
Town of Fort Myers Beach Director of Operations, Compliance Director and Community Development Director Frank Kropacek (left) with Town of Fort Myers Beach Manager Andy Hyatt (right). Fort Myers Beach Observer file photo
Town of Fort Myers Beach Manager Andy Hyatt told the town council he believes the town will not escape being put on probation and losing its flood insurance discount for homeowners who have insurance through the National Flood Insurance Program.
The town had a 25% insurance discount before Hurricane Ian which was put at risk in March after FEMA informed Fort Myers Beach, Lee County and other municipalities that they risked losing their discounts due to permitless work and other related issues in the aftermath of Hurricane Ian.
“I think it was predetermined months ago, years ago they wanted to do this,” Hyatt said.
Following an appeal from the town and letters from federal representatives including Congressman Byron Donalds and Sen. Rick Scott, FEMA gave the town, county and other municipalities a grace period to show a remedy to the situation and improvement in the handling of permits by Nov. 18.
The town was given until September 16 to develop and submit a plan that includes timelines and actions to address all identified program deficiencies and violations to the maximum extent possible.

Fort Myers Beach Mayor Dan Allers (left) sits and watches a meeting of the Lee County Delegation of state legislators in 2023 with Fort Myers Beach Manager Andy Hyatt and Fort Myers Beach Operations Director Frank Kropacek. Allers did not comment at the meeting, which included discussion on a proposed state bill to merge the Fort Myers Beach Mosquito Control District into the Lee County Mosquito Control District and merging the Fort Myers Beach Fire Control District with the Iona-McGregor Fire District. Members of the Fort Myers Beach Mosquito Control District and Fort Myers Beach Board of Fire Commissioners spoke in opposition to the bill. Fort Myers Beach Observer photo
“It’s just been prolonged six months because we went to a higher level in my professional opinion” Hyatt said. “It would be the discount and you would be on probation and you would never get another discount,” Hyatt said of what the town stood to lose depending on FEMA’s ultimate decision.
Mayor Dan Allers said he believes losing the flood insurance discount was a best-case scenario based on his understand of the town’s situation with FEMA. “What they have told us is that in best case scenario you lose your discount, in the worst case you get taken out of the National Flood Insurance program altogether and they haven’t given us a definitive answer,” Allers said.
Allers asked town management last week to ask FEMA to hold off on enforcing a rule limiting the use of trailers for businesses, such as food trucks like La Ola at Times Square. “The timing of this is irresponsible by FEMA,” Allers said.
Hyatt and Operations Manager Frank Kropacek said La Ola had actually been identified by FEMA as a trailer that had to be removed. Hyatt said “we have been going through the process we were directed to do.”
Kropacek said one of the items on the town’s corrective action plan is why the trailer hadn’t been addressed “week in and week out.”
Kropacek said the town will also have to go through the same magistrate process as other operators of trailers due to the town’s use of trailers.
“Where are we going to go? Are we going to have to go in a tent?”
Kropacek said the process is “unchartered water.”
Hyatt said he also received action review comments from FEMA to remove all non-compliant trailers by Nov. 18. Issuing notices of violation was considered “insufficient,” Hyatt said.
Allers said the town couldn’t just hook up the La Ola trailer and remove it though the town’s legal counsel said the town did have enforcement power to remove it.
Allers accused FEMA of moving the goalposts.
Kropacek said town officials were told that federal law superceded local law while in a meeting with State Department of Emergency Management Kevin Guthrie.
Kropacek said the town was, in effect, being told that its enforcement actions didn’t amount to “a hill of beans.”
Kropacek said town management has informed federal officials that they are following local and state law.
“To me it sounds like we have to prepare our residents that they may lose their National Flood Insurance Program,” Allers said.
Vice Mayor Jim Atterholt said he is hopeful a new presidential administration could change things and said the town should hold out hope to see what happens in the November election.
“It’s a volatile time politically,” Atterholt said.
The town must assess all floodplain development from Hurricane Ian in the Special Flood Hazard Area, ensuring that permits for all repairs, construction and development were obtained consistent with local floodplain management regulations.
FEMA is requiring the town to provide a status update for structures deemed substantially damaged on a list provided by the town in accordance with an April letter sent to FEMA.
In addition, the town must provide evidence to support compliance action taken for the structures identified as having damage and FEMA identified as Future Compliance Engagement, Community Assistance Visit follow up, and additional information needed.
The town must also provide FEMA an assessment of all floodplain development impacts from Hurricane Ian to structures in the Special Flood Hazard Area and provide a plan for remedying any identified violations.
The town must provide documentation that demonstrates the community is leveraging its code enforcement process to address new and existing code cases for all structures not confirmed as compliant.
Allers said he wants to get a direct answer from FEMA. “All we can do is keep trying and keep pushing every lever we can.”