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BCC Minutes 08/15/1994 B (Pelican Bay Budget - Bonds)1 1 ORIGINAL BOARD OF COUNTY COMMISSIONERS PUBLIC HEARING August 15, 1994 5:00 p.m. The Club at Pelican Bay 707 Gulf Park Drive Naples, Florida REPORTED BY: Jaclyn M. Ouellette Deputy Official Court Reporter TELE: OFFICIAL COURT REPORTERS Carrothers Reporting Service, Inc. 20th Judicial Circuit - Collier County 3301 East Tamiami Trail Naples, Florida 33962 (813)732-2700 FAX: (813)774-6022 OFFICIAL COURT REPORTERS, COLLIER COUNTY, HAPLES, FL 33962 II II 2 BOARD MEMBERS: TIMOTHY CONSTANTINE BETTYE MATTHEWS JOHN NORRIS BURT SAUNDERS MICHAEL VOLPE ~TAFF: NEIL DORRILL - County Manager MIKE SMYKOWSKI - Utilities Administrator JAMES C. WARD, Division Administrator KEN CUYLER, County Attorney MIKE McNEES, Utilities Division OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 PROCEEDIEGS COMMISSIONER CONSTANTINE: Why don't we go ahead and start this evening's meeting. Mr. Dorrill, if you will lead us in the invocation and also in the pledge to the flag. MR. DORRILL: Heavenly Father, we give thanks this evening and thanks in particular again for the opportunity to come to this wonderful community of Pelican Bay. We are thankful for its people and the quality of life that they enjoy within this part of Collier County. We would ask that you watch over us this evening in the deliberations and business decisions that are to be made by the County Commission and that you would bless this time together and we pray these things in your Son's holy name, amen. (Pledge of Allegiance.) COMMISSIONER CONSTANTINE: I was in the room when Oliver North was here and he had his own security people and they had the stage by those windows and the security people were petrified that somebody was going to be out there on the golf course shooting at Olly, so I see they have lined us up against the wall just for safety so OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 that no one will be shooting at us. We have three items on the agenda tonight. We'll go through them one at a time. If anyone wants to speak, we'll be fairly informal but it would help -- there are slips up by the beverages -- if you will fill those out and pass them on to the county manager. easier. That will just make the process go If you decide later in the program that you would like to speak and you did not fill out one of those slips, just feel free to raise your hand and we'll recognize you. We will ask you to announce your name for the matter of the record, but without further ado we'll start on Item 3-A, which is a recommendation that the Board of County Commissioners adopt a resolution for the redemption of the prior Pelican Bay Improvement District's water management bonds. Mr. Ward? MR. WARD: Thank you, Commissioners. For your record, Jim Ward, Pelican Bay Services. The first item tonight deals with an issue that OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 we have discussed within this community and in front of the Pelican Bay Services Division Advisory Committee for over three years now, and most heavily within the last year, and it relates to two issues. First is the prior Pelican Bay Improvement District Water Management bonds that were issued in 1978, 1979, roughly in the amount of $3.6 million and that are paid by this community through assessments on a yearly basis. There currently is outstanding roughly $1.7 million in those bonds and the community has been discussing for, as I indicated, three years and most recently within the last year very heavily a method in which we could redeem those prior P.B.I.D. Water Management Bonds. In addition to that issue, when the Board of County Commissioners assumed the duties of the prior Pelican Bay Improvement District Board of Supervisors, we have remaining outstanding our utility issues which in essence the board had indicated that there would be no change in their utility rates, fees and charges to this community until parity existed within the system. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 2 3 What the community is requesting of you tonight is to consider both of those issues in tandem and to effectuate a redemption of the prior Pelican Bay Water Management bonds by essentially transferring $1.2 million in operating surpluses that were earned within this community's utility fund over to the Pelican Bay Services Division to effectuate that redemption. What that essentially will do is we will utilize roughly $600,000 of that $1.2 million to redeem those bonds. The balance of the funds will come from the reserve accounts and from other monies available there that are in the trust accounts. The other $600,000 will go into fund 109, which is the Pelican Bay Services Division general fund to be utilized for any capital expansion facilities that will be required in the future and those facilities would be any type of amenities to our landscaping program, street lighting program, the U.S. 41 buffer berm maintenance and any maintenance of what we call the Clam Bay or back berm system, anything that is authorized pursuant to the ordinance creating M.S.T.B.U. Essentially, the effect of this transfer of OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 3 assets, the $1.2 million, means that the Pelican Bay Community will go on to the standard county utility rates for potable water, waste water and irrigation services within the community. Staff is recommending that that be effectuated with the first billing cycle following the redemption of those prior P.B.I.D. bonds. For the community individually, that means that some of the users will see a decrease in rates, some of the users will see an increase in rates. We should recognize within the community, and I think the community does, is that the rates within this community have not changed since the Board of County Commissioners has assumed the duties of the prior P.B.I.D., which was in the middle of 1990, so there has been no rate changes within this community at this time. Currently, the County is providing all of the potable drinking water capacity within this community. We are also being supplied effluent needs beyond what our existing sewer plant currently is capable of providing by the County, and the existing waste water treatment plant within this community is anticipated to be OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 3 taken out of service at the completion of the County's North Regional Waste Water Treatment Plant operation, which it is my understanding that is anticipated to occur within the next 18 months. So, effectively, in that juncture, the County will be supplying this community all of it's potable water, waste water and irrigation needs from the County facilities at the North Collier plant and, as a result of that, I think the rate change at that juncture probably would be necessitated at some -- would be necessitated then and if not sooner. That in effect is what this alternative is that you have before you, and as I indicated what we are essentially requesting is that the commission use the $1.2 million in operating surpluses that have been earned within this community from its utility operations to effectuate the redemption and whatever funds are left over would be transferred to fund 109, the operating account of the Pelican Bay Services Division. With that, that's all the comments that I have. COMMISSIONER VOLPE: I have just a clarification, Mr. Ward. