.
Thank you for your coverage. My concern is the cost of of septic to sewer conversion. Homeowners are not prepared for paying $20,000-$30,000 for their portion this. Also, asbestos concrete does not make me want to drink water from this conduit. Asbestos is a known to cause cancer. Putting this into our yards and knowing it will deteriorate over time, puts us all at risk.
fyi- Interesting how Palm Coast city government issues often parallel Palm Bay
New ordinance makes it more difficult for Palm Coast to sell utilities
Brenno Carillo
Daytona Beach News-Journal 3-18-26
After signaling its support for a new ordinance that would make it more difficult for the city to privatize its utilities operation, the Palm Coast City Council Tuesday, March 3, made it official.
The board voted unanimously to approve the proposed ordinance, which adds a few bureaucratic steps in the path of a third party's attempt to buy the city's utilities, including additional public hearings and ultimately requiring voters' approval in a referendum.
The idea first came about at the end of 2025 when Vice Mayor Theresa Pontieri broached the topic during a City Council meeting. She voiced her concern over private equity firms like BlackRock, Inc., buying local utilities across the country, which she said could result in Palm Coast losing one of its greatest 'assets' while possibly dealing with less public transparency.
Pontieri thanked the council's support for the new ordinance. Councilman David Sullivan agreed with the need for adding more layers of protection for the city utilities, even if the ordinance has 'limited strength.'
'But I think it's in this day and age, with the changes that we see happening in the country, it makes sense to add that extra step,' Sullivan said.
How does new law protect Palm Coast utilities from purchase?
During the first reading on Feb. 17, City Attorney Marcus Duffy explained that the ordinance adds language to the city code, which currently requires City Council approval to sell the utilities.
The added language includes more obstacles should a third-party attempt to buy the city's utilities operation, including:
•Approval from a supermajority City Council vote (4-1), as well as from a citywide voter referendum
•Requirement of two public hearings for a proposed utilities sale, with an 'independent valuation; fiscal impact analysis; and service and regulatory analysis' of the proposal made publicly available.
•The purchasing party will be responsible for paying off all 'outstanding debt, including but not limited to revenue bonds, master lease agreements and interfund loans' if the sale is approved.
The city's latest move on utilities comes a few months after the board approved a 30-year $330-million utilities revenue bond, which seeks to secure funding for the city's expensive infrastructure plan.
The City Council last year also voted to increase water and sewer rates by 31% over three years.
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Thank you Tom. Good to see somebody confronting our State representatives on the folly of septic conversions by 2030 (especially on properties far away from the IRL). I'd urge everyone who comes in contract with our Legislative delegation to bring this up. Maybe we can work a waiver out of them given it's election season.
Thank you for your coverage. My concern is the cost of of septic to sewer conversion. Homeowners are not prepared for paying $20,000-$30,000 for their portion this. Also, asbestos concrete does not make me want to drink water from this conduit. Asbestos is a known to cause cancer. Putting this into our yards and knowing it will deteriorate over time, puts us all at risk.