The Flagler County Commission briefly on its agenda a proposal for a half-cent increase in the county's sales tax. The item was added to the agenda for this Monday's meeting not by any of the commissioners themselves, but by acting County Administrator Adam Mengel. It was removed on Thursday to be added to a future workshop meeting for discussion before being voted on.
If eventually approved, the measure would increase Flagler County's sales tax from one half-cent per dollar to one full cent. It exercises an authority granted under a 1992 state law allowing some of Florida's counties to impose a 'small county surtax'. Flagler began utilizing this in 2013, and is currently the only county using it who is not taxing at one percent.
"I had thought that the Board wanted to have it placed on the agenda for that decision to be made," Mengel said. "I made the decision to pull it and it will be workshopped at a future date." The posting of the meeting agenda did not occur until earlier this week due to complications on another agenda item. Mengel says the public notice of the agenda did fall within Florida legal requirements.
During the fiscal year ending on September 30, 2026, the county's sales tax is estimated to have yielded $10,670,935 in revenue. A county report suggests this revenue stream could be doubled if the Commission gives approval.
Proceeds from the sales tax can be used for infrastructure, land acquisition, public recreation, and conservation among other uses. If the funds were to be used to pay off debt, it would have to first be approved by voters through a ballot referendum.
Though it's not referenced in the county's ordinance, a sales tax increase could correspond with the potential passage of Amendment 3 on Tuesday. If Florida voters approve this constitutional amendment, huge portions of homestead residential property taxes would be eliminated, closing off a major municipal revenue stream. The Florida Policy Institute, which opposes Amendment 3, estimates an $89,543,800 loss to Flagler County over the first two years. Any potential new revenue from a sales tax increase would offset only a fraction of these losses.
