Resolution 1992-099/CWS 92-02
RESOLUTION NO. 92- 99
FEB I I 1992
CWS No. 9 ~---1
A RESOLUTION DY TIlE BOARD OF COUNTY COMMISSIONERS, OF
COLLIER COUNTY, FLORIDA, AS THE GOVERNING BODY OF
COLLIER COUNTY AND AS EX-oFFICIO THE GOVERNING BOARD
01' THE COLLIER COUlCTY WATER-SEWER DISTRICT, PROVIDING
I'IKDrKCS; DETERMINING THE TRANSITION Of UTILITY
SERVICE FOR SEWER FROM NAPLES SEWER COMPANY TO
COLLIER COUNTY REGIONAL TREATMENT FACILITIES IS IN
THE PUBLIC INTEREST; CONSIDERING CERTAIN MINIMUM
CRITERIA AIm STATUTORY POINTS OF CONSIDERATION AND
IlAJtINC AND ADOPTING A STATEMENT SHOWING THAT THE
TRANSITION AGREEMENT AND ITS CONSEQUENCES ARE IN THE
PUBLIC INTEREST, INCWOING A StJMMARY OF THE COUNTY' S
...uERIElfCE IN SEWER UTILITY OP~ATION AND THE SHOWING
OF FINANCIAL ABILITY TO PROVIDE SUCH SERVICES.
IT IS HEREBY ASCERTAINED, DETERMINED, DECLARED AND FOUND THAT:
A. The Board of County C~i..ioner. of Collier County,
norida, a. the governine) body of eoll ier County and as
ax-otficio
the COYerning
the Collier
County
Board of
Water-sever Diatrict, (hereinafter .County.) and appropriate
.taff
fr~ the COllier
have
County Utilities Divi.ion
considered and reviewed the following documentation relative to
.aple. Sever COIIp8ny, Inc.: the IIOst recent available income
and expense .tat...nt for the utility, the most recent
available balance .h.et for the utility, listing assets an~
liabilitie. and clearly .howing the a.aunt of contributions in
. aid of con.truction and the accuaulated d.preciation thereof,
and a .tate.ent of the .xi.ting rate base of the utility for
regulatory purpo.... Thi. information was obtained from the
..ple. Sew.r Coapany, Inc. and the reports filed with the
Florida Public Service Co..ission for the year ended December
31, 1990.
B. Th. County by and through its utilities Division
Adalnistrators and staff have investigated and are generally
appri.ed a. to the physical condition of that portion of the
utility
facilities necessary for interconnection
of the
exi.ting collection facilities presently owned by Naples Sewer
Co.pany,
I
Naples
Inc., or owned
by the County
and leased to
Sever Coapany, Inc. As well, the County has negotiated with
Naples
Sewer Company and arrived at an agreement which
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reasonably assures that at the time any facilities are conveyed
to the County tho.e facilities will be in physical condition
acceptable to the County.
C. Th. County has considered the reasonableness of
entering into a ..rvice transition agree.ent between the County
and
Napl.. Sewer Company, Inc. which
provides for the
abandonaent and disaantling of all of the package plant
traa t:JIent
facilities and .iault8neou. connection
to the
reqi~nal tr.at..nt facilities of the Collier County Water-Sewer
Di.trict.
Recognizing that other alternatives are available,
and
alternatives
represent
facile
that
those
other
~ttbnitie. with IIOre and le.s expensive approaches to the
aub1ect aatter, the County has deterained that the .ubject
transition agr....nt i. the be.t alternative and that the
consideration, covenant. and teras thereof are reasonable.
This d.teraination i. aade partially in the interest of
providing for a ..oath .ervice tran.ition in an attempt to
avoid
',1If 'lit
.i t~.
",:1'~::.: in the intere.t of autual cooperation ai.ad at be.t serving the
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in an .xpeditious, efficient, and le.s controversial
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di.pute or opportunity cost, both known and unknown, and
fubion.