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 9 Either I misunderstood you or you misspoke. You indicated that the amount of the outstanding bond issue was $1.7 million? MR. WARD: I'm sorry, $1.17 million. COMMISSIONER VOLPE: Okay, $1.17 million. So there are then sufficient revenues to retire that bond. MR. WARD: Right. COMMISSIONER VOLPE: You mentioned as well that some of the customers may see an increase in their rates and others may see a decrease in their rates. Who might expect an increase and who might expect a decrease? Is it done by category, single family versus multi-family or --- MR. WARD: Let me -- I will go into a little detail to answer your question. The way the Pelican Bay rate structure currently works is it's based upon P.U.D. group types that are outlined in the P.U.D. ordinance, so there is essentially four group types that are outlined in the P.U.D., plus other uses such as commercial uses within the community. Essentially what you will see is a decrease in rates for single family, a change for commercial customers OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 10 because of the difference between the way that the Pelican Bay computed rates versus the County, so that some will see a decrease, some will see a slight decrease. The golf course will see a substantive decrease in its irrigation bill from the effect of this proposal. What we call the Group 2, 3 and 4, which are villas, mid-rises and high-rises, essentially the multi-family units within the project, will see an increase in their utility rates within this community ranging anywhere from eight -- between seven and eight dollars per month for an increase. The single families will see roughly a three dollar decrease in their utility rates per month. COMMISSIONER VOLPE: Is that for water, sewer and effluent or is this for each of them? MR. WARD: Water, sewer and effluent. COMMISSIONER VOLPE: Okay. What I heard you say was that this would come about in any event not later than 18 months from today, based upon your best guestimates? MR. WARD: Certainly, it's my feeling that it's I think unreasonable to expect utility rates to stay OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 stagnant for a long period of time, and as I indicated this community has not seen a change in its utility rates since mid-1990. There have been a significant number of changes within that utility system since 1990, which I articulated for you relative to the potable water treatment plant capacity, waste water capacity and the effluent capacity. So, I think it's reasonable to assume that the community would expect to see a change in their utility rates before that plant was taken off on. COMMISSIONER VOLPE: Thank you. COMMISSIONER CONSTANTINE: Any other questions? Mr. Dorrill, do we have any public speakers on this? MR. DORRILL: We have three public speakers. There is no indication as to whether it's this particular subject or a subject with respect to the approval of your actual budget here. So, I'll call your name and if you are not desirous to speaking on this, you want to speak on a later issue, if you would just indicate that, I would appreciate it. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 12 The first speaker I have is I believe it's Mr. Goodman, David S. Goodman. MR. GOODMAN: I am David Goodman. Mr. Ward answered most of my questions already and explained this very clearly, but I did have another concern. When the County took over the Pelican Bay Improvement District, that was quite some time ago already, and I wonder how long it will be before these additional -- this $1.2 million is transferred from the County to pay off the bonds. There has been some time that has passed and I was wondering whether interest payments to that $1.2 million that the County has held for over a year's time could also be used to diminish rates for a time. That wasn't my original concern. You really answered most of my questions, but I ask that as well. MR. WARD: In answer to the question on the effective date of the redemption of the bonds, there is a 30-day call period. I expect the redemption to be done prior to October 1st if the board takes favorable action on this tonight. Certainly at the latest by October 15th if the advertising gets held up somewhat. OFFICIAL COURT REPORTERS , COLLIER COUNTY , NAPLES, FL 33962 13 As to how the $1.2 million was computed, as I had indicated previously, that is operating surpluses that are in the account and they include all operating surpluses, so they have already had a factor taken into consideration for whatever the interest earnings are on those accounts during that period of time, so that's already been taken into consideration in this number. MR. DORRILL: The next speaker I have is I believe it's Mr. Edward Didonato. MR. DIDONATO: Later on. MR. DORRILL: Thank you. The final speaker we have then is Mr. Fromholzer, W. F. Fromholzer. MR. FROMHOLZER: I would like to pass on this. MR. DORRILL: This is all on this. COMMISSIONER CONSTANTINE: Is there anyone else that wishes to speak on this item? Seeing none, we'll close the public hearing on this particular item 3-A. What is the pleasure of the board? COMMISSIONER VOLPE: Mr. Chairman, I would like to make the motion to authorize the staff to proceed with the redemption of the $1.17 million of outstanding bonds OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 14 4 and to effectuate that redemption on or before October 1st of 1994. For that I assume, Mr. Ward, that there will be no yearly assessment on the bills that will be issued to the residents of Pelican Bay this year. MR. WARD: That would be the intent. That is an action before you later in your agenda tonight, but that would certainly be our recommendation. COMMISSIONER SAUNDERS: Mr. Chairman? COMMISSIONER CONSTANTINE: Yes. COMMISSIONER SAUNDERS: Mr. Volpe, if you would add to the motion your requirement from the legal staff concerning findings that the use of the surplus revenues in this matter is a lawful purpose. COMMISSIONER VOLPE: Yes, I will amend the motion to make the required finding that the use of the surplus funds --- COMMISSIONER NORRIS: That was my concern also. COMMISSIONER CONSTANTINE: Just a reminder to the board, we don't have microphones here, so if we can speak up. I understand some of the people are having a little difficulty hearing. