The Palm Coast City Council held its regular business meeting on Tuesday, December 2, 2025, addressing a wide range of topics, including the approval of a new city manager contract, ordinances on backyard chickens and recovery residences, infrastructure projects, and multiple concerns raised by residents during public comment.

Fantasy Lights Day Proclamation

The meeting began with a proclamation declaring December 20, 2025, as Fantasy Lights Day in recognition of the Rotary Club of Flagler County’s 20th anniversary of hosting the beloved holiday light display at Central Park. Mayor Michael Norris and the council honored the organization, which has transformed the Town Center into a family-friendly winter wonderland featuring 57 light displays. The festival runs from November 29 through December 30, 2025. A Rotary representative thanked the city for its ongoing support, stating that the city has been a participating sponsor since the event’s first drive-through at Indian Trail Sports Complex.

Public Comments and Resident Concerns

Several residents addressed the council during public comment periods. Jeremy Davis presented documentation alleging that a city employee deleted records from a building permit for 62 Perrotti Lane on May 3, 2024, claiming the deletion constitutes a felony under Florida statute. He asked the council to reopen his flooding case and issue a code violation for the property. Acting City Manager Lauren Johnston responded that no records were permanently deleted and that the audit log reflected a standard certificate of occupancy hold that was routinely used as a temporary pause mechanism.

Multiple residents spoke about the closure of the Palm Coast Aquatic Center during the winter months. One resident presented a petition with 93 signatures from seniors requesting year-round access to a heated swimming pool and sauna facilities. Several other residents echoed similar concerns, noting that the five-month closure creates hardship for older adults who rely on low-impact aquatic exercise.

Vice Mayor Theresa Pontieri addressed the pool issue, explaining that the facility is approximately 30 years old and a 2022 study concluded that renovation costs would exceed the cost of demolition and new construction, estimated at $28 to $30 million. The city is partnering with the YMCA on a new facility expected to begin construction in 2028.

Resident Kathy Austrino raised concerns about Vice Mayor Pontieri’s involvement in communications regarding homeowners association matters, presenting documentation she requested be entered into the public record. Pontieri responded that a resident had asked her to address concerns about the city potentially overstepping into HOA jurisdiction, and that she was advocating for limited government involvement.

Backyard Chickens Ordinance

The council unanimously approved the first reading of an ordinance establishing regulations for keeping backyard chickens in Palm Coast. The ordinance creates a new chapter in the city code with general conditions for chicken keeping. Council Member Ty Miller requested a minor amendment to change language requiring chicken coops to be “free of insects and rodents” to “free of rodents and excessive insects,” noting that a zero-insect standard would be unreasonable. The council agreed to the change. A second reading will take place on December 16, along with a resolution setting the fee structure for the permit program.

The vote was 5-0 in favor, with Mayor Norris, Vice Mayor Pontieri, and Council Members Miller, Charles Gambaro, and David Sullivan all voting yes.

Recovery Residences Ordinance

The council unanimously approved the first reading of an ordinance establishing regulations for certified recovery residences in compliance with Florida state statute that takes effect January 1, 2026. Jackie Gonzalez from the planning division explained that recovery homes will now be required to register with the Florida Association of Recovery Residences, whereas previously registration was voluntary.

The ordinance limits occupancy to 10 residents per single-family home, which is the state minimum that the city adopted as its maximum. Recovery homes must be located at least 1,000 feet apart. Gonzalez noted that nine recovery homes in the city are currently registered, while nine others, primarily Oxford Houses, are not. Non-conforming facilities will have 60 days after January 1 to come into compliance.

The vote was 5-0 in favor.

City Manager Contract Approval

The council unanimously approved a resolution approving an employment contract with incoming City Manager Kevin McLaughlin, who has more than 40 years of government experience.

McLaughlin will receive a base salary of $225,000 annually, which works out to approximately $108 per hour based on a standard 40-hour work week. The council made a significant change to how future raises will be handled, separating the city manager’s potential salary increases from the general employee raise structure. Under the approved contract, any raise up to 2 percent annually will be performance-based and granted at the sole discretion of the council rather than automatically tied to citywide employee increases. At the current base salary, a 2 percent raise would amount to approximately $4,500 per year.

Mayor Michael Norris explained his reasoning for this separation, stating that if a city manager knew they could give themselves a substantial raise every year simply by approving raises for city employees, some individuals might be tempted to do so. The performance-based structure is intended to ensure accountability and tie compensation to job performance.

Vehicle and Technology Allowances

The contract includes a $6,000 annual car allowance to cover transportation expenses associated with the position. Additionally, McLaughlin will receive a phone allowance, though the specific amount was not detailed during the meeting discussion.

