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Litigation-Okee.Beach Water v. CityIN THE CIRCUIT COURT FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WATER ASSOCIATION, INC., CASE NO: 93 -555 CA Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, Defendant. AFFIDAVIT OF L.C. FORTNER, JR. IN SUPPORT OF PLAINTIFF'S MOTION FOR PARTIAL SUMMARY JUDGMENT STATE OF FLORIDA COUNTY OF OKEECHOBEE BEFORE ME, the undersigned Notary Public, personally appeared L.C. FORTNER, JR. ( "Affiant "), whose legal name is LANDON C. FORTNER, JR., and who upon affirmation, stated that the following facts are true: 1. Affiant is over 18 years of age and competent to affirm statements. 2. Affiant has personal knowledge of the facts stated herein. 3. Affiant is and has been employed by Okeechobee Beach Water Association, Inc. ( "OBWA ") as Superintendent, responsible for the day -to -day management and operation of OBWA since April 8, 1991. 4. Prior to employment with OBWA, Affiant worked as a director (superintendent) of public utilities for the City of Okeechobee ( "CITY") from approximately August 1964 until March 1991. As director (superintendent), part of Affiant's responsibilities included the day -to -day management and operation of the potable water system owned by CITY. 5. Affiant has attended all of the meetings of the Board of Directors of OBWA since Affiant has been employed by OBWA. Affiant has prepared the minutes of all of the meetings of the Board of Directors of OBWA since April 25, 1991. Attached as Exhibit A is a true copy of portions of the minutes and resolutions of the meeting of the Board of 5 \0I3 \CITY\FORTNER.AFF 1 Directors conducted on June 13, 1991, as they pertain to decisions of the Board of Directors to build a water treatment plant to serve the members of OBWA. 6. Attached hereto as Exhibit B is a true and accurate copy of the deed to the land OBWA intends to construct a well field upon. 7. Affiant assisted in the negotiation of an option granted by the trustees of the S. J. Davis Family Trust to OBWA for the purchase of the following described real property: The West 400 feet of the North 1050 feet of the East 1/2 of the East 1/2 of the Northwest 1/4 of Section 32, Township 37 South, Range 35 East, in Okeechobee County. The Board of Directors of OBWA obtained the option to purchase for the purpose constructing upon it the water treatment plant OBWA intends to build. 8. Affiant negotiated a contract, on behalf of OBWA, with Lindahl, Browning, Ferraro and Associates, an engineering firm, for the preparation of engineering plans to construct a 1.5 million gallon water treatment plant, well field and associated facilities and structures. Affiant has personally inspected the completed plans. 9. Affiant assisted in the completion of an application for financing of the OBWA water plant project by the Farmers Horne Administration. Attached hereto as Exhibit C is a copy of the financing commitment for the project from the Farmer's Home Administration. 10. Affiant assisted in the completion of an application by OBWA for a water consumptive use permit from the South Florida Water Management District ( "the Water Management District "). The original permit application described a service area which followed a boundary line established and memorialized as early as 1970 by OBWA and CITY in a series of bulk water sales agreements. Attached to OBWA's Motion For Partial Summary Judgment as Exhibit A is a drawing showing the service area described in OBWA's application for a water consumptive use permit. The description of OBWA's service area in the original application included not only existing OBWA members, but also future members. 11. Affiant was the director of public works for CITY in 1976, and assisted in the preparation of an application made that year by CITY to modify the existing water consumptive use permit issued to CITY by the Water Management District. In applying for the modification, CITY described a service area which included, in part, the area served by OBWA since 1965. Attached to OBWA's Motion For Partial Summary Judgment as Exhibit 5 \OB \CITY\FOR'INER.AI F 2 • B is a drawing showing the service area described by CITY in its application for modification of its water consumptive use permit. 12. In processing OBWA's application for a water consumptive use permit, the Water Management District advised OBWA that there is an overlap between the service area described by OBWA in its aplication for a water consumptive use permit and the service area described by CITY in the water consumptive use premit already issued by the Water Management District. The Water Management District contends that it does not determine legal entitlement to service areas by competing utilities, and that when it appears that an applicant for a consumptive use permit is describing a service area already described in an existing permit, the applicant must demonstrate the overlap has been resolved with the existing permittee, or the applicant has legal control over the overlap area. As to the overlap area in this case, the Water Management District has advised OBWA that the Water Management District will not issue a water consumptive use permit to OBWA until OBWA can establish that the overlap has been resolved with CITY or that OBWA has legal control over the overlap area. A copy of the letter from the Water Management District advising OBWA of its position is attached hereto as Exhibit D. 13. Attached hereto as Exhibit E is a true copy of the staff report of the Water Management District, which is notice that the Water Management District intended to issue a water consumptive use permit for the construction of the well field planned by OBWA. Attached hereto as Exhibit F is a true copy of the petition (without attachments) filed by CITY to challenge the Water Management District's decision to issue the permit. The administrative proceeding has been abated by the hearing officer until the service area dispute has been resolved by the declaratory action filed by OBWA in the Circuit Court for Okeechobee County. A copy of the order of abatement is attached hereto as Exhibit G. 14. Attached hereto as Exhibit H is a true copy of the notice by the Department of Environmental Protection (formerly the Department of Environmental Regulation) that it intended to issue a permit authorizing the construction of a water treatment plant and transmission lines by OBWA. Attached hereto as Exhibit I is a true copy of the petition (without attachments) filed by CITY to challenge the Department's decision to issue the permit. 15. The well field, water treatment plant and transmission lines OBWA has plans 5 \O13 \CI'CY\I OR'I'NI R.AFF 3 to construct will not be within the corporate limits of CITY n CITY's consumer territory. The well field will be approximately 6,600 feet away from the CITY limits. The water treatment plant will be approximately 6,150 feet away from the CITY limits. The transmission lines will likewise be a substantial distance away from the CITY limits. CITY has not constructed any water system facilities, similar to the ones OBWA intends to construct, immediately adjacent to the lands upon which OBWA intends to construct facilities. The facilities OBWA intends to construct will not compete with CITY's existing consumer territory. 18. Affiant has attended negotiating sessions between counsel for OBWA and counsel for CITY. As of the date of this affidavit, OBWA and CITY have not been able to agree what will be OBWA's service area when OBWA builds a water treatment plant. 19. Each member of OBWA signs a potable water service agreement with OBWA. A meter is issued for each service agreement. A service agreement is always signed by at least one of the owners of the parcel being served by the meter. Frequently all of the co- owners of the parcel sign the service agreement. 20. Every parcel of land served by OBWA is owned by a member of OBWA. Each parcel served by OBWA has a meter owned by OBWA installed to serve the owner or owners with potable water. Each meter has been assigned a customer identification number which stays with the parcel, regardless of a change of ownership of the parcel served. 21. For purposes of this affidavit, "existing OBWA members" shall refer to those members of OBWA who have an active service agreement with OBWA as of November 1, 1993, to serve a parcel of land within the area of dispute between OBWA and CITY. As of November 1, 1993, OBWA has 2,043 meters installed and issued to members who own parcels of land within the zone claimed by CITY under Okeechobee City Ordinance No. 488 ( "the zone "). Attached hereto as Exhibit J is a complete list, as of November 1, 1993, of meters issued to existing OBWA members within the zone. Each meter, listed by customer identification number, is owned by OBWA and is installed to serve potable water to the parcel. Also attached hereto as Exhibit K are copies of the Okeechobee County Property Appraiser's maps showing the parcels served by OBWA meters in the zone. In Exhibit L attached hereto, the parcel identification number used by the Okeechobee County Property 5w1-3 \CrrY\FOrFNER.AFF 4 NNW Appraiser is cross - referenced with the customer identification number used by OBWA. The customer identification number is marked on Exhibit K, showing the parcels owned by existing OBWA members which have a meter owned by OBWA installed thereon. 22. Affiant is familiar with the addresses of each parcel within the zone served by an OBWA meter. For more than a year, Affiant, along with another OBWA employee, read all of the OBWA meters in the zone in order to prepare monthly billing statements for the membership. 23. Affiant personally prepared Exhibits J, K and L. The Exhibits are an accurate representation of the existing OBWA members who own parcels of land within the zone, served by a meter owned by OBWA as of November 1, 1993. L. C. FORTNER, JR. AFFIRMED AND SUBSCRIBED before me on December Z q , 1993, by L.C. FORTNER, JR., who is personally known to me. COMMISSION EXPIRATION AND SEAL: .47::(7s%,;7. s%,;7. KIMBERLEY T. DONALDSON �iy ';:? MY COMMISSION # CC292797 EXPIRES ": n .I June 7, 1997 �•. � '; BONDED TNRU TROY FAIN INSURANCE, INC. dir NOT • RY PUBL C, STATE OF FLORIDA ` 1. as. 5 \OI3 \CI "I'Y\FORTNER.APP 5 JUNE 13, 1991 7:30PM MINUTES OF BOARD OF DIRECTORS The regular meeting of the Board of Directors of OBWA was called to order by President Pearce. Those present: Director Howell, Director Gabriel, Director Broome, Attorney Burton Conner, and L. C. Fortner. The existing and future contract with the City was, also, discussed at length. Motion by Director Gabriel, second by Director Howell, adopting a Resolution to be send to the City notifying the City Council that a final contract must be approved by both boards by October 1, 1991, or the OBWA will begin procedures to construct a water treatment plant and supply its own water after the City contract expires October 1, 1994. Motion carried. Attorney Conner to prepare the Resolution and, also, prepare a letter for Presi- dent Pearce to sign that will he sent to Mayor. Kirk. There being no other business, the meeting adjourned at 9:15PM. Minutes Submitted by: Su3 rintenc It Fort Fortner Affidavit EXHIBIT A RESOLUTION OF THE BOARD OF DIRECTORS OF OKEECHOBEE BEACH WATER ASSOCIATION PASSED ON JUNE 13, 1991 At a regular meeting of the Board of Directors of Okeechobee Beach Water Association, Inc., ( "OBWA ") held on June 13, 1991, a quorum being present, it was RESOLVED by unanimous vote of those Directors present that: 1. If by October 1, 1991, OBWA does not have a binding contract with the City of Okeechobee for the supply of water beginning October 1, 1994, then all further negotiations with the City shall be discontinued. In that event, OBWA shall devote its full attention for future needs upon building a water plant. 2. The President, Superintendent, and Engineer shall complete the preliminary inquiries into financing and cost as soon as possible so that construction of a new water plant, if needed, may begin as soon as possible after October 1, 1991. Attest: OSWA -RE S. JUN LELAND PEARCE, President Date: ., - ijh,a f/ Secre y Grantee SS Number: Parcel Number: 1 -3( -0 I+ Docllmentary Stamps paid In th• -mousy CR '341 u 1188 90012 -0000 ;l! r�JJ er.er, 0.*Z�3 Clerk of Circuit Cd6rt date WARRANTY DEED st This Indenture made this a/ day of January, 1993, BETWEEN ANDREW L. MIXON and ZELDA J. MIXON, his wife, of 3793 S.W. 21st Street, Okeechobee, FL 34974 GRANTOR *, and OKEECHOBEE BEACH WATER ASSOCIATION, INC., of 8840 l lwy 78 W., Okeechobee, FL 34974 GRANTEE *, WITNESSETII, That said Grantor, for and in consideration of the sum of TEN AND 00/100'S ($10.00) Dollars and other good and valuable considerations to said grantor in hand paid by said grantee, the receipt whereof is hereby acknowledged, has granted, bargained and sold to the grantee and grantee's heirs forever the following described land located in the County of Okeechobee, State of Florida, to -wit: THAT PART OF GOVERNMENT LOT 6, SECTION 30, TOWNSHIP 37 SOUTH, RANGE 35 EAST, OKEECHOBEE COUNTY, FLORIDA, LYING WEST OF THE CENTERLINE OF SW 34TH TERRACE (OAK PARK ROAD) EXTENDED. SUBJECT TO RESERVATIONS, RESTRICTIONS AND EASEMENTS OF RECORD, IF ANY. SUBJECT to encroachment of Lot 1, Block 9 and Lots 1, 2, 3 and 4 of Block 17, OAKPARK SUBDIVISION, according to the plat thereof recorded in Plat Book 3, Page 3, Public Records of Okeechobee County, Florida. and said grantor does hereby fully warrant the title to said land, and will defend the sarne against the lawful claims of all persons whomsoever. *Singular and plural are interchangeable as context requires. IN WITNESS WHEREOF, Grantor has hereunto set grantor's hand and seal this day and year first above written. COUN1Y OF Okeechobee SIA'IR OF FLORIDA rr The foregoing instrument was acknowledged before methisprq / day of January, 1993 by ANDREW L. MIXON and ZELDA J. MIXON, ho wife, who is rsonally known to me or ( )has produced as identification and who ( )did ( )did not lake an oath. Prepared ny and Return To: 1011N 1). CASSPIS, .IR., P_SQ. Cassels k McCall Post Office nox 908 Okeechobee, Florida 34973 (813) 763 -1131 File Number: 92 -4533 247756 RS' PUIILIC - My Commission Expires: AL) 'JOHN D. CASSELS, JR. -+?, : MY COMMISSION EXPIRES June 11, 1994 F U_L.D 1 (/ll I(I,c4. 1 ° BONDED TIIRU NOt 50,'MIC unnERWRITERS OKEECII . 93J \;1 2?. (1'110:':2 GLOM;, J, i (TI) CLERK OF:CIIti.11ll C0111■1 Fortner Affidavit EXHIBIT B united States Farmers A440 N.W. 25th Place Departmen' )f Home O. Box 147010 AgricultuAr Administration Gainesville, F1 32614 -7010 May 3, 1993 Mr. Leland Pearce Okeechobee Beach Water Association 8840 Highway 70 West Okeechobee, Florida 33974 -9787 Re: Okeechobee Beach Water Association FmHA Loan - $4,400,000 Dear Mr. Pearce: I am pleased to advise that the above - referenced loan has been approved and the appropriate funds have been obligated. As you are aware, this approval is subject to the terms of the Letter of Conditions dated March 29, 1993. Enclosed herewith is a copy of Form FmHA 1940 -1, Request for Obligation of Funds, which is being provided for your file. This form has been signed to indicate approval and obligation of funds. We are pleased that Farmers Home Administration (FmHA) is able to assist your Association in the financing of con- struction of a water treatment facility to provide reliable water to its current customers. Sincerely, th7 OSEPH M. MUELLER Chief, Community & Business Programs Enclosure cc: DD 5 JMM /clr Fortner Affidavit EXHIBIT C Farmers Home Administration is an Equal Opportunity Lender. Complaints of discrimination should be sent to: Secretary of Agriculture, Washington, D.C. 20250 ,i -FmHA m FmHA 1940 -1 rev. 2 -93) w REQUEST FOR OBLIGATION OF FUNDS li%- ":1111 •IV:Ut-:y • }.y•IL ' ts, :.r LOAN NUMBER 1. CASE NUMBER S T C 0 BORROWER ID O1 91 014 1 7 1 01519 1 1L1 41.814L I 2. BORROWER NAME 01KJE_1EIC1H101B1EjEj 1BJElAlCJHL1WlAtTLEtRL A ISIS 101 C ILA IT] I10,1 N 1 t 1 1 1 1 1 1 1 1 1 1 6. RACE CODE I -- WHITE 4- HISPANIC 2 - BLACK 5 - A/PI 3 - AVAU 10. VETERAN CODE -1 1 - YES 2 - -- YE 15. INTEREST CREDIT -- YE; rrr'n Sr,I oru YI 2 -NO 18. TYPE OF ASSISTANCE 7. EMPLOYEE RELATIONSHIP CODE (See FM!) 3 - CLOSE I -- EMPLOYEE RELATIVE 2 - MEMBER OF FAMILY 4 -- ASSOC. 4 Li 3. NUMBER NAME FIELDS 2 1_ I (1, 2, or 3frnm Item 2) 4. STATE NAME FILIOLRJ I IDIAI 5. COUNTY NAME 1 1 1 1 1 1 1 1 OKEECHOBEE 8. SEX CODE 4 - ORGANIZATION - 9. MARITAL STATUS - MALE MALE OWNED 1 -- MARRIED 2 - FEMALE 5 -- ORGANI7AT ION -- 2 - SEPARATED 3 - -- rAMILY FEMALE OWNED I 3 UNMARRIED (INCLUDES UNIT 6 - PUBLIC BODY 1 -- WIDOWED OR DIVORCED) 11. CREDIT REPORT I - YES 2 I 2 -NO 12. DIRECT PAYMENT 13. TYPE OF PAYMENT 16. COMMUNITY SIZE 1 - 10.000 OR LESS 2 -OVER 10.000 (FOR SPH AND IIPG ONLY) 19. PURPOSE CODE 01 61 t I (See FMI) 1J 27. TYPE OF SUBMISSION 1 INITIAL 2 -- SURSEOUENT I 1 -- 25. AMOUNT OF IMMEDIATE ADVANCE I - -- MONTNI -Y 3 -- SEMI ANNUALLY 2 12 - ANNUALLY 4 - QUARTERLY 17. DWELLING TYPE/USE OF FUNDS CODE • (See FMI) 20. SOURCE OF FUNDS 21 14. FEE INSPECTION a I 1 -YES 2 -NO 21. TYPE OF ACTION t - OBLIGATION ONLY 7 - OBLIGATION/CIIECK REOIJEST 1 3 -- CORRECTION OF OBLIGATION 23. AMOUNT OF LOAN 1 24. AMOUNT OF GRANT - t444101_0401 101010 26 DATE OF APPROVAL MO DA YR 0 4 - 2 9 - 9 3 • r =1 019 L_ 27. INTEREST RATE 28. REPAYMENT TERMS 0 5 2 5 0 0% 4 0 29. INCOME CATEGORY I1 -- VERY LOW 11 2 - LOW 32. R.E. INSURANCE 36. TYPE OF UNIT 30. LOW INCOME LIMIT - MAX. 3 -- MODERATE 4 - ABOVE MODERATE -- FARM TRACT 2 - MON-FARM TRACT 37. TYPE OF APPLICANT - INDIVIDUAL - PARTNERSHIP 3 - CORPORATION 33. R.E. TAXES 1st Year 1 1 40101 4 - PUBLIC BODY 5 - ASSOCIATION OF FARMERS 6 - ORGANIZATION OF FARM WORKERS 39. DISASTER DESIGNATION NUMBER (See FMI) 41. OBLIGATION DATE MO DA YR 7 - OTHER 111 I 1010 34. R.E. TAXES 2nd Year �-1 LA 0J 0 38. PROFIT TYPE 31. ADJUSTED FAMILY INCOME 35. NOTE INSTALLMENT INELIGIBLE 1 - FULL PROFIT 3 - NONPROFTT 2 - LIMITED PROFIT 40. TYPE OF SALE 1 - CREDIT SALE ONLY 3 - CREDIT SALE WITH SU1ESEOUENT LOAN 2 - ASSUMPTION ONLY 4 - ASSUMPTION WRN SUBSEQUENT LOAN 42 BEGINNING FARMER/RANCHER I Y -YES 1 1 -1 1 1 -1 1 I N.NO If the decision contained above in this form results in denial, reduction or cancellation of FnilIA assistance, you may appeal this decision and hale a hearing or you may request a review in lieu of a hearing. Please use the form we have included for this purpose. r T\PP1,T�'nt1T Position 2 • FmHA 1940-1 (Rev. 2 -93) 7 CERTIFICATION APPROVAL For Alt Farmer Programs EM, OL, FO, and SW Loans This loan is approved subject to the availability of funds. If this loan does not close for any reason within 90 days from (;1-: the datb of approval on this document, the approval official will request updated eligibility information. The undersigned i.loan. pplicant agrees that the approval official will have .14 working days to review any updated information prior to submitting this document for obligation of funds. If there have been significant changes that would affect eligiblity a decision as to eligibility and feasibility will be made within a:' 1, infoti»aton ' . If this is a loan approval for which a lien and /or title search working -day loan closing requirement may be exceeded completing title work and completing loan closing. 43. COMMENTS AND REQUIREMENTS OF CERTIFYING OFFICIAL 30 days from the time the applicant provides the necessary is necessary, the undersigned applicant agrees that the 15- for the purposes of the applicant's legal representative ,'APPROVAL OF FINANCIAL ASSISTANCE IS SUBJECT TO THE TERMS OF THE "LETTER OF CONDITIONS" DATED MARCH 29, 1993. 44. I IIEREBY CERTIFY that 1 am unable to obtain sufficient credit elsewhere to finance my actual needs at reasonable rates and terms, taking into consideration prevailing private and cooperative rates and terms in or near my community for loans for similar purposes and periods of time. I agree to use, subject to and in accordance with regulations applicable to the type of assistance indicated above, and request payment of the sum specified herein. 1 agree to report to FtrtlIA any taterial adverse changes, financial or otherwise, that occur prior to loan closing. i certify that no part of said sum has been received. I have reviewed the loan approval requirements and comments associated with this luau request and agree to comply with these provisions. (For SFII & FP loans at eligible terms only) If this loan is approved, I elect the interest rate to be charged on my Full IA loan to be the lower of the interest rate in effect at the time of loan approval or loan closing. If I check "NO ", the interest rate charged on my loan will be the rate specified in item 27 of this form. ?(__YES ___NO WARNING: SECTION 1001 of Title 18, United States Code provides: "Whoever, in any matter within the jurisidtctton of any department or agency of the United States knowingly and willfully falsifies, conceals or covers up...a material fact or makes any false, fictitious or fraudulent statements or representations, or makes or uses any false writing or document knowing the same to contain any false, fictitious or fraudulent statement or entry, shall be fined not more than $10,0 .r Imprisoned not more than 5 years, or both." Date 3- 3o , 19 23 Date , 19 (Signature of Applicant) (Signature ofCo- Applicant) 45. I HEREBY CERTIFY that all of-the committee; and administrative determinations and certifications required by Fut mcrs 1lome Administration regulations prerequisite to providing assistance of the type indicated above have been made and that evidence thereof is in the docket, and that all requirements of pertinent regulations have been complied with. I hereby approve the above - described assistance in the amount set forth above, and by this document, subject to the availability of funds, the Government agrees to advance such amount to the applicant for the purposes of and subject to conditions prescribed by Farmers Ilome Administration regulations aPpllicable to this type of assistance. Date Approved: l / ,TO THE APPLICANT: As of this date .� /7f 93 .sistance from the Fanners Ilome Administration has funds and other conditions required by the Farmers 1 t: ; County Supervisor. 4/29/93 JOSEPH M. MUELLER (.Signature of . t ppnrring Official) Tide: Chief, Community & Business Pro9racns this is notice that your application for the above financial as- been approved, as indicated above, subject to the availability of tome Administration. If you have any questions contact the 3 Ij1:30FM FROM SFWMD,ULAT ION DEPT LADs1-2L,o__ South Florida Water Management District 3301 Guru Club Road • P.O. Box 24880 • CON 24 -06 May 20, 1993 Ms. Suzanne Harper ViroGroup, Inc. - Missimer Division 600 Sandtree Drive, Suite 101 Lake Park, FL 33403 Dear Ms. Harper: (0.-6**4 'PM .(1): MY. FIVty+vv% C. CDIA ker. 14t311461-6316 NATS 1- 800•'152.2045 Subject: Application #921204 -10 Okeechobee Beach Water Association, lnc,(OBWA) Okeechobee and Glades Counties On April 29, 1993, a response to the request for additional information for the above application was received by the District. A review of the response indicates that additional Information is still required in order to complete the evaluation, pursuant to Rule 40E- 1.603, Florida Administrative Code (FAC). It is understood that the franchise agreements between OBWA and Glades and Okeechobee counties have been approved and that a certification exemption from the Public Service Commission is pending approval. Please submit copies of the executed franchise agreements and documentation of the PSC exemption, when It is available. However, due to information recently made available to District staff regarding City of Okeechobee Ordinance No. 448 (201 facilities planning area), there still remains an issue of a conflict in service territory between the City of Okeechobee and OBWA in that each entity is claiming to serve overlapping service areas.' The PSC exemption certification and franchise agreements are not sufficient to demonstrate legal control of the requested service area because of this overlap. As required in Permit Information Manual, Volume III, Basis of Review (BOR) section 3.1.1, Control Over Activities, applicants must have legal control over the activities for which they desire a permit. Specifically, conflicting service area claims between applicants, or between an applicant and en unregulated water service area, must bp. resolved by the involved parties. Please provide documentation of legal control for the requested service area and show that no conflict in service area exists between the City of Okeechobee and OBWA. Fortner Affidavit EXHIBIT D 04 : 30FM FROM SFIF EGULAT ION DEPT P03 If the potential dispute of service area can not be resolved, a water use permit may be issued to OBWA for water supply to the undisputed areas. Please be advised, if this option is taken the application will need to be modified to include, but not limited to, population projections for the specific undisputed areas to calculate en appropriate allocation. In accordance with Rule 40E- 1.603(5), FAC, a response is required within 30 days of receipt of the letter requesting additions! information or the application may be processed for denial if not withdrawn by the applicant. Should you have any questions regarding this application, please call me et 800 - 432 -2045 ext.6944, or 407 -687 -6944. Thank you for your cooperation In this matter. Sincerely, J -- ,04 e- dam. Cep -4;4- Thomas Collos Senior Scientific Technician Water Use Division Regulation Department c: L.C. Fortner, OBWA Utilities Director, City of Okeechobee William D. Reese, P.E. John J. Drago, City Administrator Burton C. Conner, F'.A. Michael Wm. Morel!, P.A. CON 24-06 South Florida Water Management District x;1111,n11 ( 1111)I2()n(1 • I)O 1,( ‘‘ '21081) • \ \%cst Iir(i111.I I 37,1I61(C81) • (.107) 68e, 8311' • 1'I-AV' \TS1- 8IN1..1.?_':'.111 -i August 31. 1993 Okeechobee Beach Water Association Inc 8840 Highway 78 West Okeechobee, FL 34974 Subject: Application No. 921204 -10 , Wellfield for Okeechobee Beach Water Association Inc, Okeechobee County, S-- /T37S /R35E Enclosed is a copy of this District's staff report covering the permit application referenced therein. It is requested that you read this staff report thoroughly and understand its contents. The recommendations as stated in the staff report will be presented to our Governing Board for consideration on September 9, 1993. Should you wish to object to the staff recommendation or file a petition, please provide written objections, petitions and /or waivers (refer to the attached "Notice of Rights ") to: Vern Kaiser, Deputy Clerk South Florida Water Management District Post Office Box 24680 West Palm Beach, Florida 33416 -4680 The "Notice of Rights" addresses the procedures to be followed if you desire a public hearing or other review of the proposed agency action. You are advised, however, to he prepared to defend your position regarding the permit application when it is considered by the Governing Board for final agency action, even if you agree with the staff recommendation, as the Governing Board may take final agency action which differs materially from the proposed agency action. Please contact the District if you have any questions concerning this matter. If we do not hear from you prior to the date on the "Notice of Rights ", we will assume you concur with our recommendations. CERTIFICATE OF SERVICE I HEREBY CERTIFY that a "Notice of Rights" has been mailed to the addressee and the persons listed in the attached distribution list not later that 5:00 p.m. this 31st day of August 1993, in accordance with Section 120.60 (3), Florida Statutes. Sincerely, Steve Lamb, Director Regulation Department CERTIFIED P # 252 257 514 RETURN RECEIPT REQUESTED Fortner Affidavit EXHIBIT E 1,, ( 1, ,), ■11.,,, \\ illinm 1 L(nun('n(1 • ,• 1 `,1 I, \ 1 hnitm.ui Ikcl,-;■ Itrnnl It ..... • \Ilan \lilt( (Ils( I .ul((•n(• It N1,01(,mi('I1) 1201•(1 ( i S(I1n(1 I ilf(,r(I (' ("ICJ. rl. 1 \(( ulicr 1 1"`11 (` • I( \In \ ir.v. 1)x•1"11\ 10)". 1)irr, t „r 1,,,,, all JOU Hev. 7 Y7 South Florida Water Management District Notice Of Rights NOTICE OF RIGHTS Enclosed is a copy of the Staff Review Summary regarding the subject permit application, which is this agency's Notice of Proposed Agency Action. PETITION FOR FORMAL ADMINISTRATIVE PROCEEDINGS Any person whose substantial interests are or may be affected by the action which is proposed in the enclosed Notice of Proposed Agency Action /Staff Review Summary, may petition for an administrative hearing in accordance with the requirements of Rule 40E- 1.521, Florida Administrative Code, and be filed with (received by) the District Clerk, 3301 Gun Club Road, West Palm Beach, Florida 33406. Petitions for administrative hearing on the above application must be filed within fourteen (14) days of actual receipt of this Notice of Proposed Agency Action. Failure to file a petition within this time period shall constitute a waiver of any rights such person may have to request an administrative determination (hearing) under section 120.57, Florida Statutes, concerning the subject permit application. Petitions which are not filed in accordance with the above provisions ate subject to dismissal. FLORIDA LAND AND WATER ADJUDICATORY COMMISSION A party to the proceeding below may seek review of a Final Order rendered on the permit application before the Land and Water Adjudicatory Commission. Review under section 373.1 14, Florida Statutes, is initiated by filing a request for review with the Land and Adjudicatory Commission and serving a copy on the Department of Environmental Protection and any person named in the Order within applicable statutory tirneframes This review is appellate in nature and limited to the record below. DISTRICT COURT OF APPEAL A party who is adversely affected by final agency action on the permit application is entitled to judicial review in the District Court of Appeal pursuant to section 120.68, Florida Statutes, as provided therein. Review under section 120.68, Florida Statutes, is initiated by filing a Notice of Appeal in the appropriate District Court of Appeal in accordance with Florida Rule of Appellate Procedure 9.110. CIRCUIT COURT Section 373.617(2), Florida Statutes, provides: Any person substantially affected by a final action of any agency with respect to a per may seek review within 90 days of the rendering of such decision and request monetary damages and other relief in the circuit court in the judicial circuit in which the affected property is located; however, circuit court review shall be confined solely to determining whether final agency action is an unreasonable exercise of the state's police Dower constituting a taking with just compensation. Review of final agency action for the purpose of determining whether the action is in accordance with existing statutes or r cries and based on competent substantial evidence shall proceed in accordance iffy Chapter 120. form 0300 /side 2 Rev. 7/93 40E -1.521 Initiation of Formal Proceedings (1) Initiation of forma) proceedings shall be made by filing a petition with the I)I.1r1, 1 1,'11 within the applicable tirnelrames set forth in this chapter The term petition m<hides oily ,,f,l,li,,,nnn or other document which expresses a request for formal proceedings (2) All petitions tiled under these rules shall contain: (a) the name and address of the District and the I)istrict's Ole or identih(atron iiruuhc r 11 klit,: i (b) the name and address of the petitioner or petitioners, (c) An explanation of how each petitioner's substantial interests will be allect<-d I,', the Di ii t determination; (d) A statement of when and how petitioner received notice of agency action or nonce of I,rc,l,(,w,I agency action; (e) A statement of all disputed issues of material fact If there are none, the petition most -.o Ind', ate (1) A concise statement of the ultimate facts which petitioner believes entitle petition r to nit:- rulieI sought as well as the rules and statutes which support petitioner's claim for relief, (g) A demand for the relief to which the petitioner deems himself entitled, and (h) Other information which the petitioner contends is material (3) Upon receipt of a petition for formal proceedings, the Office of Counsel shall review the petition for compliance with subsection (2). (he Board shall accept those petitions in substantial compliance therewith, which have been timely filed, which establish that the petitioner is a substantially affected party, and wtir h state a dispute which is within the Itrrisdiction of the District to resolve If accepted, die Board shall designate Iht_ presiding officer of the administrative hearing. 111e District shall promptly give written notice to all parties of the ac tion taken on the petition, and shall state with particularity its reasons therefor t/) If the Board designates a I Tearing Officer assigned by the Division of Administrative lleanngs i thy, presiding officer, the District Clerk shall forward the petition and all relevant materials filed with the Instri1 t to th Division of Administrative Heat rugs, and shall notify all parties of its action Specific Authority 373 041, 373.1131 S. Law Implemented 120 53(1), 120.5 / F S. t lrstory --- New 9 3 81, Amended 5-11 9i Formerly 16K-1 09(1), 16K 1 112(1) through (-I), 16K 1 12 LAST DATE FOR GOVERNING BOARD ACTION: November 10, 1993 bRAFT Subject to Governing Board Approval WATER USE STAFF REVIEW SUMMARY APPLICATION NUMBER: 921204 -10 PROJECT NAME: WELLFIELD FOR OKEECHOBEE BEACH WATER ASSOCIATION INC WATER USE STATUS: PROPOSED SURFACE WATER MANAGEMENT STATUS: NOT APPLICABLE. RIGHT OF WAY STATUS: a NOT APPLICABLE LOCATION: OKEECHOBEE COUNTY SEC 29,30,32/T37S/R35E APPLICANT'S NAME AND ADDRESS: OKEECHOBEE BEACH WATER ASSOCIATION INC 8840 HIGHWAY 78 WEST OKEECHOBEE, FL 34974 OWNER'S NAME AND ADDRESS: PURPOSE: OKEECHOBEE BEACH WATER ASSOCIATION INC 8840 HIGHWAY 78 WEST OKEECHOBEE, FL 34974 The purpose of this application is to obtain a water use permit for public water supply system to serve a service area in Okeechobee and Glades Counties. The wellfield locations are outside of the service area in Sections 29, 30 & 32, Township 37S, Range 35E. The applicant's service area is depicted in Exhibits 1 -3. 1 STAFF RECOMMENDATIONS DATE OF ISSUANCE: September 9, 1993 PERMIT DURATION: 10.00 YEARS EXPIRATION DATE: September 9, 2003 USE CLASS: PUBLIC WATER SUPPLY GROUNDWATER FROM THE SURFICIAL AQUIFER SYSTEM RECOMMENDED ALLOCATION: ANNUAL ALLOCATION: 259 MILLION GALLONS (MG) MAXIMUM DAILY ALLOCATION: 1.06 MILLION GALLONS (MG) EXISTING WITHDRAWAL FACILITIES - GROUNDWATER: GW SOURCE: SURFICIAL AQUIFER SYSTEM 1 - 8" X 160' X 175 GPM WELL CASED TO 105 FEET PROPOSED WITHDRAWAL FACILITIES - GROUNDWATER: GW SOURCE: SURFICIAL AQUIFER SYSTEM 1 - 8" X 135' X 175 GPM WELL CASED TO 9G FEET 1 - 8" X 150' X 175 GPM WELL CASED TO 105 FEET 3 - 8" X 155' X 175 GPM WELLS CASED TO 110 FEET 1 - 8" X 165' X 175 GPM WELL CASED TO 120 FEET TOTAL RATED CAPACITY: GPM MGD MGM MGY SURFICIAL AQUIFER SYSTEM E 175 .25 7.6 92 SURFICIAL AQUIFER SYSTEM P 1050 1.51 45.4 552 TOTALS 1225 1.76 52.9 644 2 IMPACT EVALUATION SUMMARY RESOURCE SAFE YIELD: The Surficial Aquifer System in the City of Okeechobee area generally has low yield characteristics. On -site aquifer performance tests indicate the transmissivity of the Surficial Aquifer System ranges from 5000 -8000 GPD /FT with an approximate thickness of 160 feet. Water level readings of 15 feet NGVD result in a total available drawdown of approximately 155 feet. The applicant's consultant utilized the U.S.G.S. groundwater flow model, MODFLOW, to address potential impacts by simulating a maximum pumpage of 1.5 MGD with 2 in 10 deficit rainfall. However, due to a change in the maximum daily allocation to 1.06 MGD, Staff utilized the Theis Non - Equilibrium model to simulate maximum daily withdrawals for a 90 day period with no recharge. Results of the Theis model (Exhibit 5) predict a maximum drawdown of approximately 13.5 feet in the production zone of the wellfield. The sustained yield of the aquifer is not expected to be exceeded as a result of the withdrawal of the recommended allocation. EXISTING LEGAL USERS: The closest existing legal user is Wolff Brothers Dairy, Inc. (Permit 47- 00035-W), which utilizes surface water from the County Highway Drainage Ditch along Eagle Bay Road for irrigation of 17 acres of citrus. The proposed water treatment plant site is located south of Durrance Road with the 17 acre citrus grove to the north. Results of the modelling indicate an approximate drawdown of 5 feet at the existing legal user's surface water pump location. Because the existing legal user utilizes only surface water from the ditch, the projected drawdown should not interfere with the withdrawal capability of the pump. The potential for adverse impacts to occur to existing legal users as a result of the withdrawal of the recommended allocation is considered minimal. LEGAL DOMESTIC USERS: A residential area, located directly to the northeast of the main wellfield site, may potentially utilize the Surficial Aquifer System as a source of potable water. For the purpose of analysis, it is assumed that a domestic user is as close as the project boundary withdrawing water from a well with a centrifugal pump that has a lifting capability of 20 feet below land surface. The dry season water level of the Surficial Aquifer System is approximately 5 feet below land surface. Modelling indicates an approximate drawdown of 12 feet at the project boundary which would result in a water level of 17 feet below land surface. The potential for adverse impacts to occur to existing legal domestic users as a result of the withdrawal of the recommended allocation is not considered to be likely. 