Palm Coast Invests in Utility Infrastructure and System Reliability

The City of Palm Coast is moving forward with a series of major utility infrastructure projects following the approval of a $330 million bond package by the Palm Coast City Council at its January 20 Business Meeting, which includes $283 million in new funding and an opportunity to refund existing bonds to achieve economic savings. The five-year Capital Improvement Program (CIP), estimated at $590 million, allows the City to address aging facilities, expand system capacity, and strengthen the long-term reliability of Palm Coast’s water and wastewater infrastructure.

The primary project funded through this bond is the expansion of Wastewater Treatment Plant #1 on Utility Drive, a facility that has served Palm Coast for more than 50 years. By modernizing the plant and increasing treatment capacity by over 50%—from 6.8 million gallons per day to 10.8 million gallons per day—the City is strengthening system reliability and improving wastewater treatment capability during high-flow events. This expansion will be designed to meet regulatory standards while continuing to protect local waterways and public health.

In addition to the wastewater plant expansion, the City will make a significant investment of over $100 million in raw water supply wells and treatment, and advance supporting infrastructure projects across the utility system, including replacement of Pre-Treatment Effluent Pumping (PEP) tanks throughout Palm Coast. Together, these projects will improve system performance, reduce the risk of failures, and enhance overall operational efficiency across the utility network.

“These projects represent a significant investment in Palm Coast’s infrastructure and essential services that support quality of life,” said Brian Roche, Palm Coast’s Utility Director. “By expanding capacity and upgrading critical components, with a focus on a systems approach, the utility is developing plans and projects to ensure utility systems remain reliable, efficient, and environmentally responsible for decades to come.”

The utility bond is secured by revenues from the City’s utility enterprise fund, which operates separately from the City’s general fund. A portion of the bond will also be used to refinance existing utility debt, reducing long-term repayment costs and strengthening the utility system's financial position.

These infrastructure investments are part of the City’s long-term Palm Coast Utility Strategic Plan, which guides how essential water and wastewater facilities are upgraded, expanded, and maintained to support a growing community. The funding strategy for these projects includes a combination of previously approved utility rate adjustments, impact fees, bond financing, and grant funding, ensuring the system remains sustainable while continuing to deliver reliable service.

Residents are encouraged to review the full Utility Strategic Plan at www.palmcoast.gov/utility-strategic-plan 

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