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Sanibel Roundabout and Water Rates 2026: Shaping the Island’s Future

On March 3, 2026, the Sanibel City Council made several pivotal decisions aimed at improving traffic flow, utility resilience, and public safety. The meeting addressed the conceptual design of a new roundabout at the island’s most prominent intersection and approved a three-year plan for water rate adjustments to fund critical infrastructure.

As your local experts at the LeAn SUAREZGroup, we track these municipal developments closely. Infrastructure stability and smart traffic management are core components of Sanibel’s appeal, ensuring that our “Sanctuary Island” remains accessible and well-maintained for all residents.

The Periwinkle-Causeway Roundabout: A Phased Approach

Sanibel Roundabout and Water Rates 2026

The Council unanimously approved a phased 30% conceptual design for the intersection of Periwinkle Way and Causeway Boulevard. This approach, funded by the Lee County Metropolitan Planning Organization (MPO), is designed to provide the public with clear data before the project moves to a voter referendum.

  • Why a Referendum? If the design requires acquiring environmentally sensitive land from Pond Apple Park, the Sanibel Charter mandates a public vote.

  • The “Middle Road” Plan: Engineers will first complete a topographic survey to see if a roundabout can fit within the existing right-of-way. If the footprint expands, the full 30% design—including drainage, permitting, and detailed cost estimates—will be presented to voters.

  • Hybrid Innovation: The Council is also exploring a “1-lane, 2-lane hybrid” model to balance traffic efficiency with the island’s small-town character.

Island Water Association (IWA) Rate Adjustments

The Council signed off on a three-year rate adjustment plan for the Island Water Association, starting June 1, 2026. These increases are necessary to fund a $122 million Capital Improvement Plan aimed at long-term electrical resiliency and capacity upgrades.

Projected Monthly Bill Increases (based on 2026 rates):

  • 5,000 Gallons: Increase of $5.29.

  • 10,000 Gallons: Increase of $8.84.

  • 15,000 Gallons: Increase of $12.99.

Safety & Speed: The “Slow Down Sanibel” Campaign

Following a comprehensive speed study by Johnson Engineering, the Council is evaluating several safety measures:

  • New 25 MPH Zone: Recommended for the lower east end of Periwinkle Way (from Causeway Blvd to the Lighthouse).

  • No Passing Zones: Proposed for portions of Periwinkle Way, Rabbit Road, and Sanibel-Captiva Road.

  • Vaping Prohibition: Smoking and vaping are now prohibited in all public parks and beaches, including parking lots.

Infrastructure Repairs & Resilience

In a continued effort to recover from Hurricane Ian, the Council approved over $1.1 million in professional service contracts:

  • Wastewater & SUP Repairs: Engineering services for wastewater collection and the Shared Use Path (SUP) are moving forward.

  • Weir Restoration: Contracts were signed for the Beach Road and Tarpon Bay weir projects to improve island drainage and flood control.

  • Police Station: Architectural services were secured for the new Sanibel Police Station, funded largely by federal and state grants.

Local Expert Note: At the LeAne SUAREZ Group, we are particularly interested in the Council’s evaluation of a registration program for Class 2 and 3 e-bikes on the Shared Use Path. This move aims to balance modern transportation needs with the safety of our traditional cyclists and pedestrians.


City Council Highlights at a Glance

  • Roundabout Status: Initial data collection underway; voter referendum pending.

  • Water Rates: 18% annual increases approved for 2026–2028.

  • Public Safety: “Slow Down Sanibel” campaign active through June.

  • Blind Pass: Dredging is currently on hold as the county waits for sand to “reach equilibrium” following recent renourishment.

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