3 SALINE WATER INTRUSION: The project is located over 32 miles from the nearest source of surface saline water. The applicant has submitted water quality results from each of the three test wells which do not indicate the presence of connate saline water. The Surficial Aquifer System is hydrologically separated from the Floridan Aquifer System by a confining unit. Therefore, the potential for significant saline intrusion or upconing to occur as a result of the withdrawal of the recommended allocation is considered minimal. PROTECTED WETLANDS ENVIRONMENT: An off -site, viable wetland area is located northwest of the proposed wellfield. Results of the Theis modelling indicate that withdrawals from the proposed wellfield location result in less than one foot of drawdown at the wetland boundary, when wells 1 -6 are utilized equally in the normal wellfield rotation to meet the maximum daily allocation and well number 7 (located closest to the wetland) is not used. Exhibit 5B shows the extent of the projected one foot drawdown contour in relation to the wetland area. Therefore, the potential for adverse impacts to occur to protected wetland environments as a result of the withdrawal of the recommended allocation is considered minimal. Staff recommends that well number 7 be utilized only as an emergency backup facility or, if feasible, relocated at a greater distance away from the wetland area. See Limiting Condition Number 28. SOURCES OF POLLUTION: The closest known potential pollution source in the vicinity of the project is the Time Saver Shell No. 49 located approximately 1.5 miles north of the main wellfield in the north part of Section 20, Township 37S, Range 35E. The gas station has documented hydrocarbon contamination in the groundwater and has an approved Remedial Action Plan (RAP) from the Department of Environmental Protection. The RAP and associated recovery system are currently under review for a water use permit. Results of the model predict a drawdown of less than 0.1 feet at the gas station boundary. The potential for the induced movement of contaminants from known sources of pollution to occur as a result of the withdrawal of the recommended allocation is considered minimal. ADDITIONAL DESCRIPTIVE INFORMATION: FACILITIES The applicant proposes one wellfield and one water treatment plant with no emergency interconnections. Pursuant to Limiting Condition Number 18, the permittee shall develop and implement a wellfield operating program which details the operation schedule of the wellfield. This plan may be submitted to the District as a letter report. Pursuant to Limiting Condition Number 28, Staff recommends that proposed well number 7 only be utilized as an emergency backup facility due to its proximity to the off -site wetland area and the potential for adverse impacts. 4 The wellfield will have 6 proposed and 1 existing (no. 5) Surficial Aquifer System wells with a total proposed withdrawal capacity of 1.764 MGD. Wells 3- 7 will be located in one area as the main wellfield with wells 1 and 2 located in the vicinity of the water treatment site, as shown on Exhibit 5B. The lime softening water treatment facility is proposed to have a capacity of 1.5 MGD. There are two elevated storage tanks with a 75,000 gallon capacity and an additional proposed storage tank with a capacity of 1 to 1.5 MG. COMMENTS FROM OTHER AGENCIES The Department of Environmental Protection and Okeechobee County HRS have reviewed the application and have no objections to the proposed wellfield and issuance of the permit. DURATION OF PERMIT Current District regulations (Permit Information Manual, Volume III, Section 5.1.2.1) allow a maximum of a 10 year permit duration. Staff recommends a permit duration of 10 years. WATER CONSERVATION PLAN 1. Permanent Irrigation Ordinance - OBWA has requested Okeechobee and Glades Counties to pass an ordinance which restricts landscape irrigation to the hours of 4:00 p.m. to 10:00 a.m. seven days per week. 2. Xeriscape - OBWA has requested Okeechobee and Glades Counties to pass an ordinance which requires the use of xeriscape landscape principles. 3. Ultra -low Volume Plumbing Fixtures - OBWA has requested Okeechobee and Glades Counties to pass an ordinance which requires ultra -low volume plumbing fixtures on all new construction. 4. Water Conservation Rate Structure - OBWA has adopted an increasing block rate structure and seasonal rates to encourage water conservation. 5. Leak Detection - OBWA performs a leak detection survey when the unaccounted -for water loss is greater than 10% utilizing leak surveillance techniques and calibration and certification of all water meters. 6. Rain sensor devices - OBWA has requested Okeechobee and Glades Counties to pass an ordinance which requires any person who purchases and installs an automatic lawn sprinkler system to install, operate and maintain a rain sensor device or automatic switch which will override the irrigation system with the occurance of adequate rainfall. 7. Water Conservation Education Program - OBWA will print a message about water conservation to customers on the monthly bills. 8. Reclaimed Water - OBWA does not operate its own wastewater treatment plant. Part of the OBWA service area is served by septic tanks, with the 5 remainder of the wastewater being treated by the City of Okeechobee. SERVICE AREA AND LEGAL CONTROL Introduction OBWA requests to serve its existing customer base and the current and OBWA . Since projected demands in its Po °Pheedrequested servicexareatin)portionslof Glades has been supplying water and Okeechobee Counties through its corporate owned water transmission lines OBWA provides water service in the designated area to its approximately members, who own and control the corporation. Each customer or member has an ownership interest in the corporation and voting rights. �OBWA's proposed service area lies within bothiOkeechfbeecaiddeGagreements dds nties. In the permit application, OBWA submitted cop executed with each county requiring water service by OBWA for the proposed Lervice area within their respective jurisdictions. Criteria 3.1.1.1.1 rainsaacertificationlofedtheyproposedlserveicel obt area prior Commission (PSC) to ob to issuance of the water use permit. OBWA is exempt frolaregulat10n byethered Public Service Commission pursuant to Section 367.022, F. by Section 367.031, Fla. OBWA oc has obtind Exempt Status of Okeechobee B each Order) for the proposed service area. The City of Okeechobee ( "City ") currently sells water to OBWA pursuant to their bulk sale agreement ( "Contract "). OBWA then distributes the water through its water distribution not intend to customers within area. OBWA currently does relationship with the City after expiration of the Contract in September, 1994. OBWA intends to begin producing its own the gaQlontperidayhis permit application. OBWA also p lans water treatment plant which it represents will be operational in 1994. The City currently has a water use permit (Permit # 47- 00004 -W), which was renewed in 1991. The permit includes an allocation of water to supply to OBWA pursuant to the Contract between the City and OBWA. The City has provided information to DistricttSStaff ffrrregarding gatthe eiOBWOrdinance requested service area. Specifically, water 488, which it adopted in 1983, provides it the exclusive right to supply water to portions of the OBWA designated service area (Exhibits 2A, 2B & 3). City's claim is that such ordinance OBWA area and the City asks the District to Since two entities claim the right to serve the same geographic area, the District's service area dispute acriteria iscussion of this criteria applied the application. The following 6 OBWA application. District Service Area Dispute Criteria Pursuant to the reasonable - beneficial use test set forth in Section 373.223, Fla. Stat., a permit applicant must demonstrate need for the requested water allocation. Need is demonstrated in part through a showing of "legal control" over the area to be served by a public water supply. The District's legal control criteria is set forth in Criteria 3.1.1 of the Basis of Review. Criteria 3.1.1.1.5 of the BOR states that conflicting service area claims between the applicant and an unregulated water service area must be resolved by the involved parties. Service area is defined as "the geographic region in which a water supplier has the ability and legal right to distribute water for use." The Criteria goes on to state that "unresolved disputes will prompt the Staff to recommend an allocation based only on the non - disputed protions of the projected service area." Staff's position is that the purpose of this resource related criteria is to prevent waste when water is allocated to two separate entities for the same use, or double allocated. In making the determination of whether the applicant has need for the requested water allocation, pursuant to Criteria 1.3 of the BOR, District Staff is directed to implement the Basis of Review criteria flexibly, "with the primary goal being to meet District water resource objectives... Depending on the magnitude of impacts, other methods will be considered by Staff, or presented to the District's Governing Board for its consideration." Thus, in this circumstance of disputed service area claims, the context of the City's claims must be considered in relation to the District's resource objectives, such as protecting water supplies from depletion and contamination. Moreover, it is important to note what Criteria 3.1.1.1.5 is not intended to address. Specifically, the criteria does not, and cannot be interpreted as, giving the District the authority to decide service area claims. It is not within the jurisdiction of the District's consumptive use permitting authority to adjudicate service area disputes. These disputes generally involve contract and statutory rights that are irrelevant to the objectives of Chapter 373 and are properly resolved in circuit court actions. Likewise, the issuance of a consumptive use permit with an allocation of water for use within a disputed geographic region does not establish or alter the legal right of either entity to supply water to the affected region. With the resource and public interest related context of the District's service area inquiry in mind, it is also necessary to understand the extent of inquiry which the agency conducts when a service area is disputed. Due to the lack of jurisdiction to decide service area disputes, this scope of inquiry into legal control is limited. In implementing the legal control criteria, the District requires only a preliminary demonstration of legal control to supply water to a subject service area, irrespective of another entity's claim for the service area. Only a preliminary demonstration of legal control is necessary, because the 7 agency's purpose of inquiring into these matters is limited in scope, as stated above. A requirement for demonstration of legal control beyond this preliminary showing would put the District in the precarious position of adjudicating the rights of disputing entities, a responsibility that lies solely within the circuit court's jurisdiction. In extraordinary circumstances, such as this application, a disputed service area question arises. However, the existence of a disputed service area does not alter the preliminary nature of the agency's inquiry into legal control matters. City of Okeechobee Service Area Dispute In response to the City's service area dispute arguments, OBWA maintains that it has facially demonstrated legal control over the service area through its legal obligation and ability to distribute water to its customers. An examination of the nature of OBWA itself and the Contract terms and relationship created thereby will further clarify each party's interest in supplying water to the designated area. As stated above, OBWA is a corporation which provides water service solely to its members, who own and control the corporation. Each customer has an ownership interest in the corporation and voting rights. Thus, OBWA has a unique leg_al__ obligation to_supply water to its customers. The City sells water to OBWA pursuant to a bulk sale agreement, or the Contract. OBWA then distributes the water throughout its water distribution system to its customers within the service area. Significantly, the Contract expires in September, 1994. Although the parties have attempted to negotiate a renewal, it appears that they are currently at an impasse. Clearly, both parties have some interest in supplying water to the service area. Initial reading of Criteria 3.1.1.1.5 suggests that this agency must attempt to force the parties to resolve their dispute and, if possible, issue a partial allocation for undisputed areas. The result of such an action, in this case, would be contrary to the agency's overriding interest in the public's health, safety and welfare. If a water use permit is not issued to OBWA, the citizens may not receive the potable supply upon which they depend ;'for daily subsistence. There is no assurance under the Contract that water will be supplied to OBWA for its existing customers after October, 1994, unless OBWA obtains a water use permit. As set forth in the PSC Exemption Order, OBWA represents that it must begin construction of the water withdrawal facilities and water treatment plant as soon as possible in order to supply water by the time the Contract with the City expires in 1994 or when the water treatment plant becomes operational. Moreover, by denying the requested allocation based on the fact that there is a service area dispute, the District would in effect be adjudicating the right of OBWA to service its customers. OBWA has instituted a circuit court action to resolve the service area dispute set forth by the City. If the legal 8 dispute is ultimately resolved in OBWA's favor, denial of the OBWA permit application now would prevent it from initiating construction of necessary water withdrawal and treatment facilities in time to be able to provide water to its customers in October, 1994. Such a denial would force OBWA to accept the City's provision of service, thereby confirming the City's service area claims; a matter not within the District's authority to adjudicate. ..____,, The terms ,Qf the-Contr-act. further support OBWA's assertion that OBWA has the ultimate legal obligation'10 supply water to its customers. Under the Contract, e pity- retains the right to "discontinue water service to the Association until all arrearage is paid in full." The fact that the City can shut off water supply to OBWA undermines the City's arguments that it has the exclusive legal obligation to supply water to the affected area. (See Paragraphs 4 and 5 of the Contract). Furthermore, under the Contract, OBWA is held ultimately responsible for "testing, evaluating and treating the water purchased from the City..." and the City is "not held accountable for the quality of water delivered" to OBWA. Thus, OBWA, and not the City, has the legal responsibility for assuring that an adequate quantity and quality of drinking water is supplied to its customers. In addition to the prima facie establishment of the legal right to serve water, pursuant to the definition of "service area," the water supplier must have the ability to distribute water for use within the affected area. This recognizes that although the permit applicant or permittee is able to demonstrate the requisite legal water supply right, no supply of water will occur if the entity is without the ability to distribute water within the affected area. In this case, the infrastructure used to distribute the water within the service area is owned by OBWA. In the event that the Contract is not renewed in 1994, it is unclear how the City would be able to actually distribute water to OBWA's customers. Based on these considerations, District Staff has determined that OBWA has made the requisite preliminary showin• that it has the legal right and ability to provide water to its customers and, therefore, has legal control. District Staff recognizes that a facially su 'icient showing of a 'legal riga to service water within a geographic region may be made by more than one public water supply entity in some cases. Thus, in this instance, the allocation of water to the two entities for a limited time period until the dispute is ultimately resolved through the pending court action is necessary due to the overriding public interest concerns. DEMAND PROJECTIONS The applicant has based demand projections on population figures from the existing customer base of OBWA and areas outside the City of Okeechobee's 201 facilities planning area. The population projections are consistent with the Comprehensive Plans for Okeechobee and Glades Counties. The applicant indicates a population of approximately 8,013 persons for the year 1992. The projected increase in population through the year 2003 is approximately 337 people for a total of 8,350 persons in the service area. The applicant requests an average daily demand of .71 MGD for the year 2003, based on a historical per capita use rate of approximately 85 gallons per day. The implementation of the water conservation plan should yield future water savings which will be used for the forecasting of projected demands at the next permit re- issuance. REQUESTED AVERAGE DAILY ALLOCATION The applicant has requested an average daily allocation of .71 MGD or 259.15 MGY. REQUESTED MAXIMUM DAILY ALLOCATION The applicant has requested a maximum daily allocation of 1.065 MGD. The maximum daily allocation is based on a maximum daily to average daily demand ratio of 1.5 weighted over the entire service area requested to be served by OBWA. RECOMMENDED ALLOCATIONS Staff recommends an annual allocation of 259 MGY (.71 MGD average) and maximum daily allocation of 1.06 MGD from the wellfield withdrawing groundwater from the Surficial Aquifer System for supplying potable water to the requested service area. 10 RECOMMENDATIONS APPLICATION NUMBER: 921204 -10 DATE OF ISSUANCE: September 9, 1993 RECOMMENDATION SUMMARY: Staff recommends approval of Application No. 921204 -10 for public water supply serving 8350 persons in the year 2003 with an average per capita use rate of 85 gallons per day and a maximum daily to average daily pumping ratio of 1.5. Withdrawals are from the Surficial Aquifer System via 1 existing withdrawal facility and 6 proposed withdrawal facilities. The use is reasonable - beneficial, will not adversely impact presently existing legal uses and is consistent with the public interest. The use is further subject to 28 limiting conditions. APPLICATION REVIEWER: U ,11t-ai1— 1 1,— -d DATE: (F130/co Thomas Colios SUPERVISOR: /�a`�z DATE: a /30 193 Jeffrey Rosenfeld V WATER USE DIVISION APPROVAL: / /3 . DATE: OC)/3 m. Scott Burns, P.G. 'R . Subject to Governrn . Board Appr;7\aa1 �� 11 STATE OF FLORIDA SOUTH FLORIDA WATER MANAGEMENT DISTRICT CITY OF OKEECHOBEE, Petitioner, vs. SOUTH FLORIDA WATER MANAGEMENT DISTRICT and OKEECHOBEE BEACH WATER ASSOCIATION, INC., Respondents. CASE NO.: 93- Permit Application No. 921204 -10 PETITION FOR FORMAL ADMINISTRATIVE HEARING Petitioner, CITY OF OKEECHOBEE, through its undersigned counsel, pursuant to Section 120.57(1), Fla. Stat., and Florida Administrative Code Rule 40E- 1.521, hereby requests a formal administrative hearing and in support thereof states: PARTIES 1. The agency affected by this cause is the South Florida Water Management District ( "District "), 3301 Gun Club Road, West Palm Beach, Florida 33416 -4680. The District's file number for this matter is Application No. 921204 -10, Wellfield for Okeechobee Beach Water Association, Inc., Okeechobee County. 2. The Okeechobee Beach Water Association, Inc. ( "OBWA" or "Association "), a not- for - profit association, is the applicant to the District for a water use permit ( "Permit ") under the above - referenced application number. The address of OBWA is 8840 Highway 78 West, Okeechobee, FL 34974. 3. Petitioner is the City of Okeechobee ( "City "), a municipality and local government as defined by Section 180.01, and Fortner Affidavit EXHIBIT F 163.3164(13) Fla. Stat. (1993), respectively. The City's address is 55 Southeast 3rd Avenue, Okeechobee, FL 34974. THE CITY'S SUBSTANTIAL INTERESTS ARE AFFECTED BY THE ISSUANCE OF THE PERMIT TO OBWA 4. The City currently provides potable water under District Water Use Permit No. 47- 00004 -W (copy attached hereto as Exhibit "A" and incorporated by reference herein) to its citizens as well as to other customers located outside the City's boundaries but within the service area established by the City for this purpose under Chapter 180, Fla. Stat. The City has provided in the past and continues to provide to OBWA potable water through the terms of a bulk sale agreement. OBWA then distributes the water through its water distribution system to its members. In its application for the subject Permit, OBWA is seeking to construct a wellfield and water treatment plant so as to supply water to a proposed service area which includes portions of Okeechobee County. The water is to be withdrawn from the same aquifer as that utilized by the City under its Water Use Permit. The service area proposed to be served by OBWA overlaps the service area established by the City. 5. The issuance of the Permit by the District to OBWA will affect the substantial ,interests of the City because it will result in a significant reduction in the allocation of water to the City under its water use permit and, as such, will interfere with the existing legal use of water by the City. 6. The issuance of the Permit will also be inconsistent with the public interest of the citizens of the City and Okeechobee 2 County since it will result in an inefficient and uneconomical utilization of water resources. 7. The City is statutorily mandated to comprehensively plan so as to: encourage the most appropriate use of water consistent with the public interest; facilitate the adequate and efficient provision of water; indicate ways to provide for future potable water, sanitary sewer, and aquifer recharge protection requirements; conserve and protect natural resources including water, water recharge areas, wetlands and waterwells; and to assure the continued availability of water through public supplies. The . City is also statutorily mandated to cooperate intergovernmentally with the District and other governmental entities in order to meet the water needs of rapidly urbanizing areas in a manner which will supply adequate and dependable supplies of water where needed without resulting in adverse effects upon the areas from whence such water is withdrawn. Consistent with these statutorily mandated planning and intergovernmental cooperation responsibilities, the legislature has designated municipalities, including the City, as among the group of local governmental entities which have primary responsibility for public water supply. 8. The City has complied with and implemented its planning and intergovernmental cooperation responsibilities. As a result, the City constructed a second water treatment facility, and the projected potable water demands of Okeechobee County are being met, including the water demands of the OBWA. The City also provides sanitary sewer services to its citizens as well as to other 3 customers located within the designated service area. Although OBWA does not currently provide sanitary sewer services within its proposed service area; water is proposed to be withdrawn from, and will be returned, primarily via septic tank systems to the same aquifer as that utilized by the City under the City's Water User Permit. 9. The City has a substantial interest in the quality, quantity and availability of its water supply. This interest will be adversely affected by the issuance of the Permit to OBWA. The issuance of the Permit by the District to OBWA will affect the substantial interests of the City because it will result in a significant reduction in the allocation of water to the City under its water use permit, and, as such, will interfere with the existing legal use of water by the City. The issuance of the Permit will be inconsistent with the public interest of the citizens of the City and Okeechobee County since it will result in an inefficient and uneconomical utilization of land and potable water and sanitary sewer resources. The City has expended substantial sums to plan for, design and construct the potable water facilities, infrastructure and staff to provide water to OBWA and to the City's other customers in the City's service area, and has bond obligations as a result of this investment. The revenues from the sale of potable water to the City's customers are pledged to these bond obligations. The issuance of the Permit to OBWA with the service area as proposed by OBWA will result in the'removal of OBWA and its members from the City's service area which will have 4 a substantial negative impact on the City's remaining customers, depriving them and the City of necessary revenues to meet the financial, planning and intergovernmental cooperation obligations incurred for the benefit of OBWA. NOTICE 10. The City received on September 1, 1993 through the U. S. Mail a notice of the District Staff Report, which addresses the permit application and which contains a recommendation by staff to the Governing Board to grant said permit, and a copy of the Notice of Rights. A copy of the Staff Report is attached hereto as Exhibit "B" and incorporated by reference herein. BACKGROUND Conflicting Service Area Claims 11. Pursuant to Section 3.1.1, as set forth in the Basis of Review for Water Use Permit Applications within the South Florida Water Management District - January, 1993 ( "Basis of Review "), "applicants must have legal control over the activities ... for which they desire a permit. This includes service areas for public water supply ... ." (Emphasis added.) 12. Under Section 3.1.1.1.5 of the Basis of Review, "conflicting service area claims between Applicants or between Applicant and an unregulated water service area, must be resolved by the involved parties. Unresolved disputes will prompt'the staff to recommend an allocation based only on the non - disputed portions 5 of the projected service area." (Emphasis added.) As recently as May 20, 1993, District staff informed OBWA that "conflicting service area claims between applicants, or between an applicant and an unregulated service area, must be resolved by the involved parties." (A copy of this correspondence is attached hereto as Exhibit "C," incorporated by reference herein.) 13. The City's service area is an unregulated water service area. 14. The Basis of Review is incorporated by reference into Florida Administrative Code Rule 40E- 2.091(1) and as such constitutes a rule in and of itself. Therefore, Section 3.1.1 and Section 3.1.1.1.5 set forth in the Basis of Review must also be considered as rules. It is axiomatic that all properly promulgated rules of an agency must be presumed to be valid. It is also well - established that an agency is bound to follow its own rules. 15. OBWA has filed in the Circuit Court in Okeechobee County a Complaint for Declaratory Judgment to try to resolve the claims of OBWA and the City as to the service areas. Complaint reference is attached hereto as Exhibit "D," herein.) As stated in the Complaint (A copy of the incorporated by at paragraph 17, "The Plaintiff (OBWA) and Defendant (City) are unable to agree on their respective service areas after the existing bulk water supply contract expires." Furthermore, as stated in paragraph 18 of the Complaint, "Plaintiff and the Water Management District are in doubt as to the service areas Plaintiff and Defendant may legally serve after the existing bulk water supply contract expires." It 6 is undisputed between the parties that there exists a conflicting claim between OBWA and the City regarding the service area. Accordingly, under the District's own rules these conflicting claims must be resolved before the Permit can be issued. Or, in the alternative, the allocation to OBWA in the Permit must be reduced and be based only on the non - disputed portions of the projected service area. Reasonable Beneficial Use 16. Under Section 373.223(1)(a), Fla. Stat., an applicant for a Consumptive Use Permit must establish that the proposed use of water is a reasonable - beneficial use as defined in Section 373.019(4). 17. Under Section 373.019(4), Fla. Stat., reasonable - beneficial use is defined to mean "the use of water in such quantity as is necessary for economic and efficient utilization for a purpose and in a manner which is both reasonable and consistent with the public interest." (Emphasis added.) 18.' Under Rule 40E- 2.301(1)(e), an applicant must give reasonable assurances that the proposed water use "is otherwise a reasonable - beneficial use as defined in Section 373.019(4) and Rule 17- 40.040 (now renumbered as 17- 40.401)." 19. Rule 17- 40.401(2), provides that "in determining whether a water use is a reasonable - beneficial use, the following factors will be considered: (a) The quantity of water requested for the use; 7 (b) The demonstrated need for the use; (e) The extent and amount of harm caused; (g) Whether the impact of the withdrawal extends to land not owned or legally controlled by the user; (h) The method and efficiency of use; Interference with Presently Existing Legal Use 20. Under Section 373.223(1) (b) , an applicant for a water use permit must establish that the proposed use of water "will not interfere with any presently existing legal use of water." 21. Under Rule 40E- 2.301(f), an applicant must give reasonable assurance that the proposed water use "will not interfere with presently existing legal uses." Consistent with the Public Interest 22. Under Section 373.223(1)(c), an applicant must establish that the proposed use of water "is consistent with the public interest." 23. Under Rule 40E- 2.301(1)(i), an applicant must give reasonable assurances that the proposed water use "is consistent with Sections 373.016, 373.036, Fla. Stat., and Rules 17- 40.001, 17- 40.030, 17- 40.040 and otherwise in accordance with the public interest." 8 24. Section 373.036(2)(b) provides that consideration be given to "the maximum economic development of the water resources consistent with other uses." 25. Section 373.036(2)(e) provides that consideration be given to "the prevention of wasteful, uneconomical, impractical, or unreasonable use of water resources." 26. Under Rule 17- 40.040 (now renumbered as 17- 40.401): (1) No permit shall be granted to authorize the use of water unless the applicant establishes that the proposed use is a reasonable - beneficial use, will not interfere with presently existing legal uses of water, and is consistent with the public interests. (2) In determining whether a water use is a reasonable - beneficial use, the following factors are to be considered: a. The quantity of water requested, b. The demonstrated need for the use ..., e. The extent and amount of harm caused ..., g. Whether the impact of the withdrawal extends to land not owned or legally controlled by the user, and h. The method and efficiency of use. Disputed Issues of Fact and Law 27. Whether the District may grant to OBWA the subject consumptive use permit prior to a resolution of the conflicting 9 service area claims. 28. If the District can grant the subject permit whether it must reduce the allocation so that said allocation is based only on the non - disputed portions of the projected service area. 29. Whether OBWA has provided adequate justification for the quantity of water proposed to be used. 30. Whether the quantity of water proposed to be used is necessary for the economic and efficient utilization by OBWA for its purposes. 31. Whether OBWA has provided adequate demonstration of the need for the use of the water. 32. Whether OBWA has adequately demonstrated the extent and amount of harm resulting from the use of the proposed permit. 33. Whether OBWA has adequately demonstrated that the impact of the withdrawal will not extend to land not owned or legally controlled by OBWA. 34. Whether OBWA has adequately demonstrated the method and efficiency of its proposed use of water under the proposed permit. 35. Whether the issuance of the Permit is consistent with Sections 373.016, 373.036, Fla. Stat., Rules 17- 40.001, 17- 40.030, 17- 40.040, and otherwise in accordance with the public interest. 36. Whether the issuance of the Permit is consistent with the economic development of the water resources of the state pursuant to Section 373.036(2)(b), Fla. Stat. 37. Whether the issuance of the Permit is consistent with the prevention of wasteful, uneconomical, impractical, or unreasonable 10 use of water resources of the state pursuant to Section 373.036(2) (b), Fla. Stat. 38. Whether OBWA has provided reasonable assurance that the proposed use of water is a reasonable beneficial use. 39. Whether OBWA has provided reasonable assurance that the proposed use will not interfere with any presently existing legal use of water. 40. Whether OBWA has provided reasonable assurance that the proposed use of water is consistent with the public interest. Ultimate Facts 41. Pursuant to Section 373.223(1), an applicant for a Consumptive Use Permit is required to establish that the proposed use of water: (a) Is a reasonable beneficial use, (b) Will not interfere with any presently existing legal use of water, and (c) Is consistent with the public interest. 42. Furthermore, Rules 40E -2 and 17- 40.401 set forth the specific criteria under which the District is to review applications for Consumptive Use Permits. 43. The issuance of the permit by the District to OBWA as currently proposed without resolution of the conflicting claims over the service area clearly demonstrates that OBWA has failed to provide reasonable assurance that: (1) the proposed water use is a reasonable - beneficial use, (2) that the proposed water use will not 11 interfere with the presently existing legal uses of water, and (3) that the proposed water use is consistent with the public interest. Rules and Statutes Supporting City's Claim for Relief 44. The City is entitled to relief under legal authorities including, but not limited to, the following: (a) Ch. 120, Fla. Stat. (b) Ch. 163, Fla. Stat. (c) Ch. 180, Fla. Stat. (d) Ch. 373, Fla. Stat. (e) Ch. 17 -40, F.A.C. (f) Ch. 40E, F. A. C. WHEREFORE, based upon the foregoing, the City of Okeechobee respectfully requests: (a) That the District forward the City's Petition for Formal Administrative Hearing to the Division of Administrative Hearings; (b) That a formal hearing be scheduled and conducted by a hearing officer of the division of Administrative Hearings; (c) That the hearing officer enter a recommended order recommending denial of Permit Application Number 921204 -10; and (d) That the South Florida Water Management District enter a final order denying the subject permit. 12 Respectfully submitted by Federal Express Overnight Service this 14th day of September, 1993, and by facsimile transmission this 14th day of September, 1993. Richard A. Lotspeich FBN 593060 Fred McCormack FBN 256676 LANDERS & PARSONS P. O. Box 271 Tallahassee, FL 32302 (904) 681 -0311 and Michael Wm. Morell FBN 570280 310 W. College Ave. Tallahassee, FL 32302 (904) 425 -8300 Counsel for City of Okeechobee CERTIFICATE OF SERVICE I HEREBY CERTIFY that the original and one copy of this Petition for Formal Administrative Hearing has been served by Federal Express, Overnight Delivery, to the District Clerk, south Florida Water Management District, 3301 Gun Club Road, West Palm Beach, FL 33406 on this 14th day of September, 1993; one copy has been served upon the District Clerk of the South Florida Water Management District by facsimile transmission (407) 687 -6200, on the 14th day of September, 1993; one copy has been served by U. S. Mail on this 14th day of September, 1993 to the following persons: 13 <le I. Ross .torney at Law south Florida Water Management District P. 0. Box 24680 West Palm Beach, FL 33416 -4680 Stephen A. Walker, Esq. Messer, Vickers, Caparello, Madsen, Lewis, Goldman & Metz 2000 Palm Beach Lakes Boulevard Suite 900 West Palm Beach, FL 33409 14 SATE OF FLORIDA DIVISION OF ADMINISTRATIVE HEARINGS CITY OF OKEECHOBEE, Petitioner, vs. ) CASE NO. 93 -5505 ) SOUTH FLORIDA WATER MANAGEMENT ) DISTRICT and OKEECHOBEE BEACH ) WATER ASSOCIATION, INC., ) ) Respondents. ORDER O: l'ZNDING MOTIONS AND PLACING CASE IN ABEYANCE This cause having come before the undersigned on Respondent's Motion to Dismiss filed October 5, 1993, by Okeechobee Beach Water Association, Inc.; on the Motion Dismiss for Lack of Standing filed October 12, 1993, by Respondent South Florida Water Management District; on the Request for Oral Argument filed October 12, 1993, by Respondent South Florida Water Management District; on the City of Okeechobee's Response to Okeechobee Beach Water Association, Inc.'s, Motion to Dismiss filed October 14, 1993; on Petitioner's Motion to Abate filed October 11, 1993; on South Florida Water Management District Response to City of Okeechobee's Motion to Abate filed October 22, 1993; on Respondent's Response to Petitioner's Motion to Abate filed October 22, 1993, by Okeechobee Beach Water Association, Inc.; on City of Okeechobee's Motion to Tike the South Florida Water Management District's Motion to Dismiss for Lack of Standing filed October 19, 1993; on Petitioner's Request for Leave to Amend Petition For Formal Fortner Affidavit EXHIBIT G Administrative Hearing filed October 21, 1993; on Respondent's Response to City of Okeechobee Motion to Strike Respondent South Florida Water Management District's Motion to Dismiss filed November 2, 1993; on the Motion to Deny Request for Leave to Amend City of Okeechobee's Petition for Administrative Hearing filed by South Florida Water Management District November 2, 1993; and on Respondent's Response to Petitioner's Request for Leave to Amend Petition for Formal Adn-,n ist.rative Hearing filed November 2, 1993, by Okeechobee Beach Water Association, Inc; and the undersigned having reviewed the record in this cause and being fully advised in the premises, it is, therefore, ORDERED that: 1. The Request for Oral Argument filed by Respondent South Florida Water Management District be and the same is hereby DENIED. 2. The Motion to Dismiss for Lack of Standing filed by Respondent South Florida Water Management District be and the same is hereby DENIED. 3. Respondent's Motion to Dismiss filed by Okeechobee Beach Water Association, Inc., be and the same is hereby DENIED. 4. City of Okeechobee's notion to Strike the South Florida Water Management District's Motion to Dismiss for Lack of Standing be and the same is hereby DENIED. 5. Petitioner's Request for Leave to Amend Petition for Formal Administrative Hearing be and the same is hereby GRANTED. 6. Petitioner's Motion to Abate be and the same is hereby GRANTED. 2 7. The Motion to Deny Request for Leave to Amend City of Okeechobee's Petition for Administrative nearing be and the same is hereby DENIED. 