Cape Coral wins $6.5M state grant for North 1 East UEP; council hears details on assessment process

Cape Coral officials announced a $6.5 million award from the governor’s office via the Florida Department of Environmental Protection to offset local costs for the North 1 East Utility Extension Project (UEP) and discussed how assessments and prepayments will be reconciled.

Mayor Gunter said the $6,500,000 grant will reduce local revenue needs for the North 1 East UEP East reclaimed water extension and described the award as part of a broader state program supporting water-quality and alternative supply projects. Council member Steinke and others credited lobbyists and staff for securing the funding.

Residents had asked whether prepaid assessment funds are reconciled if project costs come in lower than expected and what happens if there is a shortfall. Finance staff explained the process: there is a reconciliation at project completion that returns any overpayments to those who prepaid; for property owners on a payment plan, final reconciliation occurs at the end of the term. Staff also described standard project budgeting practices, including a 5% contingency incorporated into project estimates.

Council members asked whether prepayments affect bonding; staff said prepayment collections historically reduced the amount of debt required, but the city has closed prepayment windows in recent programs. Staff confirmed the administration purchased parcel and building data from the property appraiser to calculate per-parcel assessments and to allocate costs across transportation, stormwater, capital facilities and other line items.

Council directed staff to provide additional details (spreadsheets and reconciliation timing) to residents who requested them. The grant award was presented as a material offset to the project budget but did not change council’s prior direction regarding assessment process or funding mechanics.