The County has considered the con.equence. to settling the
liti9ation brought again.t the County by the other parties to
thi. Aqr....nt in Ca.e Ho. 91-0983-CA-Ol-WLB in the Circuit
Court for the Twentieth JUdicial Circuit and has determined
that entering into the transition agreement represents on the
whole the aost expeditious, effective and inexpensive method
for r..olution of disputes between the parties.
D.
The
County has considered the
impacts of the
consequences of the SUbject service transition agreement on
both the ratepayers within the present Naples Sewer Company
service area as well as all ratepayers within the Collier
County Water-Sewer District.
E. The County is currently prepared to install sewer
facilities to connect to the Naples Sewer Company service area.
Given that the current Naples Sewer Company sewer treatment
n:.o I I j';:1::jt,
package plant and/or necessary appurtenances are near capacity,
it i. hereby concluded by the County that the public will be
best served by an asicable, SJIOOth and accelerated service
transition fr~ interi. .ervice to the County's regional
facilitie..
F. The County will not operate the package sever plant
now owned and operated by Naple. Sever Company, instead Naples
sever Coapany has agreed to abandon and dismantle those interim
faci:itie..
The
reaaininq
collection
tat:ilities
are
subdivi.ion type iaprov..ent. and are either owned by Naples
sever Coapany, or owned by the County and leased to Naples
Sever Caapany. The.. collection facilities are of the nature
of subdivi.ion-type t.prov...nts and vill be connected to the
COUnty'.
regional treataent facilities and
all existing
c:uatoIIer. vill be
connected to
the County'.
regional
transai..ion and treat..nt facilitie.. Impact fee. for the
COUnty regional transai..ion and treat.ent facilities vill be
collected fr~ the current Naple. sever Company customers over
tiJle and fr~ future user. a. building perait. are pulled1 all
in conforaance vith the county'. iapact fee ordinances.
c.
i. in the public interest that long range
It
planning, aanaq...nt and financing and long term maintenance,
upkeep and operation of vater, .ever and irrigation facilities
vithin the Collier County Water-Sever District be uniform,
efficient and econ~ical.
H. Naple. Sever eoapany i. regulated by the Florida
Public Service Co.ai..ion. The County is exempt, by law, from
regulation by the Florida Public Service Commission. The
Florida Public Service C~ission has issued a certificate
authorizing Naple. Sewer C0ap8ny to provide sewer service
vithin
the boundaries of the Collier County Water-Sewer
Di.trict and partially within the boundaries of the Naples
Production Park KSBU.
I. Maintaining the integrity and the ability of the
Collier County Water-Sewer District to provide regionalized
vater, sewer and irrigation services within its boundaries,
FEB I I I9S2
includinq the provision of wastewater service to the Naples
Production Park MSBU, is con.istent with County's comprehensive
plan and consistent with the enabling legislation for the
COllier county Wat.r-Sever District.
J. A perforaanc. based agr....nt between the County and
Naple. Sever Coapany, and the oth.r related parties involved in
the afor...ntioned ea.e No. 91-0983-CA-Ol-WLB to transition
aarvice represent. an efficient, saocth and orderly procedure
d..igned to ainiaize opportunity costa and to avoid and resolve
dispute and controversy wh.re po.sible.
K. The County has considered the nec.ssary additional
inv..taent required to provide a transition from the package
traataent facilities of Napl.. Sever Company to the County's
regional facilities and her.by d.clares its willingness to make
such an investaent. The County has considered the alt.rnatives
to a transition aqr....nt with Naples Sever Company and the
potential iapact on the ratepayers both in the Naples Sewer
co.pany service ar.. and the ratepay.r. within the Collier
County Water-Sever District. The expense and charge. resultant
f~ operating package treataent facilities are uneconomical
and inefficient vis a vis the provision of regional treatment
and transaission facilities by the Collier County Water-Sewer
Di.trict. The transition of service will avoid threaten.d
dispute. relative to the provision of sever treataent services
in the partially overlapping benefit areas in the Naples
Production Park MSBU. Additionally, failure to transition
service froa Naples Sever Company would be generally
inconsistent with the County's Growth Management Plan and
specific objectives related to the development and furtherance
of regional water and sewer .y.telUl.
