PBSD MSTBU Minutes 04/30/2018 S PELICAN BAY SERVICES DIVISION BOARD SPECIAL SESSION
APRIL 30,2018
The Pelican Bay Services Division Board met in Special Session on Monday, April 30, 2018, at
11:00 a.m. at the Community Center at Pelican Bay, 8960 Hammock Oak Drive, Naples, Florida
34108.
In attendance were:
Pelican Bay Services Division Board Nick Fabregas
Scott Steckenbein, Chairman Pete Griffith
Tom Cravens, Vice-Chairman Bohdan Hirniak (absent)
Joe Chicurel Susan O'Brien
Jacob Damouni Mike Shepherd
Ken Dawson Rick Swider
Pelican Bay Services Division Staff Mary McCaughtry, Operations Analyst
Neil Dorrill, Administrator Lisa Jacob,Associate Project Manager
Marion Bolick, Operations Manager Barbara Shea, Recording Secretary
Also Present
Charles Bodo, Pelican Bay Foundation John Gandolfo, Pelican Bay Foundation
John Chandler, Pelican Bay Foundation Jim Hoppensteadt, Pelican Bay Foundation
Dave Cook, Pelican Bay Foundation Trent Waterhouse, Pelican Bay Foundation
APPROVED AGENDA (AS PRESENTED)
1. Pledge of Allegiance
2. Roll call
3. Agenda approval
4. Approval of the 04/13/18 Budget Committee meeting minutes
5. Audience comments
6. Review of the proposed FY2019 Budget
a. Routine expenses cost center
b. Capital projects
c. Consolidated budget
d. PBSD special assessment history
e. Progress on extinguishing accumulated deferred maintenance
7. Adjournment
ROLL CALL
Mr. Hirniak was absent and a quorum was established
AGENDA APPROVAL
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Pelican Bay Services Division Board Special Session
April 30,2018
Mr. Cravens motioned, Mr. Dawson seconded to approve the agenda as
presented. The motion carried unanimously.
APPROVAL OF 04/13/18 BUDGET COMMITTEE MEETING MINUTES
Mr. Dawson motioned, Mr. Cravens seconded to approve the 04/13/18 meeting
minutes as amended. The motion carried unanimously.
AUDIENCE COMMENTS
Mr. Bill Flashins asked for the timing and description of new trees which will be planted
in the PBSD maintenance area. Mr.Dorrill responded that two dozen native sabal palms of varying
heights have been priced out at approximately $375/tree; quotes will be brought to the Landscape
& Safety Committee.
Dr. Joseph Doyle commented (1) on April 10, the Board of County Commissioners
approved a new stormwater utility fee of$120 per residential unit;hopefully Pelican Bay residents
will receive two credits resulting in a reduced fee of$60, and(2)the North Collier Fire District is
seeking to impose a$254 service fee on top of its ad valorem fire tax.
Ms.Anne Fleming of the Waterside Shops commented that the PBSD ERU's should be re-
evaluated, as the current mechanism results in a significant and disproportionate burden on
commercial property owners.
Mr. Ted Raia commented on (1) recent PBSD landscaping improvements and, (2) PB
pathways need improvement and concrete replacement would be favorable.
Mr. Jim Clement of CRE Consultants commented on the need for better communication
with commercial property owners regarding scheduled PBSD meetings.
Ms. Molly Moffatt commented that the PB berm looks like an"eyesore."
REVIEW OF THE PROPOSED PBSD FY19 BUDGET
Mr. Shepherd provided a powerpoint presentation on the proposed PBSD FY19 budget.
Highlights included:
• The PBSD Budget Committee approved the proposed FY19 budget unanimously at their
April 13 meeting.
• Total PBSD routine expenses show an increase of 2.68% in FY19 from the prior year.
• Capital projects include (1) projects already approved by the PBSD Board, (2) "accrual
accounts"to be spent on future projects, and(3) extraordinary expenditures.
• $500,000 is included in the budget for restoration of one out of ten lake banks which were
cited by our engineer as needing immediate attention.
• $1,840,000 is included in the budget for Hurricane Irma related items to include (1)
$1,290,000 to repay loans from other accounts, (2) $400,000 for berm restoration, and (3)
PB interior restoration.
• $200,000 is included for beach renourishment, and $375,000 for other discretionary
projects.
• The proposed FY19 assessment will rise to $1,016.73, from $652.86 in FY18.
