Minutes 07/15/2011 Port of the Islands Community Improvement District
Severn Trent Services, Management Services Division
210 North University Drive, Suite 702 .,,Coral Springs,.,Florida 33071
(954) 753-5841 —(954) 345-1292 Fax
September 2, 2011
Memorandum To: Mr. Robert Dick
Severn Trent Services, Inc.
5726 Corporation Circle
Fort Myers, Florida 33905
Reference: Minutes of Meeting Held July 15, 2011 and Approved August 19, 2011
From: Calvin Teague
District Manager
Enclosed for your records is a copy 'f the minutes of the above-referenced meeting of the Port of
the Islands Community Improvement District's Board of Supervisors. Please be sure to make
this document available for public access during normal business hours.
If you have any questions, please contact Janice Swade at(954) 753-5841.
Cc: For informational purposes vI4r. Daniel Tripaldi
Treasury Accountant
Clerk of the Circuit Court
2671 Airport Road
Court Plaza III
Naples, Florida 34112-3016
Mr. Leo Ochs, Jr.
Collier County Manager
Governmental Center
3301 East Tamiami Trail
Administration Building
Naples, Florida 34112 RECEIVED
SEP 0 8 2011
FINANCE
MINUTES OF MEETING
PORT OF THE ISLANDS
COMMUNITY IMPROVEMENT DISTRICT
The regular meeting of the Board of Supervisors of the Port of the Islands Community
Improvement District was held Friday, July 15, 2011 at 10:00 a.m. at the Orchid Cove
Clubhouse; 25005 Peacock Lane; Naples, Florida.
Present and constituting a quorum were:
Richard Ziko Chairman
Norine Dillon Vice Chairperson
Dale Lambert Assistant Secretary (Via Telephone)
Theodore Bissell Assistant Secretary (Via Telephone)
Charles Custer Assistant Secretary
Also present were:
Calvin Teague District Manager
Daniel Cox District Attorney
Ronald Benson District Engineer
Bert Underwood Project Manager
Roy Carter Severn Trent Services
Anthony Davis Orchid Cove HOA
Tom Mack Resident
The following is a summary of the discussions and actions taken at the July 15, 2011
Port of the Islands Community Improvement District's Board of Supervisors Meeting.
FIRST ORDER OF BUSINESS Roll Call
Mr. Ziko called the meeting to order and Mr. Teague called the roll.
• Mr. Teague asked the Board to authorize Mr. Lambert and Mr. Bissell to exercise
their voting rights due to the fact that they are attending via telephone.
There being no comments or questions,
Wednesday,8/10/11 @ 9:49 a.m.
July 15, 2011 Port of the Islands C.I.D.
On MOTION by Mr. Custer seconded by Mrs. Dillon with all in
favor, Mr. Dale Lambert and Mr. Theodore Bissell were authorized
to exercise their voting rights via telephone, as discussed.
SECOND ORDER OF BUSINESS Approval of the Minutes of the
June 17, 2011 Meeting
Mr. Ziko stated each Board member received a copy of the Minutes of the June 17, 2011
Meeting; and requested any additions, corrections or deletions.
• On Page 5 in lines 30 and 31,Port of the Islands should replace Severn Trent.
• On Page 10 in line 1, POI should replace Severn Trent.
• On Page 10 in line 3,POI should replace Severn Trent.
• On Page 10, Lines 25 through 30 should be edited to reflect discussion of a
different subject than the Lot 45 Swale Agreement.
• On Page 11 in line 29, Villages of should be inserted before Stella.
• On Page 12 in line 1, but is still well within the permit should be added at the end
of the sentence.
• On Page 15 in Line 11, Irrigation Pump Station should replace Swale Agreement
on Lot 45 (Continued).
There being no further additions, corrections or deletions,
On MOTION by Mrs. Dillon seconded by Mr. Custer with all in
favor, the Minutes of the June 17, 2011 Meeting were approved as
amended.
THIRD ORDER OF BUSINESS Audience Comments
• Mr. Davis reminded the Board the lift station utility bill should be transferred to
the CID.
➢ This should be on a separate account, but everything will be combined.
FOURTH ORDER OF BUSINESS Old Business
A. Review of Landscape Maintenance Performance
Mrs. Dillon did a walk-through with Mr. Soto.
• Four Coconut Palms on Newport Drive on CID property were trimmed yesterday.
• Some photo cells were not working on both Newport and Cays Drives.