8. No later than 90 days from the date of this Order and every 90 days thereafter the parties shall confer and advise the undersigned in writing as to the status of Case No. 93- 555 -CA pending in the Circuit Court In and For Okeechobee County, Florida, as to the status of this matter, as to the need for a formal hearing in this cause, as to the length of time required for the formal hearing should one be necessary, and as to several mutually agreeable da,:es for scheduling the formal hearing if this cause is ready for so scheduling. DONE AND ORDERED in Tallahassee, Leon County, Florida, this day of November 1993. Copies furnished: Richard A. Lotspeich, Esquire Fred McCormack, Esquire Landers & Parsons Post Office Box 271 Tallahassee, Florida 32302 Michael W. Morell, Esquire 310 West College Avenue Tallahassee, Florida 32302 LINDA M. R I GOT Hearing Officer Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, Florida 32399 -1550 (904) 488 -9675 Filed with the Clerk of the Division bf Administrative Hearings this 1C` day of November • 1993 . 3 SEP241993 CERTIFIED MAIL RETURN RECEIPT REQUESTED STATE OF FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION In the Matter of an Application for Permit by: Mr. Leland Pearce, President DEP File No. WC 47- 227728 Okeechobee Beach Water Assoc. (OBWA) Okeechobee County 8840 Highway 78 West Okeechobee, FL 34974 -9787 INTENT TO ISSUE The Department of Environmental Protection gives notice of its Intent to Issue a permit (draft copy attached) for the proposed project as detailed in the application specified above. The Department is issuing this Intent to Issue for the reasons stated below. The applicant, Mr. Leland Pearce, President of Okeechobee Beach Water Association (OBWA) applied on March 12, 1993, to the Department of Environmental Protection (DEP) for a permit to construct a new 1.5 MGD public water supply system to serve the existing OBWA service area. The Department has permitting jurisdiction under Section 403, Florida Statutes (F.S.). The project is not exempt from permitting procedures. The Department has determined that a construction permit is required for the proposed work. Pursuant to Section 403.815 of the Florida Statutes (F.S.), and the Department Rule 17- 103.150, Florida Administrative Code (F.A.C.), you (the applicant) are required to publish at your own expense the enclosed Notice of Intent to Issue Permit. The notice shall be published one time only within 30 days, in the legal ad section of a newspaper of general circulation in the area affected. For the purpose of this rule, "publication in a newspaper of general circulation in the area affected" means publication in a newspaper meeting the requirements of Sections 50.011 and 50.031, F.S., in the county where the activity is to take place. The applicant shall provide original copy of the proof of publication to the Department, at 1900 South Congress Avenue, Suite A, P.O. Box 15425, West Palm Beach, Florida 33416 within seven days of publication. Failure to publish the notice and provide proof of publication within the allotted time may result in the denial of the permit. PERM.INT.PN Revised 9/93 Fortner Affidavit EXHIBIT H SEP 2 4 1993 Mr. Leland Pearce, President DEP File No. WC 47- 227728 Okeechobee Beach Water Assoc. Okeechobee County Page 2 Intent to Issue The Department will issue the permit with the specific conditions unless a petition for an administrative proceeding (hearing) is filed pursuant to the provisions of Section 120.57, F.S. A person whose substantial interests are affected by the Department's proposed permitting decision may petition for an administrative proceeding (hearing) in accordance with Section 120.57, F.S. The petition must contain the information set forth below and must be filed (received) in the Office of General Counsel of the Department at 2600 Blair Stone Road, Tallahassee, Florida 32399 -2400. Petitions filed by the permit applicant and the parties listed below must be filed within 14 days of receipt of this Intent. Petitions filed by other persons must be filed within 14 days of publication of the public notice or within 14 days of their receipt of this Intent, whichever first occurs. Petitioner shall mail a copy of the petition to the applicant at the address indicated above at the time of filing. Failure to file a petition within this time period shall constitute a waiver of any right such person may have to request an administrative determination (hearing) under Section 120.57, F.S. The Petition shall contain the following information: (a) The name, address, and telephone number of each petitioner, the applicant's name and address, the Department Permit File Number and the county in which the project is proposed; (b) A statement of how and when each petitioner received notice of the Department's action or proposed action; (c) A statement of how each petitioner's substantial interests are affected by the Department's action or proposed action; (d) A statement of the material facts disputed by petitioner, if any; (e) A statement of facts which petitioner contends warrant reversal or modification of the Department's action or proposed action; (f) A statement of which rules or statutes petitioner contends require reversal or modification of the Department's action or proposed action; and (g) A statement of the relief sought by petitioner, stating precisely the action petitioner wants the Department to take with respect to the Department's action or proposed action. If a petition is filed, the administrative hearing process is designed to formulate agency action. Accordingly, the Department's final action may be different from the position taken by it in this Intent. Persons whose substantial interests will be affected by any decision of the Department with regard to the application have the right to petition to become a party to the proceeding. The petition must conform to the PERM.INT.PN Revised 9/93 Mr. Leland Pearce, President Okeechobee Beach Water Assoc. Page 3 DEP File No. WC 47- 227728 Okeechobee County Intent to Issue requirements specified above and be filed (received) within 14 days of receipt of this Intent, in the Office of General Counsel at the above address of the Department. Failure to petition within the allowed time frame constitutes a waiver of any right such person has to request a hearing under Section 120.57, F.S., and to participate as a party to this proceeding. Any subsequent intervention will only be at the approval of the presiding officer upon motion filed pursu nt to Rule 28- 5'.207, F).A.C. DONE AND ENTERED this J - day of d ?Lt.Il.(1 } 19j) in the City of West Palm Beach, Florida. STATE OF FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION ry E.S. W ianis irector of District anagement P. 0. Box 15425 1900 South Congress Avenue West Palm Beach, FL 33416 MESW:idt Copies furnished to: Office of General Counsel, DEP, Tallahassee Okeechobee County Public Health Unit Okeechobee County Engineer Richard E. Wilson, P.E. - LBF &H, Inc. /Jupiter Ted Robbins, P.E. - LBF &H, Inc. /Jupiter Drinking Water Compliance /Enforcement Section, DEP /WPB South Florida Water Management District Wastewater Section, DEP /WPB CERTIFICATE OF SERVICE The undersigned duly designated deputy clerk hereby certifies that thi§ INTENT TO ISSUE and all copies were mailed before the close of business on qtr 2 <i 199J to the listed persons. Clerk Stamp FILING AND ACKNOWLEDGMENT FILED, on this date, pursuant to S120.52(9), Florida Statutes, with the deg gnated Department Clerk, receipt of which is hereby acknowledged. / l C�er) e /4. • SEP 2 4 1993 PERM.INT.PN Revised 9/93 .; lorida Department of Environmer.ital Protection CERTIFIED MAIL RETURN RECEIPT REQUESTED Southeast District P.O. Box 15425 West Palm Beach, Florida 33416 NOTICE OF PERMIT Mr. Leland Pearce, President Okeechobee Beach Water Association (OBWA) 8840 Highway 78 West Okner-hohee, FL 34974 -9787 • \'irl;inin 11. \j'rthrrrll Sect rtarl Okeechobee County PW- Okeechobee Beach Water Association (OBWA) Public Water System Dear fir. Pearce! Enclosed is Permit Number DS 47- 233338 to construct a finished water main (dryline), issued pursuant to Section 403, Florida Statutes. Any party to this Order (permit) has the right to seek judicial review of the permit pursuant to Section 120.68, Florida Statutes, by the filing of a Notice of Appeal pursuant to Rule 9.110, Florida Rules of Appellate Procedure, with the Clerk of the Department in the Office of General Counsel, 2600 Blair Stone Road, Tallahassee, Florida 32399 -2400; and by filing a copy of the Notice of Appeal accompanied by the applicable filing fees with the appropriate District Court of Appeal. The Notice of Appeal must be filed within 30 days from the date this notice is filed with the Clerk of the Department. If you have any questions, please contact Iradj Dolatshahi of this office, telephone 407/433 -2650. Executed in west Palm Beach, Florida. ttF$w: idt STATE OF FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION Iiams Direc r 7 of District Managembnt 1900 S,uth Congress Avenue P. O. Box 15425 West Palm Beach, Florida 3347.6 Cnriers furnished to Office of General Counsel, DEP, Tallahassee Okeechobee County Public Health Unit Okeechobee County Engineer Ted Robbins, P.E. - LBF &H, Inc. /Jupiter Drinking Water Compliance /Enforcement Section, DEP /WPB CERTIFICATE OF SERVICE This is to certify that this NOTICE OF PERMIT and all copies were mailed before the close of business on • I•;:Jo to the listed persons. Clerk Stamp FILING AND ACKNOWLEDGMENT FILED, on this date, pursuant to Chapter 120.52(9), F1orlida Statutes, with the designated Department Clerk, ry3eipt of which is hereby acknowledged. CI rk— 1 1L_ �. zJ (' ( ' ,) i IS ate "� 0 / STATE OF FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION CITY OF OKEECHOBEE, Petitioner, vs. FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION and OKEECHOBEE BEACH WATER ASSOCIATION, INC., Respondents.. CASE NO.: 93- Permit Application No. WC 47- 227728 PETITION FOR FORMAL ADMINISTRATIVE HEARING Petitioner, CITY OF OKEECHOBEE, through its undersigned counsel, pursuant to Section 120.57(1), Fla. Stat., and Florida Administrative Code Rule 17- 103.155, hereby requests a formal administrative hearing and in support thereof states: PARTIES 1. The agency affected by this cause is the Florida Department of Environmental Protection ( "Department "), 2600 Blair Stone Road, Tallahassee, Florida 32399 -2400. The Department's file number for this matter is Application No. WC 47- 227728. 2. The Okeechobee Beach Water Association, Inc. ( "OBWA" or "Association "), a not - for - profit association, is the applicant to the Department for a permit to construct a new 1.5 MGD water supply system ( "Permit ") under the above - referenced application number. The address of OBWA is 8840 Highway 78 West, Okeechobee, FL 34974. 3. Petitioner is the City of Okeechobee ( "City "), a municipality and local government as defined by Section 180.01, and r,- Fortner Affidavit EXHIBIT I 163.3164(13) Fla. Stat. (1993), respectively. The City's address is 55 Southeast 3rd Avenue, Okeechobee, FL 34974. THE CITY'S SUBSTANTIAL INTERESTS ARE AFFECTED BY THE ISSUANCE OF THE PERMIT TO OBWA 4. The City currently provides potable water to its citizens as well as to other customers located outside the City's boundaries but within the service area established by the City for this pur- pose under Chapter 180, Fla. Stat. The water is withdrawn from the surficial aquifer under Water Use Permit No. 47- 00004 -W issued by the South Florida Water Management District (copy attached hereto as Exhibit "A" and incorporated by reference herein) and is treated at the water treatment facility permitted by the Department under Permit No. WC47- 214089 (copy attached hereto as Exhibit "B "). The City has provided in the past and continues to provide to OBWA potable water through the terms of a bulk sale agreement. OBWA then distributes the water through its water distribution system to its members. 5. In its application for the subject Permit, OBWA is seeking to construct a water treatment and supply system so as to supply water to a proposed service area which includes portions of Okee- chobee County. The service area proposed to be served by OBWA overlaps the service area established by the City. 6. It is the declared legislative policy pursuant to Section 403.851(3) that the Department "provide for safe drinking water at all times throughout the state, with due regard for economic factors and efficiency of government." (Emphasis added.) 2 7. In addition, the City is statutorily mandated under Chapters 187 and 163, Florida Statutes, to comprehensively plan so as to: encourage the most appropriate use of water consistent with the public interest; facilitate the adequate and efficient pro- vision of water; indicate ways to provide for future potable water, and aquifer recharge protection requirements; and to assure the continued availability of water through public supplies. The City is also mandated to cooperate intergovernmentally with other governmental entities in order to meet the water needs of rapidly urbanizing areas in a manner which will supply adequate and dependable supplies of water where needed. 8. Consistent with these statutorily mandated planning and intergovernmental cooperation responsibilities, the legislature has designated municipalities, including the City, as among the group of local governmental entities which have primary responsibility for public water supply. 9. The City has complied with and implemented its planning and intergovernmental cooperation responsibilities. As a result, the City recently constructed a new water treatment facility, and the projected potable water demands of Okeechobee County are being met by this facility, including the water demands of the OBWA. 10. The issuance of the Permit will be contrary to the public interest of the citizens of the City since it will result in an inefficient and uneconomical utilization of potable water resources. The City has expended substantial sums to plan for, design and construct its potable water facilities and infra- 3 structure, and to hire staff to provide water to OBWA and to the City's other customers in the City's service area. The City has substantial bond obligations as a result of this investment. The. revenues from the sale of potable water to the City's customers are pledged to these bond obligations. 11. The issuance of the Permit to OBWA will also result in an uneconomical and wasteful race between the City and OBWA (in which capital investment will be unnecessarily duplicated) to provide service to those areas in the overlapping service area not pre- sently served by either the City or OBWA. NOTICE 12. The City received notice of the Department's intended action on October 1, 1993 through the publication of a notice in the Okeechobee News of the Department's Intent to Issue the subject permit. The City also received a copy of the Department's Intent to issue by U.S. Mail on October 5, 1993. A copy of the Intent to Issue along with the Draft Permit is attached hereto as Exhibit "C" and incorporated by reference herein. Disputed Issues of Fact 13. Whether, in proposing to issue the subject Permit, the Department has given due consideration to the economic factors and the efficiency in government. 14. Whether the issuance of the Permit will result in the wasteful, uneconomical, impractical, or unreasonable use of water 4 resources of the state. Ultimate Facts 15. Pursuant to Section 403.851(3), Fla. Stat., the Depart- ment must give due consideration to economic factors and the efficiency of government in determining whether to issue permits for water supply systems. 16. In the instant case, the Department has given no con- sideration to the economic factors associated with the issuance of the permit to OBWA. Furthermore, the Department has given no consideration to the inefficiency of government that will result from the issuance of the permit to OBWA. 17. The construction of the water supply system as proposed to be authorized by the subject permit will result in an uneconomi- cal, inefficient and wasteful use of public resources. Rules and Statutes Supporting City's Claim for Relief 18. The City is entitled to relief under legal authorities including, but not limited to, Chapters 120 and 403, Fla. Stat. WHEREFORE, based upon the foregoing, the City of Okeechobee respectfully requests: (a) That the Department forward the City's Petition for Formal Administrative Hearing to the Division of Administrative Hearings; (b) That a formal hearing be scheduled and conducted by a hearing officer of the Division of Administrative 5 (c) Hearings; That the hearing officer enter a recommended order recommending denial of Permit Application Number WC. 47- 227728; and (d) That the Florida Department of Environmental Protection enter a final order denying the subject permit. Respectfully submitted by Hand Delivery this 14th day of October, 1993. Richard A. Lots FBN 593060 Fred McCormack FBN 256676 LANDERS & PARSONS P. O. Box 271 Tallahassee, FL 32302 (904) 681 -0311 and Michael Wm. Morell FBN 570280 310 W. College Ave., Room 222 Tallahassee, FL 32302 (904) 425 -8300 Counsel for City of Okeechobee CERTIFICATE OF SERVICE I HEREBY CERTIFY that the original and one copy of this Petition for Formal Administrative Hearing has been served by hand delivery, to the Office of General Counsel, Department of Environmental Protection, 2600 Blair Stone Road, Tallahassee, FL 6 32399 -2400 on this 14th day of October, 1993; one copy has been served by U. S. Mail on this 14th day of October, 1993 to Stephen A. Walker, Esq., Messer, Vickers, Caparello, Madsen, Lewis, Goldman & Metz, 2000 Palm Beach Lakes Boulevard, Suite 900, West Palm Beach, FL 33409 7 Attory RE: AFFIDAVIT OF L.C. FORTNER in support of Plaintiff's Motion For Partial Summary Judgment EXHIBITS J, K and L are too large and bulky to be stapled to the affidavit 5 \0T3 \CITY\FORTNER.AFF 6 IN THE CIRCUIT COURT FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, Defendant. CASE NO: 93 -555 CA PLAINTIFF'S MOTION REQUESTING SUBMISSION OF WRITTEN MEMORANDUMS (Without Hearing) Plaintiff moves without hearing for an order directing the parties to file written memorandums of law in support of their respective positions on Plaintiff's Motion for Partial Summary Judgment prior to the hearing scheduled for February 1, 1994. As grounds for this motion, Plaintiff asserts that due to the shortage of time on the Court's calendar for lengthy hearings, the Court will be in a better position to properly rule upon Plaintiffs Motion for Partial Summary Judgment if it has the benefit of written memorandums of law. Plaintiff suggests that the Court require Plaintiff to file its memorandum of law no later than January 24, 1994 and Defendant CITY to file its memorandum of law no later that January 28, 1994. Plaintiff further moves the Court for an order requiring Defendant CITY OF OKEECHOBEE to file any affidavits or items of record opposing Plaintiff's Motion For Partial Summary Judgment no later than January 21, 1994. Plaintiff served its Motion For Partial Summary Judgment and supporting affidavits on Defendant CITY on December 29, 1993. Defendant CITY is entitled to 20 days notice of the motion and supporting affidavits prior to the hearing. Requiring Defendant CITY to file any affidavits or items of record opposing the motion by January 21, 1994, will give Defendant CITY at least 20 days to respond by filing opposing affidavits or items of record, and it will also allow Plaintiff time to prepare and file its memorandum of law in support of the motion in advance of the hearing. (See next page for certificate of service and signature) 5 \ob \city \writmcmo.mot 1 I HEREBY CERTI FY that a true copy of the foregoing has been furnished to John R. Cook, Attorney for Defend;.nt CITY, by hand delivery on December a-7 , 1993, and to John D. Cassels, Jr., Attorney for D(:fendant COUNTY, by hand delivery on December , 1993. B RTON C. CONNER BURTON C. CONNER, P.A. Florida Bar No. 0254551 301 Northwest Fifth Street Okeechobee, Florida 34972 813 - 467 -8800 5 \ob \city \writmcmo.mot 2 IN THE CIRCUIT COURT FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WAIER ASSOCIATION, INC., CASE NO: 93 -555 CA Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, Defendant. NOTICE OF HEARING TO: CITY OF OKEECHOBEE c/o John R. Cook, Esq. 202 Northwest 5th Ave. Okeechobee, FL 34972 COUNTY OF OKEECHOBEE c/o John D. Cassels, Jr., Esq. 400 Northwest 2nd St. Okeechobee, FL 34972 PLEASE TAKE NOTICE that on February 1, 1994, at 11:00 a.m. or as soon thereafter as counsel may be heard, the undersigned will call up to be heard before the Honorable William L. Hendry, a judge of the above Court, at the Okeechobee County Courthouse, Okeechobee, Florida, the following: MOTION FOR PARTIAL SUMMARY JUDGEMENT. TIME RESERVED: 1 hour PLEASE GOVERN YOURSELF ACCORDINGLY. I HEREBY CERTIFY that a true copy of the foregoing was served on the above - named person(s) by hand delivery this 30th day of December, 1993. cc: Okeechobee Court Reporters Judge William L. Hendry 1 \ob \city\utf- hear.psj BURTON C. CONNER BURTON C. CONNER, P.A. Florida Bar No. 0254551 301 Northwest Fifth Street Okeechobee, Florida 34972 813 - 467 -8800 1 IN THE CIRCUIT COURT FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WATER ASSOCIATION, INC., CASE NO: 93 -555 CA Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, Defendant. ORDER ON PLAINTIFF'S MOTION REQUESTING SUBMISSION OF WRITTEN MEMORANDUMS (Without Hearing) This matter came before the Court upon Plaintiff's Motion Requesting Submission of Written Memorandums (Without Hearing). Upon consideration of the Motion, it is, ORDERED AND ADJUDGED that Plaintiff and Defendant CITY shall file written memorandums of law in support of their respective positions on Plaintiff's Motion for Partial Summary Judgment. Plaintiff shall file its memorandum of law no later than January 24, 1994 and Defendant CITY shall file its memorandum of law no later that January 28, 1994. FURTHER ORDERED AND ADJUDGED that Defendant CITY shall file any affidavits or items of record opposing Plaintiff's Motion for Partial Summary Judgment no later than January 21, 1994. DONE AND ORDERED this day of , 19_ at Okeechobee, Florida. William L. Hendry, Circuit Court Judge. Copies to: Burton C. Conner, Esq. John R. Cook, Esq. John D. Cassels, Jr., Esq. 5 \ob \city Vvritmcmo.odr 1 IN THE CIRCUIT COURT FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WATER ASSOCIATION, INC., CASE NO: 93 -555 CA Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, Defendant. NOTICE OF HEARING TO: CITY OF OKEECHOBEE c/o John R. Cook, Esq. 202 Northwest 5th Ave. Okeechobee, FL 34972 COUNTY OF OKEECHOBEE c/o John D. Cassels, Jr., Esq. 400 Northwest 2nd St. Okeechobee, FL 34972 PLEASE TAKE NOTICE that on February 1, 1994, at 11:00 a.m. or as soon thereafter as counsel may be heard, the undersigned will call up to be heard before the Honorable William L. Hendry, a judge of the above Court, at the Okeechobee County Courthouse, Okeechobee, Florida, the following: MOTION FOR PARTIAL SUMMARY JUDGEMENT. TIME RESERVED: 1 hour PLEASE GOVERN YOURSELF ACCORDINGLY. I HEREBY CERTIFY that a true copy of the foregoing was served on the above - named person(s) by hand delivery this 30th day of December, 1993. cc: Okeechobee Court Reporters Judge William L. Hendry 1 \ob \city\ntf -he ar.p sj Avia„, BURTON C. CONNER BURTON C. CONNER, P.A. Florida Bar No. 0254551 301 Northwest Fifth Street Okeechobee, Florida 34972 813 - 467 -8800 1 .i IN THE CIRCUIT COURT FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WATER ASSOCIATION, INC., CASE NO: 93 -555 CA Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, Defendant. AFFIDAVIT OF LELAND PEARCE IN SUPPORT OF PLAINTIFF'S MOTION FOR PARTIAL SUMMARY JUDGMENT STATE OF FLORIDA COUNTY OF OKEECHOBEE BEFORE ME, the undersigned Notary Public, personally appeared LELAND PEARCE ("Affiant"), who upon being duly sworn, stated that the following facts are true: 1. Affiant is over 18 years of age and competent to make sworn statements. 2. Affiant has personal knowledge of the facts stated herein. 3. Affiant is and has been the President and Chairman of the Board of Directors of Okeechobee Beach Water Association, Inc. ( "OBWA ") since 1965. 4. Attached hereto as Exhibits A and B are true and accurate copies of the Articles of Incorporation for Okeechobee Beach Water Association, Inc. and the only amendment thereto, the original of both having been filed with the Florida Department of State. Exhibits A and B were obtained from the corporate records of OBWA. 5. Sincc 1965, OBWA has owned and operated a system of pipes, tanks, valves, meters and pumps in southern Okeechobee County and has supplied its members with potable water. 6. Since 1970, the Board of Directors of OBWA has relied upon the boundary line between OBWA's consumer territory and CITY's consumer territory, as memorialized in the 1970, 5\OB \CITY\PEARCE.AFF 1 1977 and 1985 bulk water contracts between the parties, in making decisions about capital improvements to OBWA's system. L LA PEARCE SWORN TO AND SUBSCRIBED before me on December , 1993, by LELAND PEARCE, who is personally known to me. COMMISSION EXPIRATION AND SEAL: NOTARY PUBLIC, STATE OF FLORIDA 5\OB\CITY\PEARCE.AFF 2 Armee tiatro of JFf1a ' crrtarlj of Otatt 9, vom Adams, Secretary of -State of the State of 3lorida, Do Hereby Certify Shat the following is a true and correct copy of Certificate of 9ncorporation of OKEECIIOBEE BEACH WATER ASSOCIATION, INC., a corporation not for profit orq.11113ed and existing under the L',uvs of the State Of 3lorida, filed on the loth day of September, A.D., 19 64, as s6oum 6y (6e records of t(iis office. cn, p.94 3 -66 Given under uiiy timid and the ((real Seal of the State of 3lorida, at 16 ail ahassee, the C',ipit,II, this the llth (rail o, December, A.U. 19 67. Seere(,Irlt ((1 Sia(e Pearce Affidavit EXHIBIT A ARTICLES OF INCORPORATION OI• • OKEECHOBEE BEACH WATER ASSOCIATION, INC. ARTICLE I. The name of this corporation shall be OKEECHOB;_;E BEACH Wp•.iE ASSOCIATION, INC., and shall be a non -- profit corporation organized under Chapter 611, Florida Statutes, and shall have all powers given to a non- profit corporation by the provisions of said Chapter 611, • Florida Statutes. ARTICLE II. The nature of tho business of the corporation and the objects and purposes for which it is organized are: I i' ✓ A. To construct, maintain, and operate a grater system for the supplying of water for domestic, commercial, agricultural, industrial,, and other purposes to its members and for the s'.1e of any srrplus water remaining after the needs of its members have been satisfied y' and to engage in any activity related thereto, including but not limited to the acquisition of water by appropriation, drilling, punpi.n;, and /or purchase, and the purchase laying, institution, operation, maintenance, and repair of wells, pumping equipment, water mains, pipelines, valves, meters, and all other equipment necessary to tha construction, maintenance and operation of a water system, and B. To construct, maintain, and operate a sewage di.sposal system for the use and benefit of its members. ARTICLE The members of the corporation shall be the subscribers hereto and all other persons, partnerships, corporations, or other legal entities having a reasonable accessibility to the sources of and who desire to have water and other services supplied for domestic, conunercial, agricultural., industrial, or other uses from the systems constructed, maintained, and operated by the corporation. The corporation shall not be required to admit additional member` if the capacity of its water system is'exhausted by the needs of its existing members and such other persons to whom it has been supplying water. ARTICLE IV. This corporation shall have perpetual existence. ARTICLE V. The names and residence of the Ysubscribers to these Articles of Incorporation are as follows: LELAND PEARCE V. M. LIGIiTSEY CURTIS E.. WRIGHT JAMES T. KINCHEN DEWI1T UPTUUUGROVE R. H. HONEYCUTT FRED JUDGE The Directors number of ROUTE 1, Box 84 P. 0. Box :311 P. 0. Box 655 ROUTE 1, iiOUTE 1, ROUTE 1., ROUTE 1, Box 72 Box $4C Box 1107. Box 103 0KEEC11ODEE , OIC1 � CIIOB1: , -1.;r!; ei3EE , OhE E6i id BEE, UKEECIIO13FA;;, OI.EEC HOB EE, OREECIfOB CE, FLORIDA FLORIDA FLORIDA FLORIDA FLORIDA FLORIDA FLORIDA ARTICLE VI. affairs of the corporation are to be manaced by a Board of of not less than three nor more than nine members. The directors shall be determined by tho by- laws. They shall elected at the annual meeting of the members and shall hold office for one year or until their successors are elected. ARTICLE VII;. The officers who shell serve until the first election or until their successors are elected shall be as follows: LELAND PEARCE FRED JUDGE TESTER W. JENNIUGS PRESIDENT VICE PRSIDEW'r SE C R E TA UY _ TR E ,i.^ tiR E R be The term of office of the foregoing officers shall be for a period of one year or until their successors are elected. The officers shall be elected by the Board of Directors. ARTICIk; VIII. The first Board of Directors shall consist of seven members who shall serve until the first election or until. their successors and addresses of the members of the first are elected. The names Board of Directors are as follows: LELAND FEARCE V. _ M. LIGI IT S EY CURTIS E. WRIGHT JAMES T. KINCHEN DEWITT UPTHEGROVE R. H. IIONEYCUTT FILED JUDGE ROUTE 1, Box 64. P. O. Box. 3114. P. 0. BOX 655 ROUTE 1, Box 72 ROUTE 1, Box $4C ROUTE 1, Box 1102 ROUTE 1, Box 103 ARTICLE IX OKEECHOB E, FLORIDA 01EECHOBrE, FLORIDA QKE I Clli)BErE , FLORIDA OKEEC}LO13Et , FLORIDA OKEECHOBEE, FLORIDA OKI:,ECHOBEE, FLORIDA OKEECHOBEE, FLORIDA The by -laws of the corporation shall be made by a majority vote of the members present at the organizational meeting of•the members. The by -laws may be altered, rescinded, or amended by a majority vote of the members present at any annual meeting of the corporation, or by majority vote of the members present at any special meeting of the membership called for the special purpose of altering, rescinding, or amending the by -laws and after written notice of said special rneet•i ig has been furnished to the members by U. S. Mail to their last known ., address at least 10 days prior to the date of the special meeting. .,,.,:,:ca,.; be proposed osed. to Amendments to these Articles of Incorporation may P P the Board of Directors by a majority vote of the members of the corporation. A majority of the members of the Board of Directors may approve, amend or reject such proposals and sh<111 have final authority to adopt any amendment. ARTICI._F._XI . Tho assets and income of this non-profit corporation shall be ur poses. No salaries or fees shall aid t: utilized to promote its p p l.l. the Directors or officers of this corporation as compensation for serving as officers or directors, but nothing herein curtained shall prevent the corporation from retaining said directors or officer in ot; capacities and providing them with reasonable salaries or cormenaati.on and nothing h"' -;ii for their services rendered in the other capacities, shall prevent the hiring of .employees or engaging of other to perform services for the corporation or to prevent the reimbursement of any person who makes outlays for the reasonable expenses of the corporation. Provided, however, that should this corporation be dissolved, nothing herein shall prevent the distribution of the assets of the corporation to its members or the return of such assets as may have been donated to the corporation to the donor thereof. IN WITNESS WIIEREOF, we have made and subscribed these Articles of Incorporaion, this 3rd Day of September, A. D. 1964. 7 J' �t 1ELAN1fl'EARCE � - j'.///1//' \r. .M. •L1GH'TSEY . • CUft'1' S E. 1iRf(f i'1 :JAMES T. KINCHEN • ;/, . �.• D-NaTT UP'I'}ILi GROVts oyce• Z. H. dONEYGUTJ.,4 F Th w JUDGE ' STATE OF FLORIDA COUNTY OF O1:EEC}iOBEE Be it remembered, that on this 3rd Day of September, A. D. 1964, personally appeared before me, a Notary Public in and for the .State and County aforesaid, LELAND PEARCE, V. M. LIGIITSEY, CURTIS E. WRIGHT, JAMES T. KINCIIEN DE1ITT UPTHEGitOVE known to me personally to be the Individuals who executed the foregoing 1'.rt•icles of Incorporation and acknowledged that they executed said Articles of Incorporation af; the act and deed of the signers, respectively, and the facts therein stated are truly set forth. Given under niy hand and seal the day and year aforesaid. . .)iC r t ° .. t• f .. r• F FLORIDA DEPARTMENT OF STATE • DIVISION OF CORPORATIONS 1 certify that the following is a true and correct copy of CERTIFICATE OF INCORPORATION. OF OKEECHOBEE BRACH WATER ASSOCIATION, INC. 'J'A Corporation Not For Profit filed in this office on the 10th 19 64. Charter Number:' •. 70779 . day of September, I GIVEN under my hand and the Great Seal of the State of Florida, at Tallahassee, the Capital, this the 5th ` day of May, 19 77 . SECRETARY OF STATE V 8V " V " bV, ffei: �dD�VCDVQD�VCDVV•�VQDVCDV IMMD CDndD D � � kn ., n .,� nran� D c VC 7D 4 V'' AVC QV' �I�c yVy 'X )ice .7 C r► '_' - ,lO� rrn \- Dgc Dec AV/-2 DgC agc DVC DVC. I certify the attached is a true and correct copy of the Articles of Amendment, 6ln\VC =VP filed on April 29, 1993, to Articles of Incorporation for OKEECHOBEE BEACH crn�� 'AU" WATER ASSOCIATION, INC., a Florida corporation, as shown by the records of WI'-' DTtC this office. PVC :1n /.i DAC DVC 6iUL The document number of this corporation is 707793. DxC VC WI. 'PVC DUC aVL ^anii 1VJ2 VI- ?3 DtC N ;m F1Vy D) D n \;i n 510E '-1k./T-1 vC V C V 7n\, ur tj te .1V�- Qsreatcnt of tljrtatc of �f (aribtt, �C ?nc tit �Cattafja�lsee, Hy Ca aril, this tlfe �V16- PVC Twenty-ninth bap of pril, 19930 z \VI' 04a Ct�a `S''. Dec ��ry ° -.,� _ ,__;��� ��c z1V1? - 7n< `f► u Drpirttlirut of 'ttitr yV D C DtC C'v \f 1/J any;,''. ^...�.t. cievil ZVI? af,, . D: C Jiztt rttitI �n "' 5in1i rt, ��; �V t�wr, 7Vr; ''i......�....•.. Cecretztry of tide DAC ::),..c1 CFi2EO22 (2 -91) ,-../( )`i � � o 0 o c �c �o oc �o �o 00 00 00 �o �c � � -yr)Av1� RVTV "\V "'AV(- lV yV -yV J�V 9'LV LV cAKip2 VL 2-VL1V- -JVL -y- 2-k 2U- -' V7-Q1V 7!(.:C.)).<CD1.(CD)�CD'CD CD CD' Dr( tD1 D(�CDfCaCD CD(�CD�nCDnC�DnC (CD C�� D�cD7•CDAC ARTICLES OF AMENDMENT TO THE ARTICLES OF INCORPORATION OF OKEECIIOBEE BEACH WATER ASSOCIATION, INC. Okeechobee Beach Water Association, Inc. a Florida non- profit corporation, amends its Articles of Incorporation and says: 1. The name of the corporation is Okeechobee Beach Water Association,Inc. 2. On April 26, 1993, a special meeting of the membership was held, after proper notice was given. A quorum of the membership was present at the special meeting. 3. Upon proper motion and a majority vote of the members present on April 26, 1993, the membership approved the amendment of Article II (A) of the Articles of Incorporation of Okeechobee Beach Water Association to read as follows: ARTICLE II The nature of the business of the corporation and the object of and purlfspA v -t1 for which it is organized are: �, A. To construct, maintain, and operate a water system for the supplying of water for domestic, commercial, agricultural, 1 Q crA `� --"•• ' industrial and other purposes to its members and to engage in : .., t any activity related thereto, including but not limited to the 0 cp � acquisition of water by appropriation, drilling, pumping and /or ,,,-p o purchase, and the purchase laying, institution, operation, vin c5 maintenance, and repair of wells, pumping equipment water mains, pipelines, valves, meters, and all other equipment necessary to the construction, maintenance and operation of a water system, and 4. Upon proper motion and a majority vote of the members present on April 26, 1993, the membership approved the amendment of Article III of the Articles of Incorporation of Okeechobee Beach Water Association, Inc. to read as follows: ARTICLE III Tile members of the corporation shall be the subscribers hereto and all other persons, partnerships, corporations, or other legal entities having a reasonable accessibility to the sources of and who desire to have water and other services supplied for domestic, commercial, agricultural, industrial, or other uses from the systems constructed, maintained, and operated by the corporation. The corporation shall not be required to admit additional members if the capacity of its water system is exhausted by the needs of its existing members. 5. '1'1ic Board of Directors of Okeechobee Beach Water Associations, Inc. have approved and adopted the above amendments to the Articles of Incorporation. 6. The number of votes cast by the meiubcrship and by the Board of Directors was sufficient to approve the amendment to the Articles of Incorporation. Dated this o?loday of April, 1993 Leland Pearce, President A'ITFST: Verna Gabriel, Secrelary dd \m isc \corresp \obwa -art 5n 0, 5 ( i acC yVC 5/t DUC 510\3 Dgc arc DPC DUC vL Luc Dgc Dnc DUC DKC 610\5 The document number of this corporation is 707793. DAC -610\3 ,,VP �Dn DAC FICEa 1V/2 DAC \VI? DUC :610-6 •1V%' DAC DUC Z‘ VP J1C ,1()+3 >UC any:, ? n C \'1 Cull WF .tr; TXX".,r'X' CD h' ntrtntrttt of 'tuts D0CDDp� V x (\[112 I certify the attached is a true and correct copy of the Articles of Amendment, filed on April 29, 1993, to Articles of Incorporation for OKEECHOBEE BEACH WATER ASSOCIATION, INC., a Florida corporation, as shown by the records of this office. AVP CR2E022 (2 -91) 11l��1V�? �Vl?RV 2�V1'�JVf�� ∎ t)C:Cj.yCB. WGSYC'rJ EBV) C�- ittett tutber tttp !Flub rtnb tide fir- rrrtt'ettf of tfy kttitr of jf1oriba, Ulalifthr, fir Capital, tT Twenty-ninth bat, of 1993ti)e RUC RSVAC h �n D 7n; RAP �c j iztt a ntifE1 t `jtrite DI‹ Pearce Affidavit �VLyVyJVVC�VCVC�VC � EXHIBIT B C)t;, In \. iO\;,(ant;, 610,,,\5 „n ; r;in`,:; ARTICLES OF AMENDMENT TO THE ARTICLES OF INCORPORATION OF O EECI-HOBEE BEACH WATER ASSOCIA.'I'ION INC. Okeechobee Beach Water Association, Inc. a Florida non- profit corporation, amends its Articles of Incorporation and says: 1. The name of the corporation is Okeechobee Beach Water Associat.ion,Ine. 2. On April 26, 1993, a special meeting of the membership was held, after proper notice was given. A quorum of the membership was present at the special meeting. 