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Agenda Item: 15(c) |
Prepared By: Casey Lucius, Ph.D., City Manager |
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Business: City Council Item |
Department: Executive |
Subject:
Title
Proposed New Revenue Option, Casey Lucius, Ph.D., City Manager
Body
BACKGROUND:
On January 12, 2026, the City Council established six goals for 2026. The number one goal was to identify new sources of revenue. On March 16, 2026 I brought forward five revenue options from the State Department of Revenue Report. City Council was interested in two of those options. On May 18, 2026 at the Revenue Workshop, I presented those two options (communications services tax and local business tax), and no direction was given to pursue either one.
The purchase of a parking lot on Collier Blvd. could generate significant revenue for the City and would primarily collect that revenue from visitors going to the beach. The revenue generated would pay the debt service and provide a long-term non-tax revenue for the General Fund.
Residents have asked City staff to bring more solutions. Council has indicated they want solutions that put more financial burden on tourists rather than on residents. This opportunity presents a long-term funding solution with no financial burden to the residents of Marco Island.
FUNDING SOURCE / FISCAL IMPACT: City Council would approve a bank loan for up to $12 million and pay the debt service payment using revenue generated from the parking lot.
RECOMMENDATION: Discuss the pros and cons of purchasing a parking lot on Collier Blvd. and direct the City Manager to have the property appraised and begin negotiations with the seller.
POTENTIAL MOTION: “I move to have the City Manager have the property appraised and begin negotiating with the seller of 711 and 731 South Collier Blvd.”