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July 15, 2011 Port of the Islands C.I.D.
• The Cinch Bugs are being taken care of.
• The exotic trees were removed.
• The Oleanders are coming along well.
• Mrs. Dillon suggested turning off the sprinklers on CID property, as she believes
there is no need to water at this time.
• Soto's Lawn Service sent an estimate to remove the Oak Tree on Newport Drive
which was struck by lightning in the amount of $250; a copy of which will be
entered into the official record.
➢ The actual price is $245.
➢ The Board was in concurrence to have this done; and no motion was
required.
• The Crepe Myrtle Trees on the east median are starting to turn yellow and need
fertilizer.
• Mrs. Dillon spoke to Mr. Soto with regards to doing a 50% split on sprinkler head
repairs.
➢ Mr. Soto would like to do a spreadsheet; and he is still working on an
overall landscape plan.
• The Oleanders were planted.
➢ Mrs. Dillon assured Mr. Lambert the rain has been providing enough
water for the new Oleanders to grow without having to run the sprinklers
more frequently.
• Mrs. Dillon will do the walk-through next month.
B. Update on 2011 Backflow Preventer Installations
Mr. Ziko expressed his dissatisfaction with the installation crew.
• One of them told Mr. Ziko they had no time to notify residents when water was
being shut off.
• Their work is sloppy.
➢ The installations are not parallel and level.
➢ They need to take corrective actions or another contractor will be found to
take their place.
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July 15, 2011 Port of the Islands C.I.D.
• Mr. Teague would like to delay further discussion until such time as Mr. Frank
Branch can address this with the Board.
FIFTH ORDER OF BUSINESS New Business
There being no new business,the next item followed.
SIXTH ORDER OF BUSINESS District Manager's Report
A. Update on Warranty Repairs for Sign
• Lykins Signtek sank some stainless steel screws in to keep the joint secure.
➢ They painted all but one.
➢ It does look better.
• A warranty on the workmanship came with the sign.
• Mrs. Dillon is concerned with the fact that the sign is in two pieces instead of one.
• The sign has been there for one and one-half years and the black lettering appears
to be fading already.
• The Board agrees that Lykins Signtek did the sign poorly and it should be
repaired properly.
• Mrs. Dillon asked Mr. Teague to tell the manager the Board is not happy with the
sign.
B. Questions and Comments on Proposed Fiscal Year 2012 Budget
There being no questions and comments on the proposed Fiscal Year 2012 Budget, the
next item followed.
Mr. Teague addressed some miscellaneous items.
• The response to Mr. Chris Shucart regarding the drainage piping sediment was
discussed.
➢ He believes the CID is responsible for some dredging at the marina basin.
➢ There is a lot of sediment at the corner of the basin; and Mr. Shucart
believes it is from a drainage line which collapsed a few years ago.
➢ Mr. Benson investigated the issue and discussed further.
o The pipe was replaced in 2003.
o Anything which would have gone into the canal because of the
sinkhole above the replaced pipe would have shown up in the 2003
and 2004 aerial photos.
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July 15, 2011 Port of the Islands C.I.D.
o There are two locations which the sediment may have come from:
• From the runoff in the CID's swale;
• Debris from construction of the parking lot for the hotel
which was done in 2008.
o Mr. Benson concluded that some sediment is attributed to the CID
system; and some is attributed to the construction activity of the
parking lot.
o Mr. Benson suggested both parties may be able to share the costs.
➢ Mr. Lambert believes the natural flow of the tides causes the sediment;
and may have nothing to do with the pipe.
➢ Mr. Teague will send an e-mail to Mr. Shucart asking him to provide an
estimate to dredge the entire area with the two parties sharing the cost for
the Board's consideration.
• The SFWMD Notice General Permit No. 13640 was discussed by Mr. Benson; a
copy of which will be entered into the official record.
➢ This is for the wastewater plant drainage.
➢ The CID has a right-of-way.
➢ The permit allows the CID to install a drainage pipe across the SFWMD-
owned property.
➢ The work which must be completed by July 31, 2011 in accordance with
the permit has already been done.
➢ Staff in Mr. Benson's office will send the completion report to SFWMD.
• The permit for the well field was handled by Mr. Cox.
➢ He called SFWMD and reminded them the DEP previously agreed not to
get involved with this well field.
➢ They should coordinate with Mr. Benson to ensure their design does not
impact the CID's system.
➢ All involved parties are working together to avoid any issues or damage to
the pipe.
