Part 12 of a series looking at the City of Palm Coast’s adopted Fiscal Year 2026 budget
This section focuses on Palm Coast’s Stormwater & Engineering Department, the group responsible for the city’s swales, ditches, canals, and the wider drainage network, along with the connected Construction Management & Engineering division. Based on the budget material posted on the city’s website, the five budgets discussed below add up to $44,283,723 for FY2026.
The full budget with line-by-line expenditures for each department can be found here.
A reorganization sits behind much of the change from last year. Stormwater Maintenance and Stormwater Operations were folded into one combined team, with people and funding shifted accordingly. That reshuffle leaves the former Stormwater Operations division at $0 for FY2026.
What the Department Handles
Stormwater & Engineering (SW&E) is in charge of running, maintaining, and repairing Palm Coast’s stormwater system. It also reviews and inspects the design and construction of infrastructure, public and private, across utilities, transportation, stormwater, and civil engineering work. The job list is broad: swale replacements, road-widening projects, streetlight work, and the construction of new buildings and parks.
Another major responsibility is the city’s Capital Improvement Plan (CIP), the long-range program for rebuilding and expanding infrastructure, much of which dates back to Palm Coast’s initial build-out in the 1970s.
Stormwater Operations: Reduced to $0
For FY2026, Stormwater Operations, funded through the Stormwater Fund (an enterprise fund supported by user fees), disappears as its own budget line. The adopted amount falls to $0, down $2,171,561 from the $2,171,561 budgeted in FY2025. Actual FY2024 spending came in at $1,654,404.
To put the FY2025 plan in context, it included $1,764,381 in Personnel Services (now $0), $395,520 in Operating Expenses (now $0), $0 in Capital Outlay, and $11,660 in Transfers to Other Funds (now $0). In FY2024, actual figures were $1,344,492 for personnel, $181,974 for operating, $28,766 in capital spending, and $99,172 in transfers.
| Actual FY2024 | Adopted FY2025 | Adopted FY2026 | Change FY25–FY26 | |
|---|---|---|---|---|
| Personnel Services | $1,344,492 | $1,764,381 | $0 | ($1,764,381) |
| Operating Expenses | $181,974 | $395,520 | $0 | ($395,520) |
| Capital Outlay | $28,766 | $0 | $0 | — |
| Transfers to Other Funds | $99,172 | $11,660 | $0 | ($11,660) |
| Total | $1,654,404 | $2,171,561 | $0 | ($2,171,561) |
Staffing drops from 18.00 full-time equivalent positions in FY2025 (16.00 in FY2024) to 0.00 in FY2026, a decline of 18.00. The budget notes those jobs were moved from Stormwater Operations into Stormwater Maintenance, Stormwater Engineering, Planning, and Residential Site Development for FY2026.
| Fiscal Year | Full-Time Equivalent Positions |
|---|---|
| FY2024 | 16.00 |
| FY2025 | 18.00 |
| FY2026 | 0.00 |
The paperwork also tracks swale and drainage work-order inspections by quarter. In 2023, the counts were 201, 186, 156, and 146. In 2024, they jumped to 782, 590, 837, and 323. For 2025, the numbers listed are 449, 387, 258, and 823.
| Year | Q1 | Q2 | Q3 | Q4 |
|---|---|---|---|---|
| 2023 | 201 | 186 | 156 | 146 |
| 2024 | 782 | 590 | 837 | 323 |
| 2025 | 449 | 387 | 258 | 823 |
Stormwater Engineering: $22,355,958
Stormwater Engineering, also supported by the Stormwater Fund, is budgeted at $22,355,958 for FY2026. That’s $2,937,134 less than the $25,293,092 adopted for FY2025. FY2024 actual spending was $9,733,916.
