PORT LABELLE UTILITY ADVISORY BOARD MINUTES
July 17, 2006
Meeting was called to order at 1:00 p.m., July 17th, 2006, at the Board of County Commissioners Conference Room, second floor, Hendry County Administrative Building, LaBelle, Florida by Harold Reecer. Present members were: Harold Reecer, George Davis, Paul Samerdyke, Hans Mouthaan, Ricky Bass. Others in attendance were: Lester Baird, Hendry County Administrator, Roger Greer, Director PLUS, Linda Murray, PLUS; Ron Zimmerly, Hendry County Grants & Special Projects, Jennifer Davis, Hendry County Finance Director, Danny Nelson, Tetra Tech, PLUS Consulting Engineer; and John Capece, Southern DataStream, PLUS Advisory Board Facilitator.
1) Call meeting to order
Chairperson Harold Reecer called the meeting to order at 1:00 p.m.
2) Review the Minutes from the June 19th, 2006 Meeting.
Motion: To approve the minutes was made by George Davis and seconded by Paul Samerdyke. Vote was carried unanimous.
3) Director’s Report – Roger Greer
Roger Greer reported that for the month of June, 2006 the total water usage for the plant was 11,073,500 gallons total sewer treated was 4,568,000. New meter requests were 8. Meters installed were 26, leaving 97 to be installed. All meters that can be installed have been completed. We are up to date on the meter installation. The 97 left are the lots that have no construction started or have not been surveyed at this time.
The water demand is down since we are getting rain. Roger reported that due to the rain, they were able to shut down for one day. We are now producing more water than the demand need.
Encore has broken ground for the water treatment plant. They have started removing the trees & roots from the soil. Today, they should be starting the concentrate line from the water treatment plant to the wastewater treatment plant. Hans Mouthaan questioned the change in the water treatment plant location. Lester Baird questions whether the location is within 1000 feet of SR 80 and stated he will have the Building Department look into our complying with the restrictions of SR 80. Danny Nelson, Tetra Tech discussed future potential usage of the retention ponds and the widening of SR 80. Danny reported that he would follow through with Kenny Bennett from the Building Department and the Health Department concerning these issues of relocating the Water Plant.
Lester Baird reported that there will be a check presentation with USDA on July 31, 2006 @ 11:00 am at the Dallas B Townsend Center, 1085 Pratt Blvd. LaBelle, Fl 33935. Light refreshments will follow and the board members are invited to attend. Letters of invitation are being mailed out.
4) PLUS Budget – Roger Greer - Jennifer Davis
Jennifer Davis reported that the budget and the PLUS 5 Year Plan were available. Each of the board members was given the document for review. The proposed budget was opened for discussion. Jennifer explained the revenue, reserves and expenditures. Roger Greer discussed individual line items. The addition of one new operator and one full time engineer is considered in the proposed budget.
Paul Samerdyke presented questions concerning our usage rates in comparison to our expenditures. Salaries and personnel were discussed. The rates of other utilities in comparison to ours were discussed. Lester Baird, County Administrator, addressed Airglades’s revenue in comparison to the expenditure fees of South Shore Water. He has submitted a written request to apply for bulk rates.
Upon completion of the Banyan Village Bidding process; the Rate Study will follow. The study will help in the decision-making processes of the budget and our rates.
Motion: was made to accept the budget as proposed was made by Paul Samerdyke and seconded by Ricky Bass on the contingency that the proposed insurance costs will be verified. Vote was carried unanimously. Jennifer Davis will now present this budget to the BOCC.
5) Water Use & Connection Report – John Capece
John provided the board members and attendees with a PLUS water demand projections graph and proposed PLUS Service Area for Zone 2. John reported that the water plant output peaked out at 98% of our capacity in April. At the present time we are at 78% of capacity. The consumption has dropped below “average” levels due to the high rainfall and reduced new water connections flushing demand.
Lester Baird, Administrator and Roger Greer discussed the possibility of receiving a 50,000 gallon per day package plant from FEMA. It could be used for emergencies and in a water shortage crisis. FEMA is in the process of purchasing the units.
6) Water Treatment Plant Construction – Danny Nelson
Danny Nelson, Tetra Tech reported that the Bid Closing for the Banyan Transmission Lines would be on July 27th, 2006. Thursday July 13th, 2006 was the pre construction meeting. We had a good showing for the contractors. Danny is expecting competitive bidding for the labor side. But material costs are up at the present time.
Danny reported that he is working on revision to the language of the bid regarding the county as the purchasing agent in relevance to the lowest bidder with sales tax criteria as the savings. The contractor would still be responsible for all co-ordination of purchasing and deliveries of materials.
The revision will have to have approval from the County and the County Attorney. Logistical issues from the contractor’s will also have to be reviewed to change the bid form. This new scenario will include all the materials included in the project to generate a wider savings for the cost.
7) Banyan Projects (Transmission Line & Pipe Network) – Danny Nelson
Jennifer Davis reported that the Grant application was submitted on Friday, June 14th, 2006. The bids will be the determining factor on the next step to take. Possibly an additional assessment application to USDA, similar with the process we followed for the water treatment plant.
John Capece reported that the grant was submitted for 10.6 million with Hendry County contributing approximately 1 million, with a 9.6 million request to USDA. A rate study will provide an idea what additional assessment fees might be needed to accommodate the costs.
John reported that USDA was very responsive and generous to us regarding the secondary application for the water plant. Glades County could be a major factor to the application, since our assertion that the project would benefit those portions of Glades County east along Hwy 80. Ricky Bass asked the board for the clarification of an “existing customer” for Banyan Village and what do we have for a back up contingency plan if we do not get approval of the grant. John Capece and Jennifer Davis discussed issues of credit. Lot values for assessments, credit standings for bonding issues and the possibility of establishing a “water authority” were discussed. Danny Nelson, Tetra Tech, also suggested another option of doing portions of the project. Possibly doing the project in segments.