3. Upon proper motion and a majority vote of the members present on April 26, 1993, the membership approved the amendment of Article II (A) of the Articles of Incorporation of Okeechobee Beach Water Association to read as follows: ARTICLE II Ur) -r. , I he nature of the business of the corporation and the object of and purl s , for which it is organized are: _ c� A. To construct, maintain, and operate a water system for the i,-),, supplying of water for domestic, commercial, agricultural, ,l l industrial and other purposes to its members and to engage in any activity related thereto, including but not limited to the c`= �� • acquisition of water by appropriation, drilling, pumping and/or ,_:., :) o U purchase, and the purchase laying, institution, operation, ill 0-' maintenance, and repair of wells, pumping equipment water mains, pipelines, valves, meters, and all other equipment necessary to the construction, maintenance and operation of a water system, and 4. Upon proper motion and a majority vote of the members present on April 26, 1993, the membership approved the amendment of Article III of the Articles of incorporation of Okeechobee Beach Water Association, Inc. to read as follows: ARTICLE III The members of the corporation shall be the subscribers hereto and all other persons, partnerships, corporations, or other legal entities having a reasonable accessibility to the sources of and who desire to have water and other services supplied for domestic, commercial, agricultural, industrial, or other uses from the systems constructed, maintained, and operated by the corporation. The corporation shall not be required to admit additional members if the capacity of Its water system is exhausted by the needs of its existing members. 5. The Board of Directors of Okeechobee I3eac11 Water Associations, Inc. have approved and adopted the above amendments to the Articles of Incorporation. 6. The number of votes cast by the membership and by the Board of Directors was sufficient to approve the amendment to the Articles of Incorporation. Dated this (96—clay of April, 1993 A.l_l_r ST. Leland Pearce, President 1 Verna (,abriel, Secretary dd \m isc \corresp \obwa -art City of Okeechobee 55 S.E. Third Avenue • Okeechobee, Florida 34974 - 2932.813/763 -3372 September 8, 1993 Bonnie Thomas Clerk, City of Okeechobee 55 S.E. 3rd Ave. Okeechobee, Florida 34972 Re: August 23, 1993 meeting Dear Bonnie: Enclosed. Find the transcription from the court reporter for the closed door meeting held by the City Council on August 23, 1993. You may recall that under the new statute pertaining to public records and the Sunshine statute, you must seal this transcript, and it is not a public record for review at this time. Once the Beachwater /City /County litigation is concluded, it is opened at that time and available for inspection just like any other City record. Also, as it concerns this litigation, if you receive any requests for public records directly, call me immediately and do not release the record requested until I review them to see if they fall within any exemption under Chapter 119. Kindest egards, John R. Cook JRC /jc on)07, Its •�wiilll City of Okeechobee 55 S.E. Third Avenue • Okeechobee, Florida 34974 - 2932.813/763 -3372 August 30, 1993 John Drago City Administrator 55 S.E. 3rd Ave. Okeechobee, Fla. 34972 Re: OBWA vs. City Dear John: Attached please find our up to date billing on the OBWA_ lawsuit, through August, 1993. The status of the case is that I have prepared and filed the enclosed motion to dismiss the suit, for various deficiencies in their pleadings. The court will hear this matter sometime within the next month, I would imagine. If the matter is dismissed for any of these reasons, they will be permitted to amend, at which time we must file an answer. I have been in touch with my brother's firm on this, and he is prepared to come on board at the time an answer will be due. He is arranging to send over a fee schedule to present to the City Council. Kindest Regards, John R. Cook JRC /rb DATE DESCRIPTION OF WORK TIME EXPENDED August 4 Call from Conner II call to councilmen (4) 2 rr 5 V review lawsuit 4 ,r call to Morrell 6 II Fed -Ex suit to Morrell 3 call to Cassels August 5 meet with Drago 5 5 call to RC August 10 call to RC 2 August 13 conf /West Palm 3 August 16 call from Morrell 1 2 rr review FRCP 8 August 18 call from Morrell 2 r� meet w /Morrell 8 4 ur legal research 6 call to RC August 19 call from RC 2 lr research /motion dismiss 4 r� meet with Burton 1 2 August 20 first draft motion dismiss 4 August 23 legal research 1 4 call from Mike 3 call to Drago 4 it rr call to Burton 2 meeting w /council 2 August 24 call from Burton 1 2 August 25 call to Reese 2 iii 2 call from Reese 2 u research Ch. 120 5 redraft motion 8 ,m letter to RC FAX to RC 2 August 26 finalize motion 3 �� LT Burton 5 August 27 --.,, t___ - -- Reese 2 TOTAL' hours: 16.20 hrs. Recap: 16.20 hrs. @ $75.00 /Hr.= $1,215.00 LANDERS & PARSONS CINDY L. BARTIN JOSEPH W. LANDERS, JR. JOHN T. LAVIA, III RICHARD A. LOTSPEICH FRED A. McCORMACK PHILIP S. PARSONS HOWELL L. FERGUSON OF COUNSEL VICTORIA J. TSCHINKEL SENIOR CONSULTANT (NOT A MEMBER OF THE FLORIDA BAR) John R. Cook City Attorney City of Okeechobee 202 N. W. 5th Avenue Okeechobee, FL 34972 Dear Mr. Cook: ATTORNEYS AT LAW FAXED September 7, 1993 310 WEST COLLEGE AVENUE POST OFFICE BOX 271 TALLAHASSEE, FLORIDA 32302 TELEPHONE (904) 681 -0311 TELECOPY (904) 224 -5595 We are very pleased that you have chosen to retain us as counsel in connection with the challenge to the consumptive use permit proposed to be issued by the South Florida Water Management District to Okeechobee Beach Water Association, Inc. This letter describes the basis on which our firm will provide legal services to you and how we will be compensated for our services. As a partner in the firm, I will have primary responsibility for the representation and will utilize other attorneys and legal assistants in the office in the best exercise of my professional judgment. Michael Morell will be working with me as co- counsel in this case. If, at any time, you have questions, concerns, or criticisms, please contact me at once. Our fees for this matter will be based on a schedule of hourly rates. The schedule of hourly rates for attorneys and other members of the professional staff is based on years of experience, specialization in training and practice, and level of professional attainment. My hourly rate for this matter will be $115.00, and, to the extent that other attorneys and legal assistants are involved, their rates will vary from $90 to $115 an hour. At this time, I estimate that our fees for the preparation and filing of the petition for administrative hearing and initial settlement discussions will be between $5,000 and $10,000. If it is necessary to litigate this matter in an administrative hearing, I estimate that our fees will be between $40,000 and $50,000. In addition to the fees, our bills will include charges for out -of- pocket expenses such as travel, meals, filing fees, etc. Any extraordinary expenses such as deposition costs, printing costs, advertising costs, etc., will be billed directly to you. A surcharge of 3% of the fees billed is added to each bill to cover the costs of postage, copying and telephone charges. Mr. Cook Page 2 September 7, 1993 Our statements generally will be prepared and mailed during the month following the month in which services are rendered and costs advanced. Should retaining expert witnesses, consultants and court reporters with regard to the proceedings be advisable, the City would also be directly responsible to the experts, consultants and reporters for payment of their fees. Please review the foregoing and, if it meets with yeur approval, sign a copy of the letter and return it to me in the enclosed envelope. If you have any questions, please feel free to call me. On a personal note, I am very pleased that you have selected our firm to represent you. We look forward to serving you, and we shall use our best efforts on your behalf. Enclosure cc: Michael Wm. Morell Sincerely, Richard A. Lo peich John Cook City Attorney City of Okeechobee LWJ:ah WATER PURCHASE CONTRACT THIS CONTRACT FOR THE SALE AND PURCHASE OF WATER IS ENTERED) INTO 6th Day of Ail , 1965, between the NC of the City of Okeechobee, an incorporated.municipali.ty of the State of Flor.idn, Irr•r.':i.nafter referred to as the "City ", and Okeechobee Beach Water A:•:ocintion, Inc., a non- profit corporation organized under the Law., r• rho State of.Fiorida, hereinafter referred to as the "Association". W I T N E S S E T 11: WHEREAS, the Association has been organized as a corporation not for profit under the Laws of the State of Florida, for the purpose of constructing and operating a water supply distribution system wcrving water users within the area described in plans now on file in the office of the Association and to accomplish this purpose, the Association will require a supply of treated water, and; WHEREAS, the City owns and operates a water supply distribution system with a capacity currently capable of serving,the present customer:. of the City systern and the estimated number of water users to be • ..r•ved. by the said Association as shown in the plans of the systern now on I'ilo in the office•of the Association, and; WHEREAS, by Resolution No. _ , 196 5, by the Council of the City, the sale of enacted on the _ 6th Duy of April water to the Association in accordance with the provisions of the said RI ?solution was approved and the execution of this Contract carrying out the said Resolution by the President of the City Council and attested by the Clerk of the City of Okeechobee, was,,duly authorized, and; WHEREAS, by Resolution of the Board of Directors of the Associal.i n, enacted on the 6th Day of April_ ._.. —' 196_5 —_, the purchnsw EXHIBIT A of water from the City in accordance with the terms set forth in the said Resolution was approved, find the execution of this Contract by the President and attested byithe Secretary was duly authorized; FIOW, THEREFORE, in cpnsideration of the foregoing and the mutual rigreements hereinafter se. forth: I'Ili; CI'T'Y AGREES: . 1. To furnish.the Association, at the City of Okeechobee Water Tr.atment Plant, located pn State Road No. 78, several miles South of City of Okeechobee, durin the terns of this Contract, or any rencwrr1. or extension t ;hereof,.,p btablp p, treated water, meeting standards of the Florida 'State Board of Health, in be required by. the Association. 2. That the City will operate and service the equipment to be installed at the City Water Treatment Plant used in transmitting,trera(ed water of the City to the Association's distribution system. To operate and maintain at its own expense. the necessary nurterinr.. of standard type for properly applicable purity such quantity as may 3. equipment other measuring calibrate but not more frequently than every twelve month . A meter registering not mjre than two per cent above or below the actual flow shall be ,I. "vn 'r1 to bo accurate. The previous readings of any meter disclosed by test to be inaccurate shall be corrected for the six months previous to such test in accordance with the percentage of inaccuracy found by amount and required services the quantity of water delivered to the Association, and to such metering equipment whenever requested by the Association, such tests. If any of water furnished of water delivered meter during in the fails to register for any period, the such period shall be corresponding period deemed to be the amount immediately prior to the failure, unless the City and the Association shall agree upon a different amount. The metering equipment shall be read on the first diry of each month. _2_ I. To furnish the manager of the Association at the Assoc:ial;ion,:l I,••,df1u1rt ;,rrs not later than the tenth day of each month with an itemized :tnt emc•nt of the amount of water furnished the Association during the preceding month. 5. The City, for and in consideration of the sum of ONE DOLLAR and other good and valuable considerations, does hereby grant and convey to the Association an easement to enter into the Water Treatment Plant and across appurtenant property of the City for the purpose of anstnll.ilw and mni.ntaing the equipment of the Association and for other purposes in connection with its water distribution system during the term of this Contract-, and for any extension or renewal of the same. 6. The City further agrees that at the termination of this Contract r of any extension or renewal of the same, that the Association shall i,•,,•,! the privilege of rempving its meter and other equipment from the aforesaid Water Treatment Plant, and from other property of the City on which the Association's equipment might be located. THE ASSOCIATION AGREES: 1. The Association will install and maintain all equipment necessary to discharge water from the treatment plant into the Association's distribution system, including a master meter and other equipment as shown in the plans of the Association, and the Association will be responsible for keeping all its equipment in good repair. 2. To pay the City, not later than the 20th day of each month, ft!r water delivered in the preceding month, at the rate of twenty -six cents (264") per 1,000 gallons furnished. 3. It is expressly understood by and between the parties ltocto tl,nt Li,' A ::.::oci.ation will i.nstall its meter and other equipment in the Wator• Treatment; Plant of the City, and that the Association's contractor wi.l.l perform the work necessary in order to install the same and to connect -3- i• system with that of the City, aucl that 1i.. Association's distribution y there will be little cost to the City in connection with the connection, hut in the event that any costs; accrue to the City as a result of the rti „r, and connection of the Association's meter and equipment with that of the City's water supply, that the Association will hoar the costs to the City of these expenses, including the cost of ra- locating any of the City's equipment and any alterations made necessary by the above described installation and connection up to an amount and not exceeding FIVE THOUSAND DOLLARS (15,000.00); and it is further agreed that the Association shall have the privilege of having its contractor perform whatever work is necessary, and that the City sha.l.l. ••Main the approval of the Association prior to contracting for or expending any monies for Such expenses. l_I. 1;; FURTHER MUTUALLY AGUED BETWEEN THE CITY AND THE ASSOCIATION AS 1. That this Contract shall extend for a term of ten (10) years from the date of the initial delivery of any water by the City to the Association, and will continue in force after said ten (10) year p•'riod unless terminated as follows: The Contract may be terminated by either the Association or the City by giving two years' notice in writing ,.luring January of each even year during the continuance of this Contract' 'I'Irat the first January in which either the City or the Association can give the two years' notice of termination is during 1974• Every two years thereafter, the City or the Association can give written notice of the termination of the Contract to the other party to be effective t.h' first day of January two years later. 2. That thirty (30) days prior to the estimated date of completion of construction of the Association's water supply distribution system, the Association will notify the City in writing the date for the in:it,ial. i livery of water. - lr- 3. When requested by the Association, the City will make avni.1ubl to the contractor at the point of delivery or other point reasonably close thereto water sufficient for testing, flushing, and filling th- system of the Association during construction. The contractor or the Association will pay to the City the metered volume of water furnished in connection with this paragraph to the Association at the �� agreed rate of twenty-six cents (- ¢) per 1,000 gallons. J. That the City will, at all times operate and maintain its r-:u t;em in an efficient manner and will take such action as may be uecer•a:ar•y to furnish the district with quantities of water required by tho Association. Temporary or partial failures to deliver water shall l,rr r•em died with all possible dispatch. In the event of an extended 1,',t,t a'rre of water, or the supply of water available to the City is .1;11erwi se diminished over an extended period of time, the supply of water to Association consumers shall be reduced or diminished in the same ratio or proportion as the supply to City consumers is reduced or diminished. In the event that because of a breakdown in City egaiiprent or for other reasons the City cannot furnish the Association with water as provided herein, and in the event that the City shall take reasonable action to correct the breakdown or other cause, the City will not be liable to the Association for the failure to deliver water to the Association, provided that the total supply of water to Association consumer's shall be reduced or diminished in the same ratio or proportion as the supply t.r. City consumers is reduced or diminished. 5. The Association agrees after removing its equipment and meter at the termination of this Contract or of any extension or renewal of the same to repair any damage to the City's Water Treatment Plant cased by said removing, and to re- locate the City's equipment to its original. peri.t.i.or, that such equipment was in prior to the installation of the Arroci.aation's equipment and meter in the Water Treatment Plant. -5- 6. That this Contract is subject to such rules,. regulations or lnw:, as may be applicable to similar agreements in the State of Florida, the City and the Association will collaborate in obtaining such permits, certificates, or the like, as.may be required to company therewith. 7. That the coristruction of the water supply distribution system a loan from the United States'of the Association is being financed bya America, acting through the Farmers home Administration of the United States Department of Agriculture, and('t, e provisions hereof pertaining; to the undertakings of the Association are conditioned upon'the approval,:. in writing, of the State Director of Florida of Farmers•llome Administration. 8. That in the event; of any occurrence rendering the Association incapable of performing under this Contract, any successor of the Association, whether the result of legal process, assignment or otherwise, r.hni.l succeed to the rights of the Association hereunder. J.N WITNESS WHEREOF, the parties hereto, acting under authority of governing bodies, have caused this Contract to be duly counterparts, each of which shall constitute an and 1,y • tiwi r.'respective executed in original. Four CITY OF OKEECIIOBEE BY:C•icL2 CITY COUNCIL PRESIDENT ATTEST: %fQ1>C CLERK OF CITY OF °KEW OBEE SEClilsTbq OKEECIIOBEE'B3: »11 WAT OCIATION, INC. PRESIDENT 1 TIHIS C6NTRAC"1' `IS' PPItOVED" orir behalf ef tl'ib Farihern :ilOme, dnini::tr'at.i (��I on this .the nay of _._------- :T.)*. _,. STATE - DIRECTOR OF. FLORIDA -.6- , { 7 .' 1 A G R E E M E N T '/1 THIS AGREEMENT entered into at Okeechobee, Florida, this 4th day of September, 1970, by and between OKEECIIOBEE BEACH WATER ASSOCIATION, INC., a Florida Corporation with it's princi- pal office in Okeechobee County, Florida, hereinafter ref:err.'o to as the Association, and the CITY COUNCIL OF THE CITY OF OKEEC.._..:':- hereinafter referred to as the City, WITNESSETII, for and in consideration ol! the su,r■ •- dollar each in hand paid to the other, the receipt thereof by each acknowledged, and in further consideration of the oenefits derived therefrom, the Association covenants and • with the City as follows: (a) To cooperate where possible with the City in L•alp- ing the City to construct or update their present water treatment facility so ns to meet the future need of both the City and the Association upon proper assurance City will provide adequate water to Association. (b) To sell Association's West Okeechobee' Estension, and assign all easements and rights in connection therewith, to the City upon F.H.A. United States Department of Agriculture i approval. Consideration for said transfer shall be the City's .assumption of the January 1, 1970, unpaid balance in the amount of $58,610.43, of note from Association to F.i1.A., plus the pay- ment by the City to the Association in cash the difference be- tween said unpaid balance and $74,000.00, which represents depreciated value of the West Okeechobee Extension, EXIIIBIT B latest F.H.A. Engineers estimate. 4 (c) To disconnect within ten (10) days after execution i ii if 1 of this Agreement the West Okeechobee Extension from Association's;; I i water main, and to deliver to the City all meter . records together � p IIwith $10.00 for each meter deposit for said extension , p rovided . customer meter account is paid in full. !! (d) To pay City thirty -five (35) cents per thousand i I: gallons of water used by the Association, such rates to be 'i 1 effective on September 1, 1970. (e) To le1l only to customers (with the exception of present city customers) that are located in area South of r.ed- lined boundary, as shown on attached County map, marked "Addendum It A ", signed by the parties hereto, being of even date, and mace a part of this Agreement by reference, unless a change of boundary is mutually agreed upon by parties hereto. II. In consideration of the covenants to be kept and per- formed by Association, the City covenants and agrees with the Association as follows: To proceed as expediciously as possible towards (a) the construction or enlargement of City's present water treatment 1 plant to meet the foreseeable future needs of the City, and in addition, the foreseeable future needs of the Association, as more fully incorporated in a study by David 13. Smith Engineers, 1 Inc., 2512 S. W. 34th Street, Gainesville, Florida, 32601, i ,I entitled "C0MPREHHENSIVE WATER PLANNING FOR OKEECHOBEE BEACH WATER 11 ASSOCIATION, INC. ", dated August, 1969, being Engineer Froze. ;! so. ..1 • 6905. (b) To grant the Association the right to immediately install or re- install high service pump or pumps together with electrical gear, motors, controls and accessories at City's water treatment plant for accommodating needs of Association users! subject to prior approval by City's Consulting Engineers. I I (c) To purchase a e West Okeechobee Extension from Asso- elation and make payments to the Farmers dome Administration 11 (U. S. Department of Agriculture) in the following manner: 1. 207. within thirty (30) days upon acceptance and i 1 approval of this Agreement by Farmers }tome Administration. II2. Remainder balance in five annual installments ? plus accrued, interest in the amount of 57. per annum. q i� (d) To sell to Association at thirty -five (35) cents �I er thousand gallons of water metered to Association, such race p 11 to be effective on September 1, 1970. (e) To Fell only to customers (with exception of Ipr.esent City metered connections) that are located in area North Ilof red -lined boundary, as shown on attached County map, marked \1 i"Addendum A ", signed by the parties hereto, bei of even date, ng and made a part of this Agreement by reference, such bounda_-; to 'acceptable unless a change of boundary is mutually agreed upon 1 by . i parties hereto. (E) To furnish or advise the Association by progress I reports regarding expansion of City's water treatment plant, and allow consultation with Association prior to approving construc- Iition contract for enlargement of present City's water system. III. (a) It is mutually agreed that absolute title to the the City of Okeechobee West Okeechobee Extension shall pass to upon full payment of the contract price herein provided, and Association agrees to execute any document necessary to effect said conveyance at such time and acquire all proper releases from I Farmers dome Administration. 1' (b) It is also mutually agreed by the parties hereto I; arties that the wholesale value of water ,shall be binding on all p to this Agreement for a minimum of two (2) years from date of the I!, execution of this Agreement. Upon said date or upon any anniver- I sar.y date thereafter, said wholesale value of water may. be changed; provided that the party making or requesting such change shall have given to the other party written notice of intention to do ! prior thereto. i so no less than one (1) y ear p (c) It is further mutually agreed that this Agreement Lay be modified at any time upon consent of both parties. II �' IN WITNESS whereof, the parties hereto have hereunto I1l set their hands and seals as officials of both ,the. Association I and the City, prior authorization for such execution having been duly obtained from City Council of Okeechobee and the Board of II Directors of Okeechobee, Beach Water Association, Inc. I� ilATTEST: ;GILL F. EMBRY, SECTARY it ;ATTEST: II rLORENA SPIVEY,dCLERK II OKEECIIOBEE BEACH WATER • ASSOC' ON, INC. / /// / //� -) By: LELAND PEARCE, PRESIDENT By: OKEECHOBEE CITY COUNC.. L C ,AIII)E GARD ER, P UES IDENT 1 •4" C rr It 11 1 0 1, a k e . . . . ' ; ; ■.: •:—. 1 Iv' ■'. ; 1 FLORIDA .„. C•-•.t., .. ' ' ' )• \ r couriry riioloonAmmr.mic nivilicm rnrrnntn nv 7111 • , rni.m tirAct I 1001.1( TnArrtc Ann ri.nrItimo nivirooll FLORIDA STA1E ROAD or_rAritMENT 111 (01,(11A 11014 W. /0 MI U.S. DEPAIII MEN I- or COMMERCE nuitrAu or runt.ic rionwi 01111 ri'll ri ; I ------:; scAkr , °ADDENDUM A" :011:P1 . 1. I 7 D :. •.. •••.• ::.!'.— :. ,;er i ...'' , l' \ ' 1 t) 1 in 1,l I Okeechobee OKEECHOBE)BEACH WATER ASSO JATION, INC. LELAND PEARCE, PRESIDE ATTEST: Ai/ • /' /K' CIAUDE GA1UNER, PRE)5,-..DENT rJunJUIAutAumnfir.uirolau .1131" n"." " "". t'' 100111■1 11, ./111,1 WI 11 Ar1•00/1•.• 111 I' 11, I All 0, P1111 141.111/ OKEECHOBEE CITY COUNCII BY (1<A -41 • •• ATTEST.- . LORENA SPIT ,CLERK AP11/11/A 1/21,1V17 I IC clto...nfo1 Arrnoro,... rt• 1 w1,,,/,•,. •• 1 , , /‘•- 0 / GEN ER A 11 H 116 it 1 WAY- M AF i OKEECI- OBEE COUNT 11 EV 1 10 S .... . ...... ..i.e! .1.1 1.111 / I 4 . ;A/I•• 17IA F. r! 11! —. 1111..7,1117;_. te 5.9 ro,....1", .. . ..... ---- -.... .-. -.. . ..-- .. ti.11,m1.11••••••• f“...••••11 11# /01 .01,0 OCTOBEF1, 1964 11,1 •••.• 1 act INC., a Florida corporation with iLs principal place or business in Okeechobee County, Florida, hereinafter ro tcr.red to as the Association. and the CITY OF OKEECI1OBEE, a Municipal cor- poration,•hereinafter referred to as the City, also located in Okeechobee County, Florida, W1TNES5E'l'11: 1. WHEREAS, the City of Okeechobee owns and operates a potable,water supply, treatment., pumping and distribution system, and 2. WHEREAS, the Association provide:; :1 water d i .t ribn- Lion system to certain residents in Okeechobee County, I'Ic)ri,1d, and in Glades County, Florida, and 3. WHEREAS, the parties hereto have been operating render an agreement dated the 4th day of Sep'lember, 1970, wherein the City or Okeechobee had been selling bulk water to the Association and which volume agreed upon has now boon exceeded and Is insufficient for the present and future needs or the Association, and 4. WHEREAS, the City is expanding its present water supply and treatment facilities, under its 1976 Water Works Improvements contract 075 -1156, and 5. WHEREAS,. the Association has requested a guarantee AGREEMENT TIIIS AGREEMENT made and entered into this //_' day of 1977, between the OKE1.iCL1OBEE REACH WATER ASSOCIATION. of 500,000 gallons, per day of potable waster from the City in order to accomplish its objectives, and to insure proper service to its customers, NOW THEREFORE in consideration .of the sum cif ONE DOLLAR, the receipt of which is hereby acknowledged, and other good EXHIBIT C lAw orr.C, '. 01 nIC,lAnn 11. 9n11/. ". nOt'l C �. no>t 113. (w s,I non° 1 0.5. 4411. nn1' rc.111)nl.E C.v. ,,r'n111A )34Y and valuable considerations, the parties agree as follows: 1. THAT the Association shall cooperate with the CiLy in its water plant expansion program, contract 1,75 -1156, known as Lhe 1976 expansion, as follows: (a) The Association shall place the sum of $200,000.00 in an escrow account in a banking facility in Okeechobee County• to be selected by the Association and which sum is agreed to fairly represent the value of water plant capacity associated with the 500,000 gallons per day guarantee provisions of this contract. payments shall be made by the Association from the fund 'so deposited on a monthly basis, predicated upon the con- tractor who has the contract for the construction of the improve- ment submitting to the Association through the City his payment request on a monthly basis. The Association will pay to Lhe City forty (40) per cent of the net amount due the contractor, on the contractor's monthly payment request; regardless of which portion of the project is being constructed during such pay period; it being the intent of the Association to be responsible for its proportionate share, not to exceed $200,000.00. Upon final payment request of the contractor, the Association shall pay the remainder of the $200,000.00. The Association's total payments shall be $200,000.00. (b) All interest earned on the money deposited in the escrow account shall accrue to the Association. (c) In addition to the $200,000.00 placed in the escrow account, as above mentioned, the Associbl•ion further agrees to pay toward the construction of a new 500,000 gallon (dear well. the sum of $75,000.00 provided, however, that the City shall have an engineer prepare plans and specificationh for the new clear well within six months from the dale of this agreement and -2- _...... .... ., xwUT!_ nOVTC +,110% zr3,(wovr nOn" & V.S. +ut. few[,. Cn09(C „•0■•• I) +,r let- bids therefor. If the City does not have plans and specifi- cations prepared within six months and ready for bidding in such tune, then in such event, the Association shall not be required to deposit the additional sum of $75,000.00, unless there is further extension of this agreement between the parties in :writing. 2. The City agrees as follows: (a) To provide to the Association an average daily water supply of not more than 500,000 gallons for a period of ten (10) years from the effective date of this agreement. Said water to be delivered to the Association at the plant clear wells under atmospheric pressure. (b) If the water supplied to the Association exceeds 500,000 gallons daily for any one month, then the average is Lo be computed from the month when the water supplied exceeded the 500,000 gallons plus the two months immmediatr_ly preceding it; it being understood that the average is to be computed over a three month period. (c) To permit the Association Lo install a new finished water pump in the clear well at its own expense, with a capacity of approximately 700 gallons per minute, at 90 pounds per square inch discharge pressure. (d) To permit an interconnect between the finished water lines of the City and the Association, subject to joint approval of the construction plans therefor, at the sole cost of Lhe Association. (e) The Association agrees Lo pay, monthly, to the City the actual cost of the CiLy producing the water, plus $.05 per 1,000 gallons. For the purpose of this agreement, actual cost shall be computed by the City- The City shall use the following items in computing its bill to the Association: -3- LAW 7rr,Cr5 •r ntra•n0 •, . bnvt5. nowt[ 4,50% ,f, (wOt rr nonO A. V.4. 4411.051 Cr Imr.Cr CIIY, r, Onlbn ))47= Formula for establishing cost of wafer production (Using cost of'plant operations only) COST OF PRODUCTION 1. Chemicals (Exclude Post Chlorination) 2. Electric ,( xclude City H. S. Pumps) 3. Labor: Percent of Following Salaries: Director oC Public Works .(45%) Supervisor of Operation (50%) Billing Clerk (20 %) Operators (100 %) 4.. Other Expenses: of all employees of the water Plant as follows: workmen's Compensation, health Insurance, Social Security, Pension Fund Cost, Disability Insurance, Labor Liability, And the Following Expenses of Water Plant, Property Damage Insurance, Telephone, Fee, Office Expense and 10^% of Legal Counsel salaries of and for Water Plant. 5. Interest only on Actual Debt Service. (1973 Plant Improvement plus old plant) 6. Repairs and Maintenance Actual Cost. 7. Truck Expense: Actual with per upon Minimum of $150.00 p 8. Depreciation of the present worth of the water plant which is designated at .$900,000. 00 atitt]Ueiny per year for a period of forty (40) years, understood that said $900,000.00 does not include any equipment owned by the Association. 9. Required Lab Test outs L outside Lab. 10. Outside'Special Service: (Legal, ]engineering and Administrative. Actual cost of service when usc•ct) (A) Estimated total cost of production = Sum of items 1 -10. • (B) Total finished water in thousands. Formula: A = Cost /1,000 gallons. B. The Association shall be billed monthly by the City's estimated cost per 1,000 gallons as bekeinabove stated. The • -4- IAW 1 ),,,Cr.3 or O,C.I,.00 N. lAut.s.. ,,out[ ',.SOX it), IWOtrr ,1C1w1, A u.4. +•11. OKI tC11011Cr. VI,.I I°ow. actual cost shall be computed every three (3) months by the City and billings for the subsequent months adjusted accordingly. (C) The Association agrees to install, own, operate and properly maintain its booster pumps, mainline meters and chlorination facilities at its sole expense. 3. It is understood between the parties hereto that the Association has applied for and is being financed by a loan and /or grant made or insured from the United States of America acting through the Farmers llorne Administration, United States Department of Agriculture, and the provisions hereto pertaining to the'undertaking of the Association and conditioned upon the approval in writing of the State Director of the Farmers Home Administration, and in the event of any occurrence rendering the Association incapable of performing under this contract, any successor of the Association whether the result of legal process, assignment or Otherwise, shall succeed to the rights of the Association hereunder, and the City agrees to be bound by such process, assignment, or otherwise. 4. It is further agreed between the parties Hereto that the Association shall serve all users in the area south of the boundary, that is identified between the city and the Associa- tion per legal description attached hereto and made a part hereof except for its users presently served by the City. as Exhibit A, It is specifically agreed that the City shall not serve.any new water user in this area unless such potential user has been refused service by the Association, and neither shall the Associa- tion provide service to any user north of the boundary unless it is mutually agreed upon by the City and the Association. -S- ........,.ors Or OIC,Un0 ,t. sAVls. noUCC. •, .ox ti7.(w0t7 n0AU A 0. s..+11.(04 CC0oflCC Cat r. rt 0.01A ]:,•)^ 5. The tern of this agreement shall be for a period of ten (10) years as mentioned herein and said term shall commence when the contract 475 -1156 as contemplated herein has been com- pleted and so certified py the City Engineer of the City of Okeechobee to the Association. 6. In the event that Ibe, average amount of. water supplied ara rap►, 2 , and the Association exceeds the limit set forth in p g sub- aragraphs thereof, on page 3 of this agreement, then the P parties hereto agree to renegotiate this agreement insofar as the same relates to the amount of water to be furnished by the City to'the' Association. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands and seals as officials of both the Association and the City, prior authorization for such execution havihy been duly obtained from the City of Okeechobee and the Board Of Directors of Okeechobee. Beach Water Association, Inc. OKEECHOBEE BEACH WATER ASSOC (A'i I ON , IN( ATTEST: ATTEST: he land Pearce, President CITY OF OKEECHHOBEE By C --- -_- - -----' --- Russel Dourer, President City Cuunc -6- _.. _...�.a or mc„Ano 5AU1 . noVrt n,so)( a], lwovr no &o a U.s il. on[cu.onr. c C.rV- r,nn,n^ )l.r: Nor • LEGAL 7ESC IPTIUN O NENC11U1E BEACH WATI.:It A :::-: tCln1I7N SERVICh, DISTRICT. Ileginning at the Township line between T37S and 'l'38S on the Martin County lino proceed west along the north section lino of 2 and 3 in T38S to the West corner of Section 3 sections 1, of section 33, •fa7ti to thence north along the east section west along the north the northeast corner of section 33tt the half section line of section lino of section 33 and 3•r section 32, 29 thence north on the half section li.urr of section 29 to Lite east west section lino between sections 29 T37S, 1136E and section 25 and section 26, T375, thence west along this section line along Cho north side o soc- t.lous 29, 30, � then south alrin�; the 13511 so the ti line o f sec line of touitso southwest tco th'euco west alo g t lino oh section ti I,he west. Rection li.np ,uf wvsl, along the north section line of section 11 thence south along thence west on Lh1 north ;unlit of stotthe 3 section lino, { lll,,nco ausecn 1 ii 11 to the north soot-Ion lino 11 r suction 3' i section lino to Llto haJ1' sor�Llu,t 1Curl u1' south on the half west al along to oast west' I. section Ll ncu south suction 33 theneo west Moog Ilto on::t wc'L sectJun line to t.lte Lnen3o went along the south north south suction line between sac Linns 33 section 32 to the south west coiner O9 toeth e(lsouthwest corner of her,l. ion Tine of section 32 section lino of section 5r, thence south 5E l to the east west the half. ownship Range Line between 11351( . T38s, R35>; thence west to section lino of section j and R3hE thence south to the north i o line 1 to the 000�tor' thence west on the south section lino ine of set ion Pond to Lake (tyke Road, thence southeast along Okeechobee, thence northeast and tsouIli along t lAdte O enchobLi11�i or line to the Martin County ofline, beglnuiug. County line to the point EXHIBIT n RESOLUTION WHEREAS, The Okeechobee Beach Water Association, Inc.. in cooperation with the City of Okeechobee deems it to the hest interest of both the City of Okeechobee and the Association, to enter into a water purchase Agreement between.the OKEECHOBEE BEACH WATER ASSOCIATION, INC. , and the CITY OF OICEECIIOBEE: NOW, THEREFORE, BE IT RESOLVED: 1. That the OI(IiECHOBI• E BEACH WATER ASSOCIATION, INC., agrees to the provisions of that certain agreement attached hereto, perlain.ind to the sale and purchase of water from the CITY OV OKEECIIOBEE to the OKEI ?CII013Ei: .II:ACI1 WATER ASSOCIATION, INC. 2. That the Board of Directors of the OKEECHOBI;I; BEACH WATER ASSOCIATION, INC.,' hereby approves and authorize;; the President of the Association agreement to be executed by ) together with its Secretary on behalf of the Association, this -1/:_a- day of _ , 1977. OKEE•:CHOBEE BEACH WATER ASSOCIATION, INC. 7 Leland Pearce, President ATTEST: J VfAilk Broome, Secretary 110)V1t •,MO; v401 rr 00.0 S 111....