City Council approves park management request, schedules Harbor Walk Village PH2 hearing, and adopts land-use ordinance

(Note: Individual speakers will be limited to 3 minutes. At the discretion of the mayor, this 3 minute allowance may be adjusted depending on the level of business coming before the City Council)

The Resilient Florida Program within the Office of Resilience and Coastal Protection was created to help coastal and inland communities plan for the impacts of climate change, including flooding and sea level rise. The Resilient Florida Program offers grants for community planning as well as grants to implement projects that adaptation to impacts associated with flooding and sea level rise. | attachments=2 | reports=1

City of Destin has received funding from the Florida Department of Environmental Protection (FDEP) Resilient Florida Grant Program for an Update to its Vulnerability Assessment for Statutory Compliance, and for an Adaptation Plan, to include initial/conceptual design funding for flood mitigation projects. | attachments=1 | reports=1

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Porter Lane is the given name at time of plat adoption for Palms Street Townhomes in January 2023. In July 2025, Okaloosa County objected to the name because that name was already in use elsewhere. In July 2025, Okaloosa County and developer changed the name to Foxtail Way. | attachments=1 | reports=1

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The first HarborWalk Village (HWV) Development Order (DO-02-55) was issued on January 28, 2003, with various subsequent approved amendments, including DO-10-02 (November 5, 2009), which provided for Phase II of the HWV Development (“Phase II DO”). The property owner approached the City requesting modifications to the Phase II DO plans by submitting directly to the building department for construction permits. However, the City denied this request. Staff determined that the project's proposed modifications may require an amendment to the previously approved development order pursuant to the Land Development Code, and that the City Council is the appropriate entity to make this determination. As such, the applicant came before the City Council on April 21, 2025 for a question and answer session regarding Phase 2 of Harborwalk Village. At that time, Council was informed that a formal quasi-judicial hearing would be scheduled at a later date for full review of the Phase 2 Plans and a determination as to whether the Plans are consistent with the existing Phase 2 development order. It has been approximately a year since Council last heard from the applicant on this item, and staff has been reviewing the application and any modifications to the application since that time. This agenda item seeks input from the City Council on scheduling the quasi-judicial hearing for consideration of the Harbor Walk Village Phase 2, development order (review to determine whether in compliance with existing development order). | reports=1

During the March 2, 2026 regular City Council meeting, two motions were made regarding the newly acquired State Park property located within Holiday Isle in the City of Destin ("Property"). 1. The City Council discussed whether the Property should be rezoned from High Density Residential to Conservation. Several Council members supported potentially changing the future land use designation and zoning of the Property at this time, while others indicated this discussion should occur only after the State takes further action with respect to the Property. Councilmember Destin moved to add the matter of rezoning the state park property on Holiday Isle for Conservation to the next council meeting agenda. The motion was seconded by Councilmember Hebert and passed 7-0. 2. The City Council discussed whether the City should work with the State at this time to obtain a leasehold interest in the Property such that the City could manage it with the rest of the property the City owns in that area, including Norriego Point Park and the City's fee simple right-of-way. Councilmember Schmidt moved to direct the City Manager to prepare a request to the State of Florida for a lease of the Property for the City of Destin. The motion was seconded by Councilmember Hebert. Supporters of the motion said the City should pursue control of property that is enclosed within the City's limits (which is also fully surrounded by City-owned conservation property and a City residential area with interested residents). Opponents stated the process to obtain the lease is unclear, that Okaloosa County was considering an interlocal with the City at their BCC meeting to be held the day after the Council meeting (March 3rd BCC meeting), and that the City Council should first understand the procedural steps before taking action. Councilmember Destin made a substitute motion to delay and place consideration of the lease request on the next council meeting agenda. The motion was seconded by Councilmember Bagby and passed 5-2, with Council members Geile and Schmidt dissenting. | reports=1

During the March council meeting, this motion was passed. | attachments=1 | reports=1

The City Clerk position was advertised from January 26, 2026 to February 28, 2026. We received and screened 55 applications for minimum qualifications. Of the 55 applications 3 were identified as highly qualified and were subsequently interviewed. | attachments=1 | reports=1

Councilmember Schmidt asked the City Manager to identify the individuals, groups, or organizations that might have an interest in or benefit from a Mid-Bay Bridge toll supplement, and to provide an analysis of the potential costs associated with such a supplement. | attachments=1 | reports=1

This item is informational only. | attachments=1 | reports=1

In August 2023, Council requested a monthly update of collections of the Tourist Development Tax. Short-Term rental owners submit monthly reports and remit payment of TDT to the Okaloosa County Clerk. Attached is the latest available report. Report Location: https://okaloosaclerk.com/board-services/tourist-development-tax/ At bottom of the Okaloosa Clerk's page see link: Click here to get the monthly Tourist Tax Collection Report. OR: https://app.powerbigov.us/view?r=eyJrIjoiNGQxNjBiMjktOTk3OC00ODgxLTg3MzYtZmI1YjhjZThlN2E1IiwidCI6IjQwYWI4ZmUzLTMyOTctNDc4Zi04MmVhLTJkYmRhMWIwZmJkOSJ9 | attachments=1 | reports=1

This item is informational only. | attachments=1 | reports=1

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On February 2, 2026, the City Council requested an amendment to the Land Development Code that would allow indoor sports recreation establishments as a permitted use within the Industrial zoning district. Council further directed that staff also address potential parking requirements/reductions appropriately given the nature of the use and unoccupied portions of the square footage for batting cages and similar such unoccupied space within the indoor sports recreation complex. | attachments=1 | reports=1

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The subject property has been in violation of City codes for accumulation of excessive trash and debris. The subject property remains out of compliance. Staff has inspected the property on multiple occasions, as has reached out to the property owner at regular intervals. Most recently, on March 9, 2026. The property owner has not take any steps towards compliance as of the date of this agenda item. | attachments=1 | reports=1