Retirement Benefits

The compensation package includes a 401K contribution of 17 percent from the city, along with a separate 2 percent retirement contribution. These retirement benefits represent a significant portion of the overall compensation value beyond the base salary.

Leave Time and Vacation

One of the more discussed aspects of the contract involved leave time. The council reduced the initial leave provision from 80 hours awarded upfront to 40 hours, cutting the immediate vacation benefit in half. City Attorney Marcus Duffy clarified during the meeting that the contract language stating “up to 320 hours” refers to the maximum amount of leave that can be accrued over time, not leave given immediately upon hiring.

As Duffy explained, a city manager would have to work for eight years without taking any vacation to accumulate 320 hours. The upfront 40-hour allotment, equivalent to one week, is intended to provide flexibility for a new employee who may be transitioning from another position and cannot bring accrued leave with them. The council considered this relatively modest compared to industry standards, with one council member noting that one week of vacation per year to start is not excessive by any measure.

Insurance Benefits

McLaughlin will receive comprehensive insurance coverage described during public comment as “top insurance.” The specifics of the health insurance package were not detailed during the meeting discussion, but it was characterized as consistent with the benefits provided to other city staff.

Emergency Compensation Provision Removed

One significant change made during the meeting was the removal of a provision that would have provided additional compensation during declared states of emergency or disaster events. The original contract language would have paid McLaughlin 100 percent of his hourly rate for any hours worked beyond his regular 40-hour work week during emergency situations.

Vice Mayor Theresa Pontieri led the discussion to remove this provision, arguing that someone receiving compensation at this level should consider emergency response an inherent part of the job. She noted that while other salaried city employees receive similar emergency duty relief pay, the city manager’s substantially higher base salary should be sufficient to cover such expectations.

Mayor Norris attempted to explain the rationale behind the provision, comparing it to his experience working in emergency operations centers during his military career, where personnel received additional compensation for extended hours during crises. However, the council ultimately reached consensus to remove the emergency pay provision entirely.

Termination and Severance Provisions

The contract includes provisions for both termination with cause and without cause. If the city terminates the city manager without cause, a severance package is required. While the exact severance amount was not specified in detail during the discussion, resident Jeanne Duarte claimed during public comment that combined with accrued leave, termination could result in an additional $34,000 or more in payments.

The council made an important amendment to the termination language by striking a sentence that would have required proof of intent or bad faith for certain actions to constitute grounds for termination with cause. The original language stated that an act or failure to act would not be deemed willful or intentional unless done in bad faith or without reasonable belief that the action was in the city’s best interest.

Vice Mayor Pontieri argued this language could allow negligent behavior to go unpunished, essentially requiring the city to prove a city manager meant to cause harm rather than simply made poor decisions. Council Member Ty Miller agreed, noting the provision seemed to say that someone could claim they did not intend to do something wrong and thereby avoid consequences. The council unanimously agreed to remove this sentence.

The contract also addresses situations where the city manager is charged with a felony. In such cases, the city may suspend the manager with pay pending the outcome of criminal proceedings. Vice Mayor Pontieri questioned whether full pay during what could be a lengthy legal process was appropriate, but Mayor Norris noted that the council could simply terminate without cause in such situations rather than wait for a conviction.

Notice Period Modifications

The contract requires the city manager to provide 30 days written notice if he intends to resign. The council added language preserving their right to terminate the contract immediately upon receiving such notice while still paying the manager through the notice period. This provision addresses security concerns that arise when an executive announces their departure, as organizations often prefer to end access to systems and information immediately rather than have a lame-duck period.

Performance Evaluation Requirements

The council added a requirement for annual performance evaluations, addressing what was described as a significant gap in past practice. Human Resources staff confirmed that the city has not conducted written evaluations of its city manager in at least five years, with only one evaluation conducted for a previous city manager after his first year.

Mayor Norris emphasized that regular evaluations are fair to both the city manager and the council, providing clear feedback on performance expectations and any areas needing improvement. He noted that previous city managers have been terminated without ever receiving formal feedback on perceived shortcomings, which he characterized as unfair.

Comparison to Similar Positions

During the discussion, council members referenced comparable positions in the Florida market. Vice Mayor Pontieri noted that Palm Bay, a slightly larger city with similar characteristics and challenges, recently hired a city manager at approximately $240,000, making McLaughlin’s salary competitive but not excessive for the region.

Council Member Gambaro pointed to current MBA program placement salaries at the University of Florida, which start at approximately $150,000 for graduates with virtually no experience. He argued that paying $225,000 for someone with 40 years of government experience represents reasonable value given the employment market for professional management.