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 15 4 5 There is a motion. Mr. Cuyler? MR. CUYLER: Commissioner Volpe, there is also a resolution which the board members have reviewed in your agenda package. I would suggest that as part of your motion you also move to adopt that resolution. I will amend the motion to adopt the resolution amending and repealing section 10.10 of the plan of dissolution of the Pelican Bay Improvement District. Any further Second. MR. CUYLER: Correct. COMMISSIONER CONSTANTINE: discussion of the motion? COMMISSIONER SAUNDERS: COMMISSIONER CONSTANTINE: Seeing no further discussion, all those in favor of the motion place state aye. (Aye responses.) COMMISSIONER CONSTANTINE: Anyone opposed? (No response.) COMMISSIONER CONSTANTINE: Motion carries, 5-0. Item 3-B, resolution of Collier County, Florida, and the Water-Sewer District superseding resolution number OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 16 5 91-755. Mr. Ward? MR. WARD: This resolution is the companion item to your 3-A item relative to the redemption of the bonds and what it essentially does is put into place the utility rates, fees and charges of the County Water and Sewer District and makes them effective within the Pelican Bay community. A copy of the rates is attached as an exhibit to your resolution. COMMISSIONER CONSTANTINE: There are no signed up public speakers on this. Is there anyone who wishes to speak? Mr. DiDonato? MR. DiDONATO: Do you want me to speak from here? COMMISSIONER CONSTANTINE: Wherever you're comfortable and as long as we can hear. MR. DiDONATO: Commissioners, ladies and gentlemen, I'm Ed DiDonato, president of Collier County Plumbing and Mechanical Contractors Association. What I am hearing is that the association would like to see removed is for meters larger than two ,oo O00 , , 18 OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 5 inches -- would like to see that removed because they include back flow devices and those devices we would like to see come up on the cross-connection ordinance. That's all I have. COMMISSIONER CONSTANTINE: Perhaps Mr. McNees has that. We have, as a board, had a presentation on the back flow devices. Where are we on the cross flow ordinance at this point? MR. McNEES: We have requested -- Mike McNees from the Utilities Division -- we have requested some specific interpretations from the State Department of Environmental Protection, who is responsible for these regulations as far as just exactly what they are saying is required, who has stalled it to some degree waiting for them to tell us what their interpretation is. In other words, exactly what is the law. So, that's why it has not come back to you. I'm not sure exactly what the gentleman's question was. COMMISSIONER CONSTANTINE: I assume there will be some debate when that comes up on its own and I think Ed's concerns were we are somehow including back flow OFFICIAL COURT REPORTERS , COLLIER COUNTY , NAPLES , FL 33962 18 5 devices in with this. MR. DiDONATO: MR. McNEES: And what sizes you are. I can tell you that it's transparent to the Pelican Bay residents whether you are Pelican Bay as a separate rate structure or as a part of the County rate structure because the County is still your water provider and whatever the rules are for the County as the water provider will apply to both whether you have two separate rate structures or whether you have one. MR. DiDONATO: I'm not interested in the rate structure at all, all I am interested in is in the back flow devices. They will be part of the meter, they are part of the meter on your large devices. We'd like to see that taken out and put back into the cross connection ordinance, which will be coming up shortly. MR. DORRILL: MR. McNEES: MR. DiDONATO: MR. McNEES: what I don't understand. MR. DiDONATO: Is this a matter of current code? Are you talking about code now? No. When you say taken out, that is Taken out of this agenda you OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 19 6 have here and put back in to the cross connection ordinance that is coming up. COMMISSIONER CONSTANTINE: The question is as to who is responsible for the installation? MR. DiDONATO: Well, we have not discussed that yet. We have not discussed that yet at all. MR. WARD: All this ordinance does is make effective the utility rates, fees and charges within the overall County Water and Sewer District to the Pelican Bay community only. It has no effect on the ordinance that is --- MR. DiDONATO: You are telling a developer that he has got to install back flow devices in meters and everything, he bears the cost and then you want to dedicate it back to the County at no cost to you. You are about one of the few people in the State of Florida that does that. MR. WARD: I will not disagree with you. All I am indicating to you is that all this resolution does is make effective the rates that the County currently has. MR. DiDONATO: I'm not interested in the rates, just take this item out. That's all I ask. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 6 20 MR. McNEES: Are you reading the paragraph "For meters larger than two inches the tapping charge shall be based upon the cost of the meter. The materials and labor costs for such meters shall be furnished by the developer in accordance with County requirements"? Is that the part you're reading? MR. DiDONATO: That's right. MR. McNEES: That's right out of our rate ordinance. We would not propose to remove that in any way. That tells you that the cost for a two inch meter is going to be variable and we're going to base our costs on the actual cost of the meter. MR. DiDONATO: We are talking about the labor and material of that device. COMMISSIONER CONSTANTINE: Mr. Cuyler? MR. CUYLER: You are going to need to address this in the County Water-Sewer District forum as opposed This is simply to adopt what you have for to this forum. the district. COMMISSIONER CONSTANTINE: Is the wording here identical to what we have County-wide? MR. WARD: The wording from