DeSantis Signs $115B Florida Budget; $87 Million Headed to Okaloosa and Walton Counties

In Brief:

🏗️ Over $87 million in state funding is headed to Okaloosa and Walton counties for roads, schools, stormwater, and healthcare.
💸 Florida’s $2 billion tax relief package includes a permanent repeal of the business rent tax and seasonal sales tax holidays.
❌ Only three local projects were vetoed, preserving the vast majority of requested funding in the Panhandle.

SHALIMAR — Florida Gov. Ron DeSantis signed the state’s $115.1 billion budget for fiscal year 2025–26 on Monday, securing more than $87 million for projects in Okaloosa and Walton counties while issuing selective vetoes that cut only a handful of local initiatives.

(Mid Bay News went through the entire veto list, which you can see if you click here, and only saw three projects cut from the state budget.)

The budget includes a sweeping $2 billion tax cut package and closes a contentious legislative session that ran six weeks past its scheduled May 2 end date.

While nearly $600 million was slashed through line-item vetoes statewide, the majority of funding priorities for Northwest Florida communities remained intact, despite fears the projects would be cut to help fund disaster relief efforts from last year’s hurricane season.

Okaloosa County Secures $67.4 Million

In a news release from the Okaloosa County Board of County Commissioners, they touted DeSantis signing off on $7,035,000 in infrastructure and public safety projects.

Okaloosa-Walton Mental Health and Substance Abuse Pre-Trial Diversion Program – $325,000
Santa Rosa Boulevard Improvements (Phase 1) – $1,000,000
Gap Creek Channel Inventory and Planning Study – $250,000
Okaloosa County Coastal Stormwater Retrofit Program – $1,460,000
Connecting the Collectors Environmental Impact Statement – $4,000,000

“These projects will provide the necessary funding for much-needed improvements,” said Okaloosa County Board Chairman Paul Mixon in a news release. “We are appreciative of Gov. DeSantis for recognizing Okaloosa County’s needs.”

In total, $67.4 million will be directed to Okaloosa County through budget appropriations. Other approved local projects include:

Northwest Florida State College Program Fund & Lottery Support – $29.8 million
Workforce Innovation and Nursing Education – Over $8 million
Water, sewer, and stormwater infrastructure – Approx. $9.5 million
Local road and signal improvements – Approx. $2.75 million
Valparaiso ADA upgrades, arts funding, and housing support – Over $700,000

Walton County Receives $19.7 Million in Funding

Walton County will receive $19.7 million for transportation, education, health, and infrastructure initiatives. Funded projects include:

DOT Bridge Construction and Engineering – $4 million
US‑331 Gateway and Lighting Project – $2.9 million
Water System Upgrades in Defuniak Springs and Freeport – $1.5 million
School Readiness and VPK Programs – $4.19 million
Workforce Education and Public School Programs – Over $2.9 million
Mobile Lung Cancer Screening Program – $1.45 million
Walton Community Health Center Coastal Branch – $500,000

Only Three Local Vetoes

Unlike previous years, only three local projects were vetoed from the final budget:

Fort Walton Beach Hollywood Boulevard Traffic Improvements – $750,000
Bridgeway Center – Medication-Assisted Treatment (Okaloosa County) – $15,000
Paxton Medical Clinic (Walton County) – $5,000

Gov. DeSantis defended the vetoes in a press conference on June 30, stating, “Some of it wasn’t bad, but I thought it was important to get the budget spending in line with my recommendations.”

He noted the cuts helped keep state reserves above $12.4 billion.

Tax Cuts and Statewide Impact

The 2025–26 budget includes a $2 billion tax relief package, featuring:

A permanent repeal of Florida’s business rent tax
Annual back-to-school and disaster preparedness sales tax holidays
Temporary sales tax breaks on camping gear, firearms, and outdoor items

Notably absent were proposed property tax rebates and a reduction in the state’s sales tax rate, both of which were rejected due to concerns about long-term sustainability.