St. Petersburg voters will decide this November whether to let the city borrow up to $600 million to accelerate flood protection and utility infrastructure projects in the wake of Hurricanes Helene and Milton.
City Council approved ballot language last week for a general obligation bond referendum that will appear on the Nov. 3 General Election ballot.
If voters approve the measure, the city would issue the bonds over several years to fund stormwater, wastewater and drinking water projects, with the debt repaid through property taxes.
The referendum is central to Mayor Ken Welch’s push to accelerate infrastructure improvements after the back-to-back 2024 hurricanes exposed vulnerabilities throughout the city’s aging utility systems. According to the resolution, the city launched its St. Pete Agile Resilience (SPAR) initiative “to identify ways to accelerate the provision of infrastructure and capital improvements mitigating neighborhood flooding citywide and protecting critical facilities from storm surges.”
Rather than waiting years to accumulate funding through annual budgets, city officials say borrowing the money upfront would allow major projects to begin much sooner. According to the resolution, issuing the bonds would provide “approximately $594,000,000 in additional funding” and allow the city to “construct needed public infrastructure in the near term, rather than delaying construction while preserving cash for operating needs and emergencies.”
The city also argues that moving quickly could reduce long-term costs. The resolution states that “accelerating the Project through general obligation bond financing can help mitigate the risk of increased construction costs that typically result from inflation over time.”
Current plans call for roughly 42% of the funding to support stormwater improvements, another 42% for wastewater infrastructure and the remaining 16% for drinking water projects. Those allocations could change as engineering and project designs advance.
City documents explain that the work could instead be financed through utility revenue bonds, but that approach “would require additional utility rate increases.”
By using voter-approved general obligation bonds, officials say the cost would instead be shared through property taxes paid by “current and future property owners who will benefit from the Project.”
If approved, the city would issue the bonds in phases between 2027 and 2030 as projects move into construction rather than borrowing the full $600 million at once.
The ballot will ask voters whether the city should issue general obligation bonds “not exceeding $600,000,000” to finance “storm resilience improvements,” including flood protection, stormwater pump stations, drainage infrastructure, wastewater collection and treatment facilities, and drinking water distribution and supply systems.
The referendum’s language further states the bonds would be backed by the city’s full faith, credit and unlimited ad valorem taxing power.
The infrastructure referendum is one of several city questions voters will see on the November ballot, alongside proposed charter amendments around protected parkland, marina leases, port lease limits and even-year elections.