the Exhibit A was OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 6 taken directly from the existing County ordinances. COMMISSIONER CONSTANTINE: Then we can address this issue County-wide separate from tonight's hearing. MR. McNEES: yes. MR. DiDONATO: Which is exactly what we will do, Clarification? COMMISSIONER CONSTANTINE: Anything else? MR. DiDONATO: What is the story on it, then? COMMISSIONER CONSTANTINE: This appears to be exactly the way it's set up throughout the entire County. District. COMMISSIONER MATTHEWS: MR. CUYLER: The Water-Sewer Mr. Chairman, the resolution that is going to be adopted simply says the rates, fees and charges, a copy of which is attached, will become the Pelican Bay charges. It is just adopting what exists in the ordinances that are cited. The Board can't change those ordinances tonight. They would have to have a public hearing specifically advertising the purpose of addressing what you are talking about and I think Mr. McNees is indicating that at some point that is going to come before the Board of County OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 22 6 Commissioners. Tonight they don't have the ability to do what you are asking to do. MR. DiDONATO: It can be done at a later date, then? MR. CUYLER: It can be done pursuant to an advertised public hearing that will take place in the boardroom that you will be able to attend and speak at, if you wish to. MR. DiDONATO: Fine. COMMISSIONER CONSTANTINE: Mr. Volpe? COMMISSIONER VOLPE: Mr. Ward or Mr. McNees, when we adopted these rate charges, there were certain users who, for whatever reasons, had a two inch pipe for their irrigation meter and they ended up paying a service availability charge much higher than what they felt they would be required to pay and we ended up changing out a lot -- we ended up changing out some of the meters for some of the users. Will the adoption of this resolution as it relates to the Pelican Bay Services Division have the affect that some residences may want to change out their OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 23 meters because they only need an inch-and-a quarter and the service availability for inch-and-a-quarter is less than the two inch? MR. WARD: I analyzed some of the -- that would affect primarily commercial customers in Pelican Bay and I think I analyzed three or four of those commercial customers. The effect of that rate change on their existing unit size, where the rates went down, quite frankly, just a little teeny bit on a monthly basis, I don't know, Commissioner, the effect on all commercial customers in this project, so I can't answer your question. COMMISSIONER VOLPE: But there is that possibility, then? MR. WARD: Yes, there is that possibility. COMMISSIONER VOLPE: Let's take the different groups, then. How about single family residences? MR. WARD: No, it would not have any effect. They have standard meters, five-eights inch by three quarter inch meter sizes. COMMISSIONER VOLPE: And multi-families and OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 24 6 villas? MR. WARD: Multi-family and villas, your rate structure is not based upon meter size, it's based upon number of units. COMMISSIONER VOLPE: So as you see it, it would only be commercial users? MR. WARD: Only commercial users within this project. I will also tell you that I have three projects that I have classed as what will be called multi-family, and that would be the Ritz Registry and the Glen View, which is the life care facility, are currently classed as multi-family and my rate structure I'm not sure how they fall under the County rate structure, so those are three projects that I am not real sure about. MR. McNEES: You are talking about irrigation meters, I believe, and "- COMMISSIONER VOLPE: I'm talking about irrigation meters. MR. McNEES: This will be different because in the existing County Water-Sewer District, those would also be potable water meters and in this case they are not. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 25 Effluent irrigation meters will have a different class altogether. COMMISSIONER VOLPE: Okay. COMMISSIONER CONSTANTINE: Anyone else wish to speak on this item, 3-B? Seeing none, we'll close the public hearing and the chair will be happy to entertain the motion. COMMISSIONER NORRIS: Mr. Chairman, I would like to make a motion that we adopt this resolution, superseding Resolution Number 91-755. COMMISSIONER MATTHEWS: Second. COMMISSIONER CONSTANTINE: There is a motion and a second. Any further discussion on the motion? (No response.) COMMISSIONER CONSTANTINE: Seeing none, all those in favor of the motion, say aye. (Aye responses.) COMMISSIONER CONSTANTINE: Anyone opposed? (No response.) COMMISSIONER CONSTANTINE: Motion carries, 5-0. Finally, Item 3-C, presentation of fiscal year OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 26 7 1995, Pelican Bay Services Division budget. MR. WARD: If I might just for the Board's information, the information contained on page -- what is numbered Page 5 on the right column or Page 155 on the bottom, which is the funds summary for fund 650, we won't consider tonight and we would pull that of out there because that is the debt service on the prior P.B.I.D. bonds which you have previously taken care of, so there won't be any consideration on that. Additionally, I noticed when I was reading this this afternoon that we have included fund 450 in this, and that also can be pulled from this agenda. Other than that, Pelican Bay Services Division essentially operates two funds now. The first one is fund 109 and the second one is 778. Fund 109 entails the operations and maintenance of the Pelican Bay Services Division or Management System, which includes some 200 acres of lakes within this community, all of the landscaping within the public road rights of way and all of the parks within the community. We have roughly 1.7 million square feet of maintenance for our landscaping operation. It includes OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 27 7 the U.S. 41 buffer berm and also the berm that abuts the Clam Bay estuary system within this community. Additionally, we handle all of the maintenance of the road signs within this community, and as most of you are aware, if you drive through they are all wooded signs with the community's logo on them. Additionally, this past year we have implemented the beach raking program within the community and also handled all of the street lighting systems within Pelican Bay. The overall budget for this community estimates an assessment for fiscal year 1995 for $156. In the prior year, that