-10.0.01 :10(.01,0 • 1 1101• 1.,.): 12Esoui'1'CON A ILES01,11'1'1ON AI'1'11(IV1N(( A CONTRACT 11)12 '1'111•; SA1.I•: AND 1'111,UIIA.11': OR WATED I11:'1'141•:P:N '1'111. 1)hIa :CIp1111,1•; NI ?A(;I1 WA'I•I'.I2 AS:1111:1 A'1'1ON, :(N(:. AND '1'111°. CITY OI OKla :(:111)111.,1?. All'1'11- 0111'7.1 N(: AND l) DECTTN( 'I'III? I,:> l CU'1'1 ON OF' SA10 i ON'I'IOAC'1'. seconded by Olt n No 1:1011 o r CounCl twin Donal ns , (:o1n1c1 )nom Pool orQrn1 , tho -following llo olution t +:rs 111.1011.011: IJIII'.itl;;AS, 1.11a ('] I:y ° 1' Olcoecllo(t0e, (looms iL 1n Ilse i I.,1I:ores1. 1:o' nnLor ].uI ;o n WA'1'IU 1,1JI1CIIASE A(;111 ',1 *II•;N'I' L+otwoorl (Ito O1(I•:RIIil011E1.: IIEAIIC WA'1'1;1( ASSO(aAl-ION, INC. nod Lho CITY 01 • 1)hri,,1'11(111( ?li. N014, '1'lll{RI:Fttllt;, 111': •.'I' Itl ?SO1,VIS1): • '1'11111: 1:110 ('11.y or Olcon(atotl0e ngreos Lo the prowl vinn,4 r I.11:1 1. cc1•1;11 111 ngrocnlo „1; nI.t.:lcl1e11 hove 1.o. porI 1(1in(, 10 1.1111 rInlo nod porchnso (11' 14111.0r from the city of Oko0cl%ot10e to the Ilenr•11 14:11 e 1• A- 100(:.1 n 1. 1 011. .1 110. '11101 111x• CI. l)• or Okeechobee 1111'1'ovos 1111+1 111111101.17.0^ 11111 :1111 11(;'11'19111'111. 10 111. (':.< rcn1(1(I l+y 1.1111 1'1.1': +1111.111 11 1• 11111 1111• • 1A Ssla) AND AI1111'I'1:11 by Lilo City CollncII o1• Llto ty of • Au_ns L • 9'7'r Okoecholroe, L113 r1. 25111 cloy or A•1” I'ES 1': • :::111111.11 1111111101.1 1'i L1' 1'lo1'Ic Ci i.y of Okeoc11oboe AI'I9111VEl) OY r :. 12u:l:= 0 1. 1 V. Dower r "'`1,•11:•1 111 0111: C]. I.y Council C1t•y of Olcoocllol.+ce 25111 day oC Au111ny I)unll:tm AIn y01• C .1 I.y 11r• Okeechobee Au(1s t rp 1977 CLERKS CERTIfICA7E STATE or FLORIDA l COUNTY Of 01.7i1E010Rr.°E ) rr: CITY 01: 01 :1211: 71i ?Arli r, 3:4NI i I ;v,Vfil7; //OEM' (TR rlrl' rIIAT 1 on I& July ft•011 l Cl r& e( 1lr (,1y nl 01r,i1.,1 rr, 1£P J; 11JI I1r 411 nun,: ,I1 , MK 401/ wr of .1 11,rrnnrnl 0rogir,d rI 6 11r0 1 wr i/ ihr Off C1 r!• 4 11r Cny .,f Mrn1 "r,. 1'.'10.14 IN IVITh'rj S 1V1Il REOr b.,ry Irrru,rl., ni ,nr ,//;r)41 r4l el 11,11 ?.a.. ill ,1 ele,r4 Y A. U. 19 i.!r............ SEAL SANDRA AL Rr•NN17'1' CITY CLERK AGREEMENT TIIIS AGREEMENT made and entered into thin bth day of August , 1905, between the OKEECIIOBEE BEACH WATER ASSOCIATION, INC., a Florida non - profit corporation with its principal place of business in Okeechobee County, Florida, hereinafter referred to as the "Association ", and the CITY OF OKEECIIOBEE, a municipal corporation located in Okeechobee County, Florida, hereinafter referred to as the "City." WI'rNESSETII: WHEREAS, the city owns and operates a potable water supply, treatment, pumping and•distribution system; and WHEREAS; the Association provides a water distribution system to certain residents in Okeechobee County, Florida, and in Glades County, Florida; and WHEREAS, the parties hereto have been operating under an agreement dated the 4th day of September, 1970, amended the 11th day of August, 1977, wherein the City of Okeechobee had been selling bulk water to the Association in an amount of 500,000 gallons per day which volume htu, now been exceeded acid is insufficient for the present and future needs of the Association; and NOW, THEREFORE, in consideration of the sum of ONE DOLLAR, the receipt of which is hereby acknowledged, and other good and valuable considerations, the parties agree as follows: 1. The City will provide to the Association an average daily water supply of not more than 750,000 gallons per day for a period of Ten years from.the effective date of this Agreement; said water to be delivered to the Association at the plant clear well under atmospheric pressure) provided, however, that the City shall not be held accountable for any reduction in the water supply or inability to comply with the terms herein clue to acts of God or Federal and /or State or its subdivisions or agencies rules or regulations. • Due to the limited water sources available, the City retains the exclusive right to the selection of its water supply source and shall not be held accountable to 1 EXIIIBIT D •H, tworst the Association or its customers for the quality of water delivered. With the exception of chlorination, the water supplied pursuant to this agreement shall be of the same quality an that supplied by the City to its customers. 2. The Association agreed to pay annually a systems charge of one dollar per gallon for all water used in system capacity charge and the assessed average capacity excess of 500,000 gallons per day. This is to be calculated at the end of each year's operation number of gallons against which this charge shall be shall be determined by the }highest calendar during the preceeding year. On each ' the Association will pay to the City any additional fee for capacity utilized during the previous year which was not previously paid, but no rebate shall be payable by the City for usage from the previous year. month's anniversary date thereafter, v { 1! 4) '�k • i any decrease n Said payment shall in no manner create an interest property nor guarantee rights beyond this Agreement. anniversary date for the calculation of this charge year from the date of this AyrLcment. (For example, if on the first anniversary of this contract ltr it is determined that the highest daily average used by the the average daily in the City's The first shall be one Association in any calendar month during the previous 545,000 gallons the systems capacity charge for that year would be $45,000.00. If on the second anniversary of this contract it average used by the year was in determined that the highest daily Association in any calendar month during the previous year was 580,000 gallons the systems capacity charge for that year would $35,000.00 as this is based on the difference between the two consecutive years. If however, the highest daily average during the second year as 540,000 gallons, the Association would owe no additional systems capacity charge and would be entitled refund or rebate of .the capacity charge paid in the previous be to no year.) 2 tl* ;, lti:: P! It vok ►( 14 : 1;' •1 �f 1 ppI t 3. The Association further agrees to pay monthly to tie City 1001 of the actual cost to the City of producing the water, plus an additional 151. For the purpose of this Agreement, the actual cost shall be computed by the City utilizing the following items: 3 -1. Chemicals (exclude post chlorination). 3 -2. Electricity (exclude City finished water' pumps). 3 -3. Labor - percentage of total salaries as follows: (n) Director of Public Utilities - 50% (h) Assistant Director of Public Utilities 501 (c) billing Clerk - 201 (d) Operators - 100% (e) Plant maintenance personnel - 100% (f) Water crew labor used for water plant repairs - 1001 3 -4 Other Expenses: Those associated with tto. 3 -3 Labor, above: (a) Worker's Compensation (b) ilealth Insurance (c) Social Security (d) Pension Fund Cost (e) Disability Insurance (f) Unemployment Claims Reimbursements And the following expenses of the water plant: (a) Property damage insurance (b) Public Utilities office telephone - 25% and 100% of water plant telephone (c) Audit Fee - 50% of water budget amount (d) Office expense - $50 minimum (e) Legal counsel salary - 50% of water budget amount (f) City administrative fee - 251 of water budget amount 3 -5 Interest only'on actual debt service (current and future plant construction). 3 • 3 -6 Repairs and maintenance, actual cost. 3 -7 Truck expense: Actual with agreed upon minimum of $150 per month. 3 -0 Depreciation of the present worth of the water plant which is designated at $1,750,000 at 2 1 /2% per year for a period of forty (40) years. It being understood that said $1,750,000 does not include any equipment owned solely by the Association or any equipment owned by the City related solely to the distribution of water to its customers. Present worth of the water plant is agreed to represent the sum of: • $900,000.00 present worth designated in amended Agreement of August 11, 1977. $515,000.00 improvements (raw water intake structure, one sand filter, emergency generator, one transfer pump, etc., completed December 14, 1970). R $335,000.00 new clear well project. Depreciation shall be automatical.y revised upward to reflect future plant expansion construction costs as incurred. 3 -9. Required lab testing (local and outside lab work). 3 -10. outside special service (legal, engineering and administrative) actual cost of service when used). The formula for computing the cost of producing water shall be: A divided by 13 (g) where: A - sum of items 3 -1 through 3-10 above. B total finished water in thousands of gallons. The amount owed to the City monthly'shall be calculated e water produced, from using the actual cost of by formula above, multiplied by 115%, multiplied b gallons of water per thousand furnished to the 4 Association each month or A x 115% x total amount of water, per thousand furnished to the Association monthly. Examples Assuming A = $32,445 Assuming 13 = 43,100,000 Assuming C = Association's water use during month is 15,000,000 cjallone. Amount = b x 115% x C or: 1l, .753 x 115% x 15,000 = $12,909.25 4. The Association shall remit all sums due and owing to City within fifteen (15) days of billing by the City. Upon failure of the Association to remit payments within thirty (30) days of original billing date, the City may, at its option, discontinue water service to the Association until all arrearage in paid in full. 5. The Association agrees to continue to own, operate and properly maintain its booster pump, mainline meters and chlorination facilities at ita' sole expense and to reimburse the ?{ti City for electricity used in its finished water pumps as well as rrr chlorine utilized for pest chlorination. The Association will be • r [, 1( 's „ • 1 ,•1, 11 solely responsible for testing, evaluating and treating the water purchased from the City, as may be requirdd by any State or Federnl regulatory agency. 6. It is understood1betweeri'Ehe parties hereto, . that the Association is being financed by a loan•and /or grant made or insured from the United State of America acting through the Farmers Home Administration, United States Department of and the provisions hereto pertaining to the f the Association are conditioned upon the approval, of the State Director of the Farmers Ilome and in the event of any occurrence rendering the Agriculture, undertaking o in writing, Annoclation, Association incapable of performing under this contract, any nuccesnor of the Association, whether the result of legal the rights of the process, assignment or otherwise, shall 5 succeed Association hereunder, and the City agrees to be bound by such process, assignment, or otherwise. 7. It is further agreed between the parties hereto that the Association shall nerve all users in the arena south of the boundary that is identified between the City and the Association art hereof as per 1egn1 description attached hereto and made a p It Exhibit A, except for its users presently served by the City. is specifically agreed that the City shall not serve any new water user in this area unless such potential user has been refused service by the Association, and neither shall the Association provide service to any user north of the boundary unless it is mutually agreed upon by the City and 'S; ft,, Association' period of 0. The terms of this Agreement shall be for a p- e rl ears commencing October 1, 1904 and shall be binding ten (10) y upon the successors or assigns of the parties hereto. IN WITNESS WHEREOF, the parties hereto have hereunto' set f; I ( their hands and seals as officials of both the Association and the City, prior authorization for such execution having been duly ,., and the Board t,k obtained from the City Council, City of Okeechobee, +r of Directors of Okeechobee Beach Water Association, Inc. OKEECIIOBEE BEACH .WATE1l ASSOCIATL�3,� ATTEST: h— Ii`a'� ATTEST: City Clerk 13y: CITY OF OKEEC11OBEE 13y ayor P. O. BOX 2757 FORT PIERCE, FLORIDA 349542757 DEAN, MEAD & MINTON ATTORNEYS AND COUNSELORS AT LAW 1903 SOUTH 25TH STREET SUITE 200 FORT PIERCE, FLORIDA 34947 October 3, 1995 Clerk of Circuit Court The Nineteenth Judicial Circuit Post Office Box 9016 Stuart, Florida 34995 -9016 (407) 464 -7700 (407) 562-7700 FAX (407) 464 -7877 Re: City of Okeechobee v. South Florida Water Manage- ment District and Okeechobee Beach Water Association, Inc. Case No.: 93 -5505 Our File No.: 11816/22248 Dear Clerk: In connection with the above - captioned case, enclosed is the original and one copy of the Stipulation for Voluntary Dismissal. Please file the original Stipulation for Voluntary Dismissal in the above - referenced court file, court -stamp the copy and return it to me in the enclosed self - addressed stamped envelope, and close the file. WLD /pap Enclosures cc: Thank you very much for your assistance. Sincerely yours, W. Lee Dobbins Michael D. Minton, Esq. (w /encl) Jack Coker (w /encl) Kim Love (w /encl) Burton C. Conner, Esquire (w /encl) John R. Cook, City Attorney (w /encl) Steve Walker, Esquire (w /encl) Richard A. Lotspeich, Esq., and Fred McCormack, Esq.(w /encl) Michael Wm. Morell, Esquire (w /encl) John D. Cassels, Jr., County Attorney (w /encl) Mark G. Lawson, Esq. and Greg Stewart, Esq. (w /encl) f: \data\mdm \wld\21404pap.03 IN ORLANDO DEAN, MEAD, EGERTON, BLOODWORTH, CAPOUANO 6 BOZARTH, P. A. (407) 64■-1200 DEAN MEAD IN 6REvARD COUNT DEAN, MEAD, SPIELVOGEL, GOLDMAN 6 BOVD (407) 453 -2333 • (407) 259-6900 • (407) 725.6373 IN THE CIRCUIT COURT NINETEENTH JUDICIAL CIRCUIT OKEECHOBEE COUNTY, FLORIDA CASE NO.: 93- 555 -CA JUDGE: JOHN E. FENNELLY OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, and OKEECHOBEE COUNTY, FLORIDA, Defendants. CITY OF OKEECHOBEE, FLORIDA, Defendant /Counter- Plaintiff, vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff /Counter- Defendant. CITY OF OKEECHOBEE, FLORIDA, Defendant /Cross- Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, et al., Defendant /Cross- Defendants. STIPULATION FOR VOLUNTARY DISMISSAL Plaintiff /Counter- Defendant, OKEECHOBEE BEACH WATER ASSOCIA- TION, INC., Defendant / Counter - Plaintiff /Cross- Plaintiff, CITY OF OKEECHOBEE, FLORIDA, and Defendant /Cross- Defendants, OKEECHOBEE COUNTY, FLORIDA, et al., by and through their undersigned counsel, hereby stipulate and agree that the above cause shall stand voluntarily dismissed with prejudice upon the filing of this Stipulation, all matters between them having been resolved. party shall bear their own costs and attorneys' fees. urton C. Conner Florida Bar No .OaS K:57 301 N.W. Fifth Street Okeechobee, FL 34972 (813) 467 -8800 and Steve Walker, Esq. Florida Bar No. Messer, Vickers, Caparello, Lewis, Goldman & Metz 200 Palm Beach Lakes Blvd., Suite 900 West Palm Beach, FL 33409 (407) 640 -0820 Counsel for Plaintiff /Counter- Defendant, OKEECHOBEE BEACH WATER ASSOCIATION, INC. Each John R. Cook, City Attorney Florida Bar No. 2k2)1.51 202 N.W. Fifth Avenue Okeechobee, FL 34972 (813) 467 -0297 and Richard A. Lotspeich Florida Bar No. Fred McCormack Florida Bar No. LANDERS & PARSONS Post Office Box 271 Tallahassee, Florida 32302 (904) 681 -0311 and Michael Wm. Morell Florida Bar No. 310 W. College Ave., Room 222 Tallahassee, Florida 32301 -1406 (904) 425 -8300 Counsel for Defendant /Counter- Plaintiff /Cross - Plaintiff, CITY OF OKEECHOBEE 2 D. Casse s, Jr. unty Attorney lorida Bar No. 26 CASSELS & MCCALL Post Office Box 968 Okeechobee, FL 34973 (813) 763 -3131 f: \data \mdm \okeechobee.vd2 3 and Mark G. Lawson Florida Bar No. Greg Stewart Florida Bar No. Nabors, Giblin & Nickerson, P.A. Barnett Bank Building, Ste. 800 315 Calhoun Street Tallahassee, FL 32301 Counsel for Defendant /Cross- Defendants, OKEECHOBEE COUNTY, FLORIDA, et al. LANDERS & PARSONS CINDY L. BARTIN JOSEPH W. LANDERS. JR. JOHN T. LAVIA. m RICHARD A. LOTSPEICH FRED A. McCORMACK PHILIP 5. PARSONS ROBERT SCHEFFEL WRIGHT HOWELL L. FERGUSON OF COUNSEL VICTORIA J. TSCHINKEL SENIOR CONSULTANT (NOT A MEMBER OF THE FLORIDA BART John Cook 202 Northwest 5th Avenue Okeechobee, Florida 34972 ATTORNEYS AT LAW October 3, 1994 RE: OBWA v. City of Okeechobee Dear John: 310 WEST COLLEGE AVENUE POST OFFICE BOX 271 TALLAHASSEE, FLORIDA 32302 TELEPHONE (904) 681 -0311 TELECOPY (904) 224 - 5595 I received your letter of September 29, 1994 and reviewed the attached letter from Michael Minton including his draft Extension and Modification Agreement. With regard to the issues that you raised in your letter, I have the following comments. I agree with your observation that without entering into a formal extension of the 1985 Agreement between OBWA and the City, either party could extend water lines at will into the disputed area. The downside of proceeding without such an extension is obviously that OBWA could extend its lines into the disputed area. On the other hand, the upside is that the City also would have the ability to extend its lines into this area. In addition, we need to remember that OBWA still does not have its CUP and, therefore, is still without the ability to build its water treatment plant. Without the ability to construct that plant, OBWA will not be able to show its present "ability to serve" the disputed area which it needs to do to prevail in the lawsuit. On the other hand, with the extension as proposed by Mr. Minton, neither party would be able to extend lines into the disputed area except as specifically provided in that extension. At this point, I do not see any downside to the City from the provisions in the agreement proposed by Mr. Minton. On the contrary, the upside is that OBWA could not expand its service area under the terms of that agreement and, furthermore, still is without the ability to build the water treatment plant. With regard to the issue of service to Tripp Park, I believe the proposal offered by Mr. Minton in the agreement is reasonable and does not appear to create any disadvantages for the City. John Cook October 4, 1994 Page 2 Finally, with regard to the issue of the debt service charged to OBWA, I agree with your assessment that it would seem unreasonable and unfair to charge OBWA debt service for the wastewater portion of the debt where they receive no benefit from wastewater service by the City. In order to avoid a confrontation with OBWA on this issue, I suggest that the Extension and Modification Agreement be revised accordingly. I hope you find these comments helpful. Please let me know if I can be of any further assistance regarding this matter. Sincerely, Richard A. Lotspeich RAL /nkt I --- , SI- Uiti\O ' - 7-)(60.)-, Jt- 6,14,,,, 0,--ki-N i N, bw , i‹../1 II/ a. { !,r,, ix J,....._},.- --• I ..A„„Aj — -I • -°' w • , F--)""t` 4 11 )16) ' ir ----t /11/6"14 - I . 1 A ,,,liQ.A, V) ci ./1-- 441r 0 e , r-----------77-7 c) 0(0.--i s F 0 /v\ ) w ) ci.Ok CAJ f I 120.<1.9u3 A 1-\ yAJ- / ;"-‘ 1,-;"(11 / -4' w 1— VQ--il 11 j°''''VJ — To 0._ pct) ) \ ,N, L9L/t,;4 ei '`.1\//r 1jLLt r---3) 3 r\,,,t- r)._t it 0,x.) ,r),k....o•_;\ "--, .A,,, / ,,,.. ,A, ,, ' ii....a... coix 8-i csitt c 2 F 2-4 13.6 )/ji()/9-114/4 r°9-AtQl) p 1 t ` r'cia s%,c( cto81 -J 69A5 Ake AAA dt - � n�i tAs ' (451 los -7) c;.\C a.1D "/.50 o1_ 151-8.61 oic rnote d-- LS -CI3C rya_ a O. y "pck i 6,, ‘s-‘, VL• t, ivy\ rcit 7 ;v"\ .1)AVItb - ,0'6M ( V-%lh.U■, / 8 0 s d,s ( ®-r, PA v. \c i, j t3uvwl y , )A&-A1 1A-1\s-ten & ( -kx6Ac IL, 3 Z 2- 18 CE` sDc / p, too 3t s y4* .. tea, e,rt cJ3. (p(N. ,y « p 6-6 lak. ACLCULSC Cvt-k- el\S-6YN halkr-tivl 1 afrvl COUA hAoVy-,:w) 1,4 e —is 23 3It -(1,c 3-t — J ?? 3e-t - SY® -3 `1(0. SS 2- 1 zp - Jc?6 cf_ss /aD 7,3 i '7-•-• )3 Diu A- cl<1 -(2_ ,Arnr\ 1\-tt 1k-0AV-el vy-b--t■cM, ovLQ_ 0- 6,ot-3i-a 64)4.- ng - 2-2,3 fl_bo OE 2_ Cetikatk CEPYIE f;v1 ktittA a-0U cerwt, A• Ca_ Si+� 6e-t supra, of t17C c ve a.r 1e unite it ,,niouiit thereon the ra be pai; 'rtificate fete' Of t b ".' IltS ere. _ion` r1 sub se- ired tL of t en t1, of the o taxing officers of any amounts of the e revenues about to be unlawfully or uauthorizculy remitted, abated, or can - id by public officer defendants in such ?;cs. Thus plaintiff in this case in the .irt below was properly entitled to an function of the conditional character .vrarded by the chancellor when it was aerie to appear that the defendant clerk the circuit court was about to issue a s.e deed upon a certificate upon which full amount of the state's revenue 3lectible upon its transfer, had not been <, retofore actually collected at the time i its assignment by the clerk of, the -"suit court in the first instance. Arai-med. 7LLIS, C. and WHIT]7IELD, TER- ELL, BROWN, and BUFORD, J;., •co n- ling cer- 1 collect certir;'.. Vest am 'sited Ol: 1 section which' emptio ;st,` n ,lice 1345, but file cer- less than the sale rrtificate 3, but if seance o thin ih the suit urc corn lining cr tax cer of con- paid h 'f. i a. v. P ,NT Supreme Court of Florida, Mare': 22, 1937.. Mt ielpa corporations c2G5 • Statute prohibiting, construction of sys- tem, work, , project, or utility for m1niripal- ity, where system, ,,vork, project, or utility of similar character is in operation, is in- tended to' •avo c- wastefulness of encouraging, duniicate capital investments for competing r.tilities that could. not likely be operated without fina11ci0Ily jeop rtliiin -g each other's' operating revenues if erected in same c611- sume1 territory (Acts 1005, e. 17113, 3, as armendded by c. 171.19 ' .) 2. '',:itun!e1D_il por,•, o C7n272 Statute prohibiting const, i.ction of tear, ,y rk.,• project or 1tili nicipal- ty where system, work, .project, O ut!lity • "similar t mar character" is in operation not to prohibit construction of gas plant by municipality which wau being furnished with electrical heal light, and energy g from. elec- tric plant operating from u nic.; 20 3- n:le,, away (Acts 1535, _. 17113, 3, ne alt , 'R_ `G clerk cf th.e'Clreu t amended by c. 1.1191 }C. 1). L. s'7 lw',' 1- I�;'t ;, • as Court of Lee County, Florida,' and Switz- erland Holding Company, a Florida• corpe- ration, Appei) ants, d. Martin E. .S1- HULTZ, App? 112.n. : ough County; L. L. Parks, Judge. • Appeal from Circuit Court, T�lleber- Supreme Court of Florida. March 23, 1937. Appeal from Circuit Court, Lee County; gorge W. Whitehurst, Jucl e. Maguire & Voorhis, of Orlando, for a?- J. Re' Farrior and P.. 1,1. Hun. ley, both ,ellants• of Tampa, for the State. Waller & Meginniss, of Tallahassee, and _ Jas. D. Breton Jr., of PIant City, for Sheppard & Clements and Wm. T. Wood, appellee. all of Ft. Myers, for appellee. - Proceeding by the City of Plant City against the . Sta te,• to validate a proposed issue . of . ..debenture •certificates. F'rorn 2 decree of validation, the State appeals. Affirmed. tate have of equity, .w exists." lay be es cction:'o} hale of amend- PER CURIAM. This case is in all respects controlled y what has been decided this day in the campanion case of W. L. Draughon, as Clerk of the circuit court for Lee county, la., and Seville Holding Company, a cor- .ration, v. Martin E. Schultz, 173 So. 360, nd therefore, upon authority of the case sot referred to, the decree in this case is affrmed. ELLIS, C. J., and WIIITFIELD, TER- CELL, BROWN, BUFORD, and DAVIS, concur. DAVIS, Justice. The city of Plant City is a municipality under the statutes of this State. By chap- . tern 17113 and 17119, Acts of 1935, Laws of Florida, it is authorized and empowered to Construct, operate, and maintain a gas plant and distribution system upon satis- fying, all of the terms, requirements and conditions of said acts of the Legislature. It is affirmatively shown by the record that all procedural terms, . requirements, .and conditions of said chapters 17118 :'•and 17119, supra, have been complied with` and that there has been called and held, with favorable • result, a freeholder's election 364 na. 173 SG- THERN REP R Ell ender amended constitutional, section 6 o` article 9 to authorize the issue of 255,000 revenue debentures to be used to con- struct a gas plant for domestic, municipal, and industrial use in said municipality O Plant City. • The sole objection here urged, to the validity• of the projected issue of deben- ture •certi ficates, which have been vali- dated by decree of the circuit court ren- dered ` T p ursuant to section 5106, C.G.L., section 3296, R.C.-.S., et seq., is one in- terposed by the state attorney and predi- cated upon that portion of section 3 of chapter 17118 as amended. by section 1 of chapter 17119, Acts of 1935, reading as follows: " * 5 'r: provided, however, that a private company or municipality shall not Construct any system, work, project or utility authorized to be constructed here- under in the event that a system woris, project or utility of a similar character is being actually operated by 0 municipality or private company in the municipality or territory immediately adjacent there- to, unless such municipality or private company consents to such construction.' The answer of tile 'state's attorney con- tains the following allegation: "That there is in existence and opera- tion within the Coro ,_tat.. limits of the City of • Plant City a...ci the adjacent ter- ritory, , an electric powYer company and that :C in said petition. However, within the pur- view of chapter' 17112, Laws of Florida, Acts of 1933, this a:Sp011dei-IL alleges as matter l of law, that at. existing and op- elating electric power company and the gas plant and distribution S ✓' s e ii re:fel:red to in said petition, arc of similar char - actor and .that by reason 01 section 3, cliaoter 17112, ..laws of Florida, _da, !sets of 1935, and that the revenue debentures sought in said petition to be validated, should not and can not he lawfully vali- dated t. in accordance dance with the prayers Of said petition since said electric power company and the said gas plant and dis- tribution :system are similar 10 character as 0 matter of law, since both. 0031)1y teat for domestic and commercial uses which the re )orident • alleges t0 X10 true. This respondent does not deny the method as manner of the operation of said electric company tad -:either • does it deny the 0/011100 and manner of the operation of 2110 gas g 10_fl and the distribution system referred to in said petition but shows -ante the Court that in view of the aforesaid statute that said petitioner is not author- ized to issue said revenue debentures and this • respondent urges this Court, based upon said allegations of fact, to construe the iavz •to •be that said electric• company and the gas plant. and distribution system hereinbefore •referred to, are of similar character." So the proposition of law to be decided i is whether or not a Tampa electric utl,ii,.; ,.. having operations being carried on in Plant City must consent to the establish- ment by Plant City of a gas plant of the character, and for the municipal purposes. herein before described, in order to avoid the restrictive provisions of the statutory proviso line. emabove quoted. That such statutory restriction wouit be applicable to a proposed new Plant CJ.', • electric utility there can be no doubt. Bl: is a gas plant "system, work, projgct or utility of a similar character" to « co- existing electric utility, within the. pur- view of the statutory provision r qu.rin: the consent of the competing utility to secured where it is sought t to est blid: new utilities under chapters 17118 and 17119, supra, in territory already cruel by existing t. il,i cl C.;: We think. the chancellor properly swered tare last-stated question in the ative under the circumstances sin w r the record hi this case. Here, altl o .,a there is an existing electric utility wIoli is avalablcto supply electr_cai h aa eat, and energy to some, Or perhaps all, Ci. ie proposed customers of the 9001101 . gas plant and to that extent serve needs of the comb unity for heat, ,: and .nergy, yet it, _0 a. matter of con• men ki:oww ie lgc tonal gas atld h electric ities are i11 no 501150 utilities. of a ...�. . character when considered 00 com c...:.' of eaach oh•ner in the Sane to rito y, IY. , cause the _Ise of both electricity and • in the same business or household .. .. ammo _ .dice -0rie being used for purpose, the other for .another, neither occupying- the sane hold sumer .:eon_. The restriction of the statute .d to avoid the wastefulness of 10. couraging duplicate capital invest :heir, for competing utilities that could not '.... i-y be operated .without financially lool,' ,,inn; • ach others operating revent.w ._ erected in the 0111100 consumer territti [ 2.i pear in 001 for in Plan ,rritor_. electric some 2' 1lnsta0 ?s not to the lhurvievc chapter 17119, It tint decreed decree COtuhty, and ap hereby 0rllliiy rt ten 3108, C :or 112 rehearh 'PT L TERRi s l., co: 13'131 Eieei `Jit cu petition but shows uri' 1 view of the a1oresai petitioner isnotautho revenue debentures ai hrgcs dais Court, b.: ons of fact, to coihs`;t it said electric com cos' and distribution sysfr rred to, are of simil;: on of law to be deccii, a Tampa electric uti;i' s being carried on consent to the cstabi ty of a gas plant of . the *_municipal pur pt ribed, in order to a visions of the statu. '; ve quoted. utory restriction w proposed new Plant re can be no doubt. "system, work, projt7' nilar character" to :, .E. utility, within the Iliar story provision regal `:. e competing, .utility to is sought to eltahlh;l ier chapters 17118 r, territory already sere': es? chancellor properly ated question in the circumstances shown is case. here, altluxs ng electric utility v,I,;a.' pply electrical heat, ome, or perhaps ,.�. toulors of the propo. that extent scrvc pmt. pity for heat, 1, ' it is a matter of t' ' hat gas and electric :nse utilities. of a sine ;oasidered as cornpe`. t the sp :le tcrrilory both electricity and dress or household —one being used f :1cr for a;0))11er. .. same Geld of �... 4t. o n of the s •1,t[ i the waste. ,,. i s ,. . ate capital 11030 ,lilies that could not 11100t financially 's open ... g :000 0 ,0..lc Consumer LI10 iilS v. CITY OF ,liI.ii ONVILLII ... • 17.; S0. {2j • No such situation is 11.081 to aril_ certificates did not undertake to mortga o r in this case. `Hence- the statue does plant, to ;,ledge• taxing power of city, or to t forbid the 'institution of a gas plant obligate municipal revenue other than that from paint, held, not required to be approved by electors udder constitutional requirement that issuance of municipal `bonds" be so approved (Acts 18$7, c. 3775, 75, a s amended; Consl. art. 5 e, as amended in 1030). [Ed. Note. -1tor other definitions 02. • "Bond, see Words & 2hrases.] Plant City to serve the same consumer rritory that is now being served by an ctric utility operating from Tampa, cc 20 miles removed. Under the cir .:,stances shown; the proposed gas plant not a utility Of a "similar character" the existing electric plant, within the view of the restrictions set forth in e.,,pter 17118 as amended by chapter 1.19, Acts 1935. it therefore is considered, adjudged, and .recd by this court that the validation .eree of the circuit court of Iiillsborougih •,linty, in planner and form as entered appealed from be, and the same is nby affirmed, and that ;mandate in con - 'uity with this judgment do issue with- ten days as provided for by section a. C. G. L., section 3298, R.G.S. chap- 11854, Acts 1927, if no petition for fearing has been ;led within that period. ELLIS, C. J., and WHITFIELD, R'.ZELL, • BROWN, and BUFORD, concur. • 0000118 v. CITY O. ufi :vi1 CP V .L. et c i. Appeal from Circuit Court, Duval Coun- ty; A. D. McNeill, Judge. Proceeding by the City of Jacksonville against the State, for the validation of ;municipal revenue certificates to be issued for the iilmprovellhent of an existing munic- ipal electric plant, wherein T. L. Brooks, taxpayer, intervened. From decree of validation, intervener appeals. A :irened. Truett &. Shea, of J acksonvilie, for ap- pellant. Austin Miller, of Jacksonville, for ap- pellees. DAVIS, Justice. The City of• Jacksonville is governed by and acts under chapter 3775, Acts 1887, as Iran) time to time amended and supple- mented by subsequent. Pi.cts of the Legis- .aturc. • By its .charter it is authorized to o.ar., operate, and maintain a municipal electric light plant and - has done• so for many years last a51. Co January 12, •1937, the acosonviile City Council (the e Y 1u niC jiaii ✓ legislative Supreme Court of .1.,,•ida. i ocy) clnly enacted an ordinance No. .X- March 27, 1E7. _1 as follows : • "I • "ti : Ordinance Providing for the c.iC�..t.ity �i i � -b Con - C v cf Ja:lisonvb.e, ici tiibli, O; strnction of ;Extensions and Improvement e ;1131101;' 1 5 pl'0ri1 ;tor of e1 S`. .. ": the •.; runic :poi Electric Plant Of the n, l generating .ion Ciiy of Jacksonville, Florida, so as to In- i � :e• :i;11� tee_ >> :�; ih..� ,cs�. �.` 1. Vvas required to keep .._id ..aiatain crease the Appliances for the Manufacture: rOaSOYa,,.y 11 ;7 .rte of luduc_ and :Distribution 10 Electricity as may be 1111010003' for utility and benefit of mu- - ecessary to auriish Samc t0. .hose lak- and Using such Electricity; ; and for ;it 1 y 5 inhabitants, and co r 1 � � , tstc... > with ,,.i0 y c ss F.L.nce of :1,250,000.00 Revenue .t,lt!.viity to deal (._es _a37, c. 3.775, as Certidc.atzs of the City of Jack.sonvilic, l,a'� to. is Payable Sorely from . :eve - i }erived from the Operation of •said Ai,;,;iCi; al 000 porn -00110 meetric Plant to inance the Cos` of Proposed issuance of negotiable i.eveif l5 Saco Construction.. "t100itcs by eit3' 01 _`aCIISOO iii,, i... j11 "Be it ordained by the Mayor and City ;'10500 of cxw_.ag v C0 . C 3.. o1, I2.-n Council of the City of d00luoville: 1.156 Fla. 564 SOUTHERN REPORTER, 2d SERIES hour before the incident. The officer testi- fied that appellant appeared to be under the influence of alcohol and told him that he was coming from a bar. Additionally, appellant points to his tripping over the telephone cord while in the apartment and his mistaking the women's apartment for his friend's apartment as mistakes an in- toxicated person might make. Finally, ap- pellant points to the fact that the officers found him passed out in the laundry room of another building twenty minutes after being chased out of the women's apart- ment. However, as the state correctly points out, the appellant has failed to include the following facts: that Officer Eischen de- scribed him as under the influence but in good shape, that the two occupants, who had a conversation with him, testified that he was not intoxicated at the time. Thus, there was substantial competent evidence to support the jury's finding that appellant was not too intoxicated to form a specific intent. Based on the foregoing, we affirm on this point. AFFIRMED IN PART; REVERSED IN PART; REMANDED. system. The Circuit Court, Duval County, Gordon A. Duncan, Jr., J., granted summa. ry judgment for city, and appeal was takes. The District Court of Appeal, Miner, J., held that statute requiring party to obtain. adjacent utility's consent before construct, ing water and sewage system was not ap plicable to city seeking to construct sub services in previously unserved area. . Affirmed. Municipal Corporations X270, 271 Waters and Water Courses <,194 Statute requiring party to obtain adjs. cent utility's consent before constructing „ 41 water and sewage system was not applies, ble to municipal corporation seeking to con. struct such services in previously unserved area; statute prohibited only direct es. croachment by one utility provider into op, erating area already served by another. West's F.S.A. § 180.06. DOWNEY and WALDEN, JJ., concur. Herbert R. Kanning, Jacksonville, for op pellant. James L. Harrison, Gen. Counsel, and Anthony B. Zebouni, Asst. Counsel, Jack.' sonville, for appellees. ORTEGA UTILITY COMPANY, Appellant, v. CITY OF JACKSONVILLE, a political subdivision of the State of Florida, and Salem A. Salem, Director, Department of Public Works, City of Jacksonville, Appellees. No. 89-43. District Court of Appeal of Florida, First District. July 6, 1990. Rehearing Denied Aug. 22, 1990. Water utility brought action to enjoin city from constructing water and sewage MINER, Judge. The pivotal issue in this appeal is whelp, ;# er, under the facts of this case, the pro j t sions of section 180.06, Florida Statutet, apply to the City of Jacksonville City)„ We hold they do not and thus affirm the summary final judgment entered by ti. trial court in the City's favor. 