L. The County has continually evidenced and exhibited
the ability to provide and aaintain high quality and cost
effective water and sever utility facility services.
M. This Resolution shall also serve as a statement
shoving that the Naples Sever Company Service Transition
Aqreement is in the public interest ~nd ~h~ll be deemed to
include a summary of the County's experience in the water and
sever utility operation as well as a showinq of the financial
ability to provide such service.
M. The County operate. a regional water and sewer
utility district which has continuou.ly provided regional water
and sever treataent services to the coastal urban frinqe of
COllier county for aany years. The County's experience and
experti.. bas qrown almost expon.ntially over that period and
continu.s to grow in this regard. The subject portion of the
Maples Sev.r eoapany service area is wholly within the Collier
County Water-Sever District. The County operates two regional
vaatavater facilities with respective capacities of 4.5 and 8.0
aillion gallons per day. The county operates one 12.0 million
gallon per day water treat..nt facility and has under design
another 12.0 aillion qallon per day water treatment facility
acbeduled for coapletion in late 1992 or early 1993. The
County'. reqional vater-sever district is acblinistered by the
Collier county utilities Division which employs approximately
156 persons in acco.plishing it. service aission.
o. The County has the financial ability to provide sewer
service. to the current Naples sever Coapany certificated area
within Colli.r County.
Additionally the County, while not
specifically
budqeted, bas IIOnies
monetary
to pay the
conaideration and a.et the covenant. required under the subject
transition aqre...nt.
In both instances funds are readily
available without the necessity of current borrowing.
P. The County comaission has considered the Naples Sewer
Coapany Service Transition Agre...nt attached hereto and after
having heard public COMaent on same and having considered, by
way of exaaple and not liaitation;
a)
b)
the aany and varied circumstances surrounding the
necessity and desirability for service transition;
the existing local general purpose government's
objectives of providing, and commitment to provide,
regionalized utility services;
the past, current and potential future operating'
framework for the provision of utilities in the
Naples Sewer c~ny certificated area;
the alternatives, abilities and economics of
providing sever utility services to the Naples Sewer
Company certificated area;
the needs and desires of residents, ratepayers, and
c)
d)
e)
C C"R I"l')()?
f)
landowners in the Collier County Water-Sewer
District, both inside and outside the Naples Sewer
Coapany certificated area; and
the land development obligations of the original
developers and .ubsequent purchasers in the Naples
Sever Coapany certificated area to provide and
receive .ever treataent until such time as
development in these areas can be connected to the
COUnty's regional treat..nt facilities; and
alternative procedures for achieving the objectives
and fulfilling the c~itaents of local government to
provide regionalized utility services; and
County C~ission hereby finds and concludes that the
g)
The
Jlaple. Sever eoapany Service Transition Agreement represents
the beat alternative, both short and long term, which best
protects, pre.erve. and adainisters all of the various, and
8OIIetiJle.
affected.
ROW, THEREFORE, THE BOARD OF COUNTY COMMISSIONERS OF
coapeting, intere.ts
and
desires involved or
COLLIER COONTY, FLORIDA, a. the Governinq Body of Collier
County and a. Ex-officio the Governing Board of the Collier
County Water-Sever Di.trict, hereby resolves that:
1. The Naple. Sever co.pany Service Transition Agreement
attached hereto and incorporated herein by reference is hereby
accepted and adopted; and, the County's chairman is authorized
to execute .....
2. Thi. Resolution adopted after motion, second and
aajority vote.
DAne: ~,1.t,
A"1"1'EST: ': , .
. . JAKES C. GILES, Clerk
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~~ed.atf'to fora and
leqai....u.ff iciency:
BOARD 01' COUNTY COISMISSIONERS
COLLIER COUNTY, FLORIDA, A
POLITICAL SUBDIVISION OF THE
STATE OF FLORIDA, AND AS
EX-QFFICIO THE GOVERNING BOARD
OF THE COLLi COUNTY WATER-SEWER
01 \
By: . - -#1 ~ .
MICHAEL J. VOLP , Ch rman
f.~~. -r Q
As.i.tant County Attorney
rIr/6p/X72
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