Fort Lauderdale Commission Approves Tax Increase on Local Businesses

From David Volz

The Fort Lauderdale Commission approved several major items during a recent meeting.

The Commission approved the first reading of an ordinance amending the City Code to implement a five percent increase in local business tax fees and restore thirteen business tax categories that were inadvertently removed during a prior consolidation of categories.

The update reflects the City Commission’s earlier direction to simplify the business tax structure while maintaining accurate classification of active business types and represents the City’s first business tax rate adjustment since 2004. If adopted on second reading, the fee increase would take effect beginning July 1, 2026, with an average annual increase of approximately $7.50 per business, and would support modernization and administration of the City’s business tax program

The Commission approved an agreement with Lunacon Engineering Group, Corp. in the amount of $7.01 million for Phase II of the Holiday Park Improvements project. Phase II includes construction of a new playground area, park signage and wayfinding, dog park improvements, extensive landscaping, and loop trail enhancements as part of the City’s Parks Bond Program. The project was competitively bid, with Lunacon Engineering Group, Corp. selected as the lowest responsive and responsible bidder, and funding is provided through the FY 2026 Community Investment Plan.

The Commission approved a motion authorizing submission of a grant application for up to $155,088 under Broward County’s Enhanced Marine Law Enforcement Grant Program to support additional waterway patrols by the Fort Lauderdale Police Department. If awarded, the grant would fund 2,944 hours of enhanced marine law enforcement patrols during evening shifts to improve boating safety across the City’s waterways from October 2026 through September 2027. The grant does not require a cash match, though the City typically supplements the funding through its annual budget to cover remaining overtime costs.

The Commission approved the purchase of one-year property insurance policies from Underwriters at Lloyd’s of London and other carriers in an amount not to exceed $4.44 million to insure more than 270 City-owned buildings and structures valued at approximately $737 million. The insurance program renewal reflects increased insured values, primarily due to the anticipated completion of the new Police Headquarters, and includes updated coverage limits to maintain eligibility for FEMA public assistance. The coverage will be effective February 1, 2026, with funding provided through the City’s self-insurance program.

The Commission considered a proposed ordinance on first reading to update regulations in Special Entertainment Districts, including changes related to alcohol open container allowances, outdoor alcohol sales, and permitted hours of alcohol service. During the discussion, the Commission supported eliminating alcohol open container allowances and outdoor alcohol sales, while expressing a desire to maintain current alcohol service hours at this time and revisit the issue after an initial trial period. The ordinance would apply to all existing Special Entertainment Districts if adopted on second reading. 

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