4 Appellant, Ortega Utilities Co., (Ortega is a private utility company providing aw. ter distribution and waste water collection services within a specified area (certificated,;<` area) of Duval County. On October 1t, 1987, appellee, City, published an invitatioi,,, to bid for the construction of a sewage pump station, a sewage force main and a;. water transmission main to be located nwr•, but outside, Ortega's certificated area. eon tiv( $uc lath whi part mug ty of a adja Oi ma /; an a; provi cone( tinsel know Trade Hnea, projef agree On comp!' by the mary the m, the pa/ ties ap was in develol serve 1 titer, ti its cap ad area that th 10,000,C was the that cal At th judgmer for sumi fag the Orteg: nearly eviden, to the court's these water Its ow t The ne( mrt, Duval County, J., granted summa- ,d appeal was taken. Appeal, Miner, J., ring party to obtain nt before construct - system was not ap- . to construct such nnserved area. is «270, 271 tirses 0194 ,arty to obtain adja- before constructing em was not applica- ltion seeking to con - previously unserved ed only direct en- ity provider into op- served by another. Jacksonville, for ap- Gen. Counsel, and 1sst. Counsel, Jack- :his appeal is wheth- this case, the provi- 6, Florida Statutes, Jacksonville (City). ind thus affirm the ent entered by the 's favor. tilities Co., (Ortega), ipany providing wa- iste water collection ied area (certificated y. On October 14, blished an invitation uction of a sewage ;e force main and a in to be located near, certificated area. ORTEGA UTILITY v. CI Cite as 564 So.2d 1156 On November 6, 1987, Ortega filed a complaint seeking declaratory and injunc- tive relief against the City alleging that such planned construction constituted a vio- lation of section 180.06, Florida Statutes, which provides, among other things, that a party wishing to construct such facilities must obtain the consent of any municipali- ty or private company operating facilities of a similar character in the immediately adjacent area. On December 30, 1987, the City and Wil- ma/Skyland Joint Venture, Ltd. executed an agreement whereby the City agreed to provide water distribution and waste water collection services to an area previously unserved by either the City or Ortega known as the Jacksonville International Tradeport Project. Thereafter, utility pipe- lines, lift stations and other works and projects were constructed pursuant to this agreement. On September 26, 1988, after its initial complaint had survived a motion to dismiss by the City, Ortega filed a motion for sum- mary judgment and, prior to a hearing on the motion, a stipulation of fact between the parties. Among other matters, the par- g ties agreed that Ortega's sewage capacity u was insufficient to meet the needs of the development which the City intended to dh serve by the construction at issue and, fur- ther, that Ortega had no plans to expand an its capacity or seek to enlarge its certificat- ed area. On the other hand, it was agreed wa that the City had the capacity to treat se 10,000,000 gallons of sewage per day and us was then using only twenty -five percent of mu that capacity. ser At the hearing on Ortega's summary poi judgment motion, the City moved ore tenus po for summary judgment. In its order grant- sta ing the City's motion, the trial court found: 1 Ortega is a very small utility operating ties nearly at the limit of its capacity with no wh evidence of being able to provide services me to the areas in question. From the ed court's review of the facts, it appears wer these projects would require a regional cor water system or a significant system of Flo its own to satisfy its mammoth needs. pro The needs of this project require a signif- so TY OF JACKSONVILLE Fla. 1157 (Fla.App. 1 Dist. 1990) icant utility system. The City is the only system capable to serve and there is no other utility in the distant area of similar capability or character as possessed by the City which is required by this vast project (Duval and Wilma). From an order denying Ortega's motion for rehearing, the instant appeal was tak- en. The statutory section in question autho- rizes municipalities and private companies that operate waste and sewage systems to construct pumping stations pipelines and other facilities incidental to their function. t further provides: However, a private company or munici- pality shall not construct any system, work, project or utility authorized to be constructed hereunder in the event that a system, work, project or utility of a sim- ilar character is being actually operated by a municipality or private company in the municipality or territory immediately adjacent thereto, unless such municipali- ty or private company consents to such construction. Ortega urges that the trial court erred in ranting the City's motion for summary dgment based upon erroneous findings at the City's construction was not "imme- ately adjacent" to appellants' operations d that the utilities operated by the par- s were not of similar character. The ty argues not only that the trial court s correct in its findings but further that ction 180.06, Florida Statutes cannot be ed to limit the broad powers granted nicipalities to provide water and sewer vice. To this latter argument, Ortega nts out that the City does not have the wer to ignore an otherwise applicable Lute. n analyzing the arguments of the par- , we find that we need not address ether the City's construction was "im- diately adjacent" to the services provid- by Ortega or whether the two services e of "similar character ". The City is rect in asserting that section 180.06, rida Statutes, should not be applied to hibit the construction in question. We conclude not because of the City's au- 1158 Fla. 564 SOUTHERN REPORTER, 2d SERIES thority to provide such services but rather because the statute does not prohibit con- struction of these services in previously unserved areas. In State v. Plant City, 127 Fla. 495, 173 So. 363 (1937) the supreme court defined the purpose of the statutory predecessor of section 180.06, Florida Statutes, as follows: The restriction of the statute was de- signed to avoid the wastefulness of en- couraging duplicate capital investments for competing utilities that could not like- ly be operated without financially jeop- ardizing each other's operating revenues if erected in the same consumer territo- ry. Id. 173 So. at 364. The briefs of the par- ties explore at considerable length what is meant by the term "immediately adjacent ". As we view the matter, however, the confu- sion in section 180.06 is not in the definition of that term but rather in that phrase's referent, i.e., what are the objects or terri- tories that must be immediately adjacent to one another so that consent is necessary? The fundamental question presented, then, is immediately adjacent to what? While the statute is not a monument to clarity and draftsmanship, in light of the above supreme court definition of purpose, we interpret it only to prohibit direct en- croachment by one utility provider into an operating area already served by another. Any other interpretation would not seem to comport with logic or reason. Under our interpretation, there would be no duplicate capital investment within the same consum- er territory. Rather, the City would mere- ly extend utilities service to a previously unserved area. Moreover, it would be ano- malous in the extreme to interpret section 180.06 to require the City to obtain Orte- ga's consent to serve the unserved when Ortega has neither the capacity nor any future plans to provide such services. Accordingly, the summary judgment ap- pealed from is herewith affirmed. SMITH and ZEHMER, JJ., concur. Laura DOUGLAS, Appellant, v. The FLORIDA STATE BOARD OF REGENTS, etc., Appellees. No. 89 -1462. District Court of Appeal of Florida, Third District. July 10, 1990. An Appeal from the Circuit Court for Dade County; Ronald Friedman, Judge. Spencer and Klein, and Samuel B. Rein- er, II, Miami, for appellant. Stuzin and Camner, and Diane D. Ferra- ro, Miami, for appellees. Before BARKDULL, LEVY and GERSTEN, JJ. PER CURIAM. Affirmed. City of Clearwater v. Stude- baker's Dance Club, 516 So.2d 1106 (Fla. 2d DCA 1987); Malver v. Sheffield Indus- tries, Inc., 502 So.2d 75 (Fla. 3d DCA 1987); Glendale Federal Savings and Loan Asso- ciation v. Department of Insurance, 485 So.2d 1321 (Fla. 1st DCA), review denied, 494 So.2d 1150 (FIa.1986); § 45.061, Fla. Stat. (1987). Allen David SHIVER, Appellant, v. STATE of Florida, Appellee. No. 88 -1051. District Court of Appeal of Florida, First District. July 10, 1990. Defendant was convicted of second -de- gree murder following trial in Circuit c J, A v; st fa se 1. du pa de ter va wa fri like bo( obE the 2. 1 opi] as thr4 con ser' F.S. M lant R Bras laha BI Ti apps muri issue firm In volt'( Flori with intox she the award, ;d only to incorrect; as addi- ;ury, which' jury inter - utally con - Is concern- f damages. Kimbrell, id John W. Miami, for Greene & Miami, for J., and t is CITY OF POMPANO BEACH V. Cite as, FIa.App., 389 So.2d 283 intentioned, served only to suggest to ury that its decision was incorrect. court went beyond polling the jury. additional questioning disclosed that ry, which returned with a signed spe- 'jury interrogatory three times, became tally confused by the court's explanations rning reductions and net amounts of ages. Adkins v. Seaboard Coast Line road Co., 351 So.2d 1088 (Fla. 2d DCA The verdict returned prior to the 's explanations of the consequences of rtionment expressed the jury's decision must be reinstated. Reversed and remanded with directions. OLTMAN Fla. 283 CITY OF POMPANO BEACH, Appellant, v. L. M. OLTMAN, Gerald F. Glass and Floyd F. Toomey, and other not named but made parties as members of a class, Appellees. No. 78 -197. District Court of Appeal of Florida, Fourth District. Oct. 8, 1980. Rehearing Denied Nov. 13, 1980. w 0 3 KEY NUMBER SYSTEM !nt in the trial court 2r, and re- -o the trial for Louis in accord - y the jury y the trial atory, the curred by letermined 1, as a pe- tutomobile umer, and enn Insur- e the driv- ioning the P8,000 rep - damages. pportioned awrence v. 346 So.2d Tones, 280 court was, re further, the' jury 1, however CITY OF MIAMI BEACH and the State of Florida, Appellants, v. LPIN, INC., a Florida Corporation, Appellee. No. 80-70. District Court of Appeal of Florida, Third District. Oct. 7, 1980. Rehearing Denied Nov. 12, 1980. Appeal from Circuit Court, Dade County; M. Turner, Judge. John A. Ritter, City Atty. and Alan K. us, Asst. City Atty., Janet Reno, te's Atty. and Theda R. James, Asst. te's Atty., for appellants. Joel. Hirschhorn and Harry M. Solomon, iami, for appellee. In a class action, injunctive relief was sought in regard to rate ordinance requir- ing out -of - -city users of city's water system to pay double the rates applicable to in- -city users and an award of money damages was sought for the amount of alleged- wrongful charges. The Circuit Court, Broward Coun- ty, Stephen R. Booher, J., awarded money judgment against city, determined the rates which city should have charged out -of --city users and awarded interest on the amounts found to be excessive, and city appealed and plaintiffs cross appealed. The District Court of Appeal, Fourth District, Fagan, Osee R., Associate Judge, held that: (1) trial judge erred in engaging in rate making; (2) inclusion, within the judgment, of interest on an unliquidated amount in dispute was clearly erroneous; and (3) city had no duty to explain and justify its actions in setting the rates where a prima facie case of inval- idity based on competent evidence had not been established. fore BARKDULL, HENDRY and WARTZ, JJ. ER CURIAM. t Affirmed. See Bloch v. Frick, 12 So.2d '(Fla.1943); § 78.02 Fla.Stat. (1979). firmed. Reversed. Anstead, J., specially concurred and filed opinion. 1. Waters and Water Courses e.,203(12) In class action in which validity of ordi- nance requiring out of- -city users of city 284 Fla. 9 SOUTHERN REPORTER, 2d SERIES lose water system to pay double the rates of in -city users was challenged, trial judge erred in engaging in rate making. 2. Interest 0=19(1) In class action in which validity of ordi- nance requiring out -of -city users of city's water system to pay double the rates appli- cable to in -city users was challenged, inclu- sion, within the judgment, of interest on an unliquidated amount in dispute was clearly erroneous. 3. Corporations c=,3821/2 Inherent in authority to own and oper- ate a utility is the authority to set reasona- ble rates and charges for its services and the power to do all things reasonably neces- sary in the conduct of such functions. 4. Municipal Corporations e619 Municipality must furnish utility serv- ices to all its users at reasonable and non- discriminatory rates, and state courts will intervene and strike down utility rate ordi- nances which are proven to be unreasonable or discriminatory. 5. Municipal Corporations '619 Utility rate making by municipalities is a legislative function reviewable by courts as are all legislative actions, but authority of courts in such matters is limited to mak- ing a judicial determination as to validity of the rate ordinances, and courts may not engage in rate making. 6. Municipal Corporations c=.619 City has right to charge higher rates to users of its utility system outside city than to users inside city. 7. Municipal Corporations x619 Though utility rates must be reasona- ble and nondiscriminatory, municipality is entitled to make reasonable profit from its utility operations and to use the proceeds thus derived for other valid municipal pur- poses. 8. Municipal Corporations 0=122(2) Utility rate ordinance is presumed val- id, and burden rests on those who attack the rates to clearly demonstrate that they are arbitrary, unreasonable or discriminato- ry. 9. Waters and Water Courses a= 203(12) City had no duty to explain or justify its decision to require out-of-city users of city's water system to pay double the rates applicable to in -city users where prima fa- cie case of invalidity based on competent evidence had not been established. Arthur C. Koski of Koski, Mateer & Gil- lespie, P. A., Boca Raton, for appellant. Roger H. Harper of Delray Beach, for appellees. FAGAN, OSEE R., Associate Judge. The City of Pompano Beach appeals from an adverse final judgment rendered in a class action brought on behalf of users of the city water system. The complaint at- tacked the validity of a rate ordinance re- quiring water users outside the city to pay double the rates for in -city users. Plain- tiff appellees sought injunctive relief and an award of money damages for the amount of the alleged wrongful charges. The suit was brought in May, 1967, and following various evidentiary hearings be- fore the trial judge in 1971 and 1972 a Final Judgment was rendered November 7, 1977 which declared the rates for users of water outside the city to be unjustly discriminato- ry and illegal. The final judgment awarded a money judgment against the city for the sum of $338,282.10, being only a portion of the difference in revenues collected under the rate ordinance held to be invalid, and the court awarded pre - judgment interest of $189,754.23. The trial judge made his own determination as to the rates that the city should have charged water users outside the city in excess of the rates charged users in the city and awarded interest at 6% on the amounts he found to be excessive for each of the years the rate ordinance was in ef- fect prior to the date of the judgment. All the property involved here is now included in the corporate limits of the city. The city has appealed on various grounds and plaintiff - appellees have cross - appeal- ed, agref the trial making. [1, 2] we now and cone erroneou: pano Bea justify it utility r: charge u: limits a within th costs of the trial making, the inclu: an unliqu erroneous stad, 256 The cit and an rates eh: users oul charged present ordi nance similar a( Following the city and that tiffs wer additiona denied. Plaintil the testir entire the high a "r: and that from user within ti reached 1 tions bas data fror conclusior The witn1 -sled to everythin or within not entitl ment, ". 203(12) r justify users of he rates rima fa -' mpetent CITY OF POMPANO BEACH v. OLTMAN Clte as, Fla.App., 389 So.2d 283 teeing with the city, however, that al judge improperly engaged in rate ng. 21, We reverse for the reasons that 'row, summarize. The findings of fact conclusions of law were based on two neous premises: that the City of Pom- "'Beach is under a duty to explain and fy its legislative decisions in setting its t rates and that the city may not users residing outside the corporate a different rate than that charged ii'the city (except for actual additional ''of rendering such service). Further trial judge erroneously engaged in rate ng, a legislative function. And finally, inclusion in the judgment of interest on ,liquidated amount in dispute is clearly neous. Bryan and Sons Corp. v. Klef- '256 So.2d 382 (Fla. 4th DCA 1972). e city adopted a rate ordinance in 1965 an amended ordinance in 1968. The charged under both ordinances to outside the city were double that ;d to users within the city. The nt suit first attacked the 1965 rate ance and was later consolidated with a miler action attacking the 1968 ordinance. flowing the close of plaintiffs' evidence 'city moved for judgment in its favor that motion was renewed after plain - fs were allowed to reopen and present additional evidence. These motions were denied. Plaintiffs' evidence consisted primarily of the testimony of an expert witness whose entire thesis was that the city earned too high a "rate of return" on its water system and that the "rate of return" was greater from users outside the city than from users within the city. These conclusions were reached by plaintiffs' "expert" by calcula- ns based on assumed and unsupported Bata from which were drawn the varied conclusions to support an erroneous thesis. he witness testified that the city is enti- tled to "... no rate of return because everything is taken care of above the line, or within their operations. ", that the city is not entitled to make a profit on its invest- ment, ".... they have no equity. The r & Gil- )pellant. ich, for ge. ds from >dina lsers of lint at- nce re- to pay Plain - ief and or the harges. 37, and igs be- a Final 7, 1977 water ninato- varded or the Lion of under d, and rest of is own le city de the ;ers in Jn the r each in ef- ;ment. now city. ounds ppeal- Fla. 285 profit is on equity." The witness further testified that the "rate of return" as calcu- lated by him was above 9.9% and "I believe that is an excessive rate of return." After later calculations this witness made new determinations that the "rate of return" for the entire water system was 12.01% with outside users contributing 17.89% and in— city users contributing 9.52%. His later testimony was that an 8% "rate of return" was proper, and that users both in and outside the city were paying rates in excess of those which would produce his deter- mined "reasonable rate of return." In re- sponse to a question by the court as to whether there was a recognized increased cost of service to water users outside the city this witness answered, "No sir." Plaintiff also produced a witness who was then sheriff of Broward County and a for- mer Pompano Beach city commissioner, who testified that additional water rates were charged to those outside the city because of the many advantages otherwise provided by the city to those in proximity to it. Plaintiff's final witness was the city engi- neer who testified that additional charges are necessary for water users outside the city because of increased pumping capacity and pressures required, the greater expense of distribution of water to such users, the greater demands on the total system be- cause of such outside additional users in larger feeder mains, additional peak —load- ing, additional plant capability, and addi- tional well field and storage capacities re- quired. Such testimony, by which plaintiffs were bound, in no way supported their posi- tion. [3] Inherent in the authority to own and operate a utility is the authority to set reasonable rates and charges for such serv- ices and the power to do all things reason- ably necessary in the conduct of such func- tions. Gainesville Gas & Electric P. Co. v. City of Gainesville, 63 Fla. 425, 58 So. 785 (1912); State v. City of Miami, 113 Fla. 280, 152 So. 6 (1933); State v. City of Miami, 155 Fla. 180, 19 So.2d 790 (1944). 286 Fla. 389 SOUTHERN REPORTER, 2d S1ES [4, 5] A municipality must furnish utili- ty services to all its users at reasonable and non — discriminatory rates, and Florida courts will intervene and strike down utility rate ordinances that are proven to be un- reasonable or discriminatory. Storey v. Mayo, 217 So.2d 304 (Fla.1968). Utility rate making by municipalities is a legislative function reviewable by the courts as are all legislative actions, but the authority of the courts in such matters is limited to making a judicial determination as to the validity of such rate ordinances. Courts may not engage in rate making, since this is an unlawful incursion in the legislative arena. Cooper v. Tampa Electric Co., 154 Fla. 410, 17 So.2d 785 (1944); Mohme v. City of Cocoa, 328 So.2d 422 (Fla.1976). [6] The city has the clear right to charge higher rates to users of its utility system outside the city than .to users inside the city. Clay Utility Co. v. City of Jack- sonville, 227 So.2d 516 (Fla. 1st DCA 1969); Mohme v. City of Cocoa, supra. The Su- preme Court, in Mohme, discussed at length the problems created for Florida cities by those on the urban fringe who enjoy but fail to pay their proportionate share of the cost of municipal services, and concluded that a differential in utility rates is justi- fied to help defray other costs which ".. cannot be pinpointed even under sophisti- cated cost accounting techniques." Mohme, p. 425. That the property and homes of plaintiffs are now within the corporate lim- its of the city buttresses the observations made by Mr. Justice Sundberg in Mohme. [7] While its utility rates must be rea- sonable and non — discriminatory a munici- pality is entitled to make a reasonable prof- it from its utility operations and to use the proceeds thus derived for other valid munic- ipal purposes. Hamler v. City of Jackson- ville, 157 Fla. 240, 25 So.2d 648 (1946); Town of Riviera Beach v. State, 53 So.2d 828 (Fla.1951); Pinellas Apartment Ass'n v. City of St. Petersburg, 294 So.2d 676 (Fla. 2d DCA 1974); Contractors & Builders Ass'n v. City of Dunedin, 329 So.2d 314 (FIa.1976). One may logically ask how can the public be better served than by the provision of municipal services made possi- ble through reasonable earnings of the mu- nicipality from reasonable and competitive rates charged to users of its publicly owned and operated utility. [8, 9] Like other actions taken by legis- lative bodies, a utility rate ordinance is pre- sumed valid, and the burden rests on those who attack such rates to clearly demon- strate that such rates are arbitrary, unrea- sonable, or discriminatory. The city has no duty to explain or justify its actions in setting rates until such burden has shifted to it by the establishment of a prima facie case of invalidity based on competent evi- dence. City of Tampa v. Tampa Water- works Co., 45 Fla. 600, 34 So. 631 (1903); Clay Utility Co. v. City of Jacksonville, 227 So.2d 516 (Fla. 1st DCA 1969); Mohme v. City of Cocoa, 328 So.2d 422 (F1a.1976); City of North Miami Beach v. Southern Gulf Utilities, Inc., 339 So.2d 173 (FIa.1976). The trial judge incorrectly construed the evidence under the applicable controlling law. Plaintiffs failed to make a prima facie case by competent evidence of the invalidity of the ordinances under attack, and we therefore reverse with directions that a fi- nal judgment be entered in favor of defend- ant, City of Pompano Beach. REVERSED. HERSEY, J., concurs. ANSTEAD, J., concurs specially with opinion. ANSTEAD, Judge, specially concurring: I fully concur with Judge Fagan's opinion and holding that the appellees failed in their burden of proof. In addition, I believe that a substantial part of the action was barred by the doctrine of re judicata, there having been a previous disposition adverse to the appellees which was not subsequently appealed or otherwise disturbed. 1 1 t f r t f '1 c f d n ii n d 636 Fla. 59 SOUTHERN REPORTER, 2d SERIES Fla. 52 So.2d 344; Knabb v. Duner, 143 Fla. 92, 196 So. 456. Affirmed. SEBRING, C. J., and ROBERTS MATHEWS, JJ., concur. w 0 KEY NUMBER SYSTEM MAY v. HOLLEY et al. Supreme Court of Florida, Special Division B. June 17, 1952. and Rehearing Denied July, 10, 1952. Action by W. E. May against Georgia Holley for judgment determining plaintiff's title and Tight to demolish defendants build- ing to the extent of its encroachment upon plaintiff's land, and for an accounting for rent. The Circuit Court, Volusia County, H. B. Frederick, J., dismissed complaint with prejudice, and plaintiff appealed. The Su- preme Court, Taylor, A. J., held that com- plaint which asserted conveyance by defend- ant to plaintiff remote grantor, and en- croachment on lot conveyed by building of defendant, and which sought determination of title and rights of plaintiff in connection with building, stated cause for relief under declaratory judgment statute. Reversed. I. Pleading C=360(4) When bill of complaint is attacked up- on several grounds, some of which go to the merits of the controversy and some to jurisdictional and procedural questions, court, when entering order of dismissal, should indicate reasons which motivated its action in order that parties to controversy may be apprised of same. 2. Cancellation of Instruments C=3 Where deed conveys more than either vendor or purchaser had contemplated, no right exists on part of purchaser to rescind, although at common law purchaser might have resorted to possessory action for pur- pose of forcing vendor to institute suit. 3. Adverse Possession C=63(2) `• A vendor's possession after convti" is ordinarily subservient to the titi•1! veyed. 4. Adverse Possession C=63(2) Where deed by which vendor co adjacent lot was not thought to cony portion of building purportedly on' tained by vendor, possession by veri. „. building after determination that it a° encroached upon lot conveyed was'n' verse to purchaser if vendor's in was to claim only to true boundary,.0,' retained. 5. Equity C'62 Equity follows the law and, unle'': usual circumstances showing an estop..3 waiver are disclosed, it will not hold „; session of less than 7 years to have .; ed into title to real estate. Limitation of Actions C=180(7) Where deed by which vendor cone lot adjacent to that retained by him w ) thought by either party to be conveyatl part of a building purportedly locate land retained, and land involved was quently conveyed to plaintiff who discov -' that deed actually embraced part of ing, complaint for judgment dete plaintiff's title and right to demolish ing to extent of encroachment and for: counting for rents could not be properly, missed on ground of statute of limits. ". when determination of whether liniita■. had run was dependent upon undiscl' time of vendor's knowledge of mistake, consequently time at which his poss became adverse. 7. Declaratory Judgment «I =a: Under Nstatute authorizing declara. of rights upon a bill of complaint, a d' ration, or a petition or other approli pleading, an action for declarant),': rights may be made in a special stator pleading without the pleader having to. termine whether legal or equitable p should apply. F.S.A. §§ 87.01, :q 8. Declaratory Judgment C=4 Prerequisites to entertaining of ceeding for declaratory relief are bon . and practical need for declaration, as 1 esent c n the nity, 1 is depc ti'or pe verse matt antal before resent, rely fc Ce or s: t Deolara '.? Coni t build • perty s rem d.. been lveyanc ts and dgment E right Croachn ted cat dgment U. Gi t. ull, La mpton I TAYLO laintiff and am ratory j ts: 1938 ts` in the id one of Each. In operty tc ntiff in y.tobem gc previot dined by e four 'oh defe s fact w< -person 7 when 1 •'have bf : onveyance title con - r conveyed :onvey any on lot re- vendor of it actually as not ad- intention .ry of land unless un- stoppel or hold pos- ave ripen - r conveyed im was not veyance of located on was subse- discovered t of build - etermining )1ish build - nd for ac- operly dis- limitations limitations mdisclosed iistake and possession leclaration t, a decla- ppropriate aration of 1 statutory 'ing to de- ble princi- 7.01, 87.02. MAY v. HOLLEY Cite as 69 So.2d 636 present controversy as to a state of facts upon the law concerning which some im- munity, power or right of complaining par- ty is dependent, and that there be some per- son or persons who have an actual present, adverse and antagonistic interest in sub- ject matter, either in fact or law, and that the antagonistic and adverse interest all be before court by proper process or class representation, and that relief be not sought merely for purpose of procuring legal ad- vice or satisfying curiosity. 9. Declaratory Judgment C=3I8 Complaint which recited in substance that building of defendant encroached upon property conveyed by defendant to plain- tiff's remote grantor and that defendant had been in possession of building since conveyance and had collected and enjoyed rents and profits thereof, and which sought judgment determining plaintiff's title to and right to demolish building to extent of encroachment and an accounting for rent stated cause for relief under declaratory judgment statute. F.S.A. §§ 87.01, 87.02. J. U. Gillespie, New Smyrna, for appel- lant. Hull, Landis, Graham & French and J. Compton French, DeLand, for appellees. g of pro - bona fide ,n, as to a TAYLOR, Associate Justice. Plaintiff below, appellant here, filed his second amended complaint seeking a de- claratory judgment, based on the following facts: In 1938 defendants owned two adjoining lots in the City of New Smyrna Beach and sold one of them to the City of New Smyrna Beach. In 1941 the City conveyed this property to T. W. Bush who sold it to plaintiff in 1947. Plaintiff caused a sur- vey to be made and discovered that a build- ing previously thought to be on the lot retained by defendants actually extended some four feet seven inches onto the lot which defendants had sold. Apparently this fact was not known by defendants or any person in plaintiff's chain of title until 1947 when the survey was made. Defend- ants have been in possession of the building since the sale of the lot and collected and enjoyed the rents and profits of the build- ing. Plaintiff's lot, except for the encroach- ment, is vacant and unimproved. The prayer of the complaint is for a judgment determining plaintiff's title to and right to demolish the building to the extent of the encroachment and an accounting for rents. A motion to dismiss the complaint on various grounds was filed. This motion raises the question of the propriety of the remedy, asserts that the complaint shows laches and also asserts that the present complaint is a departure from the prior complaint. [1] The motion to dismiss was granted "with prejudice." On petition for rehearing plaintiff asked for a modification of the order of dismissal by elimination of the words "with prejudice." This petition was denied and plaintiff has appealed. The decree of the lower court left coun- sel and this court entirely in the dark as to the grounds upon which the bill was dis- missed. This should be avoided whenever possible. When a bill is attacked upon sev- eral grounds some of which go to the real merits of the controversy and some to ju- risdictional or procedural questions, the parties have a right to know the reasons which motivated the action of the courts. As used in the order being reviewed the words "with prejudice" might mean that the court determined that the plaintiff had no enforceable rights with respect to the building in question, as appellee construes it, or they might merely constitute an ad- judication that plaintiff had not presented a case coming within the statute authorizing declaratory relief. [2] It is clear that, if the allegations of the bill are true, plaintiff's predecessor in ti- tle had a cause of action against defendants immediately after the delivery of defend- ants' deed to the City of New Smyrna Beach. Even at that time the nature of the right and the appropriate remedy are none too clear and are somewhat dependent up- on the position taken by defendants. Or- dinarily a simple possessory action is suffi- cient to enable a vendee to recover posses- 638 Fla. 59 SOUTHERN REPORTER, 2d SERIES sion from the vendor. But when, as here, it is quite apparent that a mistake exists in that a deed conveys a part of a building that was not thought by either party to be on the land conveyed, a different situation is presented. The mistake is of such a na- ture that, the possibility of rescission is im- mediately suggested. But a purchaser has no right to rescind because he has obtained more than he bargained for. When the vendor takes no action is the purchaser to be required to resort to a possessory action solely to force the vendor to institute the suit that will almost inevitably follow? At common law he probably would. Plain- tiff contends that this is just the kind of situation that the declaratory judgment act was designed to relieve. [3, 4] The facts before us disclose other complications. Plaintiff is the remote gran- tee of defendants' original vendee. A ven- dor's possession after conveyance is ordi- narily subservient to the title conveyed. 2 C.J.S., Adverse Possession, § 95, p. 652, 2 Am.Jur. 818, Adverse Possession, § 47. This possession is now adverse to plaintiff. At what time it became adverse to plaintiff's claim of title we cannot say. That is important in determining the rights of the parties. See Sarasota- Fruit- ville Drainage Dist. v. All Lands, etc., 157 Fla. 207, 25 So.2d 498. If defendants' intention was to claim only to the true boundary of the land retained by them they may have acquired no rights by adverse possession. Kilgore v. Leary, 131 Fla. 715, 180 So. 35. [5, 6] Had plaintiff resorted to eject- ment he would have been confronted with a serious question as to parties plaintiff. If the possession became adverse during the time the City of New Smyrna Beach owned the lot now owned by plaintiff the statute has run and plaintiff has no title. If defendants' possession became adverse during the ownership of the lot by Bush (plaintiff immediate grantor) the suit should be by Bush for the use of plaintiff. But if the possession became adverse since plain- tiff acquired his deed the suit should be in the name of plaintiff. We do not know and we cannot say that plaintiff knows what the defendants will contend or the eviT." develop as to these. matters. Ce there was no admission by the cow, t sufficient to show the running of the ute of limitations against plaintiff. follows the law and, unless unusu" cumstances showing an estoppel or are disclosed, will not hold possesst , less than seven years to ripen into ,(„ to real estate. There is no departure ■ previous pleadings to justify dismi the complaint on that ground. -4'~ The Chancellor was therefore in;, 4'% in dismissing the hill unless it,di+:''} present a case coming within the s, authorizing declaratory relief which vides:. 87.01 Scope: Jurisdiction of Ci Court "The circuit courts of the State Florida are hereby invested with'iZ:; thority and original jurisdictiofl' shall have the power upon a filed ." of complaint, declaration, petitio other appropriate pleadings to de' rights, status and other equitable or gal relations whether or not further , lief is or could be claimed or pra =; No action or procedure shall be +` to objection on the ground that a`.. claratory decree, judgment or ord prayed for. The circuit court's decl tion may be either affirmative or tive in form and effect and such G ; court declaration shall have the ;:. and effect of a final decree, judg+ or order. The circuit courts may der declaratory decrees, judgmen`" orders as to the existence, or non '1', ence: "(1) Of any immunity, power, pt lege or right; or „r "(2) Of any fact upon which t1i istence or nonexistence of such r ++ ity, power, privilege or right do °` may depend, whether such imm 'ill,, power, privilege or right now exi ti „; will arise in the future. Any pe seeking a declaratory decree, jud or order may, in addition to pra for a circuit court declaration,-: pray for additional, alternative, • , ve, subset i the sari 1820, Sec. 87.02 Pc "Any per t Or who may 'rider a dee title, memc riting or equitable or y a statute; der statutor ordinance, 'ise, or otl strument illined any alidity ari5 • lation, mu deed, will, emorandu: •r "any part ration of rit +le or leg . ws 1943, 7] It will hrased in rites a de i of comp e)' a declar w) or a p( fading. Th, t an actio r jr be made without th ether legal "'ly, or, pert ght be invo e statute 'y'immunit; t ='u`any fact existence o e'or right tote also p be either flicult to fi +'roader stop to deny tl enact the rce to its la tutional its of the ju tnt. CHAPTER 93 -232 Committee Substitute for .House Bill No, 491 An act relating to public meetings and records; amending s. 286,011 exempting certain meetings of governmental agencies from the require- ment that they be open to the public; establishing criteria for such meet- ings; amending s. 119.07, F.S,; specifying that. the exemption from public records requirements for records prepared by or at the direction of all agency attorney is not waived by certain release of such records; providing legislative findings; providing an effective date, Be It Enacted by the Legislature of the State of Florida: Section 1. Subsection (8) is added to section 286.011, Florida Statutes, 286,011 Public meetings and records; public inspection; es, to read: Nn Wi h, t, t hIg tlhe p f' ,Penalties., Qf Snv at , ,. 2 rSiyisiorl f of � �� ate ggns v n- . -° l n ' y ' r nx_?_sQr1 r�rn}•iorl or r di env 1 ' �,ficer o the '� " ivic' , '-- W erg 21tt1Pnt iLit�'i lay_ .Ike it , Fl . 1 in o .1-1 et in it hp en ; +v a + 1 gerac:y. prnvi +tad t of w : I - , . I h 1ti At alle thalj AdV]SA . itr_ igL rlyit ,J1cerning the litigation, "''�.`--The R 1 j dI)lAt 112 -.2ritri L' 4ci s r_ pia .dl r is Q ttterna„+ ., + _f..Zllt'I�D � Y�trter el ��'' `� ' n't_41 1 ,�• �L_ he tll 4 tlfled �7r+ wennrt..r m,•„ �LkG�917 �htt n T f cornrr,�r,�a,, .roceedinKS, t, e nmm` f a Ar id +_pa. nt_aut _ h._ es --- �-- �••r�3easiun. e11 a f ell nangonu c-a h --�slb r, eat at an 1»•z _ une _^- �x��Q_bartinn �f tt,o ^�-s`�• -� t rA Aai 1n SIlA 6 nff f•L•e _ ��� , .. k wj in it .LA 1 la I hg_,lIv ranazr;1, -ilaw unable time � .�filert iti, , t t,� �r,ri,1eY-clj ]t i ' �,CE1 ��4 1 li tics of t @_+ nnr,he l�nane ofper5ona wi ., sGi 1 a 1 omnleticar, =-" i1_ 1-- b1?ttendinv rl, o d th e s-n o- =�:j • en ' „ • • _ g S scion a.t1 dn f te'eron~ _ateS"; . he i n t ligncy:sjisalugisaL th eeti i sh j m 1 r unca Fh p in arc ne t o ern h ir' g the (e) The transcript- shall be liiarie th i.Ly1it -Ps1 S!ft.12€I4`i li cora_upon c rirduzin., e• Section 2. •1 Paragraph (n) of suhection (.3) of section 119.07, Florida Statutes, 992 Supplement, is amended to read: 1I9.07 Inspection and examination of records; exemptions.— 1 CODING: Wards t►tritken are deletions; wards tukerlined are additions, JUL -31 -93 SAT 9:37 Michael Wii,. More I I 91,34 42583131 P.0 AUG -19 -93 THU 14:10 chael Wm. More-11 vow ADMINISTRATIVE AND GOVERNMENTAL LAW (NVIRONMCNTAL AND LAND USE LAW 9! 