City Manager Michael Ilczyszyn Releases FY27 Proposed Budget Centered on Stability and Infrastructure

July 28, 2026

City Manager Michael Ilczyszyn released his Proposed Fiscal Year 2027 Budget, presenting a structurally balanced financial plan that maintains essential services, supports long‑term financial sustainability, and continues strategic investment in Cape Coral’s future.

The $1.451 Billion proposed budget, which includes a $285 Million structurally balanced General Fund, is built on the rolled‑back millage rate of 5.1988 and aligns with the City’s Strategic Plan while addressing slowing taxable value growth, inflationary and labor cost pressures, and critical infrastructure needs.

“My Proposed Fiscal Year 2027 Budget is designed to preserve the essential services our residents rely on every day while recognizing the increasingly restrictive financial environment in which we are operating,” said City Manager Michael Ilczyszyn. “By utilizing the rolled‑back millage rate, keeping the General Fund structurally balanced, and investing in critical infrastructure and public safety, we are taking a disciplined, long‑term approach to managing the City’s finances as voters consider additional property tax limitations that could impact revenues in the years ahead.”

ADVANCING PUBLIC SAFETY AND EMERGENCY RESILIENCE

Public safety remains a top priority in FY27, with significant new investments across police, fire, and emergency management services, including $97.7 Million for the Police Department, $97.6 Million for the Fire Department, and $2.4 Million for Emergency Management and Resilience.

Investments in Cape Coral’s police services support personnel growth, facility enhancements, and the addition of cutting-edge technology and equipment:

$81.2 Million allocated to police personnel services
$2.6 Million to replace aging police department vehicles
$1.7 Million in facilities equipment replacements
$180,000 for new police speed measuring devices
$175,000 for a Crisis Negotiation Team Van
$150,000 for Aggressive Drive Unit Vehicles
$103,000 for Dispatch Workstation Replacement
$28,000 for K-9 replacement

The budget maintains the Fire Service Assessment at 81 percent.

The budget includes key investments to strengthen Cape Coral’s fire services, focusing on staffing, facilities, training, and safety upgrades, including:

$62.1 Million allocated to fire personnel services
$2 Million in equipment and facilities needs
$1.5 Million for Fire Station 14 Apparatus
$1.2 Million for Fire Station 14 Design
$750,000 in Cardiac Monitors for Advance Life Support Station Replacements
$317,000 to replace aging fire department vehicles

The budget includes strengthening emergency operations and improving weather event resilience, including:

$8 Million disaster reserve to provide temporary resources in the event of a federal- or state-declared emergency
$1.6 Million for Master Pump Generators

FISCAL HEALTH

Cape Coral is committed to maintaining strong fiscal health by enhancing the City’s resilience to economic fluctuations and disaster response, including:

$62.7 Million for the Budget Sustainability Reserve, which is equal to 2.9 months of FY27 proposed General Fund expenditures. This reserve will bolster future fiscal resilience and support innovative initiatives, including sustainability-focused projects and is 0.1 months shy of the three-month reserve policy.

MODERNIZING INFRASTRUCTURE: ROADS, BRIDGES, AND CONNECTIVITY

The FY27 Proposed Budget includes major infrastructure upgrades, reflecting Cape Coral’s commitment to equitable access, mobility, and resilience, including:

$12.9 Million for road repaving, including alleyways, funded by gas tax, and water and sewer funds
$3.1 Million for the Andalusia Boulevard Extension
$1.9 Million in Bridge Rehabilitation
$1.2 Million for City Hall Building Maintenance
$700,000 for median curbing
$510,000 Turn Lane/Signal/Access Management as a part of Road Resurfacing
$200,000 for ADA upgrades as part of road resurfacing

UTILITY INFRASTRUCTURE

Cape Coral remains one of the fastest-growing cities in the nation. The FY27 budget includes capital improvements and facility expansions to meet the demands of a growing population, including:

$400 Million for the North Water Reclamation Facility
$37.1 Million for North 3 UEP water, sewer, irrigation transmission, collection and distribution
$16 Million for Everest Headworks
$15.5 Million for the North Reverse Osmosis Water Treatment Plant Wellfield expansion phase II
$3.1 Million for water reclamation lift station relocations and generator replacement
$2.2 Million for wastewater inflow and infiltration
$1.9 Million for the Water Reclamation North South Transfer Pump station
$1 Million for the South Reverse Osmosis Plant Ground Storage Tank Coating