• The PBSD has accrued$12 million in deferred maintenance over the last 14 years,resulting
from many years of assessments which remained virtually unchanged from year to year.
• Items not included in the FY19 budget include(1)beach super renourishment,(2)walkway
replacement, (3) funds to examine possible failing stormwater structures, (4) 90% of
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April 30,2018
recommended lake bank remediation, (5) US 41 noise mitigation, (6) funds to research a
possible migration to an independent district, and(7) staffing additions.
PBSD BOARD COMMENTS ON THE PROPOSED PBSD FY19 BUDGET
Mr. Shepherd commented that the current ERU allocation to our commercial members
could be a discussion in the future, but not for this meeting. Ms. O'Brien commented that a$364
increase in the PBSD assessment would have a huge impact on our commercial members. Mr.
Dorrill commented that a methodology study of perceived benefits to PB parcels was performed
45-50 years ago when PB was first conceived, which resulted in a proration of benefits to 7,615
units among residential (84-85%) and commercial parcels (15-16%).
Mr. Swider commented on the need to address our accumulated $12 million deferred
maintenance.
Ms. O'Brien commented on $500,000 budgeted for lake bank remediation including (1)
the lack of review of the four lake bank remediation options(with large differences in cost)by the
full board, and (2) the lack of discussion on the necessity to address critical and/or secondary
erosion by the full board.
Ms. O'Brien commented on$1.3 million budgeted to pay back the IRMA loan. This seems
unnecessary as the PBSD is expecting partial reimbursement from FEMA and insurance. She also
questioned why we are not using any of the $2.1 million in"capital projects reserves."
AUDIENCE COMMENTS ON THE PROPOSED PBSD FY19 BUDGET
Ms. Peggy Thorne requested that the extraordinary expenses included in the FY19 budget
be spread over a few years.
Mr. Dave Cook commented on (1) the importance of researching our aging stormwater
management system, and (2) taking a look at obtaining a loan to pay for large projects (such as
sidewalk replacement).
Mr. Jeff Brown commented on the Ritz Carlton's opposition to the huge increase in the
proposed FY19 assessment.
Dr. Joseph Doyle commented on (1) the lack of a PBSD IRMA recovery committee, (2)
the lack of information on the number of claims filed and their status, (3) the lack of a defined
PBSD budget policy, and (4)the ability of the PBSD to obatain a loan to complete large projects.
Mr. Bob Foster questioned whether the high FY19 assessment would be a one-time event,
followed by a much lower assessment in FY20.
Mr. Jim Zinger commented on the "low level" of the PBSD assessment, considering the
large amount of services provided.
Mr. Bill Griffin questioned whether there is a legal basis to abolish the PBSD and have the
PBF take over its responsibilities. Mr. Dorrill commented that as a"micro-governmental" entity
(part of Collier County), this option is not possible.
Mr.Henry Bachman commented that PBSD easements exist for the purpose of maintaining
proper drainage throughout Pelican Bay, and therefore, lake bank remediation is not a PBSD
responsibility (lake banks are all privately owned and should be maintained by the respective
associations).
Ms. Sharon Feldman requested a copy of the 2017 ABB report on PB lake banks.
Mr. Ted Raia commented that the PBSD budget should not include any funds for private
lake improvements or storm drains and sewer pipes (County responsibility).
Mr. Jim Issenman commented positively on the PBSD "doing the fiscally responsible
thing" and working to ensure that PB remains a premier community.
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Pelican Bay Services Division Board Special Session
April 30,2018
Mr. Bob Sanchez commented on the numerous PBSD unfunded projects and the inability
to catch up.
Mr. Craig Matthews suggested the PBSD Board develop a five-year plan.
Mr. Gerry Moffatt commented that PB residents should receive the same benefits as other
County residents, and that PB residents should be paying an assessment only for incremental
benefits over the base level.
Mr. John Chandler commented on (1) the high cost estimates for lake bank remediation,
and (2) his preference for properly naming a contingency fund for future disasters.
Ms. Mary Johnson commented on (1) the need for additional discussion on the four lake
bank remediation options by the PBSD Board, (2) the lack of funds set aside for stormwater
structure failures, and(3)the need to maintain our stormwater management system.
ADJOURNMENT
IThe meeting was adjourned at 12:46 p.m.
Scott Streckenbein, Chairman
Minutes approved [ ] as presented OR [ ✓ 1 as amended ON [ 6 -I 0 ] date
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