was $145, so it's roughly an $11 increase over the prior year. The increase is due to two facts. The first is this is a non-ad valorem assessment based upon the number of equivalent residential units that are assigned to the community. For undeveloped parcels within Pelican Bay, we assigned a unit count based upon the P.U.D. density. Generally, in Pelican Bay, the density of a parcel as it is developed is at less than what is allowed under the P.U.D., so the number, total number of units we OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 28 7 8 have available for assessment each year tend to decrease. Of that $11 increase that is proposed, five dollars of that amount is due to a decrease in the number of units. The balance of it is due to normal, normal increases and some changes in the levels of services that we are currently providing within the Pelican Bay community. I won't delve into any of the details of the budget information unless the board has any specific questions relative to those issues, but that is an overview, thumbnail sketch of the proposed budget. COMMISSIONER CONSTANTINE: Questions for Mr. Ward? Mr. Volpe? COMMISSIONER VOLPE: Mr. Ward, we have been experiencing a die-off of some of the mangroves in the northeastern part of the Clam Pass system. Are some of those mangroves within the area under the jurisdiction of the Pelican Bay Services Division? MR. WARD: Bay Service Division does include 700 acres of the Clam The legal description of the Pelican OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 29 8 Bay Estuary System. COMMISSIONER VOLPE: MR. WARD: Does. COMMISSIONER VOLPE: Okay. Does or does not? MR. WARD: We have traditionally not provided any maintenance activities within the Claim Bay estuary system at all. We do water quality testing on a monthly basis and included in this budget is some 15,000 for doing water quality testing of the Clam Bay System, plus the internal Pelican Bay Water Management System. So, we traditionally don't do any maintenance out in those areas. COMMISSIONER VOLPE: Well, with the experience that we have had recently with the die-off of some of the mangroves, is there an occasion where within this budget there may be some type of investigative activities that should occur to see what the problem is and if there is the problem that's created by some condition, some remedial work to be anticipated? MR. WARD: I have not anticipated in this budget any study work to determine the die-off of the mangroves within the Pelican Bay community. '34_. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 8 I will tell you that the Advisory Committee has worked closely with Westinghouse and even some of the County staff relative to what has caused that problem and I know that there are a number of reports out from various consultants as to the reasons for that. Frankly, at this juncture, Commissioner, I think that would be satisfactory for the Pelican Bay community. MR. DORRILL: Commissioner, there has been some remedial work that is proposed. I am aware of it just because I was advised of it several weeks ago from your Environmental Services Division. The final reports have just or will be just completed shortly. I think it's safe to say that the initial indication is that the die-off of the old growth mangrove forest in the northeast portion of this community is not uncommon for this time in Southwest Florida. That's not to say that it does not have a particular problem, but there has been some work done as it pertains to the overall water management system here and whether it has effected it. Our overall water quality within the Clam Bay system has affected the mangrove forest. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 31 8 Mr. Lorenz has a report and I believe will be proposing some type of remediation and a replanting program consistent with the final recommendations. Mr. Lorenz's people do coordinate certain of those activities with the special district here but it took on a little larger interest from the County because of the inland navigational plans that they were working on and it was pulled out initially from that. COMMISSIONER VOLPE: Excuse me, but if in fact there is some remedial type work that would have to be done, would that be work that would be envisioned within this budget or a combination of this budget and the budget for Mr. Lorenz's office? MR. DORRILL: I think the board would need to give some further direction on that. I think to answer your question it would probably and more appropriately be a combination of sources. If there are certain things that can be done within the context of Mr. Ward's budget that are eligible expenses for the municipal services benefit district that we have here, that's fine. If the Board has a higher finding of public necessity or overall public need and you want to use other OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 32 funds, be they boating improvement funds or other funds that might be available in this case for an estuary type water quality work or replanting work, we would need some direction on that. COMMISSIONER VOLPE: As part of the building of this budget, though, it would seem to me, from what is being said, that at the very least we ought to anticipate either in your contingency or some place that there may in fact be a need for some dollars to be available for whatever remedial type work is to be done. I mean, if it's not budgeted, unless it's going to come from contingencies --- MR. DORRILL: I will ask Mr. Ward to help on that. I don't know whether this has been the subject of discussion at district board meetings and I know some of the representatives are here. information. MR. WARD: I don't have all that We have had a significant amount of discussions relative to the Clam Bay system over the winter months, most of it related to what happened, how do we fix it, keeping Clam Pass open and getting emergency permits to do that, et cetera, et cetera. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 33 9 As it relates to funding, we have not had any discussions relative to putting any dollars in this particular budget for doing that. There are certainly some contingency funds in this budget and, as Mr. Dorrill had indicated to you, there are dual sources that need to be discussed at a later date relative to financing some studies. I'm sure we could figure out how to make that happen, but at this juncture, there just are no monies specifically allocated for the study or maintenance work. COMMISSIONER VOLPE: I think what I'm suggesting is maybe we ought to focus on that, though. MR. WARD: Traditionally, Commissioner, that has not been an issue. As I have indicated, we have traditionally, for as long as I have been around here, done a significant amount of water quality testing within the Clam Bay system, and other than that particular problem, have not really recognized any issues that I felt would be reasonable to include in our budgets, but if we need to do that, I think we can do that in the context of our contingency budget. