01-13-1995January 13, 1995
OKEECHOBEE BEACH WATER ASSOCIATION, INC.
8840 Highway 78 West
Okeechobee, Florida 34974 -9787
813- 763 -3793 FAX 813 467 -4335
Serving Customers in Okeechobee And Glades County
Mr. Michael Minton
Dean, Mead and Minton
1903 South 25th Street
Suite 200
Fort Pierce, Florida 34947
Dear Mr. Minton:
RE
EPVED
JAN 16 1995
Re: Okeechobee Utility Authority, Operational Agreement
The Board of Directors of this Association has reviewed the
proposed Operational Agreement and submit the following comments:
1. Unless prohibited by law, we suggest that all parties, City,
County and OBWA, sign the same document.
2. If separate documents are submitted, then a paragraph should
be added to the effect that the obligations and liabilities
of OBWA are contingent upon the City signing an operational
agreement with the Authority, and a specimen draft attached.
You will probably want to include a similar paragraph in the
City's agreement. The point is that OBWA does not want to
commit to any operational agreement until we know exactly the
terms of the City's operational agreement.
3. The transfer of Environmental Permits, Section 4.6, should be
cared for in the master transfer agreement. To amend the
existing permits now would prove difficult to undo in the
event the closing is not completed.
4. Section 7.2 providing for attorney fees must be deleted from
the agreement.
5. We are concerned that Section 18.1 could create a cloud on
the titles of the Association in the event the Authority is
not formed. The operational agreement makes reference to an
obligation to transfer our system to the Authority. If the
operational agreement is recorded on the public records, the
problem will become how to properly document that the
agreement has fallen apart and the obligation to transfer has
dissolved. OBWA sees no need to record the operational
agreement and will not agree to such.
I
Mr. Michael Minton
January 13, 1995
Page 2
OBWA continues to request the publication of the proposed rates
for the Utility Authority. If the rates are to be increased
dramatically, the customers should be made aware of the proposed
rates as soon as possible.
OBWA also requests a copy for our files of all incoming or
outgoing correspondence and documents concerning the Utility
Authority that your firm receives or generates, which are not
covered by an attorney /client privilege. Information is the key
to making an informed decision. If you intend to charge for the
copies, please advise me of the rate to be charged.
Thank you for your review and action on these matters.
Yours Truly,
L. C. Fortner,
Superintendent
LCF /pdv