Pensacola City Council approves millage, floodplain update and airport runway contract in unanimous votes

Pensacola City Council members voted unanimously on a broad package of ordinances, grants and contracts at their July 17 meeting, approving measures that ranged from tentative millage-setting to a major airport runway rehabilitation contract.

The council set a tentative fiscal year 2026 millage rate for the city at 4.2895 mills and set a 2.0000-mill levy for the Downtown Improvement District; it authorized the mayor to set final levies and to adjust the adopted rate administratively if final taxable values fall by more than 1 percent. The council also adopted local amendments to the land development code to incorporate FEMA-mandated flood insurance rate maps and maintain the city’s Community Rating System Class 7 credit, preserving a 15 percent discount for eligible National Flood Insurance Program policyholders.

Members approved a package of recently annexed parcels’ future land‑use and zoning map amendments, allowing those properties to be regulated under the city’s land-use rules. The council approved multiple first‑reading ordinances to formalize those map changes.

A major action at the meeting was the award of the bid for Pensacola International Airport’s Runway 8/26 rehabilitation to Panhandle Grading & Paving Inc. of Pensacola, the lowest responsive bidder. The base contract award is $20,366,907.09, with a ten percent contingency of $2,036,690.71, for a total authorized project amount of $22,403,597.80. The council also adopted the supplemental budget resolution necessary to appropriate related funds.

Other approved items included: acceptance of a Pipeline and Hazardous Materials Safety Administration (PHMSA) grant to fund natural gas pipeline replacement (grant number 693JK32540107NGDI) in the amount of $10,076,858; a resolution and budget adjustments to reassign Florida Department of Transportation (FDOT) funding to airport runway work; and a local agency program agreement and supplemental budget for design of a sidewalk on East Maxwell Street with FDOT. A resolution opposing the inclusion of new offshore oil and gas leasing off the coast of Florida also passed 7–0.

All votes on recorded agenda items shown in the meeting transcript carried by 7–0 margins unless otherwise noted.

Votes at a glance (selected items) - Tentative fiscal year 2026 millage rate set at 4.2895 mills; Downtown Improvement District at 2 mills. Vote: 7–0. - Land development code Chapter 12‑9 (floodplain management) amendments (ordinance 8‑25 on first reading). Vote: 7–0. - Proposed ordinance 9‑25 and 10‑25 (future land‑use and zoning map amendments for recently annexed Langley Avenue parcels). Vote: 7–0. - Award of bid 25‑029, Runway 8/26 rehabilitation, to Panhandle Grading & Paving Inc.; base bid $20,366,907.09; authorized contingency 10% ($2,036,690.71). Vote: 7–0. - Acceptance of PHMSA grant for natural gas pipeline replacement, $10,076,858, and supplementary budget appropriation. Vote: 7–0. - Resolution opposing new offshore oil and gas leasing (Resolution 2025‑46). Vote: 7–0.

Why it matters: The runway contract and associated budget changes commit the city to a multi‑million‑dollar capital improvement at the airport that will affect operations and funding priorities; floodplain code changes preserve discounted flood insurance for residents and align local standards with the Florida Building Code and FEMA maps; the PHMSA grant will fund infrastructure replacement in parts of the gas distribution system.

What’s next: The tentative millage requires final adoption after the public hearings the council scheduled; first‑reading ordinances will return for second readings as required; awarded airport work will be administered under the mayor’s contracting authority and proceed to construction per the bid documents.