Highland Beach approves interlocal agreement to continue share of Palm Beach County 6¢ fuel tax

The Town Commission of the Town of Highland Beach on Feb. 4, 2025, voted unanimously to approve Resolution No. 2025-004, authorizing the town to join an interlocal agreement with Palm Beach County to readopt the distribution formula for the 6-cent local option fuel tax.

Attorney Rubin, explaining the measure to the commission, said the change arises under state law and requires municipal approval. "Under the Florida statutes, the county can impose a fuel tax, up to 6¢, and they do do 6¢ in Palm Beach County," Rubin said during the discussion. He said the agreement is a renewal of a formula last adopted about 25 years ago and that the town's share is calculated based on roadway mileage and population.

The measure is intended to renew the existing interlocal arrangement for another term. Rubin said the town's portion will be small: "It's based on how much roadway you have and then that percentage of the county, and then they take the population and they prorate that. So it's a very small amount, but it is a revenue source, albeit not that great." Commissioners noted there appeared to be no downside to approving the agreement and that the town's participation also helps the county meet the threshold of municipal approvals required.

A motion to adopt Resolution No. 2025-004 was moved and seconded. The clerk conducted a roll call vote: Commissioner David, yes; Commissioner Goldberg, yes; Commissioner Peters, yes; Vice Mayor Stern, yes. The motion carried.

The resolution approves participation in the county's distribution formula for the 6-cent local option fuel tax and adopts the interlocal terms provided by Palm Beach County. The commission did not identify a specific revenue estimate for Highland Beach during the meeting.

The town will be party to the interlocal agreement as described in Resolution No. 2025-004, effective as stated in the document.