I used to live in P'cola...it's a nice, historic town. I was there one month after Ivan, and while it was somewhat of a mess, most everything was up and running. At this point, with the exception of the beach area, you probably won't notice too much.
As for things to do, someone suggested the Naval Air Station Museum. That's a good bet. I also recommend the Zoo in Gulf Breeze (a suburb just east of downtown Pensacola on U.S. Highway 98). It's a great small zoo, and much of the facility is an open reserve, giving a lot of the animals plenty of room to move around. (
www.the-zoo.com)
Downtown Pensacola is very historic, and there are places to dine and party at Seville Square. I think you said you had kids, so this probably wouldn't be of much interest.
Just for fun, on your way to P'cola, if you're traveling I-10, I'd stop at the DeFuniak Springs exit - it's a cool old town, in and of itself...probably not too interesting for the kids though - and take Highway 331 (I think that's the number) south Highway 98...hang a left or right and travel to you see the signs for County Road 30-A...this route takes you through the beaches of Walton County, where towns like Seaside, Rosemary Beach, etc. etc. Beautiful beaches, lots of restaurants and shops, etc. I've always found Seaside a little too perfect (just like it appeared in "The Truman Show") but I can't deny that it has charm. (
www.beachesofsouthwalton.com)
Actually, you could go from here, along U.S. 98, all the way to Pensacola...it's a longer drive than I-10, but you get to see some really beautiful spots (Destin, Navarre Beach, etc).
And no offense to anywhere else in the state, or country for that matter, this is where the best beaches are. You can't beat them.
