City of Palm Coast Reviewing Next Steps Following Impact Fee Court Ruling

The City of Palm Coast does not agree with today’s court ruling in the City’s legal case involving development impact fees and is reviewing all available legal options, including an appeal.

The case stems from the City’s 2025 adoption of increased fire, parks and transportation impact fees. Before adopting the fees, the City commissioned an independent impact fee study to evaluate the infrastructure needs associated with new development. The City’s consultant determined that extraordinary circumstances existed that supported increases beyond the limits otherwise established under state law, and the City Council relied on that professional analysis when adopting the new fees.

Today, the court ruled in favor of the Flagler County Home Builders Association on its motion for summary judgment regarding its claim that the City’s impact fee ordinances violate Senate Bill 180 (SB 180).

The case remains ongoing, and today’s ruling does not result in any immediate change to the City’s current impact fee schedule. The City will continue reviewing the ruling and its legal options as the case moves forward.

Court records are available to the public through the Flagler County Clerk of the Court and Comptroller at flaglerclerk.gov under Case No. 2025 CA 000621.

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