City Council reviews $1.9M TDC fund allocations for FY 2026 budget planning

During the March 3, 2025, City Council meeting in Destin, Florida, a significant financial discussion centered around the allocation of Tourist Development Tax (TDT) funds, amounting to $1.9 million for the fiscal year 2026. This funding, which represents 48% of the 12.5% TDT collected, is earmarked for various city expenses, including salaries, utilities, and maintenance.

City officials revealed that the actual available funds for discretionary spending could be as high as $1.7 million, following a review of previous allocations and repayments. Notably, this year’s budget did not account for a $750,000 repayment to the TDT, allowing for a larger sum to remain in the city’s budget. Council members were encouraged to consider leveraging these funds to attract additional financing from Triumph Gulf Coast, which currently holds $800 million for potential projects.

Councilman Schmidt expressed gratitude for the financial insights and proposed a motion to allocate $600,000 towards beach and boardwalk operations, alongside $300,000 for pickleball funding and another $300,000 for improvements at the Morgan Sports Complex. This plan would leave $1.1 million available for future projects.

The council also discussed the potential costs of undergrounding utilities along Stallman Avenue, estimated at $12 to $15 million, indicating ongoing infrastructure needs that may require additional funding sources.

As the city navigates these financial opportunities, the council's decisions will play a crucial role in shaping the future of Destin's community projects and infrastructure development.