More bed tax money, funds for infrastructure among Cape Coral City Council’s legislative priorities
Cape Coral City Council agreed to move forward with five initiatives for the 2026 legislative priorities.
Priorities include advocating for updating the allocation methodology of the bed tax — tourist development tax — to explicitly account for short-term rental accommodations in both funding calculations and policy development and supporting the repeal of the 2013 Special Act specific to the Lee County Tourist Development Council, thereby aligning the council’s membership requirements with the general guidelines outlined in the statewide Florida tourist development statue.
City Councilmember Bill Steinke said it is important for the state to understand that in this ask environment with a depleting supply of what they can apply for, they are asking for a system to be in place to allow for a fairer distribution of dollars for the things that the Cape needs.
“The Cape became the target for rentals. Rather than going to a hotel, they would prefer to rent a home for a month or two months. It is not set up where it displays where the dollars come from,” Steinke said at Wednesday’s workshop. “Cape Coral is a huge receiver of bed tax dollars through vacation rentals. It isn’t necessarily a request for money, but a way for the state to provide a way to receive dollars that are already being collected and allocated in a more fair way. Dollars are already here in the county, so to speak.”
Another initiative would be to support investments in infrastructure projects, public safety initiatives, accessible recreational opportunities and emergency facilities.
Supporting exempting employees who handle confidential matters or are subject to non-disclosure agreements related to economic activities from union membership requirements and supporting an amendment to the Florida Statutes to explicitly prohibit individuals from misrepresenting themselves as public officials or employees to obtain information or benefits are other initiatives.
City Manager Michael Ilczyczyn said they have employees in collective bargaining agreement that are reviewing management documents, finances for economic development and verifying labor.
He said the state does not recommend them to be confidential and they are getting access to exempt public records.
Dane Eagle, executive lobbyist, said there are committee weeks in October, November and December with the session beginning on Jan. 13.
He said he will advocate for the city with a recommended focus on infrastructure projects.
“We don’t want to seem tone deaf with budget deficits to come. I recommend two projects, maybe expand that to three. Focus on infrastructure projects, UEP is a big discussion,” Eagle said. “Those are met more favorable here.”
He said that there is an obligation issue, which is why there will be a deficit starting in the 2027-2028 year.
“It’s not necessarily a will or desire to spend more. It’s obligations that the state must meet,” Eagle said.
Consensus votes taken at council workshops are not binding but intended to give staff direction on how to proceed.
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