Commissioners spent more than two hours on Aug. 4 debating a proposed Municipal Service Benefit Unit (MSBU) intended to fund ongoing beach renourishment and maintenance across unincorporated Flagler County and part of the barrier‑island coastline. After hearing from administration, the county’s engineering consultant and county legal counsel that an apportionment study could not be completed in time to impose a levy for 2025, the board agreed by consensus to preserve the district on the books rather than attempt an immediate assessment.
Commissioner Hansen moved to proceed with establishing the MSBU “as soon as possible.” County administration and outside consultants told the board that previous consultant work (PFM and Olsen Engineering) required additional validation and that Taylor Engineering would need to be engaged to produce a defensible apportionment study showing how costs should be allocated among properties. Staff said that producing a validated apportionment in the short timeframe required for notice and mailing would expose the county to legal challenge; county counsel warned that a challenged levy could generate an injunction or lengthy litigation.
To avoid restarting the whole process, staff proposed and the board accepted a plan to mail notices that preserve the assessment district this year but set the 2025 levy at zero while the apportionment study is completed. Commissioners and staff described interim measures: setting aside approximately $8.1 million in next year’s beach management budget, pursuing an emergency berm and limited work, and negotiating interlocal agreements with private communities (including Hammock Dunes and Ocean Hammock) so those properties could become eligible for FEMA Category G work with local matches. Staff emphasized that FEMA would cover 75 percent of eligible repair costs, with the remaining 25 percent split between state and local shares (staff described the usual 50/50 split of the remaining local share as an option with private partners). County administrators cautioned that the apportionment study could take weeks to produce once Taylor Engineering is engaged and that legal risk favors waiting for a defensible study rather than levying immediately.
Board discussion was heated at times. Some commissioners said a ready plan had been in motion for more than a year and lamented the missed opportunity to secure funding for 2025; others said the notice and study timelines required delay and that staff should preserve the option in the near term. Commissioners agreed to move forward with the apportionment study and to issue notices with a zero levy to avoid having to recreate the district procedure in 2026. The board also asked staff to return with a clear timetable and a recommended levy for the next budget cycle after the apportionment and legal review.