• Mr. Benson discussed a legal advertisement Collier County posted in the
newspaper regarding changes in their well field protection ordinance.
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July 15, 2011 Port of the Islands C.I.D.
➢ They are only replacing the exhibit in the ordinance which shows the
locations of the well field protection areas.
➢ The CID is included in the new exhibit as an area to be protected by the
state.
The Board resumed discussion on the proposed Fiscal Year 2012 Budget.
• Mrs. Dillon wants to know if the budget for streetlighting should change to reflect
the addition of Orchid Cove.
➢ The funds will be available in the General Fund.
• Mr. Cox reminded Mr. Teague that the updated Capital Improvement Plan needs
to be attached to the proposed budget.
FOURTH ORDER OF BUSINESS Old Business (Continued)
B. Update on 2011 Backflow Preventer Installations (Continued)
• Mr. Frank Branch just told Mr. Teague he had an emergency and was unable to
attend this meeting to address the issue.
➢ Mr. Branch assured Mr. Teague all backflow preventers will be inspected
prior to being certified.
SEVENTH ORDER OF BUSINESS Field Manager's Report
Mr. Underwood distributed the June 2011 Operations Report for discussion; a copy of
which will be entered into the official record.
• There were questions regarding the recent loss of several pumps.
➢ Staff is going to work with the contractor and bring in equipment which
will monitor incoming electricity to determine how clean the pumps are.
• Mr. Roy Carter has been attending bi-weekly meetings with the contractor and
engineer for the new water plant.
A. Update on High Water Usage
Mr. Underwood distributed a spreadsheet showing water loss in the CID over the past
few months; a copy of which will be entered into the official record.
• This report will be distributed at the Board meetings going forward.
B. Update on Exposed Pipe Issue Along the Canal
Mr. Benson gave the update.
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July 15, 2011 Port of the Islands C.I.D.
• The problem was with the old irrigation pump station which was there before the
new one was installed.
• The pipe has been taken care of and only some old PVC lines remain.
A. Update on High Water Usage (Continued)
Mr. Benson distributed a diagram and spreadsheet; a copy of which will be entered into
the official record.
• The SFWMD permit covers the amount of water the CID is drawing.
• A meter was installed at each well as required by the District.
• There is also a meter at the canal pump station.
• The District must tell SFWMD how much water is used in comparison to the
permit.
• The CID is required to report water loss to the SFWMD.
• Water is removed from the wells and goes to the water plant.
• There is water which the customers' meters add up to.
• Water is used in the plant for the purposes of making more water.
➢ This is backwash water which is evaporated and soaks into the ground.
➢ This water is estimated and can be adjusted in order to make the balance
between the meters match to what is being taken out of the ground.
• The CID is also required to flush the distribution system in order to keep the
water quality up.
• Some of the irrigation water is used at the fire hydrants.
• Mr. Benson and Mr. Underwood recommend that an audit be done on the meters
for a few days to determine whether or not everything adds up correctly.
• The last page of the handout shows what everything is going to look like once the
water treatment plant is complete.
➢ The backwash water will no longer go to waste, but will be replaced by
concentrated water which goes into the reuse tanks and is reclaimed.
C. Discussion of Potential Insurance Claim for Loss of Pumps
• Staff is trying to locate a weather report from the time the damage occurred in
order to prove the lightning damage.
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July 15, 2011 Port of the Islands C.I.D.
• A lift station on Stella Maris Drive South had some problems a couple of weeks
ago which likely resulted from a storm.
➢ Mr. Roy Carter indicated the entire control system was affected and the
parts are currently out for repair.
➢ A neighbor indicated there was a huge lightning strike at the time the
system was damaged.
➢ Mr. Carter is expecting a full report indicating the cause.
➢ Mr. Lambert recommended staff immediately file an insurance claim; to
which Mr. Teague was in agreement.
➢ The pumps are still operating under the circumstances.
D. Update on Mosquito Spraying
• Mrs. Dillon commented that the person doing the spraying seems to be going too
fast, in which case there is less disbursement.
• She does not believe he sprays beyond the homes.
• Mr. Ziko asked Mr. Underwood to give him a copy of the spraying instructions.
• They are limited to spraying within a 300 foot width and they are not allowed to
spray on water.
• Mr. Bissell would like to get a copy of the state's regulations for spraying.
• Mr. Underwood will look into a better machine.
• Mr. Bissell suggested Mr. Teague should invite the state or county official in
charge of mosquito spraying to attend a future Board meeting in order to answer
specific questions in this regard.