The council emphasized that they are hiring an executive to manage a $400 million budget, and quality leadership commands appropriate compensation. As Mayor Norris stated, if you want a professional who will do the job and be held accountable, you must be willing to pay for that expertise rather than seeking a bargain option.

Public Reaction

The compensation package drew mixed reactions during public comment. Resident Jeanne Duarte criticized the overall package as excessive and questioned whether the contract had been thoroughly reviewed. She calculated that the vacation benefit, car allowance, retirement contributions, and insurance added substantially to the base salary cost.

Resident James T. similarly expressed concern about the 2 percent annual raise provision, noting that his Social Security increase amounted to only $80, which after accounting for Medicare and utility increases left him with a net gain of just $4 compared to the potential $4,000 annual raise for the city manager.

However, another resident expressed trust in the council’s judgment, noting that they had vetted candidates carefully over an extended period and that quality city managers are difficult to find. He approved of everything the council had done in structuring the contract.

The contract was ultimately approved unanimously by all five council members, with the expectation that McLaughlin will begin his duties on December 17, 2025.

The vote was 5-0 in favor.

Matanzas Woods Parkway Extension

The council unanimously approved a resolution for the Matanzas Woods Parkway West Extension Phase 2 project, which will construct a bridge over the FEC railroad tracks connecting to US 1. The project is funded through $3.7 million from city transportation impact fees and approximately $21 million in state appropriation grants.

Vice Mayor Pontieri raised concerns about language in the FPL relocation agreement that allows for cost re-estimation without a cap. She requested that staff work with FPL to add limitations on potential cost increases, either through a cap or by tying any increases to a consumer price index. City Attorney Marcus Duffy agreed to work with FPL on the language, though he warned that their attorneys are slow to respond.

The vote was 5-0 in favor.

Brownfield Designation for Track 17

The council unanimously approved the first reading of a resolution designating the Palm Coast Strategic Employment Zone, known as Track 17, as a brownfield area for economic redevelopment. Community Development Director John Zobler explained that the designation allows the city to apply for funding through the Florida Job Growth Grant Fund Program, which provides infrastructure improvement funding and a one-time $2,500 employer bonus for every full-time employee hired at designated sites.

Council Member Gambaro thanked staff for their leadership on economic development initiatives. A second reading will occur on December 16.

The vote was 5-0 in favor.

Animal Control Fee Increases

The council unanimously approved a resolution increasing animal control fees for the first time since 2008. Licensing fees will increase from $10 to $35 for intact animals and from $5 to $25 for spayed or neutered animals. Dangerous dog fees will rise from $150 to $300, and animal surrender transport fees will increase from $40 to $80.

Barbara Grossman from code enforcement explained that she benchmarked fees against seven other Florida municipalities and found them reasonable. Resident Mark Webb supported the increases, noting that the city likely has far more than the 7,000 licensed pets on file and that better outreach about licensing benefits could increase compliance and revenue.

The vote was 5-0 in favor.

Council Policies and Procedures

The council approved updates to its policies and procedures document with several amendments. Council members agreed that remote meeting attendance should be limited to no more than four consecutive regularly scheduled meetings. They also clarified that workshops are considered regularly scheduled meetings and that votes can be taken at workshops only in emergencies, according to Florida statute.

The vote was 5-0 in favor.

Affordable Housing Discussion

Council Member Gambaro raised a discussion about exploring smaller home construction as an affordable housing option. He proposed allowing homes as small as 1,100 square feet to be built on lots currently zoned for duplexes, which could help teachers, nurses, public safety workers, and seniors on fixed incomes attain homeownership.

Council Member Miller expressed openness to the specific scenario of duplex-zoned lots but cautioned against a “slippery slope” toward accessory dwelling units or tiny home trends. Vice Mayor Pontieri agreed that any variances increasing density should come before the council for approval rather than being handled administratively.

The council reached consensus to have staff explore the concept and return with a presentation.

Other Business

The council recognized Roger LaChance for 16 years of service in the city’s fleet division upon his retirement. Vice Mayor Pontieri offered condolences for Jules Kwiatkowski, who served on the East Flagler Mosquito Control District since 2008 and recently passed away.

Mayor Norris reported on Transportation Planning Organization meetings, expressing frustration that Flagler County is receiving approximately 6.5 percent of regional transportation funding despite representing nearly 20 percent of the two-county population. He said he is working with state and federal representatives to address funding disparities and expedite signal light installation at Matanzas Woods.

Acting City Manager Johnston announced that legislative funding requests have been submitted for saltwater canal improvements, an animal shelter, and three stormwater projects. The meeting concluded with reminders about the upcoming Starlight Parade on December 6 and the boat parade the following weekend.