Transportation Infrastructure: Addressing Funding Gaps
The Lee County Metropolitan Planning Organization (MPO) https://leempo.com/, in its draft 2050 Long-Range Transportation Plan (LRTP), has identified over $4 billion in transportation infrastructure requirements. The MPO consolidates requirements from FDOT, LC DOT for Unincorporated Lee County, City of FT Myers, Sanibel, Bonita Springs, and the Village of Estero. The 2050 LRTP can be found at https://leempo.com/plans/long-range-transportation-plan/.
The Lee County Board of County Commissioners (BOCC) and Lee County municipalities use different funding sources for transportation infrastructure.
How does Lee County pay for Road Improvements?
- Gas tax (which is flat and projected to decrease with more electric vehicles)
- Proportionate Share (negotiated for each new development, with restrictions, and must be used in the general area)
- Road Impact fees (restrictions and must be used in the general area)
- General fund
- Unused tolls
Municipalities also use a combination of funding sources for transportation infrastructure.
Unfortunately, transportation infrastructure requirements have far exceeded the funds available. What this means for traveling throughout Lee County and its municipalities is that it will become increasingly complex and time-consuming to get where you need to be. Unfortunately, there appears to be no immediate relief in sight.
Even today, the timelines and completion dates of transportation projects are slipping, sometimes by as much as a year. With this in mind, one has to wonder whether Lee County had a cash flow issue. In a meeting on Friday, September 26, 2025, Lee County Clerk of Courts Kevin Karnes stated, “Lee County does not have a cash flow problem … the BOCC previously used grant funds to front-load many transportation contracts…” With this information, Lee County is now using its limited funds for transportation infrastructure efforts. Limited funds equal contract slowdown.
An example is the Corkscrew Road widening Phase II (Eastern boundary of Bella Terra to Alico Road). This has been delayed by a year, with a new completion date of late 2026. The original deadline was January 2026. The schedule slip might be due to several reasons, such as weather issues, unknown utility problems, or a reduced payment schedule.
Each government contract has a payment schedule; the government entity will pay the contractor every month for the duration of the contract. If that amount is reduced, or additional/unknown costs occur, the schedule will slip.
Possible Ways to Make up the Difference
Knowing the severity of the shortfall, community leaders, county commissioners, municipalities, LC DOT, and concerned citizens are brainstorming how to overcome the shortfall.
- Some have suggested the county implement a ½ cent sales tax. This tax could generate approximately $500 million annually. With this option, tourists and visitors would help pay for the infrastructure. The likelihood of this tax passing a vote is currently unknown.
- Another option is to impose a tax on Electric Vehicles (EVs). The proposed annual fee is roughly $300 per EV, payable during yearly registration. This approach is attractive because EVs don’t use gasoline, so they don’t generate gas tax revenue for road maintenance. With nearly 12,500 EVs registered in Lee County, this could raise close to $3 million each year. We might also consider a $150 annual fee for hybrid vehicles, since they use less gas and therefore contribute less to gas tax revenue.
- The final idea is to increase road impact fees. This is a sensitive issue for Lee County because developers generally oppose raising the road impact fee percentage. The costs were reduced in 2008 to help the homebuilding industry recover from the housing crisis. Although road impact fees have been increased since 2018, they remain below pre-2008 levels.
Impact Fees and Who Collects Them
County
Lee County, Florida, levies impact fees (for Unincorporated Lee County) for Roads, Fire/EMS, Schools, Regional Parks, and Community Parks on new development and changes of occupancy to fund infrastructure and public facilities. Most fees are subject to a 52.5% collection rate, while Fire/EMS fees have a 100% collection rate. The full fee schedule can be found in Lee County’s Land Development Code, specifically in Chapter 2, Article VI. Updates are conducted every five years, with the most recent schedule published in 2018.
For the year ending September 30, 2024, Lee County reported collecting nearly $90 million in impact fees. This was not differentiated by roads, Fire/EMS, or Parks. Roughly 80% of this collection ($72 million) is allocated for roads. A 5% increase in road impact fees could generate $4 million annually.
Lee County also collaborates with developers to collect a “proportionate share” to support road infrastructure. Although this contribution by developers helps improve road infrastructure, when combined with road impact fees, it does not equal 100% of the road impact fees.
Unincorporated Lee County
https://www.leegov.com/dcd/Documents/ImpactFees/Impact%20Fee%20Table_051823.pdf
Municipalities
Municipalities can set their own road and park impact fees. Lee County Schools and Fire/EMS are set county-wide.
City of Ft Myers https://fortmyers.gov/DocumentCenter/View/23685/City-of-Fort-Myers-Impact-Fee-Schedule-effective-07-02-24?bidId=
The Village of Estero‘s impact fees, collected from new development, fund necessary public infrastructure, such as roads, parks, and utilities, to support growth. Developers pay these fees as part of the development approval process, following a fee schedule updated periodically, most recently on March 10, 2022, for estimating purposes. The fees vary based on the type of development (e.g., single-family home, multi-family, hotel) and cover capital projects and administrative costs.
The Bonita Springs impact fee schedule can be found on the City of Bonita Springs Community Development Department website. The Local Development Code (LDC), where the schedules are established in the LDC and cover impact fees for Roads, Parks, and Fire & EMS.
Bonita Springs https://www.cityofbonitaspringscd.org/resources/fee_schedule.html
The city of Cape Coral recently passed a resolution to eliminate its impact fees (as of December 31, 2025) and institute “Mobility Fees” starting January 1, 2026.
Cape Coral mobility fees are a new system replacing old impact fees, which require developers to pay a one-time charge for new residential and commercial construction to fund essential transportation infrastructure, including roads, sidewalks, and bike lanes. The City Council approved these fees in September 2025, basing them on the size and type of development to ensure that growth funds are necessary for infrastructure, without relying solely on taxpayers.
“Growth Pays for Growth”: The core principle behind mobility fees is that new development should help pay for the transportation improvements needed to support it.
The current impact fee, now referred to as a mobility fee, will increase gradually by 12.5% over the next four years. Current Florida statutes limit increases in impact fees to 5% every 4 years. Cape Coral also provided developers with an option to either pay the fee or advance a public mobility/transportation project.
Get Engaged
If you have an opinion on how to solve the transportation infrastructure shortfall, please get in touch with your county’s elected officials: Lee County Commissioner Pendergrass, dist2@leegov.com, or Commissioner Mulicka, dist3@leegov.com.
Alternatively, write your comments to Engage Estero at info@esterotoday.com, and we will review them and pass on a collective review to the commissioner. You may also comment below.
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and Make an Impact!
At Engage Estero, we believe in the power of community. As a nonpartisan, nonpolitical, nonprofit, we conduct evidence-based research to provide unbiased information about local issues, helping you improve your quality of life.