Discussion of a water plant for Banyan Village vs. the Transmission lines and the time restraints of changes in the plan were addressed by Danny Nelson who reminded the board members that the Hendry County Attorney. Kate English, had approved the current language of the bid form, which specifically allows the county to award portions of the project, depending on the funding situation.
John Capece asked Ron Zimmerly, Hendry County Grants Special Projects & his interaction with USDA, to keep us on the proper time line relative to grant requirements and contract award.
8) PLUS Service Area Revision – John Capece
John Capece provided a colored map to the board members and attendees to review the Zone 2 Service Area in the County Utility Master Plan. Glades County has already approved their portions of the service area (blue) to be included in our service area if our commissioners agree. John reported that eastern boundary is one mile shy of Highway 833; extending westward to the LaBelle City limit. The western sections on the map are orange and green. The orange section represents the area that has been annexed by the City of LaBelle. This orange area also includes an area around Helms Road and St. Rt. 29. Lester Baird, Administrator verified the annexation of that area.
The concerns of service areas are the sections (yellow and green portions), west of 29 and north of the new annexed areas. John suggested that we withdraw our boundary lines to Highway 29 in the yellow area. The green area will stay as an unincorporated area per Lester Baird, Administrator.
The fundamental issue is to establish a franchise. This will ensure that new development must work through the utility, initially; to seek pricing for providing service to their locations; before pursuing alternative water resources. This will help with future water use permitting planning in the future.
Lester Baird reported that Hendry County BOCC has passed several ordinances that now require developers to do the studies and pay for them if they require service. The burden of the cost of developing the plans, and the County’s review; is on the developer. An example of this new process is the new development of Murphy’s Landing. Their proposed plant for water & sewer has been submitted for the south side of Highway 80.
John stated the motivation for expanding the service area in Zone 2, particularly into Glades County was relative to our grants applications. If the franchise is established, the utility will be able to screen the process before the developers went to an independent operation. The logic will be to add to our efficiency.
After discussion by Michael Coates, SWF Water Mgmt District concerning growth within the service areas, control mechanisms within your county/service area and comprehensive plans and amendment changes for new development, John Capece asked the board members their opinion regarding the logic of incorporating parts of the Zone 2 concerning the Glades County Section. Lester Baird, Hendry County Administrator suggested that we include the Glades County Section. After discussion among the board members and the impact of such a decision, a delay was agreed upon to obtain legal insight from the County Attorney and the liability or limitations of pricing, restructuring, before making a decision on this matter. Board members requested more information and an evaluation from the county attorney before making any recommendations concerning the proposed services area changes. No action is to be taken at this time.
9) Water Use Planning - John Capece
Michael Coats, Water Mgmt District provided an update the water use planning. The districts
governing board approved the Lower West Coast Water Supply Plan on Wednesday July 12, 2006. It will be processed and prepared for publication. Distribution of final form should be in August, 2006. The steps within this process are:
1. The district will notify the local governments of the projects that have been included in the plan.
2. Then the county will have 12 months (July 2007) to notify the district which projects will be done.
3. Within 18 months (January 2008), the County must provide a 10-year water supply work plan in their comprehensive plan. Modification of Comprehensive Plan, send it to DCA to meet all the needs you intend to meet within that time frame.
John Capece reported that we submitted 6 projects, 4 to serve Port LaBelle and 2 to serve NW Hendry County.
1. First Project: 1.2 mgd Sandstone Aquifer to supply the water treatment plant currently under construction to provide 0.9 mgd finished water.
2. Second Project: 1.2 mgd from the Sandstone Aquifer to provide the raw water for the expansion of the water plant for expandability to 1.8
3. Third project: 2.0 mgd from the Sandstone Aquifer to serve the remainder of the 11,000 total currently platted lots in Port LaBelle with potable water.
4. Fourth project 2.0 mgd from reclaimed, treated wastewater to serve non-potable (landscape irrigation) demands of Port LaBelle.
Michael Coates reported that only project 1 for 1.2 mgd from the Sandstone Aquifer is included in the plan at this time. His suggestion was to start a plan and a back up plan for obtaining our secondary and third plan from alternative water supplies (Lower Hawthorn Aquifer or other sources)
.
Fresh water permitting from alternative sources will be looked at on a case-by-case basis. Alternative water supplies are: brackish groundwater development, harvest of seasonal high flows from surface water, aquifer storage & recovery, and reclaimed wastewater. Fresh ground water will not be considered as an alternative water supply. Mike suggested that we be creative and search for alternatives besides drilling wells. Usage of the Lower Hawthorne for brackish water can be utilized and at this time the district does not consider that supply to be limited at this time. The city of LaBelle, the City of Clewiston and South Shore Water Association are looking at development of this process. Mike also reported that there is funding and co-funding opportunities that are available for qualified projects of such.
John Capece reported that the first option for a water supply project application was the easy, low-cost water options (low-saline Sandstone Aquifer groundwater) before exploring the higher-cost options. Reporting that we have alternative opportunities including Unit 8 (high water table) harvesting shallow ground water as a water supply project as opposed to representing a flooding problem and drainage water. John further discussed the C-43 reservoir and runoff, water-ranching systems and other surface water systems that could provide a water supply service to the government. We can look at these supplies and creative water supplies in conjunction with some of our agricultural land owners; keeping land in a rural state and reduce some pressures towards additional development in the areas around our service area.