Scrap paid parking: Revised tourist tax allows use for downtown renovations and beach walkovers

City commissioners have argued that implementing paid parking in Fernandina Beach’s historic downtown is the only viable way to generate new revenue for much-needed improvements to both downtown and the beach. Their logic: parking meters are the only tool available to make those upgrades a reality, and tourists—not residents—should foot the bill.

But there is a better, smarter, and newly legal way for out-of-town visitors to “pay their way” without burdening locals or harming the city’s welcoming charm. Thanks to a recent change in Florida law, Nassau County now has the authority to use its existing tourism tax — also known as the “bed tax”— to help fund exactly the kinds of public improvements Fernandina needs.

Effective July 1, 2025, a revision to Section 125.0104 of the Florida Statutes gives counties like Nassau broader discretion in how they spend Tourist Development Tax revenue. For the first time, those funds can now be used for major public infrastructure projects that support tourism, including downtown streetscapes and beach access facilities like dune walkovers — provided the projects are approved through a transparent process and meet criteria such as outside funding matches and a demonstrable tourism benefit.

This is a game-changing opportunity.

Fernandina’s historic downtown is the island’s crown jewel. Its brick-lined streets, Victorian-era architecture, and walkable layout are key reasons tourists choose Amelia Island over countless other beach destinations. Yet its cracked, uneven sidewalks, faded signage, and insufficient lighting diminish the visitor experience — and with it, the economic returns that tourism provides.

Similarly, Fernandina’s aging wooden beach walkovers, which provide safe and environmentally sound access to the ocean, are deteriorating. These aren’t luxury items —they’re essential infrastructure for the one million people who visit and stay along the island’s shoreline each year.

So why, with state law now explicitly allowing tourist tax dollars to help fund such improvements, is the city still pursuing a deeply unpopular paid parking program that risks driving away both tourists and locals?

The funds are there — and they're already being paid by visitors. In 2024, the Amelia Island Tourist Development Council (AITDC) collected $11.54 million in bed taxes from more than 1 million overnight guests, according to the AITDC’s annual report. Of that total:

• $7.111 million went to advertising and marketing,

• $1.184 million to trade shows and travel,

• and $2 million to administration and management.

That’s nearly 80% of total revenue spent not on tangible improvements, but on promotion and overhead.

With the 2025–26 budget season now underway, the timing is ideal for Fernandina Beach and Nassau County to rethink how TDC funds are allocated — and to begin shifting a portion toward long-lasting infrastructure that directly enhances the visitor experience.

Two key leaders — County Commissioner John Martin and City Commissioner Tim Poynter— both sit on the Nassau County TDC board. It's time they bring this new legal authority to the table in conversations with the TDC and County Manager Taco Pope, and advocate for investing in Fernandina Beach’s future.

Of course, the new statute includes safeguards:

• The TDC must review and recommend each project.

• The County Commission must approve them by supermajority vote.

• And TDC dollars can cover no more than 70% of a project’s total cost.

That means Fernandina Beach would still need to provide matching funds — but it would no longer carry the full financial burden, nor force residents and tourists to pay for public amenities through parking meters.

Yet so far, there’s been no public mention of this statutory update at recent city or county meetings. When City Manager Sarah Campbell previously asked Pope whether TDC funds could support city improvements, he replied that it wouldn’t be possible until 2030 — a statement that no longer holds up under the revised statute.

Martin continued by saying that the county faced significant restrictions on how TDC funds were distributed.

As of July1, all those restrictions have now been removed.

Consider this: under the new 70% rule, Fernandina could request $1.4 million for downtown lighting and sidewalk renovations and $430,000 for beach walkovers — nearly matching the $2 million city officials say they need to raise from parking fees. And that would still leave the TDC with roughly $9 million.

Fernandina Beach now faces a choice: move forward with a divisive and short-sighted paid parking plan or collaborate with Nassau County to leverage existing tourism revenues in a way that benefits everyone — residents, visitors, and the local economy.

The path forward is clear. The Florida Legislature has given tourism-dependent communities like Fernandina the flexibility they need to thrive without burdening locals. Let’s use that authority wisely.

It’s time to invest in our beaches. Restore our historic downtown. And do it without a parking meter in sight.