Agenda 09/23/2025 Item #11C (Execute a Category A Grant Agreement for the City of Naples Stormwater Outfall Pipe Removal and Water Quality Project)9/23/2025
Item # 11.C
ID# 2025-3476
Executive Summary
Recommendation to approve and authorize the Chair to execute a Category A Grant Agreement for the City of Naples
Stormwater Outfall Pipe Removal and Water Quality Project as a reimbursable grant not to exceed $10,000,000,
authorize any necessary Budget Amendments, and make a finding that this project promotes tourism.
OBJECTIVE: To approve a reimbursable grant agreement for the City of Naples Stormwater Outfall Pipe Removal and
Water Quality Project not to exceed the amount of $10,000,000.
CONSIDERATIONS: The Tourist Development Council (TDC) provides recommendations on the usage of tourist
development tax funds, including Beach Renourishment Projects (Fund 1105). The City of Naples proposed using
tourist development taxes for its stormwater outfall pipe removal and water quality project. This type of project may be
defined as a “public facility” as set forth in Section 125.0104(5)(a)6, Fla. Stat. This provision requires that “an
independent professional analysis, performed at the expense of the county tourist development council, demonstrates the
positive impact of the infrastructure project on tourist-related businesses in the county” prior to the expenditure of
tourist development tax funds.
At the May 21, 2024, TDC meeting (Agenda item 7.A.2.) the TDC approved a tourist development tax grant funding
request from the City of Naples for professional services provided by Adept Public Relations, LLC., to conduct a
“Tourism Impact Study for the Naples Gulf of Mexico Beach Stormwater Outfall Pipe Removal and Water Quality
(Stormwater) Project” in the amount of $44,879. At the July 9, 2024, BCC meeting (Agenda item 16.B.5), the Board
approved the reimbursement request of $44,879 for the study by Adept Public Relations, LLC.
The study notes that the Stormwater Project has perceived economic, environmental, and tourism benefits by improving
water quality, aesthetics of the beaches, and the area's drainage basin. These elements are important to the businesses in
the area that rely on tourism traffic, as well as the rental properties and hotels in the vicinity. This project complements
other projects in the area that will attract and support tourism, such as the Miracle Mile Project, Naples Pier Renovation,
and the Naples Beach Club, a Four Seasons Resort redevelopment.
This study was completed independently of the County and the Tourist Development Council. The Coastal Advisory
Committee, Tourist Development Council, and Board of County Commissioners all voted to accept the results of this
study.
The City is presenting today to seek complete funding approval. The Stormwater Outfall Pipe Removal and Water
Quality Project is designed to improve water quality, flood protection, and the City’s resiliency. As part of this project,
the beach outfall portion will replace the existing gravity flow system at the north and south ends of the beach and
include two pump stations that will pump treated stormwater 1,500 feet into the Gulf, eliminating the need for the
existing beach outfall pipes. The Grant Application request provides for a total budget of $32,622,945 with a
reimbursable grant request not to exceed $10 million.
ADVISORY BOARD RECOMMENDATION: The Coastal Advisory Committee approved this item at the August 14,
2025, meeting. The Tourist Development Council approved this item unanimously (8-0) at their August 19, 2025,
meeting.
This item is consistent with the Collier County strategic plan objectives of promoting Collier County as an exceptional
tourism destination.
FISCAL IMPACT:
FY 26 budget amendments are required to appropriate funding for this reimbursable grant in the amount of $10,000,000.
Funding is available within the TDT Beach Renourishment Fund (Fund 1105) reserves.