➢ Mr. Lambert suggested this issue be kept in-house for the time being as
getting the state or county involved may cause more problems.
E. Update on Asset Management Issues
• Staff is currently working on a detailed list.
➢ Mr. Lambert would like the list to include the condition of each item.
➢ They are working from the current list.
➢ Mr. Benson suggested that the risk management people look at the
completed list in order to determine whether or not any changes need to be
made with regards to the insurance.
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July 15, 2011 Port of the Islands C.I.D.
➢ Adjustments in value may need to be made.
Miscellaneous issues were discussed.
• Mrs. Dillon asked Mr. Underwood whether or not the issue regarding the 120,000
gallon water bill in Orchid Cove was resolved.
➢ Mr. Underwood recalls there were a lot of water hoses running in the area
at the time because sodding was being done.
➢ There were no leaks.
➢ Mr. Underwood told this homeowner that nothing could be found which
could have caused this problem, and he was satisfied with this response.
➢ This issue will no longer be pursued since nothing can be proven one way
or the other.
• Mrs. Dillon asked for a status of the Health Department complaint against the
wastewater plant.
➢ The door going to the chemical room had to be opened with a string since
the pulley was not working.
➢ The door and jamb is in bad shape.
➢ They are asking that the door be replaced.
➢ It is not an issue of major concern.
• Mr. Ziko wants to know if the pipes at the end of the road were removed.
➢ They were not removed because staff cannot locate the shutoff.
➢ Line locations will have to be done.
➢ The backflow preventer can be removed temporarily.
➢ The valve is stuck shut.
• Mrs. Dillon wants to know whether or not the hydroguard was installed at Orchid
Cove.
➢ It was just delivered yesterday.
• Mrs. Dillon asked whether or not Mr. Casey sold the old meters.
➢ Mr. Underwood will have to check on the status with Mr. Casey, but the
meters are still here.
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July 15, 2011 Port of the Islands C.I.D.
EIGHTH ORDER OF BUSINESS Attorney's Report
A. Update on North Hotel Bankruptcy Proceedings
• Mr. Cox received word from the bankruptcy court that the ordinance was in effect
and the CID has been in legal existence without interruption since its creation in
1989.
• Mr. Teague and Ms. Ellis gave depositions.
• Mr. Benson and Mr. Bob Duane are also set to give depositions on August 2nd
regarding the planning land use analysis.
• They would like to take depositions from each CID Board member on August
25th, but Mr. Cox does not believe it will go this far.
• Mr. Custer wants to know what will happen if this works out in the CID's favor.
➢ The basis of the Tax Collector's claim will have been proven valid.
➢ There will be a lien on the property.
➢ Any reorganization plan will require the lien to be paid.
➢ If a reorganization plan cannot be confirmed, it would be converted to
Chapter 7 and sold; at which time the CID will get paid first.
B. Update on Drainage Swale Agreement on Lot 45
• The agreement was finalized and Mr. Benson will present it to the homeowner.
C. Update on Villages of Stella Maris Utility Ownership
• Mr. Cox received some information, but has not been able to commence working
through this yet.
Miscellaneous issues were discussed.
• Mr. Lambert discussed the Severn Trent Services Operating Agreement which is
set to renew in October.
➢ Mr. Lambert and Mr. Dick will discuss changes which may or may not
need to be made.
➢ The new water plant may modify the needs of the contract.
➢ Mr. Lambert suggested a letter be sent to Severn Trent indicating they
would like the contract to renew on a monthly basis until such time as the
new water plant is up and running.
➢ Substantial completion is estimated at December 2011.
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July 15, 2011 Port of the Islands C.I.D.
o Substantial completion means the equipment can be turned on to
make water.
o Final completion is set for a couple of months later, which is
estimated to be the beginning of March 2012.
➢ Mr. Cox can bring a Memorandum of Understanding for the Board's
consideration at the next meeting.
NINTH ORDER OF BUSINESS Engineer's Report
A. Update on New Water Treatment Plant
Mr. Benson distributed the Monthly Progress Report for discussion; a copy of which will
be entered into the official record.
• Mr. Benson discussed insurance.
➢ The contractor obtained Builders' Risk Insurance for the work in progress
for everything to be insured while it is being built; and was added as a
Change Order to the contract.
➢ Staff was told that the FEMA flood insurance program will insure a
building at a limit of$500,000.