4250301 +a✓ MICHAEL WM, MORELL ATTURNET AT LAW X10 WEST COLLEGE AVENUE TALLAHASSEE, FLORIDA 3232)1 -1406 (Qo4) 4:5-83 10 (804) 4225 8301 FACSIMILE TELECOPY TRANSMITTAL NUMBER OF PAGES (INCLUDING COVER PAGE): 6 P.01 ALSO ADMITTED IN THE DISTRICT OF COLIJMEJIA TO: John Drago, City Administrator/ John Cook, City Attorney FROM: Mike Morell DATE: 8/19/93 TIME: 2 :15 p.m. MESSAGE: IF ANY PROBLEMS, CALL 904/425-8300 CONFIDENTIALITY NOTE THE INFORMATION CONTAINED IN THIS FACSIMILE MESSAGE IS LEGALLY PRIVILEGED AND CONFIDENTIAL INFORMATION INTENDED ONLY FOR THE USE OF THE INDIVIDUAL OR ENTITY NAMED ABOVE. IF THE READER OF THIS MESSAGE IS NOT THE INTENDED RECIPIENT, YOU ARE HEREBY NOTIFIED THAT ANY DISSEMINATION, DISTRIBUJTION OR COPY OF THIS TELECOPY IS STRICTLY PROHIBITED. IF YOU HAVE RECEIVED THIS TELECOPY IN ERROR, PLEASE IMMEDIATELY NOTIFY US BY TELEPHONE AND RETURN THE ORIGINAL MESSAGE TO US AT THE ADDRESS ABOVE VIA UNITED STATES POSTAL SERVICE. WE WILL REIMBURSE YOU FOR THE COST OF POSTAGE. THANK YOU. ADMINISTRATIVE AND GOVERNMENTAL LAW ENVIRONMENTAL AND LANO USE LAW MICHAEL WM. MORELL ATTORNEY AT LAW 31O WEST COLLEGE AVENUE TALLAHASSEE, FLORIDA 321301-1406 (904) 4'5 - 0300 (904) 42n -A301 FACSIMILE ALt ADMITTED IN THE DISTRICT OF EOLUMB,A August 19, 1993 Privileged & Confidential Attorney Work Product Not a Public Record Via Facsimile Transmission and U.S. Mail John R. Cook, Esquire City Attorney 202 N.W. 5th Avenue Okeechobee, Florida 34972 John Drago City Administrator 55 S.E. 3rd Avenue Okeechobee, Florida Re: Status of 3 Cases: (1) City of Okeechobee vs. DCA and Okeechobee County, DOAH Case No. 92- 4909GM (comprehensive plan litigation); (2) OBWA v. City of Okeechobee, 93- 555-CA (declaratory judgement action) ; and (3) OBWA's Application for Consumptive Use Permit, SFWMD Application #921204- 10(OBWAIs CUP Application) Gentlemen: The purpose of this letter is to confirm the details of our conversations yesterday concerning the settlement and /or litigation of the above- referenced three cases. I would also like to Communicate to each of you my understanding of the status of each case and what I have done with regard to the comprehensive plan case and permit application case since our meetings yesterday. 1 have enjoyed working with you both in these matters. 1 look forward to continuing to do so as the comprehensive plan litigation, and my role in the litigation in general, winds down and the declaratory judgement action and OBWA CUP Application fires up. However, developments have been occurring very quickly in these related cases. In Order to control costs, to continue communicating with each other and to effectively represent the City's "interests, it is very important that the City's administrator and its attorneys have no misunderstanding as to the status of each case and each individuals responsibilities regarding settlement and /or litigation of that case. Therefore, please review the following summary of cases and contact me immediately if I have misunderstood or misrepresented the details of our conversations yesterday. Also, contact me immediately if your understanding of any of the facts or "to do" items contained in the following case summaries is different than mine. r. as 1 W.)). More I I John Cook and John Drago August 19, 1993 Page Two Status: Attorney Responsible: Deadlines: =104 4258301 P.03 THE COMPREHENSIVE PLAN CASE Case appears to be settling. All discovery and preparation for final hearing have been halted as of yesterday as per your instructions. Mike Morell and John Cook Depositions of DCA's 3 witnesses were noticed for August 26 -27 1993. These depositions have been cancelled as per your instructions. Counsel for all parties have been notified. Witness preparation meetings were scheduled to prepare the City's Expert Witnesses on August 25, 1993 and September 1, 1993. These meetings have been cancelled as per your instructions. Our witnesses have been notified.) Deadline for County Commission to meet and execute Stipulated Settlement Agreement (SSA) August 31, 1993. County Attorney Cassels represented that he would send copy of SSA to Karen Brodeen for DCA's approval and execution as soon as possible. Please make sure Cassels does this as obtaining DCA's timely approval and execution may not be easy to accomplish. After you and Cassels provide me with a copy of the executed SSA, I will prepare a draft agreed upon motion for abatement to be filed with the hearing officer ASAP after August 31, 1993. Deadline for City to serve answers by hand delivery to County's First Interrogatories to City is September 6, 1993. Assuming County Commission votes to approve and executes the SSA on August 31, 1993 and parties file agreed upon motion to abate the proceedings before September 6th, City should not need to serve answers. However, should the City's settlement understanding with the County breakdown, John Cook should inform Mike Morell immediately because a significant amount of AUG-19-93 THLI 14:12 N i cha� 1 Wm. t4ure 11 John Cook and John Drago August 19, 1993 Page Three 904 4258301 1 P.04 lead time, preparation and work will be necessary to properly answer these interrogatories and not waive any timely objections which the City may have. Deadline for completion of discovery is September 14, 1993. Deadline for DCA to convene pre - hearing conference between the parties is September 14, 1993. Deadline for parties to file pre - hearing stipulation with hearing officer is September 17, 1993. Deadline for parties to request continuance of final hearing for good cause is September 27, 1993. Good cause shall not include failure to reach settlement. Final Hearing Begins October 4, 1993 OBWA's DECLARATORY JUDGEMENT ACTION AGAINST CITY Status: City Council meeting with City Attorney on Monday, August 23, 1993 "out -of- sunshine" to discuss pending litigation. Attorney John Cook and law firm selected to Responsible: represent the City in this proceeding are advising the City concerning legal requirements concerning the "out -of- sunshine" meeting, motion to dismiss, answer to complaint, compulsory counterclaims, possible third -party actions, answers to OBWA's request for admissions, etc. John Drago his provided Mike Morell with a copy of a letter which indicates that he has instructed the City's Bond Counsel to request financing information from OBWA's application from Farmers Home Administration. Mike Morell has provided City Attorney with copies of documents produced by County in ,response to City's public records request. At this time it is Mike Morell's understanding that he will neither be putting in an appearance on behalf of or representing the City further in the declaratory judgement action. However, he remains available for consultation as needed John Cook and John Drago August 19, 1993 Page Four Deadlines: and may be requested by the City. Deadline for Motion to Dismiss is August 24, 1993. Deadline for Answering OBWA's Requests for Admission is September 20, 1993. 45 days from August 4, 1993, assuming City was served on August 4, 1993 at time of service of process. OBWA's Application for Consumptive Use Permit Status: City's decision is pending: (1) OBWA's decision as to whether to submit additional information as requested by SFWMD in letter of August 12, 1993 to Suzanne Harper; (2) decision of SFWMD to either issue or deny OBWA's; (3) possible default permit issuance under Section 120.60, F.S. Attorneys Responsible: Mike Morell and John Cook. Mike Morell is currently the only attorney representing the City who has put in an appearance before SFWMD on OBWA's application for a consumptive use permit. John Cook should notify Mike Morell as soon as possible as to whether: (1) Cook intends to put in a notice of appearance on behalf of the City; (2) whether Mike Morell will continue to represent the City in this permit application matter, or (3) whether Mike Morell should file a notice of withdrawal of counsel after either Cook or another attorney who will be handling the matter puts in an appearance. Until then Mike Morell will immediately forward all Copies of correspondence received from SFWMD to Cook. Deadlines: Deadline for OBWA to provide SFWMD with additional information regarding modification of service area is on or about September 13, 1993. Note: If OBWA does submit a revised requested service area for only its members, this is the service area map that should go into the comprehensive plan settlement agreement -- not the service area as defined in the franchise ordinance or OBWA's original application. John Cook should tend to this AUG -19 -93 THIJ 14:13 F1 i c.F a I Wrn. More• 1 I John Cook and John Drago August 19, 1993 Page Five 917 4258301 "rM✓ P.06 detail in his dealings with John Cassels Deadline after which default permit may issue to OBWA ? ?? SFWMD Atto,•ney Cecile Ross is on annual leave until August 30, 1993. Mike Morell has call in to Tom Colios in her absence to inquire about the default permit issue. Even if default permit issues to OBWA, City will have 14 days in which to challenge. Deadline for City to challenge either: (1) SFWMD's decision to grant OBWA a consumptive use permit; or (2) the issuance of a default permit under the provisions of Section 120.60, will be 14 days after SFWMD issues the permit. Bill Reese, John Drago, Mike Morell and John Cook (if he puts in appearance) should receive written notice of this from SFWMD. However, SFWMD may also publish notice in newspaper of its intent to issue. Mi.d Morell has spoken with John Cook about adequate lead time needed to prepare for such a challenge in the event that the City Council decides to challenge. This lead time will be necessary because of the adverse precedent in the 4th DCA regarding the standing of municij.lities to r..halienge. If the City decides to challenge tt..?. permit, research regarding environmental issues will be needed to successfully plead the challenge. City will inform Mike Morell as soon as possible as to whether it desires to challenge any type of permit issuance to OBWA. Deadline for OBWA to challenge SFWMD's denial of permit will be 14 days after district issues its notice of intent to deny permit. Deadline for City to intervene on behalf of sramo in OBWA's challenge to district's denial will be up to 5 days before the final hearing begins. With best personal regards, MWM:mm Sincerely, Az4tv Michael Wm. Morell F.S. 1991 F.S. 1991 ;orporate ute all of lishment :orporate iesirable health, the pur- ;aid cor- e corpo- 'ail itself s lawful by ordi- :quiring isiness ith any )erated )wever, )all not lcorpo- extend of said I con - me.— owers shall )dy of )g the pose, tgage to be such said 1 with aring sage Jnici- con - the ether ster- ility, said leg - ) an "1 of ose ors, the en- of DVI- MUNICIPAL PUBLIC WORKS Ch. 180 sions. All other legislative and administrative functions and proceedings shall be the same as provided for the government of the municipality. The city council or other legislative body, by whatever name known, of the munic- ipality, may adopt and provide for the enforcement of all resolutions and ordinances that may be required for the accomplishment of the purposes of this chapter, and its decision shall be final in determining to construct the utility, or any extension thereof as and where proposed, to promote the public health, safety, and welfare by the accomplishment of the purposes of this chapter; pro- vided, that where any mortgage revenue certificates, debentures, or other evidences of indebtedness shall come within the purview of s. 12, Art. VII of the State Constitution, the same shall be issued only after having been approved by a majority of the votes cast in an elec- tion in which a majority of the owners of freeholds not wholly exempt from taxation who are qualified electors residing in such municipality shall participate, pursuant to the provisions of ss. 100.201- 100.221, 100.241, 100.261- 100.341, 100.351. History. —s. 1, ch. 17118, 1935; CGL 1936 Supp. 3100(6); s. 15, ch. 69 -216; s. 64, ch. 77-175. 180.05 Definition of term "private company. " —A "private company" shall mean any company or corpora- tion duly authorized under the laws of the state to con- struct or operate water work m sMystes, sewerage sys- tems, sewage treatment works, garbage collection and garbage disposal plants. History. —s. 2, ch. 17118, 1935; CGL 1936 Supp. 3100(7). 180.06 Activities authorized by municipalities and private companies. —Any municipality or private com- pany organized for the purposes contained in this chap- ter, is authorized: (1) To clean and improve street channels or other bodies of water for sanitary purposes; (2) To provide means for the regulation of the flow of streams for sanitary purposes; (3) To provide a water supply for domestic, munici- pal or industrial uses; (4) To provide for the collection and disposal of sew- age and other liquid wastes; (5) To provide for the collection and disposal of gar- bage; (6) And incidental to such purposes and to enable the accomplishment of the same, to construct reser- voirs, sewerage systems, trunk sewers, intercepting sewers, pumping stations, wells, siphons, intakes, pipe- lines, distribution systems, purification works, collection systems, treatment and disposal works; (7) To construct airports, hospitals, jails and golf courses, to maintain, operate and repair the same, and to construct and operate in addition thereto all machin- ery and equipment; (8) To construct, operate and maintain gas plants and distribution systems for domestic, municipal and industrial uses; and (9) To construct such other buildings and facilities as may be required to properly and economically oper- ate and maintain said works necessary for the fulfillment of the purposes of this chapter. However, a private company or municipality shall not construct any system, work, project or utility authorized to be constructed hereunder in the event that a system, work, project or utility of a similar character is being actually operated by a municipality or private company in the municipality or territory immediately adjacent thereto, unless such municipality or private company consents to such construction. History. —s. 3, ch. 17118, 1935; s. 1, ch. 17119, 1935; CGL 1936 Supp 3100(8). 180.07 Public utilities; combination of plants or systems; pledge of revenues. — (1) All such reservoirs, sewerage systems, trunk sewers, intercepting sewers, pumping stations, wells, intakes, pipelines, distribution systems, purification works, collecting systems, treatment and disposal works, airports, hospitals, jails and golf courses, and gas plants and distribution systems, whether heretofore or hereafter constructed or operated, are considered a public utility within the meaning of any constitutional or statutory provision for the purpose of acquiring, pur- chasing, owning, operating, constructing, equipping and maintaining such works. (2) Whenever any municipality shall decide to avail itself of the provisions of this chapter for the extension or improvement of any existing utility plant or system, any then existing plant or system may be included as a part of a whole plant or system and any two or more utili- ties may be included in one project hereunder. The reve- nues of all or any part of any existing plants or systems or any plants or systems constructed hereunder may be pledged to secure moneys advanced for the construc- tion or improvement of any utility plant or system or any part thereof or any combination thereof. History. —s. 4, ch. 17118, 1935; s. 2, ch. 17119, 1935, CGL 1936 Supp. 3100(9). 180.08 Revenue certificates; terms; price and inter- est; three - fifths vote of governing body required. — (1) Any municipality which acquires, constructs or extends any of the public utilities authorized by this chapter and desires to raise money for such purpose, may issue mortgage revenue certificates or debentures therefor without regard to the limitations of municipal indebtedness as prescribed by any statute now in effect or hereafter enacted; provided, however, that such mort- gage revenue certificates or debentures shall not impose any tax liability upon any real or personal prop- erty in such municipality nor constitute a debt against the municipality issuing the same, but shall be a lien only against or upon the property and revenues of such util- ity, including a franchise setting forth the terms upon which, in the event of foreclosure, the purchaser may operate the same, which said franchise shall in no event extend for a period longer than 30 years from the date of the sale of such utility and franchise under foreclosure proceedings. (2) Such mortgage revenue certificates or deben- tures shall be sold for at least 95 percent of par value and shall bear interest not to exceed 7.5 percent per annum. (3) No mortgage revenue certificates or debentures shall be issued except upon a three - fifths affirmative vote of the city council, or other legislative body of the municipalities by whatever name known; such mortgage 1105 904 Fla. 143 SOUTHERN REPORTER, 2d SERIES bers. - Several other telephone calls of a similar nature followed while the officers conversed with a colored boy in the office. The officers then testified to the effect that, based upon their knowledge and experience of the operations of lotteries and from their observance of the telephone calls, the writ- ing down of numbers on pads of paper, and from their observance of the other para- phernalia on the defendant's desk, they then concluded that the defendant was vio- lating the lottery laws. The officers then, for the first time, identified themselves, ar= rested the defendant, executed the search warrant, searched the defendant and office number 3, and seized certain items which they identified as lottery paraphernalia On motion of the defendant, the court quashed the search warrant because the de- scription of the premises to be searched was not substantially set forth, However, the court denied the motion of the defendant to suppress the evidence seized on the basis of a finding that the officers were invited into the premises by the defendant, where they observed that a felony was being commit- ted in their presence; that the arrest was lawful; and, that as an incident to the ar- rest, the officers had the power and duty to search the defendant and to seize anything found on his possession or in his posses- sion or control tending to show that he was guilty of a violation of the law. We'affirm. These officers were unknown to the de- fendant, and the defendant was unknown to them. At the time of their admission to the premises, they were not identified as police officers. Thus, they did not gain ac- cess to the premises under color of their office or of the law as were the facts in Dunnavant v. State, Fla.1950, 46 So.2d 871. They were admitted as private citizens. Comparison of the manner of their admis- sion with the manner of admission of po- lice officers as detailed in Collins v. State, Fla.App.1962, 143 So.2d 700, points out a line of demarcation between officers gain- ing admission to premises without exercis- ing their power and authority as police of- ficers, as are the facts in this case, as dis- tinguished from gaining admission to prem- ises under color of their office and of the law, as were the facts in Collins v. State, supra. The fact that at the time of their entry they had in their possession a search warrant, which subsequently proved to be insufficient, was immaterial. Brown v. State, Fla.1950, 46 So.2d 479; Turner v. State, F1a.1954, 74 So.2d 891. The officers had sufficient cause to place the defendant under arrest. Fletcher v. State, Fla.1953, 65 So.2d 845. The subsequent search of the premises was justified as an incident to the arrest. Bozeman v. State, Fla.App. 1958, 102 So.2d 648. Affirmed. ALLEN, Acting C. J., and KANNER, J., concur. w KEY NUMBER SYSTEM John W. BELL, George C. Petersen, H.V. Saxon, Frank C. Adler and J. Herbert Burke, as the Board of County Commis- sioners of Broward County, Florida, and the County of Broward, Florida, a Po- litical Subdivision, and Joseph Easthope, for himself and on behalf of all others similarly situated, Appellants, v. ASSOCIATED INDEPENDENTS, INC., a Florida Corporation, and Continental En- terprises, Inc., a Delaware Corporation, Ap- pellees. ' No. 2663. District Court of Appeal of Klorida. Second District. Aug. 17, 1062. Action by county for a declaratory judgment concerning its duty to arbitrate a claim for a rate increase by franchise holder for collection and disposal of gar- bage and waste. The Circuit Court, Browt. dismis and o of Ap: held t state I. Decl Pu ment t law ru be jud been right t practic which other 1 F.S.A. 2. Decl W preven judgmc 87.01, 1 3. Decl; De forbid ing ou §§ 87.0 4. DecI CiI strue a and di; purpose county of rate which 1 S.A. §§ 5. Decla Cot minatioi bage coi county tion of 143 prem- )f the State, their search to be srn v. ner v. )fficcrs endant a.1953, rch of dent to la.App. IER, J., n, H. V. Herbert Commis - -Ida, and a, a Po- Easthope, II others INC., a ental En- ation, Ap- 3rida. eclaratory arbitrate franchise al of gar- lit Court, BELL v. ASSOCIATED INDEPENDENTS, INC. Fla. 905 Cite as, Fla., 143 So.2d 904 to state a basis for declaratory relief. F. S.A. §§ 87.01, 87.02, 87.11. 6. Declaratory Judgment (.3I3 Broward County, Richard M. Sauls, J., dismissed the complaint, and the county and others appealed. The District Court of Appeal, Willson, J. H., Associate Judge, held that the complaint was sufficient to state a basis for declaratory relief. Judgment reversed with directions. I. Declaratory Judgment € 24 Primary purpose of Declaratory Judg- ment Act is to relieve litigants of common - law rule that no declaration of rights may be judicially adjudged unless a right has been violated, for the violation of which right relief may be granted, and to render practical help in ending controversies which have not reached the stage where other legal relief is immediately available. F.S.A. §§ 87.01, 87.02, 87.11. 2. Declaratory Judgment C =I Within the sphere of anticipatory and preventative justice, use of declaratory judgments should be extended. F.S.A. §§ 87.01, 87.02, 87.11. 3. Declaratory Judgment C=.I44 Declaratory Judgment Act does not forbid its use to determine questions aris- ing out of an arbitration clause. F.S.A. §§ 87.01, 87.02, 87.11. 4. Declaratory Judgment 0209 Circuit court had jurisdiction to con- strue an exclusive franchise for collection and disposal of garbage and waste for purpose of determining right or power of county to enter into arbitration on matter of rates and to determine any fact upon which that right or power depended. F. S.A. §§ 87.01, 87.02, 87.11. 5. Declaratory Judgment ' Judgment C=0319 Complaint by county seeking deter- mination of sufficiency of petition of gar- bage company for rate increase to empower county to proceed to arbitration under sec- tion of franchise agreement was sufficient 143 So.2d -571/2 In order to actuate jurisdiction under Declaratory Judgment Act, complaint should allege that there is a bona fide dis- pute between the parties and that moving party has justiciable question as to ex- istence or non - existence' of some right, status, immunity, power or privilege, or as to some fact upon which existence of such right, status, etc., 'does or may depend, and that plaintiff is in doubt as to such right, status, etc., and that there is a bona fide, actual, present need for the declara- tion. F.S.A. §§ 87.01, 87.02, 87.11. 7. Declaratory Judgment Cz)327, 365 While granting of declaratory relief lies within discretion of court and is not a matter of right, the discretion is not to be exercised in connection with a notion to dismiss a complaint which is sufficient to invoke the court's jurisdiction, but is to be exercised when the evidence is before the court. F.S.A. §§ 87.01, 87.02, 87.11. John U. Lloyd and Joseph Easthope, Fort Lauderdale, for appellants. Reasbeck & Fegers, West Hollywood, for appellee Associated Independents, Inc. Hugh S. Glickstein of Glickstein, Cren- shaw, Glickstein & Hulsey, Fort Lauder- dale, for appellee Continental Enterprises, Inc. WILLSON, J. II., Associate Judge. The County of Broward, acting by and through its Board of County Commission- ers, granted Associated Independents, Inc., formerly known as Affiliated Services, Inc., an exclusive franchise for the collection and disposal of garbage and waste, within that part of Broward County not included within the corporate limits of any city or town. The performance of the obligations 906 Fla. 143 SOUTHERN REPORTER, 2d SERIES of Associated Independents, Inc., under this franchise was unconditionally guaran- teed by Continental Enterprises, Inc. Paragraph 11 of the franchise agreement reads as follows "11. It is recognized that the rates hereinabove provided for are based upon cost of operation upon the, ef- fective date of this agreement. Affiliat- ed shall not increase the fixed rates hereinabove provided for without the approval of the County and no such increase shall be sought except when made necessary by, increased cost of operations nor will an application for increase in rates be made more often than once in any calendar year com- mencing October 1st during the term of this Agreement. In the event a change in said fixed rates increasing the same is desired by said Affiliated, a petition shall be filed with the County, accompanied by a current comparative cost of operations statement prepared by a Public Accountant certified in the State of Florida, and such other perti- nent information as may be required by the Board to make a proper determina- tion of the cost of operation, and, ex- cept as hereinafter. provided, no such change shall be, made without the ,ap- proval of said petition therefor filed with the Board of County Commis- sioners of Broward County, Florida requiring such increase. The Board of County Commissioners shall approve or deny any such petition, in whole or in part, within thirty -one (31) calendar days after the date it has been filed in the office of the Clerk of said Board. However, in the absence of any ruling thereon by said Board within said thirty-one (31) day period, said in- crease shall become effective on the thirty- second (32nd) day after . said filing of said written application there- for unless Affiliated shall agree to an extension of said thirty -one (31) day period, time being of the essence. In the event the said Board shall deny the petition, in whole or in part, and Af- filiated shall feel aggrieved, then the matter shall be submitted to arbitra- tion in the following manner. An impartial body consisting of three (3) persons shall decide the issue. One of said persons shall be selected by said Board, one by Affiliated, and one not residing or doing business in Broward County, Florida, shall be jointly select- ed by the Board and Affiliated. In the event Affiliated seeks such arbitration .,and gives notice in writing to the Board of its selection of a person to serve as an arbitrator and the Board fails or refuses within ten (10) calendar days after receipt of said written notice to name an arbitrator or in the event of the inability of the parties hereto to agree on the third member of said body, then and in either of such events, upon the application of either party hereto, either or both such members of said body shall be designated by the senior judge of the Circuit Court in and for Broward County, Florida,, one of whom shall be a resident of Florida but not a resident of Broward County, Florida. "The successor of any such mem- ber of such body who is unable to serve because of ' death or disqualification shall be named by the party having made said appointment. "The decision of the majority of said body shall be final and conclu- sive and shall be effective when report- •; cd to the Board of County Commis- ' sioners at an adjourned meeting, pro -, vided that if the said body fails to reach a decision within thirty (30) days after their appointment, said award shall be deemed to have become effec- tive at the expiration of said thirty (30) days and, provided further, that in the event said award is subsequently mod - _ ified or decreased in whole or in part Affiliated shall forthwith make such re- funds or adjustments as may be re- quired to conform to said order, retro- A f- the itra- An (3) e of said not Yard lect- i the ition oard re as Is or days ce to nt of to to body, upon ereto, said .enior d for ,vhom not a orida. mem- serve cation laving ity of onclu- -eport- nnmis- ;, pro- ills to I) days award ' effec- ty (30) in the y mod - in part uch re- be re- , retro- BELL v ASSOCIATED INDEPENDENTS, IN '0. Fla. 907 Cite as, Fla., 143 So.2d 904 active to the date said order was deem- ed to have become effective. "Said arbitration shall be subject to all provisions of the 'Florida Arbitra- tion Code' not inconsistent with the methods or procedures hereinabove set out." In pursuance of the provisions of this par- agraph Associated Independents, Inc. filed a petition for a rate increase. A supple- ment to the petition was filed, and the pe- tition, as supplemented, was denied by the County. When the rate increase was denied, As- sociated Independents, Inc., invoked the arbitration provisions of paragraph 11 of the franchise agreement. The County took the initial steps toward arbitration, but then rescinded its action, and instructed its attorney to file a suit in the Circuit Court to determine whether . or not the pe- tition for rate increase was sufficient to justify or require it to proceed to arbitra- tion. The attorney for the County filed an action for declaratory decree. The com- plaint named John W. Bell, George C. Petersen, H. V. Saxon, Frank C. Adler and J. Herbert Burke, as the Board of County Commissioners of Broward Coun- ty, Florida ; the County of Broward, Flor- ida, a Political Subdivision ; and Joseph Easthope, for himself and on behalf of all others similarly situated, as plaintiffs, and Associated Independents, Inc., and Con- tinental Enterprises, Inc., as defendants. The defendants' motion to dismiss this complaint was granted, and an amended complaint was granted. A second amend- ed complaint was then filed and dismissed, on motion of the defendants, without leave to amend. The appeal is from this order of dismissal. Joseph Easthope was not named as a party in the second amended complaint. It is conceded that he is not a proper party to this appeal. We therefore dismiss his appeal on our own motion. The second amended complaint raises no question as to the power of the County to submit the fixing of rates to arbitration, its purpose, as we construe it, being to se- cure a determination of the 'sufficiency of the petition for rate increase to empower the County to proceed to arbitration un- der paragraph 11 of the franchise agree- ment. The question we must answer is whether the lower Court should have made this determination. The statutory basis for the action under review is found in Sections 87.01, 87.02 and 87.11, Fla.St., F.S.A. The pertinent portions of these sections read as follows: "87.01 The circuit courts may ren- der declaratory decrees, judgments or orders as to the existence, or nonexist- ence: "(1) Of any immunity, power, priv- ilege or right: or "(2) Of any fact upon which the ex- istence or nonexistence of such im- munity, power, privilege or right does or may depend * * *." "87.02 Any person * * * whose rights, status, or other equitable or le- gal relations are affected by * any franchise * * * may have de- . termined any question of construction or validity arising under such * * franchise * * * and obtain a dec- laration of rights, status, or other le- gal or equitable relations thereunder." "87.11 This chapter is declared to be substantive and remedial; its pur- pose is to afford relief from insecurity and uncertainty with respect to rights, status and other equitable or legal re- lations; and is to be liberally admin- istered and construed." 51 21_ The primary nurpose of tfle ,declaratory judgment act, is to relieve lit gants of the common law rule that no declaration of rights may be judicially a4- judged unless a right has been violated., for the violation of which rights relief 908 Fla. ,.143 SOUTHERN REPORTER, 2d SERIES.._ may be ¢ranted and render practical help in ending controversies which have not, reached the stage where other legal re* lief is immediately available; Watson v. Claughton, 160 Fla. 217, 34 So.2d 243. Within the sphere of anticipatory and pre; ventative justice the use of declaratory iudzments should be extended their scope kt wirlr and liberal and their boundarie,� elastic. Sheldon v. Powell, 99 Fla. 782, 128 So. 258. ., [3] There is nothing in the declaratory judgment act which forbids its use to de- termine' questions arising out of an arbi- tration clause. Devenco, Inc: v. Emerson Radio & Phonograph Corp., 12, Misc.2d 949, 174 N,Y.S.2d 132, and it has been frequently used in this connection, E. g., it has been held that an action for declara- tory judgment is available to secure a de- termination as td'whether'a matter in dis- pute comes within the scope .matter arbitra- tion agreement, Lehigh Coal. .& Naviga- tion Co. v. Central R. of N. J., D.C., 33 F. Stipp. 362; Texoma Natural Gas Co. v. Oil Workers I. U. etc., D.C., 58 F.Supp. 132, 5 Cir., 146 F.2d 62; Devenco, Inc. v. Emerson Radio • & Phonograph Corp., supra; to determine the extent of the ar- bitrators' powers,' McKay v. Corporate Properties, Inc., 276 App.Div. 351, 94 N. Y.S.2d 599; to determine the propriety of the method used by arbitrators in fixing valuation, Ruth `v.'' S. Z. B. Corporation, 2 Misc.2d 631, 153 N.Y.S.2d 163; to de- termine the validity of an award made by arbitrators, United Fuel Gas Co. T. Colum- bian Fuel Corporation, 4 Cir., 165 F.2d 746; and to determine whether a particu- lar electric generating plant, and transmis- sion line, were a part of the facilities which a municipality had an option to purchase under a franchise agreement, City of Pa- ducah v. Kentucky Utilities Co., Ky., 264 S.W.2d 848. Although none of these cases are exactly in 'point, they illustrate the broad scope of declaratory actions in de- termining powers or rights under arbitra- tion agreements. [4, 5] Under the plain language of the statute, the lower Court has jurisdiction to construe the franchise agreement for the purpose of determining the power or right of the County to enter into arbitra- tion on the matter of rates, and to deter- mine any fact upon which that right or power defended. The sufficiency of the pe- tition for rate increase is patently a fact upon which depended the County's right or power to arbitrate. [6] In order to actuate jurisdiction un- der the declaratory judgment act the com- plaint should allege that there is a bona fide dispute between the parties and that the tnoving party has a justiciable ques- tion'as' to the existence or non - existence of some right; status, immunity, power or privilege, Local No. 234, etc., v. Henley &'Beckwith, Inc., Fla., 66 So.2d 818; Bry- ant v.' Gray, Fla., 70 So.2d 581; Colby v. Colby;' Fla.App., 120 So.2d 797, or as to some fact upon which the existence of such right, status, immunity, power or privilege does or may defend, Bartholf v. Bartholf, Fla.App., 108 So.2d 905; that plaintiff is in doubt as to the right, status, immunity, power or privilege, Ready v. Safeway Rock Co., 157 Fla. 27, 24 So.2d $08, Colby v. Colby, supra; and that there is a bona fide, actual, present need for the declaration, May v. Holley, Fla., 59 So.2d 636. Although the second amended com- plaint is not a model of pleading, it meets these requirements. [7] While the granting of declaratory relief lies within the discretion of the Court, and is not a matter of right, North Shore Bank v. Town of Surfside, Fla., 72 So.2d 659, the discretion is not to be ex- ercised in connection with a motion to dismiss a complaint which is sufficient to invoke the Court's jurisdiction, Morecroft v. Taylor, 225 App.Div. 562, 234 N.Y.S. 2; Price v. Rowell, 121 Vt. 393, 159 A. 2d 622 (Vt.) ; Wooldridge Mfg. Co. v. R. G. La Tourneau, Inc.; D.C., 79 F.Supp. 908, but is to be exercised when the evi- deg cla ve to an m m cc 1 f the ction for :r or ara- eter - t or pe- fact -ight un- :om- bona that nes- ence r or nlcy 3 ry- y v. s to of or f v. that .tus, v. 3.2d ere the ).2d Dm- eets ory the )rth 72 ex- to to .o ft S. A. R. pp. :vi- McCULLERS v. STATE Cite as, Fla., 143 So.2d 909 dence is before the Court, 26 C.J.S. De- claratory Judgments § 11, p. 73. BtM, The judgment of the lower Colt, versed with directions to deny thelmoti'n to dismiss the second amended complaint, and to take, such further proceedings as may be necessary to decide this case on its merits, 2. Criminal Law «1159(1) 4, s tthying court will not substitute its t for that of jury on questions of ALLEN, Acting C. J., and SMITH, concur. Lois Mary McCULLERS, Appellant, v. STATE of Florida, Appellee. No. D -123. District Court of Appeal of Florida. First District. July 3, 1962. Rehearing Denied Sept. 20, 1962. Homicide prosecution. The Circuit Court, Clay County, Frank H. Elmore, J., rendered judgment of conviction of man- slaughter, and defendant appealed. The District Court of Appeal, held that admis- sion of testimony by state's expert as to defendant's sanity at time of alleged crime was error, where testimony was based in substantial part upon extrajudicial and un- disclosed statements made to expert by third persons concerning defendant's ac- tions shortly prior to and immediately fol- lowing event. Reversed and remanded for new trial; petition for rehearing denied. 1. Homicide 0250 Evidence sustained conviction for man- slaughter. ... Ctt r, 3, Criminal Law 01174(1) That arrangements were made, without defendant's objection, for sheriff and his deputies to attend to personal needs of sequestered jurors was not prejudicial error as tending to place sheriff and his office in complimentary position. Fla. 909 4. Jury € 83(I) Record disclosed that juror had been qualified to serve in homicide prosecution. 5. Jury 097(4), 103(6) .Test of qualification of juror in crim- inal case is not whether he will yield his opinion, bias or prejudice to evidence, but whether he is able to put any such opinion, bias or prejudice completely out of his mind and base his verdict only upon evidence. 6. Criminal Law ■518(1) Voluntary confession not given as in- cident to any legal proceeding was admis- sible although coroner and committing mag- istrate, who was present, did not warn defendant of her constitutional rights. F. S.A. §§ 901.23, 902.01. 7. Criminal Law €1036(1) Where no objection is interposed to testimony, it is regarded as having been received by consent and its admissibility will not be considered on appeal. 8. Criminal Law 0695(2) Failure to interpose specific objections to questions posed to state's expert was not implied consent to admission of his testimony, where objection directed to ab- sence of proper predicate was made before opinion was elicited. 