GROWTH MANAGEMENT IMPACT:
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9/23/2025
Item # 11.C
ID# 2025-3476
LEGAL CONSIDERATIONS:
Section 125.0104, Fla. Stat., provides the authority for this expenditure and includes the following stringent
requirements:
Section 125.0104(5)(a)6. To acquire, construct, extend, enlarge, remodel, repair, improve, maintain, operate, or finance
public facilities within the boundaries of the county or subcounty special taxing district in which the tax is levied, if the
public facilities are needed to increase tourist-related business activities in the county or subcounty special district and
are recommended by the county tourist development council created pursuant to paragraph (4)(e). Tax revenues may be
used for any related land acquisition, land improvement, design and engineering costs, and all other professional and
related costs required to bring the public facilities into service. As used in this subparagraph, the term “public facilities”
means major capital improvements that have a life expectancy of 5 or more years, including, but not limited to,
transportation, sanitary sewer, solid waste, drainage, potable water, and pedestrian facilities. Tax revenues may be used
for these purposes only if the following conditions are satisfied:
a. In the county fiscal year immediately preceding the fiscal year in which the tax revenues were initially used for such
purposes, at least $10 million in tourist development tax revenue was received;
b. The county governing board approves the use for the proposed public facilities by a vote of at least two-thirds of its
membership;
c. No more than 70 percent of the cost of the proposed public facilities will be paid for with tourist development tax
revenues, and sources of funding for the remaining cost are identified and confirmed by the county governing board;
d. At least 40 percent of all tourist development tax revenues collected in the county are spent to promote and advertise
tourism as provided by this subsection; and
e. An independent professional analysis, performed at the expense of the county tourist development council,
demonstrates the positive impact of the infrastructure project on tourist-related businesses in the county.
This item is approved as to form and legality and requires super majority vote for approval. – CMG
RECOMMENDATIONS: To approve and authorize the Chair to execute a Category A Grant Agreement for the City
of Naples Stormwater Outfall Pipe Removal and Water Quality Project as a reimbursable grant not to exceed
$10,000,000, authorize any necessary Budget Amendments, and make a finding that this project promotes tourism.
PREPARED BY: John Melleky, Arts and Culture Manager, Tourism; Jay Tusa, Director, Tourism
ATTACHMENTS:
1. City of Naples Grant Agreement Tourist Development Tax Grant A Stormwater10M
2. City of Naples TDC Funding Request Stormwater 2025
3. 1105 - BA County_City Stormwater Outfall Corrected
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City of Naples
Naples Gulf of Mexico Beach Stormwater
Outfall Pipe Removal & Water Quality Project
Tourist Development Council Funding Request
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Stormwater Outfalls on Naples Beach
Outfalls: North Basin #2, #3, #4, South Basin #6, #7, #8, #9, #10 (City-8)
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Stormwater Project
Benefits/Tourism Impacts
Include:
➢Removing all (8) unsafe and deteriorating Outfalls
from the Naples Beaches (aesthetically pleasing)
➢Improve Water Quality that exceeds the State’s
Minimum Standards (attract more beach goers)
➢Provide Flood Protection (increase foot traffic)
➢Increase the City’s Resiliency within the work area of
GSBN
➢Increase the Storm Event level of Service from a 5-
year storm event to a 25-year storm event (positive
economic growth and stability)
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Positive Impacts on Tourist
Activities
➢Attract more foot traffic to City beaches, parks,
roads, and sidewalks within the project area.
➢Boost to the local Naples economy from additional
tourism spending.
➢The removal of the outfalls will remedy the concern
of many not knowing what is coming out of the
outfalls and attract more beach goers/tourism
within Naples.
➢Perception of clean, safe and aesthetically pleasing
beaches will increase the marketability of Naples
and Collier County.
➢Findings support that improving water quality, flood
protection and increased resiliency will promote
tourism in the Naples footprint.
➢Overall, this project will have a positive impact on
tourism and tourism related business/activities.
➢On March 11, 2025, BBC approved the Tourism
Study.
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In closing, the City’s Tourism Impact Study reveals that the project will
not only improve Water Quality but boost tourism. The City of Naples
respectfully requests the Coastal Advisory Council to approve funding in
the amount of $10M for the Naples Gulf of Mexico Beach Stormwater
Outfall Pipe Removal & Water Quality Project.
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