The FY2026 budget is divided into four categories. Personnel Services more than double to $1,319,135, up $675,974 from the $643,161 in FY2025 (with $650,768 spent in FY2024), a change tied to staff transfers into the division. Operating Expenses rise to $932,707, an increase of $278,878 from the FY2025 level of $653,829 (FY2024 actual: $432,024). Capital Outlay, the largest piece and the one tied to major construction, declines to $20,104,116, down $3,887,326 from $23,991,442 in FY2025 (FY2024 actual capital: $8,651,124). Transfers to Other Funds are set at $0, down $4,660 from FY2025.
| Actual FY2024 | Adopted FY2025 | Adopted FY2026 | Change FY25–FY26 | |
|---|---|---|---|---|
| Personnel Services | $650,768 | $643,161 | $1,319,135 | $675,974 |
| Operating Expenses | $432,024 | $653,829 | $932,707 | $278,878 |
| Capital Outlay | $8,651,124 | $23,991,442 | $20,104,116 | ($3,887,326) |
| Transfers to Other Funds | — | $4,660 | $0 | ($4,660) |
| Total | $9,733,916 | $25,293,092 | $22,355,958 | ($2,937,134) |
Staffing increases from 5.00 full-time equivalent positions in FY2024 and FY2025 to 12.00 in FY2026. The budget explanation ties the 7.00-position increase to jobs moved over from Stormwater Operations.
| Fiscal Year | Full-Time Equivalent Positions |
|---|---|
| FY2024 | 5.00 |
| FY2025 | 5.00 |
| FY2026 | 12.00 |
Stormwater Maintenance: $13,737,195
Stormwater Maintenance, paid out of the Stormwater Fund, is budgeted at $13,737,195 for FY2026. That’s $1,234,072 higher than the $12,503,123 adopted for FY2025. FY2024 actual spending was $9,370,788.
Here again, the budget is split into four lines. Personnel Services climb to $5,911,275, up $1,229,243 from the FY2025 amount of $4,682,032 (FY2024 actual: $2,855,853). Operating Expenses move to $7,040,070, an increase of $387,237 over $6,652,833 in FY2025 (FY2024 actual: $4,428,319). Capital Outlay drops to $785,000, down $210,000 from $995,000 in FY2025 (FY2024 actual: $1,219,618). Transfers to Other Funds nearly vanish at $850, down $172,408 from $173,258 in FY2025 (FY2024 actual transfers: $866,998).
| Actual FY2024 | Adopted FY2025 | Adopted FY2026 | Change FY25–FY26 | |
|---|---|---|---|---|
| Personnel Services | $2,855,853 | $4,682,032 | $5,911,275 | $1,229,243 |
| Operating Expenses | $4,428,319 | $6,652,833 | $7,040,070 | $387,237 |
| Capital Outlay | $1,219,618 | $995,000 | $785,000 | ($210,000) |
| Transfers to Other Funds | $866,998 | $173,258 | $850 | ($172,408) |
| Total | $9,370,788 | $12,503,123 | $13,737,195 | $1,234,072 |
Staffing rises steadily across the three years: 47.00 full-time equivalent positions in FY2024, 55.00 in FY2025, and 65.00 in FY2026, a net gain of 10.00. The budget notes that 5 positions were moved from Stormwater Operations into Stormwater Maintenance in FY2026.
| Fiscal Year | Full-Time Equivalent Positions |
|---|---|
| FY2024 | 47.00 |
| FY2025 | 55.00 |
| FY2026 | 65.00 |
A month-by-month chart included in the document summarizes FY2025 response performance from October 2024 through September 2025, showing on-time completion close to, and often at, 100 percent through most months.
Stormwater Non-Departmental: $6,708,468
The fourth Stormwater Fund category is labeled Non-Departmental, and it captures expenses that don’t sit neatly inside a single division, mainly debt and transfers. For FY2026 it is budgeted at $6,708,468, down $449,640 from the $7,158,108 adopted for FY2025. FY2024 actual spending was $5,294,863.
This section is presented in three lines. Operating Expenses fall to $1,152,986, a decrease of $62,707 from $1,215,693 in FY2025 (FY2024 actual: $1,146,000). Debt Service drops to $2,896,197, down $389,304 from $3,285,501 in FY2025 (FY2024 actual: $1,500,112). Transfers to Other Funds increase slightly to $2,659,285, up $2,371 from $2,656,914 in FY2025 (FY2024 actual transfers: $2,648,751).
| Actual FY2024 | Adopted FY2025 | Adopted FY2026 | Change FY25–FY26 | |
|---|---|---|---|---|
| Operating Expenses | $1,146,000 | $1,215,693 | $1,152,986 | ($62,707) |
| Debt Service | $1,500,112 | $3,285,501 | $2,896,197 | ($389,304) |
| Transfers to Other Funds | $2,648,751 | $2,656,914 | $2,659,285 | $2,371 |
| Total | $5,294,863 | $7,158,108 | $6,708,468 | ($449,640) |
Construction Management & Engineering: $1,482,102
Construction Management & Engineering is funded through the General Fund, not the Stormwater Fund. It is budgeted at $1,482,102 for FY2026, which is $149,357 more than the $1,332,745 adopted for FY2025. Actual spending in FY2024 was $1,231,517.