INVESTING IN QUALITY OF LIFE

Cape Coral continues to invest significantly in its parks and recreation infrastructure to provide enhanced amenities and improved facilities for residents, including:

$3.3 Million for Coral Oaks Golf Course operations
$1.5 Million for the replacement of the lighting at the Northwest Softball Complex for Fields 1-5
$1.5 Million for playground replacements at Strausser BMX Sports Complex and Rotary Park
$266,000 for fitness station replacements at Joe Stonis Park
$245,000 in Parking lot improvements including sealcoating, curb stops, striping at various parks
$140,000 for Tennis/Pickleball/Basketball Court resurfacing at Jim Jeffers Park and Burton Park
$100,000 for Lake Kennedy Senior Center lobby renovation

In addition to facility improvements, Cape Coral prioritizes personnel support, beautification efforts, and diverse community programming, including:

$18.3 Million allocated to Parks and Recreation personnel services to support additional recreation staff, including 2 Park Rangers and 5.93 Contract program positions, an increase of nearly $1.5 Million from the FY26 adopted budget.
$1.8 Million for city special events, such as Red, White & BOOM, Bike Night, and Holiday Nights on the Lawn.
$1.7 Million for the Frieda B. Smith Special Populations Center for adults and children with intellectual disabilities
$741,360 for community median maintenance
$419,636 to operate Pops Cafe, which employs members of the community with special needs
Youth and Senior programming:
- $2 Million for programming at the Youth Center
- $317,513 to operate VPK programs at the Youth Center and Four Freedoms Park
- $237,000 for athletics programming
- $215,435 for programming at the Art Center
- $180,438 for programming at Lake Kennedy Center
- $121,332 for programming at the South Cape Community Center
- $80,000 for programming at Rotary Park
- $76,677 for programming at Four Freedoms Park

ENVIRONMENTAL PROTECTION AND WATER QUALITY

The budget prioritizes environmental protection through major investments in advanced stormwater management, flood prevention, drainage improvements, aquatic vegetation control, and water quality upgrades, including:

$7.7 Million for Trafalgar drainage improvements
$3.3 Million for weir improvements
$2.6 Million for 83 Catch Basin replacements
$2.5 Million for dredging
$1.7 Million for stormwater drainpipe and catch basin improvements
$1.06 Million for aquatic vegetation harvesting in the South Spreader Canal
$1 Million for Rotary Dog Park stormwater system retrofit
$584,000 for street sweeping
$500,000 for water quality management Improvements

DRIVING ECONOMIC DEVELOPMENT

To encourage long-term prosperity and sustainability, the budget includes economic initiatives, including:

$3 Million for proposed economic development Incentives reserve, which would fund commercial growth opportunities and support targeted industry expansion

This year’s budget dedicates grant funding to programs that strengthen entrepreneurship, environmental innovation, technology, and community development, including:

$661,243 for programs serving Special Populations
$170,727 for the Tourist Development Council to help offset maintenance related costs for parks locations

OASIS MUNICIPAL SCHOOLS AND EDUCATIONAL PROGRAMS

Cape Coral dedicates significant resources to its municipal charter school system and varied educational programs, enhancing learning opportunities for residents of all ages, including:

$50.4 Million to run the municipal charter school system

Promoting Transparency: The Property Checkbook Tool

To bolster fiscal transparency, residents can look up specific properties and see tax information, assessments, and fees that contribute to the total cost for city services. Visit capecoral.gov/checkbook. (Note: The tool may experience temporary updates during the millage rate adjustment period.)

Next Steps: Final Budget Adoption

City Council will vote on final adoption in September. The proposed budget document is available on the City's official website, providing residents with detailed insights into the City's financial priorities and investments.

About Cape Coral

Cape Coral named "Happiest City in Florida" by WalletHub
Cape Coral named "Best Housing Market for Buyers" by Consumer Affairs
Cape Coral named third "Best Florida City for Small Businesses" by B2B Reviews
Cape Coral named fourth "Best Places to Live in Florida" by Forbes Advisor
Cape Coral named fifth "Fastest Growing Metro Areas in U.S." by Lending Tree
Cape Coral named twelfth "Best Places to Retire in the U.S." by WalletHub
Cape Coral named thirteenth "Best City in the U.S. for Starting a Small Business" by Coworking Cafe