A confidential report has been prepared by Fort Myers Beach Human Resources Director Talissa Oliviera for Town Manager Will McKannay about the bungled old Town Hall property parking lot. It has not been released to the public and Town Council members were asked to come to City Hall to read it. They could not take it. We have the full report.
The report places the blame for what happened with the town hall property squarely on the shoulders of former Community Development Director Frankie Kropacek and Community Services Director Jeff Hauge.
Both men were placed on paid Administrative leave in August and fired in October. The town is couching the firings as voluntary resignations. As we’ve reported Kropacek was paid an additional $11,000 and signed an agreement not to sue the town and Hague was paid $10,000 to sign a similar letter.
Town Manager Will McKannay told Beach Talk Radio Monday that, “I won’t discuss individual personnel matters. That protects the fairness of the process and protects the Town. Public records are available through the Town Clerk’s office. When I learned that work at the former Town Hall property had moved forward without required planning and permitting, I stopped it and asked for a review. No work will resume until it can be done correctly.”
If the report is accurate Fort Myers Beach residents may want to know why they had to dole out $21,000 (in addition to the 2 months paid leave) when details in the report show the town claims they had cause to let them go. The offers to Kropacek and Hauge did not need council approval because they were under the $20,000 cap that would trigger approval. That cap was approved one day before Hauge and Kropacek were offered the money.
McKannay commented, A firing can look like the clearest answer, but it isn’t always the most responsible one. Contested terminations bring appeals, legal claims and attorney fees, and taxpayers pay those costs. A negotiated resolution trades that uncertainty for finality, within the strict limits of Florida law. I make these decisions with advice from staff and legal counsel. My job is not to make the decision that feels most satisfying. It is to make the one that best protects the Town and its taxpayers. I stand by my decisions, and I am accountable for them.”
The allegations against the two men in this report are lengthy, including an unapproved $8,500 payment to a local construction company.
The report alleges that Kropacek directed the issuance of a permit before the required documents and reviews were complete, signed an inaccurate certification on behalf of the town, made statements to Town Council that the permit record does not support, and did not carry out the Town Manager’s direction to bring the project into compliance despite five months of coaching. As a result, the project remains under a stop work order with an expired permit.
The report goes on to say that employment with the town is at will, and the Employee Handbook provides that any policy violation may result in discipline up to and including termination.
The report alleges that Hauge, under an agreement with local construction company ICS, had the site graded and raised about three feet before any permit application was filed, without a Development Order, fill permit or Environmental Resource Permit; oversaw construction of a retaining wall without approved plans, which a March 5, 2026 stop work order recorded as in process of being built; was responsible for a project on which the town paid in full on April 9, 2026, while the stop work order was in effect. That payment included the full retaining wall scope and $8,500.00 for concrete hauling performed April 8–9, 2026. The total paid, $146,553.13, is $8,500.00 more than Town Council ratified, and Finance reports the invoices were signed “Jeff H” 133 days after payment.
The report goes on to say that Hauge directed engineering work under an unrelated stormwater agreement with no project specific purchase order or task authorization, after the Town Manager’s February 25, 2026 procurement directive. As a result, the Town has paid for a project that remains under a stop work order with an expired permit. The project includes a retaining wall whose structural capacity is unconfirmed, and its engineering costs were charged to an unrelated agreement.
Town Manager Will McKannay was hoping to convert the old town hall property into a paid parking lot and offer discounted rates to employees of beach businesses. He moved forward with that idea trusting the employees in the positions to follow that idea through would go through the proper procedurs to get the work done. The work was haulted when the Town Council had questions about the elevation and the possibility of cars driving over the ledge as it was being proposed.
For months, residents who live on the street where the lot is have been asking the town to clean up the mess that remained since the work stopped. Finally, last week, the lot was cleaned.