This week, Florida TaxWatch (FTW) unveiled a new report, “Water Infrastructure Projects are Vital: Develop and Fund a 3-5 Year Strategic Work Program Similar to Florida DOT,” outlining a recommendation for the Florida Legislature to establish a state water project work program.

The report focuses on FTW’s review of Florida’s current process for investing in water projects and suggestions to improve the planning and selection of projects intended to develop the state’s water resources and infrastructure.

“The importance of continued, long-term investments in Florida’s water quality cannot be overstated. The future of our great state and the success of its people depend on coordinated water projects that will effectively protect and preserve our valuable natural resources. I’m proud to support Florida TaxWatch and their thoughtful strategy around this timely issue,” said state Rep. Toby Overdorf, R-Stuart.

Florida TaxWatch President and CEO Dominic Calabro also weighed in on the report.

“Water is a precious resource in the Sunshine State, impacting quality of life, recreational activities, and tourism. Understanding this, Florida’s Governor and Legislature have invested billions of dollars in the state’s water resources and infrastructure; however, the current system to fund water projects, both through grant programs and member projects, does not allow for a comprehensive, coordinated, and statewide strategy and assurance that the best projects to achieve that strategy are selected. Therefore, Florida TaxWatch recommends the state adopt a work program to manage and fund water projects, a process that will help provide the greatest return on investment and ensure limited taxpayer dollars are used in the most effective manner possible,” Calabro said.

In a 2023 assessment of Florida’s water resources, the Office of Economic and Demographic Research (EDR) projected that statewide water use will increase by 14 percent between 2020 and 2040, exceeding the inferred water supply. The EDR also estimates that, between 2023 and 2040, the state will need $201.5 billion for stormwater management and wastewater services, including $90.5 billion worth of capital improvements. Of the total cost for capital improvements, only $41.0 billion has a committed funding source.

In recent years, the Florida Legislature created two new, major funding programs – the Wastewater Grant Program (funded at $200 million this year) and the Statewide Flooding and Sea Level Rise Resilience Plan/Resilient Florida Grant Program (funded at $300 million this year) – and the state funded at least 13 financial assistance programs to improve water infrastructure, totaling $1.4 billion, in Fiscal Year 2023-24. However, despite these programs, water funding remains inconsistent and constantly changing, making it difficult to plan for developing the state’s water resources and infrastructure.

According to FTW, the number of local member water projects in the General Appropriation Act has rapidly increased, with the current budget containing 268 projects worth $433 million, nearly five times the then-record amount appropriated in Fiscal Year 2020-21. While many of these projects are worthwhile, they circumvent competitive review processes and likely take dollars away from other higher priority projects.

With that in mind, FTW provides Florida’s leaders and legislators with recommendations to improve the process for selecting water projects, including:

Adopt a three-to-five-year work program for state water projects, similar to the process used by the Department of Transportation or the Statewide Flooding and Sea Level Rise Resiliency Plan.

Consider a dedicated source of funding for water projects, or a minimum funding amount.

Develop criteria for each type of water project and review criteria for existing grant programs.

Subject any legislator-requested project to the same review and criteria as similar projects.

Review the Florida Water Plan, the water resource implementation rule, and the statutory policies and directives in Chapters 373 and 403 of Florida Statues for needed changes and updates.