The FY2026 breakdown shows Personnel Services at $1,314,523, up $125,143 from $1,189,380 in FY2025 (FY2024 actual: $985,998). Operating Expenditures rise to $161,779, up $18,414 from $143,365 in FY2025 (FY2024 actual: $233,261). Capital Outlay is $0, unchanged from FY2025 (FY2024 actual: $12,258). Transfers to Other Funds are set at $5,800, an increase of $5,800 from FY2025.
| Actual FY2024 | Adopted FY2025 | Adopted FY2026 | Change FY25–FY26 | |
|---|---|---|---|---|
| Personnel Services | $985,998 | $1,189,380 | $1,314,523 | $125,143 |
| Operating Expenditures | $233,261 | $143,365 | $161,779 | $18,414 |
| Capital Outlay | $12,258 | $0 | $0 | — |
| Transfers to Other Funds | — | — | $5,800 | $5,800 |
| Total | $1,231,517 | $1,332,745 | $1,482,102 | $149,357 |
Staffing stays flat at 8.00 full-time equivalent positions for all three years.
The same documentation lays out the scale of the drainage network this work supports:
| Drainage Network Component | Extent |
|---|---|
| Swales | 1,222 miles |
| Ditches | 177 miles |
| Freshwater canals | 58 miles |
| Control structures | 14 |
| Freshwater lakes | 14 (111 acres) |
All Five Budgets Together
Taken as a whole, the city sets aside $44,283,723 in FY2026 for these areas: $0 for Stormwater Operations, $22,355,958 for Stormwater Engineering, $13,737,195 for Stormwater Maintenance, $6,708,468 for Stormwater Non-Departmental, and $1,482,102 for Construction Management & Engineering.
| Budget Area | FY2026 Budget |
|---|---|
| Stormwater Operations | $0 |
| Stormwater Engineering | $22,355,958 |
| Stormwater Maintenance | $13,737,195 |
| Stormwater Non-Departmental | $6,708,468 |
| Construction Management & Engineering | $1,482,102 |
| Total | $44,283,723 |
Performance Measures
Two primary performance measures are listed. First, for stormwater “connect cases”, resident-submitted requests, the goal is to respond within three weeks 100 percent of the time. The department’s result is 97.5 percent, about two percentage points under the target. Second, on reducing open swale-maintenance work orders, the stated goal is for closed work orders to exceed new ones by 100 per year. The department surpassed that benchmark by 112, closing enough orders to stay ahead of the 279 new ones that were opened.
| Performance Measure | Target | Result |
|---|---|---|
| Connect cases responded to within three weeks | 100 percent | 97.5 percent |
| Closed work orders exceeding new ones per year | 100 | 112 (ahead of 279 opened) |
A Productive Year
The progress report describes an active year of capital work: the Citation Boulevard extension, a micro-surfacing contract, construction at Long Creek Nature Preserve, and the London Waterway Expansion. It also lists a centrifuge replacement plus a new generator and above-tank storage at Wastewater Treatment Facility 1, along with a wellfield interconnect from Water Treatment Facility 3 to Facility 1.
Fire Stations 22, 25, and 26 reached design and construction milestones. Fire Station 22 held a steel-topping ceremony on September 3, 2025, and Fire Station 25 started construction on September 8, 2025. The department also ran the city’s first dirt donation program, improved more than 50 miles of swales, cited as a city record, and held Stormwater Awareness Week from September 22–26, 2025, an effort recognized through a City Council proclamation.
Disclaimer: The information presented here is public record and comes from budget documents posted on the City of Palm Coast’s website. Anyone seeking more detailed budget material would need to request it through a FOIA, public records, request.
Another budget series for Palm Coast will be published when the budget hearings have been completed, outlining the budget for the fiscal year 2026-2027.
The post Draining the Swamp, Literally: Palm Coast’s Stormwater and Engineering Budgets Pass $44 Million first appeared on Flagler County Buzz.
