Debate over Beach Drive path design, costs and legal fees continues; city staff say grant likely covers legal work

More than a dozen residents and stakeholders spoke at the April 24 Panama City Commission meeting about the Beach Drive multi‑use path, raising questions about cost estimates, tree removal, design fees and whether state grant money will cover legal and title research expenses.

Several speakers who oppose the project, including George Carruthers and Hank Pickin, described the referendum’s narrow margin and questioned whether the ballot language and outreach were balanced. They also requested a detailed reconciliation of costs after design work increased from a $9.4 million early estimate to higher figures the city later circulated.

Supporters, including Brandon Henderson Gensinius, said the referendum simply asked whether the city should use the grant for its intended purpose and that turnout showed community support.

Legal and financial questions: Commissioner and resident questions prompted a response from City Attorney (Mr.) Zimmerman and the mayor’s office. Zimmerman said the city’s position is that grant reimbursement may cover legal costs tied to project development. He explained that, under the grant, reimbursable development expenses include engineering, arborist and environmental consultant work and, importantly, title research and legal work needed to confirm the project will be built within city or state right of way. Zimmerman said his office signed the required certificate of title for the grant submittal and believes legal fees for title searches and deed work are eligible for reimbursement.

City manager and staff detailed that the expenditures to date were multifaceted: two engineering firms (Panhandle Engineering and a second firm), survey work, arborist and horticultural services, environmental surveys, geotechnical work, public outreach meetings and legal/title services. Staff emphasized those costs were not solely “design fees,” noting some line items were conservative estimates and that the city asked for an $8 million grant amount.

Why it matters: Beach Drive is a visible, divisive local project. Residents on and off the corridor raised concerns about tree removal, construction timing, and whether the grant and city estimates reflect all promised elements such as arborist plans and landscaping. City staff said they remain confident the project can be completed within the awarded grant levels and that legal costs should be reimbursable, but acknowledged some reconciliation and additional communication is due.

Clarifying details: Staff said the original planning estimate was $9.4 million; additional design and promised landscaping and tree‑work raised later projections, producing an apparent gap that residents asked staff to reconcile. City Attorney Zimmerman said the grant contemplates reimbursement for development expenses and that legal title work and attorney time spent ensuring the project falls on public right-of-way are reasonably reimbursable under that grant. The commission asked staff to provide a reconciliation and additional documentation requested by residents.