Fernandina Beach adopts phased stormwater-rate overhaul amid business concerns

City staff and consultants presented a comprehensive stormwater-rate restructuring and the City Commission adopted the ordinance on second reading after a public hearing and debate.

Utilities Director Andre Desilet and consultant Ryan Smith (Riper Water Analytics) said the city’s current fee structure (set in 2012) understates the impervious-area impact of larger nonresidential properties and recommended moving to an impervious-coverage, equivalent-residential-unit (ERU) model. Smith summarized the funding rationale: the system dates to 1977, assets have an estimated replacement value “in excess of $50,000,000,” and the proposed funding plan will support additional maintenance staffing and a five-year capital program that includes about $7,200,000 in system rehabilitation projects. Desilet described the proposed phasing: “Year 1, implement the ERUs based on rooftops only; Year 2, transition to total impervious area; Year 3, finalize the transition to everyone billed on a consistent basis.”

The ordinance sets the ERU-based fee on the master fee schedule (the consultant noted a modest base change from $16.36 to $16.76) and creates a formal appeal process for property owners. Staff said the system is an enterprise fund that receives no general-fund support and cannot be used for non-stormwater purposes.

Several commercial and nonprofit representatives objected to the increases as presented. John Sauer, representing First Baptist Church, said his church’s calculated monthly charge under the original study would rise “from $7.18 to $1,353,” and described that change as “legally flawed and economically punitive.” Justin Taylor, vice president of the Nassau County Chamber of Commerce, urged exemptions, phased approaches and mitigation credits and commended staff for meeting with affected businesses after concerns emerged.

Commission debate focused on outreach and phasing. Vice Mayor Askew told colleagues the rollout was poorly communicated and said he could not support the measure, stating, “I can’t support this…This was rolled out very poorly.” The commission approved staff’s updated recommendation — adopting the consultant’s methodology with a three-year phase-in and rooftop-only billing in year one for large accounts — on a 4–1 vote (Mayor Anton and three commissioners in favor; Vice Mayor Askew opposed). Staff said the ordinance will return for final implementation steps and additional ordinance updates to incorporate full impervious-area data in subsequent years.

What’s next: staff will implement year‑one billing on rooftops only for nonresidential accounts, phase in the remaining impervious-area calculations over two additional years, provide notice to affected account holders and return with any ordinance adjustments as needed.