by SC Reporter Emilie Alfino
The City of Sanibel held its second budget workshop before City Council on June 12, 2025. This is the first time workshop reports have been made available. The City is legally required to adopt a budget by September 30.
Steve Chaipel, Deputy City Manager and Chief Financial Officer, said this is the first view and discussion on the budget. “It’s way too early in the year to get beginning fund balances” to complete a draft budget.
“The budget document is a form of communication to our public,” said Mayor Mike Miller.
The first step in the process is for Council to set its goals. These were adopted in May, 2025, and drive the budget; they are:
• Environmental Stewardship
• Infrastructure
• Fiscal Health
• Customer Service
• Quality of Life
• Affordable Housing
• Community Resiliency
• Hurricane Ian Recovery
The budget then revolves around these goals.
The workshop included the proposed operating budget for fiscal year 2026. The City’s estimated taxable property values on May 31, 2026, increased 1.66% over last year for a total of $4,737,220,000. At last year’s operating millage rate, this would result in an additional $187,000 in tax collections. Chaipel admitted the market has been a little more volatile, but that “the good news is we’re still showing signs of recovery. We are at about the same level as 2016.”
Ninety percent of the market value is from residential properties. Of that, 70 percent is from condominiums.
On or around July 1, 2025, the City will receive the preliminary taxable values from the Lee County Property Appraiser. This number is what will be used to develop the full draft budget that will be presented to the City Council at its July 15, 2025 meeting.
As far as the capital improvement plan, the City adopts a one-year budget annually (FY2026). The FY2026 capital improvement plan requests $84.2 million.
Council expressed a desire to appropriate increased funding to supplement the proposed budget for expansion of the City’s shared use path system (SUP). The Beach Parking fund includes a $500,000 request to the Tourism Development Council for SUP expansion. The Council could consider directing staff to increase that amount to $1 million to match the TDC request. That would be for expansion only, such as widening the lanes or adding to the system.
Regarding what has become known as “Sanibel Plan 2.0,” a $250,000 grant to a contractor has already been approved. “The Sanibel Plan is the Bible, the details are in the Land Development Code,” council members agreed. Regarding any changes to the Land Development Code, there will be public outreach. “There will be a robust community discussion,” said City Manager Dana Souza.
The Land Development Code was put in place in 1984. Clearly, new challenges have emerged since then and there is a need to amend it, council members agreed.
“I would like to demonstrate to the community how important this is to us,” said Council member Richard Johnson.
“The focus is on recovery; that’s no surprise,” said Chaipel. “Resolutions should be dedicated to that. There’s a reason that hurricane recovery is number one.”
Budget information is available from the city’s website, www.mysanibel.com. Go to the “government” tab, click on “City Council” and find 6-12-2005 Budget Workshop, click on “Agenda” and find the links to the draft budgets. Note that the City’s website is new to make it more easily searchable, but there is more work to be done.
The remaining budget schedule is:
• July 15 – 9:00 a.m. Regular City Council Meeting, presentation of Draft FY 2026 budget and resolution to set the proposed tax (calendar year) millage rates and date of first public hearing. City Council to set maximum operating millage rate.
• August 12 – 5:30 p.m. City Council Budget Workshop. Continued discussion of budget.
• September 8 – 9:00 a.m. Regular City Council Meeting. Continued discussion of budget.
• September 8 – 5:30 p.m. City Council First Budget Hearing. Discussion and adoption of tentative millage rate and tentative FY 2026 budget.
• September 12 – City advertises second and final public hearing in News-Press and online.
• September 25 – 5:30 p.m. City Council Second and Final Public Hearing. Discussion and adoption of final millage rate and final FY 2026 budget.
• October 31 – Final adopted budget information posted to City’s website.
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