Palm Coast City Council Approves $330 Million Utility Bond, Food Truck Rules, and Affordable Housing Recommendations

The Palm Coast City Council tackled several major issues at its Tuesday, January 20, 2026, business meeting, including approving a utility bond resolution, advancing new food truck regulations, and accepting affordable housing recommendations from a local advisory committee.

All five council members were present for the meeting: Mayor Norris, Vice Mayor Pontieri, Council Member Gamaro, Council Member Miller, and Council Member Sullivan.

The council unanimously approved the meeting minutes from January 6, 2026, and the January 13, 2026 workshop.

Food Truck Ordinance Moves Forward

The council gave first-read approval to an ordinance regulating mobile food dispensing vehicles in the city. The ordinance had been reworked since an October 28 workshop based on council direction and was presented to the Planning and Land Development Regulation Board on December 17.

Community Development staff member Michael Hansen explained that state law preempts cities from licensing food trucks, but municipalities can regulate where they operate. The city has historically complied through its Food Truck Tuesday program, which has operated for over a decade.

The updated ordinance allows food trucks to operate as a principal use at dedicated food truck parks or as an accessory use on existing commercial properties. Council members discussed several amendments, including striking a prohibition on amplified music since the city already has a noise ordinance, removing a six-hour time limit for private catered events, and adding a waiver provision for early morning operations.

Vice Mayor Pontieri raised concerns about consistency, questioning why food truck parks would require perimeter fencing around recreational areas when similar requirements may not exist for traditional restaurants. The council agreed to have staff research this before the second reading.

The council also discussed adding fines for illicit discharge violations and clarifying language about vacant lots. The motion passed unanimously with the inclusion of the Planning and Land Development Regulation Board’s recommendations and additional language from the Land Development Code regarding perimeter fencing definitions.

$330 Million Utility Bond Resolution Approved

The council unanimously approved a resolution authorizing the issuance of utility revenue bonds not to exceed $330 million. The bonds will fund utility infrastructure improvements and refinance existing debt.

Helina Hensels from bond counsel Bryant Miller Olive explained the bonds would be secured by utility system revenues, not property taxes. Raymond James will serve as the lead underwriter, with Hilltop Securities serving as the city’s financial adviser.

Several residents spoke against the resolution during public comment. Jeanie Duarte called it an unfunded mandate and questioned protections for homeowners. Darlene Shelley asked what the bond would fund and expressed concern about the burdens on current residents. Jeremy Davis requested that written documentation be published before the debt is finalized, including the city attorney’s legal opinion, a completed feasibility study, and detailed project lists.

Sandra Shank urged the council not to approve the resolution, stating residents were asked to approve a referendum for a much smaller amount and calling the $330 million a lack of transparency.

Bond counsel explained that a 2003 court order affirmed that utility bonds secured by utility revenues are not subject to the city charter’s referendum requirement for unfunded multi-year contracts because they use existing revenue sources.

Mayor Norris addressed the concerns, noting that the council discussed the spending at a workshop the previous week. “We have to invest money to fix our systems,” he said. “The same people that sat there and said, ‘We don’t want to do that’ will complain about green water and chastise the city for not doing the right things on water while not providing any resolutions on how to fix it.”

Council Member Miller added that information about the utility strategic plan and related council meetings has been published online for the past year.

Vice Mayor Pontieri noted the council was asked to raise utility rates higher and take out even more bonds, but declined, asking staff to figure out how to do more with less.

Affordable Housing Recommendations Accepted

The council unanimously approved a resolution acknowledging recommendations from the Affordable Housing Advisory Committee. Sandra Shank presented seven recommendations on behalf of the committee, including reviewing ongoing housing cost impacts, updating the surplus lands inventory, establishing a community land trust, adopting inclusionary zoning, expanding local incentives, developing an accessory dwelling unit ordinance, and establishing a local affordable housing trust fund.

Council members expressed mixed views on the recommendations. Council Member Sullivan acknowledged the compassion behind the proposals but expressed concern about conditions being forced on local governments by the state. “I am not opposed to everything that you have proposed,” he said, “but I am concerned with conditions that are being forced upon us and are out of our control.”

Council Member Gambaro moved to approve the resolution, noting he serves as the council liaison to the advisory committee. He clarified that the council was simply acknowledging the recommendations and that staff would return with data analysis and proposals in the coming months.

Several residents spoke on the issue. Jeremy Davis requested that the city adopt an all-in affordability standard that includes utility costs alongside rent. Darlene Shelley said affordable housing should help working families achieve home ownership with dignity. Tony Amaral urged the council to continue the conversation and remain open to the recommendations.

Community Development staff indicated data analysis would be presented by late February or March, with recommendations and strategies expected in April or May.

Cell Tower Lease Approved

The council unanimously approved a resolution authorizing a lease agreement for a wireless communication tower at a city-owned water utility site on Sesame Boulevard. Vice Mayor Pontieri requested that future presentations include coverage maps showing the need for additional towers in specific areas.

Consent Agenda Approved

The council unanimously approved the consent agenda, which included an amendment to add that the Parks and Recreation Advisory Board should have at least one member from each council district. The consent agenda also included an amenity agreement for the city manager related to his position on a retirement fund board.

Council Member Gambaro clarified during the discussion that a separate indemnification agreement for a former acting city manager that appeared in backup documents had already been approved by a prior council in 2024 and was not part of the current vote.

Public Comments and Council Remarks

Several residents spoke during public comment periods on topics including European Village parking disputes, airport expansion concerns, permit record transparency, and financial burdens on residents.

Regarding European Village, Vice Mayor Pontieri said she met with association board members and is looking into what the city can legally do, while trying not to get in the middle of what she believes is a private legal dispute.

Mayor Norris responded to a resident’s concerns about the airport, noting that the airport is not controlled by the city.

Resident Jeremy Davis was advised by the City Council to pursue litigation if he believes the city is responsible for permit records and property damage.

At the close of the meeting, Council Member Miller thanked fellow council members for having a robust discussion and making tough decisions for the future of the city. “It’s not easy,” he said. “But I know we’re doing the right thing for the future of our community.”

The City Manager announced that a community survey would be distributed soon and that a budget message for the 2026-2027 fiscal year had been communicated to the executive team and council members.

The city attorney announced that shade meetings would be scheduled regarding Holland Park and pending lawsuits.

Mayor Norris thanked the ladies of Alpha Kappa Alpha sorority for inviting him and his wife to their founders day celebration, where they honored Sandra Booker, Dr. Robbie Johnson, Dr. Phyllis Pearson, and Flagler County Superintendent of Schools LaShakia Moore.

Council Member Pontieri asked for thoughts and prayers for families in the community who lost homes to fires in the past week and commended the fire department for preventing any loss of life.

The post Palm Coast City Council Approves $330 Million Utility Bond, Food Truck Rules, and Affordable Housing Recommendations first appeared on Flagler County Buzz.