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Agenda 11/12/2013 Item #16C311/12/2013 16.C.3. EXECUTIVE SUMMARY Recommendation to authorize the Key Marco Community Development District to connect a pump to an on -site Collier County Water -Sewer District -owned flushing device to allow the capture of the potable water used to flush and maintain water distribution lines to be reused for irrigation purposes in the community, subject to payment of the base monthly user rate for 4 -inch meters. OBJECTIVE: Provide beneficial reuse of flushed potable water for irrigation purposes within the Key Marco Community Development District (Key Marco). CONSIDERATIONS: The Collier County Water -Sewer District (CCWSD) is required to maintain residual chlorine levels to prescribed standards in the potable drinking water system. When demand is low and flows through the distribution lines are minimal, the chlorine evaporates, dropping residual levels below the regulated minimum. This makes it necessary for the CCWSD to flush appropriate volumes of water out of the system and replace that with chlorinated water. The geography of Key Marco does not accommodate looping of potable water lines, which helps maintain chlorine residual levels. Potable water demand is quite low in Key Marco given that few homes within the community are built and occupied. Required flushing in Key Marco often approximates five million gallons or more of potable water annually, which equates to a water "loss" worth approximately $19,250 at current rates. Key Marco purchases, on average, approximately 2.5 to 3.5 million gallons of potable water a year to fill its existing irrigation pond, at an average cost of $3.81 per thousand gallons (a function of the volume purchased each month at the applicable block rate). Key Marco has identified a way to capture the flushed water in a retention pond (to be constructed in such a way that meets CCWSD cross connection controls) to then be reused to meet its demand for irrigation water. Staff met with the Key Marco HOA president and its property manager who requested staff to research and recommend an appropriate rate to purchase the flushed water, which otherwise would be wasted onto the ground, to send to their irrigation system during periods of heavy irrigation use (dry season). Key Marco contends that CCWSD's flushed water could be put to beneficial use as irrigation water. In the dry season when irrigation demand is high, Key Marco generally purchases more potable water for irrigation purposes than the CCWSD flushes. Incremental irrigation demand beyond the volume available from flushing would be met by purchasing potable water through the existing potable water block rate structure. This proposal presents an opportunity to promote the smart and efficient use of water, thereby directly enhancing conservation efforts. Since Section 17 of the Special Act creating the CCWSD prohibits providing free water, staff recommends billing Key Marco for its use of the CCWSD's flushed water at the Board of County Commissioners (Board) approved fixed monthly base rate established for the 4 -inch meter that currently services Key Marco's existing irrigation pond (currently $356.45 per month in accordance with Schedule One of Appendix A of the Collier County Water -Sewer District Uniform Billing, Operating, and Regulatory Standards Ordinance, or $4,277.40 annually). This rate would change periodically to concur with Board - approved rate changes. Billing at this approved rate will partially offset the current cost of lost water in Key Marco. Packet Page -1449- 11/12/2013 16.C.3. FISCAL IMPACT: Approving this recommendation could potentially impact the Collier County Water - Sewer District Operating Fund (408) revenues, based on actual fiscal year 2013 irrigation demand, at an estimated loss of $4,000; that estimated loss represents less than .009 percent of total CCWSD revenue. LEGAL CONSIDERATIONS: This item is approved as to form and legality, and requires majority vote for Board approval. —SRT GROWTH MANAGEMENT IMPACT: There is no impact to the current Growth Management Plan. RECOMMENDATION: That the Board of County Commissioners, Ex- officio the Governing Board of the Collier County Water -Sewer District, authorize the Key Marco Community Development District to connect a pump to an on -site Collier County Water -Sewer District -owned flushing device to allow the capture of the potable water used to flush and maintain water distribution lines to be reused for irrigation purposes in the community, subject to payment of the base monthly user rate for 4 -inch meters. PREPARED BY: Joe Bellone, Director Financial Operations, Public Utilities Division Attachment(s): Key Marco Schematic Packet Page -1450- 11/12/2013 16.C.3. COLLIER COUNTY Board of County Commissioners Item Number: 16.16.C.16.C.3. Item Summary: Recommendation to authorize the Key Marco Community Development District to connect a pump to an on -site Collier County Water -Sewer District -owned flushing device to allow the capture of the potable water used to flush and maintain water distribution lines to be reused for irrigation purposes in the community, subject to payment of the base monthly user rate for 4 -inch meters. Meeting Date: 11/12/2013 Prepared By Approved By Name: Joseph Bellone ^ Title: Manager - Utility Billing & Cust Serv.,Utilities F Date: 10/21/2013 11:10:48 AM Name: JacobsSusan Title: Operations Analyst, Public Utilities Date: 10/21/2013 11:20:46 AM Name: HapkeMargie Title: Operations Analyst, Public Utilities Date: 10/21/2013 11:59:07 AM Name: Steve Messner Title: Plant Manager,Water Date: 10/21/2013 3:23:09 PM Name: TeachScott Title: Deputy County Attomey,County Attorney Date: 10/23/2013 3:55:03 PM Name: YilmazGeorge Title: Administrator, Public Utilities ^ Date: 10/24/2013 3:18:36 PM Packet Page -1451- Name: KlatzkowJeff Title: County Attorney Date: 10/24/2013 3:35:06 PM 11/12/2013 16.C.3. Name: GreenwaldRandy Title: Management/Budget Analyst,Office of Management & B Date: 10/28/2013 9:06:59 AM Name: IsacksonMark Title: Director -Corp Financial and Mgmt Svs,CMO Date: 10/31/2013 10:26:01 AM Packet Page -1452- CI) r� Y 4Y ' 8�� IbL CI) r� Y 4Y ' 8�� Packet Page -1454-