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 34 COMMISSIONER VOLPE: Okay. COMMISSIONER SAUNDERS: Mr. Chairman, we have on the agenda tomorrow, I think it will probably be set for 1:30, we have an item dealing with the Clam Pass study. Apparently there is -- we have engaged a consultant, we have tried to determine what the cause of the die-off has been. I think they have come up with some suggested causes for that. The problem is that we did not have an expansive enough study, so we are going to be presenting something to the Commission tomorrow to try to get that issue reviewed by the Board and perhaps expand the study. That has been designated as a natural resource protection area but the study doesn't cover the entire area, it only covers that one specific issue, the die-off of the mangroves. It seems to me that the issue of funding -- obviously we will discuss that tomorrow -- it would seem to me that the appropriate source of funding would be County-wide funding, not Pelican Bay Improvement District, being the area that we are talking about is I believe under the County ownership. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 35 MR. WARD: It is under County ownership. COMMISSIONER SAUNDERS: It is really a County facility, not a Pelican Bay facility. Anyway, that issue will be debated tomorrow. COMMISSIONER VOLPE: I wasn't aware of that. I guess when you mentioned the 700 acres was within the jurisdiction of the Pelican Bay Services Division, that's where I --- MR. WARD: It's under the legal description of the P.B.S.D., the ordinance that created the district because that ordinance, the legal description was consistent with the prior P.B.I.D.'s legal description, which included the Clam Bay area. A number of years ago, if I recall correctly, 1985 or 1986, Westinghouse actually transferred title to the 700 acres directly to Collier County. COMMISSIONER VOLPE: Okay. question. Thank you very much. You have answered my COMMISSIONER CONSTANTINE: for Mr. Ward? (No response.) COMMISSIONER CONSTANTINE: Any other questions We will open it up to OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 36 the floor. MR. DORRILL: We still had Mr. Fromholzer. MR. FROMHOLZER: I will pass. MR. DORRILL: He is waiving. You have one addition. MR. BROWN: My name is Tom Brown. I have a clarification of Mr. Ward. First, I don't think the $11 will be a great impact on anybody in this room, but an eight percent increase a year doubles our taxes in how many years? You are in the tax business. COMMISSIONER CONSTANTINE: Nine years. MR. BROWN: Nine years. Could we be more effective? The other -- would you clarify again, because I heard you, you said because there are more units completed, there are fewer units to tax, therefore the tax has to go up. MR. WARD: That's exactly right. COMMISSIONER SAUNDERS: That's not what you're MR. WARD: Let me answer question one first. saying. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 37 10 As I indicated, the primary reason for the change was two-fold. Part two of that was we have had some changes in the level of services that we're providing to the community where we've increased the maintenance on the U.S. 41 berm, I expect that to continue over the years. We have also increased the level of maintenance for the overall communities, specifically in the summer months, that were not originally anticipated and also we have taken on additional areas for maintenance in this coming budget year as I indicated earlier, such as the beach maintenance program that will be coming on line, and some of the parks programs that are recently being completed here. As it relates to the units, and maybe I will just explain it again, an undeveloped parcel of land, we assign the number of units to it that can theoretically be built on that parcel of land under the ordinance that the Board of County Commissioners has adopted for Pelican Bay. Remember, the units are not there at that juncture, and primarily this deals with multi-family projects. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 38 10 Once a project is permitted, generally the density on the parcel is less than what the developer could build under the P.U.D. ordinance, and as a result of that, we decrease the number of units that are assigned to that parcel just by virtue of the fact that that is now the density that is going to be existing on that parcel, so we have firm numbers as to how big the building is going to be, how many units are going to be on that building and that's the number. That's usually less than what the developer can build out and that is why the total units differ. COMMISSIONER CONSTANTINE: Anything else, Mr. Brown? MR. BROWN: Why would you want to assign a higher figure? MR. WARD: Because we don't know the number of units that are going to go on there. At some juncture of time, even as of today, there is a significant number of parcels along the Pelican Bay Boulevard going up in the north entrance. We don't know how many units are going to go on there, so it's a relatively reasonable way to determine the number of units by using the number that can OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 39 10 be built on that parcel. Theoretically, the alternative could happen. If we assigned a lower number of units and then they came in higher, I can assure you that I would have residents asking me well, why didn't we assign the P.U.D. density to begin with on those units, and essentially it affects the bill to the developers of the project and at this juncture, they have not said that they dislike that, so I think that is a reasonable way in which to assign the new accounts. COMMISSIONER CONSTANTINE: Other questions on the budget, comments? (No response.) COMMISSIONER CONSTANTINE: Seeing none, we will close the public hearing on 1995 Pelican Bay Services Division budget, and I will entertain a motion. MR. CUYLER: Mr. Chairman, if I am not mistaken --- COMMISSIONER CONSTANTINE: We don't need the motion, we'll do that at the final hearing in September. MR. CUYLER: I think the staff will take care of the changes that you have generally discussed and if these OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 40 10 have any ramifications on the budget, that will be changed and it will come back to you as part of the County budget to be adopted. COMMISSIONER CONSTANTINE: Very good. COMMISSIONER VOLPE: But the process includes that there will be a public hearing in September, and we will at the public hearing finally adopt this budget. MR. CUYLER: Correct, as you will with all of Okay. the budgets. COMMISSIONER VOLPE: COMMISSIONER CONSTANTINE: Finally, 3-D, recommendation the Board of County Commissioners adopts resolution approving the special assessment roll and levying the special assessment against benefited properties. MR. WARD: The resolution, there were two resolutions that were in the package. We will consider the second resolution, which is a resolution approving the modified assessment roll as the final assessment roll and adopting same as the non-ad valorem assessment roll for purposes of utilizing the uniform method of collection. pursuant to Section 197.3632, Florida Statutes, within the OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 l0 Pelican Bay Municipal Service Taxing and Benefit Unit for maintenance of the water management system, beautification of recreational facilities and median areas, and maintenance of conservation and preserve areas within the Pelican Bay Municipal Service Taxing and Benefit Unit. Essentially what the resolution does for you is adopts the modified assessment roll which deletes the assessments within the community for debt service on the prior water management bonds and adopts the operating assessment on the community that I outlined earlier. It also, additionally, authorizes those assessments to be paid within 30 days. Otherwise they will appear on the County-wide tax bill that is sent out in November of each year. COMMISSIONER CONSTANTINE: Questions for staff on this item? Mr. Cuyler? COMMISSIONER VOLPE: Thirty days -- I'm sorry. COMMISSIONER CONSTANTINE: Mr. Cuyler. MR. CUYLER: Mr. Chairman, I would just like to note for the record that as a result of your earlier OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 42 10 11 action, maybe there are some minor changes to this. We just want you to include in your motion to adopt this resolution, if you so chose, to give staff discretion to do that and we will also put a finding that you made earlier to in the evening in this resolution. COMMISSIONER CONSTANTINE: I assume those changes are not of substance other than what this Board has approved? MR. CUYLER: There is nothing I need to formulate right now. If you will just give us a little leeway, we'll put that in. COMMISSIONER CONSTANTINE: Mr. Volpe? COMMISSIONER VOLPE: I was just going to ask about the redemption and you said, Mr. Ward, that it would be 30 days from the adoption of this resolution? MR. WARD: They have the ability to pre-pay their assessments, correct, before it goes on the tax roll in November. COMMISSIONER VOLPE: The assessed "- MR. WARD: The operating assessment, $156-and-some-odd c~nts -- $156.37. COMMISSIONER VOLPE: So you'll be giving OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 43 11 notification, then, to each of the property owners in this 30 day period or how will they know of that right? MR. WARD: They were notified of that in the original assessment that was sent to them. COMMISSIONER VOLPE: Twenty years ago? MR. WARD: About two weeks ago. COMMISSIONER VOLPE: Oh, okay. COMMISSIONER CONSTANTINE: Any further questions, comments? (No response.) COMMISSIONER CONSTANTINE: We'll close the public hearing. COMMISSIONER MATTHEWS: Mr. Chairman, I will make a motion that we adopt the resolution, approving the modified assessment roll as the final assessment roll and adopting the same. COMMISSIONER VOLPE: COMMISSIONER CONSTANTINE: COMMISSIONER MATTHEWS: whatever minor changes. COMMISSIONER CONSTANTINE: Any further discussion? I will second the motion. And allow --- And allowing for It was seconded. OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 44 (No response.) COMMISSIONER CONSTANTINE: those in favor of the motion say aye. (Aye responses) COMMISSIONER CONSTANTINE: (No response.) Hearing none, all of Opposed? COMMISSIONER CONSTANTINE: Motion carries. The other thing we have left is for public comment. MR. ADAMS: Fred Adams. My question is the retirement of the bonds at $1.17 million, is to be paid from, as I understood, from a resource that we now have. For what purpose then is the additional assessment that we have here? MR. WARD: This is for the operations. You have had two assessments on this property. One is for debt service on the prior P.D.I. bond which the Board sanctioned tonight to pay these bonds off so you are no longer subject to that portion of the assessment. The second assessment that you had was for the operations and maintenance activities traditionally provided and, as I said, those include landscaping OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 II 45 ll activities, street lights, street signs, the water management system, those kinds of activities. The assessments is $156.33 per unit per year. So, that will continue. Every year you will see that assessment. Maintenance of all the public right of ways, parks, street lights, these type of things. In the invitation to come here tonight, it mentioned some various items in the special assessment including beautification of the recreational areas and meeting areas. MR. ADAMS: Beautification, that is the maintenance of the palms, tree installation? MR. WARD: The maintenance of them, but we do some improvements on a yearly basis of the roadways. also? MR. ADAMS: MR. WARD: MR. ADAMS: It includes maintenance of them Yes. Isn't there a maintenance fund being utilized now to cut the grass? MR. WARD: MR. ADAMS: in existence once there are palm trees. Yes. So that expense would no longer be Will there be a OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 11 12 reduction because of less grass? MR. WARD: One point, I think I said somewhere there's 1.61 or 1.7 million square feet of landscape maintenance area, I think that will always be here within this community. Traditionally, what I have seen communities request that we continue to upgrade and improve the quality of the landscaping program within the community and hopefully most of you all have enjoyed that. I think that you will continue to see that in the future, whether the number is $156 or some other number, but I think it's going to be in relative terms about in that range as the years go by. MR. ADAMS: So there is no credit for the grass being taken out? MR. WARD: We don't generally