Resolution 2017-123 RESOLUTION NO.2017- 1 2 3
A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF
COLLIER COUNTY, FLORIDA, AS THE GOVERNING BOARD OF
COLLIER COUNTY, A POLITICAL SUBDIVISION OF THE STATE OF
FLORIDA AND ACTING AS THE EX-OFFICIO GOVERNING BOARD OF
THE COLLIER COUNTY WATER-SEWER DISTRICT NOTIFYING THE
GOVERNING BOARD OF THE FLORIDA GOVERNMENTAL UTILITY
AUTHORITY OF THE COUNTY'S INTENT TO INITIATE THE PROCESS
FOR TRANSFER OF THE GOLDEN GATE WATER AND WASTEWATER
UTILITY SYSTEM TO THE COUNTY; AND PROVIDING FOR
APPLICABILITY AND AN EFFECTIVE DATE.
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF COLLIER
COUNTY,FLORIDA,AS FOLLOWS:
SECTION 1. AUTHORITY. Pursuant to Chapter 125, Florida Statutes, the Board of County
Commissioners (the "Board") of Collier County, Florida(the "County") has all the powers of local self-
government including the power to acquire, own, improve, operate, maintain, and dispose of water and
wastewater utility facilities.
SECTION 2. COUNTY RIGHT TO ACQUIRE THE WATER AND WASTEWATER
SYSTEM KNOWN AS THE GOLDEN GATE SYSTEM FROM THE FLORIDA
GOVERNMENTAL UTILITY AUTHORITY. County staff has concluded preliminary financial and
technical due diligence relating to the potential transfer to the Collier County Water-Sewer District
("District") of the water and wastewater systems serving the Golden Gate area (the "Golden Gate
System") which are currently owned by the Florida Governmental Utility Authority ("FGUA"). The
FGUA is a utility authority created pursuant to section 163.01(7)(g)(1), Florida Statutes (the "Utility
Authority Law"). The Utility Authority Law authorizes two or more counties, cities or special districts in
Florida to create a utility authority by interlocal agreement for the purpose of acquiring, owning,
managing and operating water and wastewater systems anywhere in Florida. The Utility Authority Law
requires any utility authority created pursuant to its terms to notify and obtain consent from the
governing body of any county, city or special district (the "Host Government") before the utility
authority may acquire a utility system which is located within the boundaries of the Host Government.
By Resolution 99-169/Resolution CWS-99-1 issued March 9, 1999, the County, as the Host Government
for the Golden Gate System, approved an interlocal agreement with the FGUA authorizing the FGUA to
acquire the Golden Gate System (the "FGUA Interlocal Agreement"). Section 1 of the FGUA Interlocal
Agreement reserves to the County the right to acquire all, but not less than all, of the Golden Gate
System from the FGUA, specifically providing as follows: "The terms and provisions of such acquisition
shall be established pursuant to a utility acquisition agreement between the Authority and the District,
subject to the terms and conditions of the Interlocal Agreement and the Indenture. Notwithstanding the
foregoing and unless otherwise agreed to by the Authority and the District, the purchase price for the
Golden Gate Utility System shall be the amount required to repay the Bonds and any additional
obligations of the Authority related with the Golden Gate Utility System. The District further agrees to
negotiate with the Authority for the payment of a pro-rata share of any reasonable, verified Authority
expenses at the time of acquisition by the District. The District shall also pay all verifiable expenses
associated with the transfer of the Golden Gate Utility System by the Authority to the District."
SECTION 3. STAFF RECOMMENDATION FOR COUNTY TO INITIATE PROCESS
TO TRANSFER GOLDEN GATE SYSTEM TO THE COLLIER COUNTY WATER-SEWER
DISTRICT. The preliminary financial and technical due diligence conducted by County staff indicate
that it may be in the public interest for the County to exercise its rights under the FGUA Interlocal
Agreement to acquire the Golden Gate System from the FGUA. Preliminary analyses indicate that the
District's service area surrounds the Golden Gate System, application of District rates to current
customers of the Golden Gate System would result in a decrease of monthly water and wastewater bills
of nearly $40 a month, and there would be no material adverse impact on current customers of the
District from the acquisition of the Golden Gate System. For these reasons and based upon the
information provided in the preliminary financial and technical reports from the County's consultants,
County staff recommends that the Board authorize staff by this Resolution to initiate the process for final
due diligence and negotiation of the terms of transfer of the Golden Gate System from the FGUA, notify
the FGUA board of the County's desire to initiate such process, and request that the FGUA provide
County staff such documents and access to the Golden Gate System as will facilitate the final stages of
due diligence and place its management and contractors on notice of the County's intent to initiate the
transfer process.
SECTION 4. NO DETERMINATION OF PUBLIC INTEREST FOR TRANSFER. This
Resolution does not constitute a determination of public interest in the transfer of the Golden Gate
System to the District. Florida law requires that after the conclusion of final due diligence by County
staff, if the County determines that transfer of the Golden Gate System from the FGUA to the District
has merit, public notice and a public hearing must be held for the County to consider certain factors
identified in section 125.3401, Florida Statutes. After considering the required factors at such hearing,
should the Board determine that acquisition of the Golden Gate System is in the public interest, an
acquisition agreement would then be executed by the County and FGUA providing the terms of such
transfer and transfer date.
SECTION 5. APPROVAL OF NOTICE TO THE FGUA AND INITIATION OF FINAL
DUE DILIGENCE ACTIVITIES AS EX OFFICIO GOVERNING BOARD OF THE COLLIER
COUNTY WATER AND WASTEWATER DISTRICT. County staff is hereby authorized to take
such steps as are necessary to notify the FGUA board of the contents of this Resolution, conclude final
due diligence activities and negotiate terms relating to the potential acquisition of the Golden Gate
System by the District, and request that notice be given to all current contractors and suppliers of the
initiation of the acquisition process so that any FGUA contract or service termination obligations can be
initiated.
SECTION 6. APPLICABILITY AND EFFECTIVE DATE. This Resolution shall be
liberally construed to affect the purposes hereof and shall take effect immediately upon its adoption.
2
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PASSED AND DULY ADOPTED at the meeting of the Board of County Commissioners
of Collier County, Florida, acting as the Ex-Officio Board of the Collier County Water-Sewer
District on the2 144'xlay of June, 2017.
BOARD OF COUNTY COMMISSIONERS
COLLIER COUNTY, FLORIDA;AS THE
GOVERNING BODY OF COLLIER COUNTY
AND EX-OFFICIO BOARD OF THE COLLIER '
COUNTY W T EWER DISTRICT
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ATTEST:
DWIGHT E. BR , erk
BY:
Deputy Clerk
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cott R.Teach
Deputy County Attorney
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