➢ The quote from a private insurer was approximately $40,000 per year.
➢ Mr. Benson recommended that a decision regarding flood insurance
should be made by the CID.
➢ Mr. Benson does not believe the CID ever had flood insurance.
➢ There may be state or federal programs for governmental entities.
➢ The loan documents do not contain any requirements for insurance.
• Mr. Bissell wants to know if the Board must approve all Change Orders.
➢ There is a fund for certain allowances.
➢ Any items which are handled and paid for with this allowance do not
require Board approval.
➢ Any items which change the contract price require Board approval.
➢ Mr. Lambert receives copies of all Change Orders.
• The contractor is running 22 days late on the contract so far.
➢ Mr. Benson commented the CID should anticipate a delay of one month,
which is normal for this type of project.
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July 15, 2011 Port of the Islands C.I.D.
➢ There may be a Change Order for time, as opposed to money at some
point during the project.
• They are almost ready to pour concrete for the foundation and floor slab; and once
this is done the block will go up quickly.
➢ They were scheduled to start pouring concrete today, but it will probably
be done on Wednesday.
• Mr. Benson and his staff have processed 123 technical submittals.
➢ Most of these are re-submittals which were not done properly to begin
with.
• They expect to see large invoices coming in from the contractor soon.
• Cardinal has been working with ITT in coordinating shipment and arrival of
equipment.
• There is a contract requirement to have concrete samples sent for independent
testing.
Miscellaneous issues were discussed.
• Mrs. Dillon commented that the retention pond appears to be a depression in the
ground with a scattering of grass growing in it; and she wants to know if this is
the way it should look.
➢ Grass will be planted before it is finished.
➢ All of the storm water management areas start out dry and fill up as it
rains.
➢ Some will only have water after a major storm.
TENTH ORDER OF BUSINESS Supervisors' Requests
• Mrs. Dillon commented that Mr. Holecek's property is overgrown and in need of
trimming; and she wants to know if the CID has gotten permission to use part of
the property for marshalling.
➢ Mr. Benson will check on this.
• Mrs. Dillon wants to know if the spare MBR blower was ordered.
➢ It is in the process of being ordered.
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July 15, 2011 Port of the Islands C.I.D.
• Mr. Lambert and Mr. Bissell would like to receive copies of all of the handouts
from this meeting.
ELEVENTH ORDER OF BUSINESS Audience Comments
• Mr. Davis discussed water issues in Orchid Cove.
➢ The Miccosukee Gift Shop burned down and the fire department
replenished the water tanker.
➢ The Fire Chief asked him what the CID bills for the non-potable water.
➢ Mr. Teague asked Mr. Underwood to send them the schedule, but it should
be less than $10 per 1,000 gallons.
TENTH ORDER OF BUSINESS Supervisors' Requests (Continued)
• Mr. Ziko will not attend the August Board meeting.
➢ Mr. Teague will check to see if Mr. Ziko can call in from Canada.
• Mr. Bissell will call in at the August meeting.
TWELFTH ORDER OF BUSINESS Approval of June 30, 2011 Financial
Statements and Check Register
Mr. Teague presented the June 30, 2011 Financial Statements and Check Register for the
Board's review and approval; copies of which will be entered into the official record.
• Mrs. Dillon wants to know whether or not the CID will be reimbursed for the
engineering and Severn Trent costs related to the North Hotel bankruptcy.
➢ Mr. Cox assured the Board they are keeping track of all costs.
Mr. Custer MOVED to approve the June 30, 2011 Financial
Statements and Check Register.
• Mr. Ziko commented that the District Attorney's rates for the North Hotel
bankruptcy case are high and would like to know how long this is expected to
continue.
➢ The deposition of the engineers will be on August 2nd and expected to last
the entire day.
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July 15, 2011 Port of the Islands C.I.D.
➢ Mr. Cox will have to file a motion for Summary Judgment if his attorney
does not modify the complaint, which will take approximately 25 to 30
hours.
Mrs. Dillon SECONDED the prior motion.
➢ Summary Judgment would probably be heard in September.
There being no further discussion,
On VOICE vote with all in favor, the June 30, 2011 Financial
Statements and Check Register were approved.
THIRTEENTH ORDER OF BUSINESS Adjournment
There being no further business,
On MOTION by Mrs. Dillon seconded by Mr. Custer with all in
favor, the meeting was adjourned at 12:38 p.m.
Calvin 1 eague / Norine Dillon/
Secretary Vice Chairperson
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