take out a whole lot of grass in Pelican Bay, we put in some palm trees. MR. ADAMS: I don't mean to be argumentative, but the flowers and shrubs and bushes and trees where you are now paying good money to have that mowed, that will no longer be mowed. MR. WARD: It will no longer be mowed, but it OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 47 12 still needs to be maintained and we have a program on trimming and all the flowers and the bushes and that other stuff, trees. MR. ADAMS: That's all in your budget? MR. WARD: It's all in the budget. MR. ADAMS: But not in your budget for cutting the grass? MR. WARD: Mowing the grass is included in the overall budget numbers, yes. The whole program is included in the overall budget? MR. ADAMS: Okay. COMMISSIONER CONSTANTINE: Anything else? MR. NAGEL: Mr. Ward, we know each other. I'm Karl Nagel. I live over on Ridgewood Drive. I guess I have to ask the question, as a business owner. I own a landscaping company, so I am sensitive to this. Prior to the County taking over the landscaping maintenance, what did the budget run when it was contracted privately? Is it comparable to what is being spent currently? MR. WARD: Yes. We are running roughly 25 or OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 48 12 26 cents per square foot for maintenance within this community. I think three or four or five years ago we were about 20, 21 cents per square foot under a contract program. The change has been roughly due to the change in the levels of service and, quite frankly, I have seen that on a contracted basis in other communities that I'm familiar with, that's a consistent price. So, I think that should hopefully answer your question, but we see relatively the same dollars on inside programs or an in-house program versus a contracted program. MR. NAGEL: Do you have records from the past years that document that? MR. WARD: Yes, sure. that I have prepared and given to the actual Advisory Board is like 80 some-odd pages long and they go through that in explicit detail on a yearly basis to determine all those numbers and they see that and those are all available in our office for your review. MR. NAGEL: I think they're doing a fine job, don't get me wrong there. It looks good. COMMISSIONER CONSTANTINE: Just a couple quick The budget -- the budget OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 49 items before we adjourn. On behalf of the Board, I want to thank the -- I'm sorry. MS. JONES: I had a question about the assessment. After the --- COMMISSIONER CONSTANTINE: We need your name. MS. JONES: Joanne Jones, and I just bought a place here. If the former owner hadn't sent me this, I wouldn't have known about it. MR. WARD: That does not surprise me. We utilize the rolls that were -- by statute, we are required to utilize the rolls from the Collier County Property Appraiser's Office, and if the change has not been made as to the ownership, then that would have been sent to the owner of record on the Property Appraiser's rolls. MS. JONES: You said something about if this wasn't paid from here, it would be on the tax bill in November. MR. WARD: MS. JONES: In November. What difference does it make? Is it OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 50 12 more if it goes on the tax bill? MR. WARD: difference. MS. JONES: this? MR. WARD: early, actually. Same amount of money, there is no Then why would anybody pay from I wouldn't think they would pay it Leave it on the tax bill. MS. JONES: So, another question I have is after we pay this, my bill will be around $150, is that correct, every year? MR. WARD: Yes, $156.33 is what it is for this year and the Board will go through the same process next year to tell you what the number is going to be for the next year. COMMISSIONER CONSTANTINE: Anyone else before we close? (No response.) COMMISSIONER CONSTANTINE: I wanted to thank, on behalf of the Board, those members of the Advisory Boards -- let me get this sentence out and then I'll let you finish -- the members of the Advisory Boards who have helped put this together all year, put in a lot of hard OFFICIAL COURT REPORTERS , COLLIER COUNTY , NAPLES , FL 33962 51 12 13 work and we appreciate it. It sure makes our Job a lot easier by the time it gets to us, so it's a job well done and we thank you, and thanks to Jim, too. Also, he is going to sneak out the door any minute, but it's our county manager's birthday today, so if you see him sneaking out early his wife is taking him out for dinner tonight, with good reason. Happy birthday. MR. BOLLAN: John Bollan. Instead of these special assessments, why not just put them in the taxes? MR. WARD: The Advisory Committee --- MR. BOLLAN: You know where it's going to be at every year, it's like an annual fee. MR. WARD: The Advisory Committee will look at that issue this coming year and I will tell you that the frank answer to the question is that while we have undeveloped property, which is the low assessed valuation, it's not in the residents' best interest that we convert to that. At some point in this community it is built out and there is ad valorem based on this undeveloped land and that's the appropriate time to deal with it. OFFICIAL COURT REPORTERS , COLLIER COUNTY , NAPLES , FL 33962 52 13 COMMISSIONER CONSTANTINE: With that, I guess we are adjourned. Thank you all for coming. (Meeting concluded at 6:00 p.m.) OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962 August 15, 1994 There being no further business for the Good of the County, the meeting was ad3ourned by Order of the Chair ATTEST;. DWrG T-,- 'i BROC' .-.~'~se~Tlg~%~s:..~pproved by as presented - Time: 6:00 P.M. BOARD OF COUNTY COMMISSIONERS BOARD OF ZONING LS/EX OFFICIO GOV NG BOARD(S) OF SPECIAL STRICTS UNDER ITS CONTR T MAN the Board on or as corrected 53 13 STATE OF FLORIDA ) COUNTY OF COLLIER ) I, Jaclyn M. Ouellette, Deputy Official Court Reporter, do hereby certify that the foregoing proceedings were taken before me at the date and place as stated in the caption hereto on Page 1 hereof; that the foregoing computer-assisted transcription, consisting of pages numbered 2 through 52, inclusive, is a true record of my Stenograph notes taken at said proceedings. Dated this 30th day of August, 1994. 20th Judicial Circuit STATE OF FLORIDA COUNTY OF COLLIER The foregoing certificate was acknowledged before me this 30th day of August, 1994, by Jaclyn M. Ouellette, who is personally known to me. t~ar~ Public/ State of Florida at Large 0FFI~'IAL NOTARY SEAL JUDITH E BICE COMMISSION NUMBER CC348394 MAR. 28,1~g8 OFFICIAL COURT REPORTERS, COLLIER COUNTY, NAPLES, FL 33962