9. Criminal Law 0486 Admission of testimony by state's ex- pert as to defendant's sanity at time of al- ice my int at- dty :ir- ver of itle om of ror not :ute >ro- it )f :d 11 -e e- d. :n e- is a- a- tit ce nt n- or st- fl- x .n- or ty, or on :nt ng lso er- MAY v. HOLLEY Moos 69 So.2d 636 cive, subsequent or supplemental relief in the same action." Laws 1943, c. 21820, Sec. 1. 87.02 Power to Construe, etc. "Any person claiming to be interested or who may be in doubt as to his rights under a deed, will, contract or other ar- ticle, memorandum or instrument in writing or whose rights, status or other equitable or legal relations are affected by a statute, or any regulation made un- der statutory authority, or by municipal f ordinance, contract, deed, will, ran - chise, or other article, memorandum or instrument in writing may have deter- mined any question of construction or validity arising under such statute, reg- ulation, municipal ordinance, contract, deed, will, franchise, or other article, memorandum or instrument in writing, or any part thereof, and obtain a decla- ration of rights, status or other equita- ble or legal relations thereunder." Laws 1943, c. 21820, Sec. 2. [8] Before any proceeding for declara- tory relief should be entertained •t shou11 be clearly made to appear that there is ,, ,Pona fide actual present practical need fo= the declaration; that the declaration shonitj �jeal with a present ascertained or ascei, Yainable state of facts nr present.rontro- yersy as to a state of facts• that some i - coniplaininv party is dependent upon the facts or the law applicable to the fact; that there is some person or persons who bave or reasonahly may have an actin, _present adverse anri antagonistic interest in the subject matter either in fart or law • that the antaonistic and adverse interest are_alLbe.re the court by proper process or class representation and that the relief sought is not merely . the giving. of legal questions propounded from curiosity. These elements are necessary in order to maintain the status of the proceeding as be- ing judicial in nature and therefore within the constitutional powers of the courts. [7] It will be observed that the statute With these requirements niet there is is phrased in very broad language. It au- almost no limit to the number and type of thorizes a declaration of rights upon a cases that may be heard under this statute. bill of complaint (implying a chancery Of course, the court should never lose case) a declaration (implying an action at sight of the right to jury trials in those law) or a petition or other appropriate cases not strictly equitable in nature. pleading. The last two expressions imply It will also be noted that the statute pro - that an action for declaration of rights vides that the Circuit Courts "may" render may be made in a special statutory plead- declaratory decrees. Thus the entertain- ing without the pleader having to determine ment of the proceeding and the granting or whether legal or equitable principles should withholding of relief becomes a matter for apply, or, perhaps in instances where both the exercise of a sound judicial discretion might be involved. in each case. Abuses under the statute may The statute authorizes a declaration of be avoided by the dismissal of those cases "any immunity, power, privilege or right" which do not come clearly within the lirni- or "any fact upon which the existence or tation upon the judicial power above stated. nonexistence of such immunity, power, priv- The fact that the declaration must be ilege or right does or may depend." The against the interest of the complaining par - statute also provides that the declaration ty, and equity may require that costs be may be either affirmative or negative. It charged against him does not destroy the is difficult to find broader words or express right to the declaration. If the standards a broader scope of jurisdiction. Unless we stated above are met the plaintiff is enti- are to deny the power of the Legislature tled to have the existence or nonexistence to enact the statute we must give full of his rights adjudicated. force to its language, subject only to the constitutional limitations upon the func- [9] The case as stated in the complaint tions of the judicial department of govern- before us meets every requirement of the ment. statute and the limitations upon the judicial 640 Fla. powers which the complaint missed with pr Reversed. SEBRING, MATHEWS, 59 SOUTHERN REPORTER, 2c1 SERIES to full faith and credit in courts of Flo in view of fact that husband, by filing tion to vacate, thereby submitted to'; York court question of validity of decree and order of New York court ing such motion was conclusive on question. Civil Practice Act N.Y. § 11 1: 3. Judgment €'818(3), 820 Rule that Supreme Court is not quired to recognize judgment of an•' state where judgment was rendered . court without jurisdiction, or where j merit was obtained by extrinsic frau'► subject to limitation that if court of which rendered judgment has ex litigated jurisdictional questions or of fraud, that determination becomes judicata on those points and is itself, tected by full faith and credit clause, Constitution of United States, and juts tional and fraud questions cannot be, litigated a second time in another state. S.C.A.Const. art. 4, § 1. we have enumerated and should not have been dis- ejudice. C. J., and CIIAPMAN and JJ., concur. HAAS v. HAAS. Supreme Court of Florida, Special Division B. June 17, 1952. Rehearing Denied July 17, 1952. Proceeding by Eva D. Haas against Simon Haas for enforcement of a judgment for past -due alimony entered against respond- ent by a New York Court. A. Smith, Circuit Court, Orange County, J., denied petitioner's motion to strike respond- ent's answer as to certain defenses alleged therein and petitioner brought held that The Supreme Court, Roberts, J., equitable defenses interposed by respondent were entitled to consideration by equity in determining extent n oe which the court equitably should go of foreign judgment. Writ granted in part and denied in part. 1. Divorce ,331 Where wife who was awarded alimony decree in New York in 1948, subsequently obtained judgment in New York in 1950 for past -due alimony, suit instituted by wife in Florida for enforcement of 1950 judg- ment could not be defeated on theory that 1948 decree was subject to modification by New York court and thus was not a final judgment. 4. Divorce C=)331, 332 Equity courts of state are open to resident wives for enforcement by equi processes of final decrees for alimony" wives and support money for chill awarded by courts of other states, equitable relief is also extended to a` band, who through no fault of his finds himself unable to meet alimony, support money demands theretofore pl upon him by court of another state. v1' 2. Divorce 0328 Where husband filed motion in New York to vacate and set aside 1948 New York decree awarding alimony to wife, suit by wife to enforce a 1950 New York judg- ment for past -due alimony could not be de- fended on theory that 1948 decree was void for lack of notice, to that it was not entitled 5. Divorce € 33I A nonresident wife who seeks to force in courts of state a final alimon cree or money judgment based the entered by courts in another state may, ceed in a court of law by a commo' action to secure money judgment fey' linquent alimony, or wife may ask,,, court to exert its equitable remedies ' enforcement of such decree, and if chooses latter forum, she must be pre' to meet any equitable defenses reco: in state in an equitable action to en a domestic decree for alimony. 6. Divorce C=331 In wife's action to enforce New judgment for past -due alimony, equi defenses interposed by husband wer, tied to c eterminin uitably judgr 171 —b. Roe H. ells, Or H. N. I do, for ROBEI We het entered ii tkner ag< Court in in Chancf to, invoke Court for or past - pondent estches rovision ork Cis Motion t was deni Ileged t hich w< The pc tied in 1 of New parties Suit in tl Chester rom bee enance. esponde ch cou f: App( everscd ourt o athirr ch col > ew tri; e deci espond id did 6unsel, ent w� uprem • ounty, •�` as t l ��, 59 i ti SARAH M. BLEAKLCY L. THOMAS GISLIN MARK T. MUSTIAN ROBERT L.NAOORS GEORGE H. NICKERSON, .IR. GREGORY T. STEWART JOHN R. STOKES ART WICOINGCR ••••• -� • visit NABORS, GIBLIN & NICKERSON, P. A. ATTORNEYS AT LAW BARNETT BANK BUILDING, SUITE e00 316 SOUTH CALHOUN STREET TALLAHASSEE, FLORIDA 32301 TELEPHONE (904) 224 -4070 TELECOPY (904) 224 -4073 January 5, 1990 Via Federal Express M. Dale Milita Administrative Assistant Board of County Commissioners 304 N.W. 2nd Street, Room 106 Okeechobee, Florida 34972 Dear Mr. Milita: CIS i/ O.> 4,4, reS��'h LINCOLN POINTE, SUITE 1060 2502 ROCKY POINT DRIVE TAMPA, FLORIDA 33607 (893) 261 -2222 TELECOPY (613) 281 -0129 As you requested, enclosed is our legal analysis of the County's authority to enact a franchise ordinance governing electric, telephone, and other utilities operating within the County. Because of the length of the analysis, I have divided it into the following topics: (1) Nature of a Franchise Ordinance; (2) Non - Charter County Home Rule Authority; (3) Non - Charter County Authority to Enact Franchise Ordinances; and (4) Development and Implementation of a Franchise Ordinance. In summary, the analysis concludes: 1. A county's relationship with a utility may be governed by a franchise ordinance: (a) authorizing the utility to use the ,county rights -of -way in providing a utility service in accordance with county regulation; and (b) imposing a fee for the right -of- way use and to pay the cost of regulation. 2. A non- charter county has the constitutional and statutory authority to enact a franchise ordinance because no law precludes such county legislation. 3. Developing and implementing a franchise ordinance requires: (a) consideration of the functions of the ordinance; (b) fundamental policy decisions concerning competing utilities and utility customers; and (c) resolution of the issue of county authority to enact a franchise ordinance if the utility challenges it. 000561L . •••• M1111. ✓•' M. Dale Milita January 5, 1990 Page 2 We hope this analysis proves useful to the County. If you need fyxjher information, please let us know. RLN /slb Enclosure Very truly yours, Robert L. abors Sarah M. Bleakley 2 000562 ANALYSIS; UTILITY FRANCHISES OF NON- CHARTER COUNTIES I. NATURE OF A FRANCE/SE ORDINANCE Franchise ordinances govern the relationship between a county and a utility. A utility which provides electrical, natural gas, water,'''sewer, cable television, solid waste or other utility services may be the subject of a franchise ordinance. A franchise ordinance confers a special privilege, such as that of providing a utility service, which is not available as a common right.' *- d WComnanv_ 52 So. 718 (Fla. 1910). The franchise ordinance may contain provisions on a variety of subjects, including: the county's relinquishment of its authority to provide the franchised service; the exclusive or non - exclusive nature of the franchise; the specific privileges conferred on the utility, such as use of rights -of -way; the degree of supervision to be provided by the county; the length of the term of the franchise; the area of service granted by the franchise, which may include part or all of the unincorporated area and may include the incorporated area assuming a relinquishment of municipal authority by agreement or law; an indemnity clause protecting the county from acts of the utility in the exercise of the franchise; and a provision addressing transfer of the franchise. A franchise ordinance may provide for a franchise fee. Franchise fees have been described by the Florida Supreme Court as, 1 Whether the franchise ordinance itself confers the privilege to provide the utility service depends on whether the right to serve is the subject of a regulatory law. 1 Anntn A rent payments and consideration for specific property rights. City of Pensacola v. Southern Dell Telephone Co., 37 So. 822 (Fla. 1905); City of Plant City v. Mayo, 337 So.2d 966 (Fla. 1976). Commonly, for example, electrical power franchise agreements require- the electric company to pay an annual fee equal to six percent of gross receipts with credit given for ad valorem taxes and other fees paid to the county. A franchise ordinance may base the fee on the amount of utility service used by the customers in a given time period and cap the fee allocated to each customer in a class. For example, the ordinance may require the utility to pay a percentage of revenues collected from sales of up to, but not more than, a set amount of electric power per month to each residential, commercial and industrial customer. Regardless of the method employed, the fees are collected by the utility and may be added directly to the customers' monthly bill and identified as the county's franchise fee.2 The fees may be collected annually or at a shorter interval. Customarily, the franchise agreement requires that the utility pay the fee to the county in estimated monthly installments with a reconciliation at the end of each year. The amount of revenue generated by a franchise fee depends on the basis and the rate of the fee. The franchise agreement may also provide for periodic audits of the utility to ensure proper collection of the fee. 2 Often the fee is identified on the bill as a "franchise tax" which is a technical misnomer. See discussion of distinction between a franchise fee and a tax in Section IV.F on page 20. 2 000564 1 Presently, several non - charter counties throughout the State are collecting franchise fees or are attempts g to impose franchise fees on electric utilities operating within their unincorporated areas. Among these are Brevard, Charlotte, Escambia, Santa Rosa .r . and Leon Counties. Brevard County and Charlotte County have special acts authorizing utility franchises which were adopted during the late 1970's. Leon, Santa Rosa and Escambia Counties are presently negotiating franchise fees or collecting franchise fees with the consent of the electric utility operating within the County. II. NON- CHARTER COUNTY HOME RULE AUTHORITY A. Constitutional and Statutory Provisions. The Florida Constitution authorizes the Legislature to grant the power of self - government to non - charter counties by general or special law and authorizes non - charter counties to enact ordinances which are not inconsistent with general or special law. Section 1(f), Article VIII, Florida Constitution, provides: (f) NON - CHARTER GOVERNMENT. Counties not operating under county charters shall have such power of self - government as is provided by general or special law. The board of county commissioners of a county not operating under a charter may enact, in a manner prescribed-by general law, county ordinances not inconsistent with general or special law, but an ordinance in conflict with a municipal ordinance shall not be effective within the municipality to the extent of such conflict. While a charter county derives power from its charter and the Florida Constitution, a non - charter county has "such power of self- 3 000565 i *re government at, is provided by general or special law." There could not be a broader grant of the power of self- government to non - charter counties than that granted in Section 125.01, Florida Statutes. Section 125.01(1) provides: (1) The legislative and governing body of a county shall have the power to carry on county governmentTo the extent not inconsistent with general or special law, this power includes, but is not restricted to, the power to• Following this provision is an enumeration of specific powers. By the terms of the statute, such enumeration is not all inclusive. Instead, Section 125.01(1) specifically provides that a county's power includes, but is not limited to, those listed. Among the enumerated powers are the following relevant to the power to adopt a franchise ordinance: (h) Establish, coordinate, and enforce zoning and such business regulations as are necessary for the protection of the public. * * * • (k) Provide and regulate waste and sewage collection and disposal, water supply, and conservation programs. * * * (m) Provide and regulate arterial, toll, and other roads, bridges, tunnels, and related facilities;.eliminate grade crossings; provide and regulate parking facilities; and develop and enforce plans for the control of traffic and parking. * * * (t) Adopt ordinances and resolutions necessary for the exercise of its powers . . 4 000566 * * * (w) Perform any other acts not inconsistent with law, which acts are in the common interest of the people of the county, and exercise all powers and privileges not specifically prohibited by law. Section 125.01(3) reiterates that the grant of power is not restricted to those enumerated and that the Legislature intended Section 125.01 to implement all the powers of self government authorized by the Constitution. Section 125.01(3) provides: (3)(a) The enumeration of powers herein shall not be deemed exclusive or restrictive, but shall be deemed to incorporate all implied powers necessary or incident to carrying out such powers enumerated, including, specifically, authority to employ personnel, expend funds, enter into contractual obligations, and purchase or lease and sell or exchange real or personal property. (b) The provisions of this section shall be liberally construed in order to effectively carry out the purpose of this section and to secure for the counties the broad exercise of home rule powers authorized by the State Constitution. B. Supreme Court Opinions. The authority of a non - charter county to proceed under its home rule power of self - government is well established. The supreme Court has explored the scope of home rule authority in three leading opinions: State of Florida v. Orange County, 281 So.2d 310 (Fla. 1973); Speer v. Olson, 367 So.2d 207 (Fla. 1979) ;• and Taylor v. Lee County, 498 So.2d 424 (Fla. 1986). In all three opinions, the Supreme Court recognized the expansive home rule powers conferred by Section 1(f), Article VIII, and Section 125.01 5 000567 i and concluded that non - charter counties need no specific statutory authority to enact ordinances. Non - charter counties have the home rule authority to enact ordinances for any county purpose, the Supreme Court has held, as long as the ordinances are not inconsistent with general or special law. In Orange County, the Supreme Court considered the home rule power of the county to issue revenue bonds backed by its share of parimutuel funds collected by the State. There was no general or special law specifically permitting the pledge of parimutuel funds and prior to the enactment of Section 125.01, Florida Statutes, it had been common practice for counties to seek special act authorization for such borrowing. Included in the Section 125.01(1) list of county enumerated powers was the authority to issue bonds, revenue certificates and other obligations of indebtedness provided by Section 125.01(1)(r). The Supreme Court noted that: There is little need for Section 125.01(1)(r) if a county still has to go to the Legislature to get special enabling legislation each time it wishes to issue bonds. (at page 311) The Court further noted at page 312: Instead of going to the Legislature to get a special bill passed authorizing such building fund revenue bonds, the Orange County Commissioners under the authority of the 1968 Constitution and enabling statutes now may pass an ordinance for such purpose, as they did in this case, because there is nothing inconsistent thereto in general or special law. . . . The object of Article VIII of the 1968 Constitution was to do away with the local bill evil to this extent. 6 000563 '4w In addressing whether Orange County had the authority to issue the bonds in question under Section 125.01, Florida Statutes, the Court stated: • Since Section 125.01(1)(r) • • • delegated to Orange County the specific power to issue bonds and revenue certificates, it had the power to adopt its implementing eing ordinance in this instance. (at page The unquestioned object of Section 1(f), Article VIII, is to authorize a 'board of county commissioners of a county o aperatinr in uunder a charter [to] enact, prescribed by general luoryspecialnlaw, not inconsistent with general • • • ' (at page 312) In Speer v. Olson, the Supreme Court reviewed a Pasco.,County ordinance which created a municipal service taxing unit and sought to issue general obligation bonds solely under the authority of Section 125.01. There was no general or special law specifically authorizing or restricting the county's authority to issue the bonds. The Surireme Court held that no specific authority by general or special law was needed because the county could rely on its home rule authority provided in Section 125.01. In recognizing a non - charter county's authority to proceed under Section 125.01, the Court stated at page 211: The first sentence of Section is 25.01(1), Florida Statutes, (1975), g power to governing 'body of a county the full p carry on county government. Unless the Legislature has pre - empted a particular subject relating to county government by either general or special law, the county governing body, by reason of this sentence, has full a rule acT�te through the statutes of home r power. 7 000569 cr+J t V general or special, which either specifically authorizes or restricts Pasco County with respect to the issuance of general obligation bonds to acquire sewage and water systems and to pledge for their payment the net revenues to be derived from the operation of such facilities and ad valorem taxes levied within the area of the Unit. The first sentence of Section 125.01(1), Florida Statutes (1975), therefore, empowers the county board to proceed under its home rule power to accomplish this purpose. In Taylor v. Lee County, 498 So.2d 424 (Fla. 1986), the Supreme Court addressed two issues on the scope of non - charter county authority to enact ordinances pursuant to its home rule authority. The first was whether the county's power to provide and regulate included the power to charge a fee. The county had adopted an ordinance imposing a toll on an existing bridge to finance a new bridge. No statute expressly authorized the county to impose a toll, but Section 125.01(m) authorized counties to provide and regulate toll roads. The Supreme Court noted that the county's home rule authority provided in "Subsection 125.01(3)(a) incorporates 'all implied powers necessary or incident to carrying out such' enumerated powers." At page 425. Concluding that the power to set tolls is inherent in the power to provide and regulate toll roads, the Court approved the ordinance. The second home rule issue raised in Lee County was a non - charter county's authority to adopt an ordinance under its Section 125.01 home rule, power instead of adopting it under authority provided in another chapter. The county sought to issue bonds to finance the new bridge pursuant to its home rule authority. 8 000570 Plaintiff Taylor argued that since Chapter 159 specifically authorized the county to issue bonds, the county ordinance must rely on and conform to Chapter 159. The Court noted that Chapter 159 by its express terms provided supplemental and additional authority to that conferred by other laws. The Court said that Chapter 125 provided the county ample authority to issue the bonds and held that in areas in which a non - charter county has the authority to act, it may choose between adopting an ordinance pursuant to its home rule power or adopting it pursuant to another P c.,opr V . O so , statutory authority. See the discussion in .- beginning on page 212, for a similar holding. As these three cases illustrate, the quantum of home rule ower possessed by non - charter counties is expansive and complete P owers within the parameters of the Florida Constitution. The p A non - charter enumerated in Section 125.01 are not exhaustive• county's authority includes those implied in or incidental 0 non-charter to carrying out the enumerated power. Furthermore, a non - charter county may rely on its home rule authority in enacting an ordinance instead of another statutory authority if it so chooses. In determining the home rule power of a county to act for a county purpose, the search is no longer for specific legislative authorization. The search is for a general or special law that is inconsistent with the subject matter of the proposed, ordinance. Absent an inconsistent law, a county has the complete power to legislate for any county purpose. 9 000571 C. Court Opinions Applying the Definition of "Inconsistent" In Orange County, the Supreme Court defined inconsistent as contradictory in the sense of legislative provisions which cannot coexist. The courts have applied this definition to numerous statutes'and ordinances, distinguishing between statutes mandating county action, statutes authorizing county action, statutes granting rights and statutes regulating activity. Applying the definition to a statute mandating certain county action, the Supreme Court has determined that an ordinance deviating from the statute was inconsistent with the statute. For example, in Board of County Commissioners of Dade County v. Wilson, 386 So.2d 556 (Fla. 1980) the Supreme Court considered an ordinance requiring ad valorem millage to be set by referendum. The Court noted that Section 200.091, Florida Statutes, stated that the Board of County Commissioners "shall" set the millage. The statute was mandatory and the Court ruled that the ordinance allowing the millage to be set by the electorate was inconsistent with the statute. As opposed to statutes mandating county action, the Supreme Court has held that statutes authorizing county action do not conflict with ordinances on the same subject. In Orange County, the Court faced an ordinance which pledged parimutuel revenues without voter approval. The parimutuel statute was silent on the power of the county to issue bonds or incur debt with parimutuel funds. Another statute required a referendum on bonds payable from ad valorem taxes but was silent on requiring voter approval for • 10 000572 other bonds. The bond ordinance was held not to be inconsistent with either statute. In comparing an ordinance with a statute granting rights, the courts have determined that an ordinance is inconsistent with the statute if the ordinance curtails the statutory right. For example, in Scavella v. Fernandez, 371 So.2d 535 (Fla. 3d DCA 1979) the court reviewed a Dade County ordinance which provided a shorter time period for filing suit against the county than provided by statute. The court held that the ordinance conflicted with the statute and was therefore invalid. The court said that "What the legislature hath granted, the [county] commission may not take away - -even in part." Scavella at page 537. In determining whether ordinances conflict with regulatory statutes, the courts have ruled that both may regulate the same activity as long as compliance with the ordinance does not require a violation of the statute or render compliance with the statute impossible. In 'Jordan Chapel Freewill Baptist Church v. Dade County, 334 So.2d 661 (Fla. 3d DCA 1976) , the court held that a bingo ordinance which required extensive record keeping and public disclosure of prizes and other information did not conflict with a statute which excluded from the gambling statute bingo games conducted by non - profit corporations and other groups if certain conditions were met. The Court said there was no conflict because the bingo statute provided minimum regulations and contained no language prohibiting additional, stricter regulations by local governments. However, where a statute provides rights along with 11 000572 regulations and the ordinance restricts the rights to the extent that compliance with both would "hopelessly entangle . . . [a citizen in the] web of government," the ordinance and the statute conflict and the ordinance is invalid. See City of Miami Beach v. Rocio Corp., 404 So.2d 1066 (Fla. 3d DCA 1981) holding that the statutory regulation of conversion of fee simple property to condominium ownership conflicted with the city ordinance which provided stricter limitations on the right to convert and mandated additional notice and time to apartment dwellers and to city authorities prior to conversion than required by the statute. As these cases illustrate, in determining whether a' statute conflicts with an ordinance it is important to consider the nature of the statute. If the statute mandates county action and the ordinance does not follow the statute, the ordinance is inconsistent. Similarly, if the statute grants rights and the ordinance curtails them, the ordinance is inconsistent. If, • however, both the statute and the ordinance regulate an activity, the two are not inconsistent unless compliance with one requires violation of the other. 12 000571 III. NON- CHARTER COUNTY AUTHORITY TO ENACT FRANCHISE ORDINANCES A. ome ule .. we ov _•e• •i d Statutes. Specific authority to enact a franchise ordinance is not listed Among the enumerated county home rule powers in Section 125.01, Florida Statutes. But the enumerated powers do include (1) the power to regulate businesses (125.01(1)(h)]; (2) the power to provide and regulate roads and related facilities [125.01(1)(m)]; (3) the power to enter into contractual obligations (125.01(3)(a)); and (4) the power to lease and sell property [125.01(3)(a)]. From these enumerated powers, plus the legislative statement of liberal construction, a non - charter county has the authority to enter into a contract with a utility or to adopt a franchise ordinance governing a utility, regulating roads and rights -of -way and granting the use of public property. As the Supreme Court held in Orange County, a county may rely on its enumerated powers as well as its implied powers to fully carry on local government. In adopting a franchise ordinance governing electric, natural gas, cable television, water, sewer, solid waste or other utilities, a county may rely on the enumerated powers to regulate roads and businesses and to contract, lease and sell property, as well as the implied powers of Section 125.01. The Attorney General has twice opined that non- charter, counties have the home rule authority to grant franchises. In 1971, the Attorney General said that non - charter counties have the home rule authority to grant exclusive franchises for water, sewer and 13 000575 1 garbage collection services. AGO 071 -54 (April 1, 1971). The Attorney General relied on the county home rule authority granted by the Legislature in Section 125.65, the statute which preceded the adoption of Section 125.01, Florida Statutes. Section 125.65, Florida Statutes, (1971 Supp.) provided the following: (1) In accordance with the provisions of Section 1, Art.VIII of the state constitution, counties shall have all powers of local self - government, including governmental, corporate and proprietary powers, to enable them to conduct county government, perform county functions, and render county services, and may exercise any such power for county purposes, not inconsistent with general or special law. • (3) The provisions of this section shall be construed as to secure for the counties the broad exercise of home rule powers granted by the constitution. This grant of authority is as broad as currently provided in Section 125.01, Florida Statutes. The Attorney General said that in the absence of a statutory prohibition, a non - charter county has the home rule power to grant franchises. A similar result was reached by the Florida Attorney General in a 1973 opinion which said that a non - charter county may grant an exclusive franchise for garbage collection because there is no against it. AGO 073 -58 (March 13, 1973). B. Statutory Authority to License Utilities. The statutory authority for counties to grant a license statutory prohibition to utilities does not preclude a county from adopting a franchise ordinance. Section 125.42, Florida Statutes, authorizes counties 14 000576 i • to grant licenses to utilities for use of the county rights -of -way. In pertinent part, this section provides: (1) The board of county commissioners, with respect to property located without the corporate limits of any municipality, is authorized to grant a license to any person or private corporation to construct, maintain, repair, operate, and remove lines for the transmission of water, sewage gas, power, telephone, other public utilities, and television under, on, over, across and along any county highway or any public road or highway acquired by the county br public by purchase gift, devise, dedication, or prescription. . . . (4) This law is intended to provide an additional method for the granting of licenses and shall not be construed to repeal any law now in effect relating to the same subject. The Attorney General has opined that Section 125.42 does not authorize a county to impose an annual charge for the use of county right -of -way. AGO 076 -14 (January 23, 1976). But the opinion relies on a case which predates the 1968 adoption of Section 1(f), Article VIII of the Florida Constitution and the implementing provisions of Section 125.01, Florida Statutes. Because of this misplaced reliance, the reasoning of AGO 076 -14 conflicts with the decisions in State of Florida v. Orange County, Speer v. Olson and Taylor v. Lee County. When viewed in light of such decisions, Section 125.42 is not a limitation on the power of a county to impose a franchise fee or charge for the use of the right -of -way. Section 125.42 was adopted in 1947, a time in which counties did not have home rule power and were subdivisions of the State 15 000577 1 requiring specific legislative authority for their actions. See, Chapter 23850, Laws of Florida (1947). The power of non - charter counties is now broad and encompasses all the authority to carry on local government not inconsistent with general or special law. A••- properly drawn county franchise ordinance is not inconsistent with Section 125.42. This section authorizes counties to grant licenses for cable television, water, sewage, gas, power, and telephone lines for the use of rights =of -way. Unlike the statute requiring millage to be set in a specific manner as considered in the Wilson case, Section 125.42 does not mandate particular county action. The statute in Wilson used the term "shall ". Section 125.42 states that the county "is authorized ". Moreover, Section 125.42 by its terms does not provide exclusive authority to regulate utilities nor preclude the adoption of reasonable regulations on right -of -way use and the imposition of reasonable rental fees. The statute states it is supplemental to other authority granted by law. In addition, other statutes provide for county regulation of rights -of -way and utility line placement. See Sections 125.01(h) and 337.01, Florida Statutes. • This statutory authority to license utility use of right -of -way is one alternative source of power for the county. As the Supreme Court said in the Lee County and Orange County cases, a specific statutory authority may be rejected by a county which may elect to proceed under its home rule authority. 16 000578 C. e t _ ,. Utility Lines in Addition to Section 125.01. Chapter 337, Florida Statutes, authorizes local governments to regulate the placement of utility lines. Subsection 337.401(1) provide$;: (L)ocal government entities . . .that have jurisdiction and control of public roads are authorized to prescribe and enforce reasonable rules or regulations with reference to the placing and maintaining, along, across, or on any road under their respective jurisdictions any electric transmission, telephone, or telegraph lines, pole lines, poles, railways, ditches, sewers, water, heat, or gas mains, pipelines, fences, gasoline tanks and pumps, or other structures • • • • Subsection (2) authorizes local governments, including cdunties, to grant the use of a right -of -way for the utility in accordance with such rules or regulations as the local government may adopt. It also prohibits a utility from installing or moving lines without a written permit of the local government. Section 337.402 requires the utility to repair any damage caused by the utility and limits a municipal franchise fee on telephone companies to one percent of gross receipts on recurring local charges. A franchise ordinance is not inconsistent with the Chapter 337 authority to regulate the placement of lines. Unlike the millage statute under review in the Wilson case, Chapter 337 does not expressly limit the county's authority in the area of placement . of lines to that specifically provided in the statute. Nor does Chapter 337 specifically state that it provides the exclusive authority to regulate the placement of utility lines or it 17 000579 1 prohibits the imposition of a reasonable fee for rental and to pay the cost of regulation. The Legislature recognized that utilities would not be governed solely by this statute because the statute itself recognizes and limits municipal franchise ordinances. This section Is not inconsistent with a franchise ordinance. Based on the Supreme Court's rationale in Lee County and Orange County, a county may rely either on Chapter 337 or its Section 125.01 home rule powers to regulate line placement. Pursuant to either authority, the adoption of a franchise ordinance may include regulation of line placement. D. Statutory Authority Regarding Telephone Companies. Section 362.01, Florida Statutes, provides that telegraph and telephone companies may use public road right -of -way. That section provides: Any telegraph or telephone company chartered by this or another state, or any individual operating or desiring to operate a telegraph or telephone line, or lines, in this state, may erect posts, wires and other fixtures for telegraph or telephone purposes on or beside any public road or highway; provided, however, that the same shall not be set so as to obstruct or interfere with the common uses of said roads or highways. Permission to occupy the streets of an incorporated city or town must first be obtained from the city or town council. A county franchise ordinance governing telephone utilities is not inconsistent with this section. Section 362.01 does not expressly limit county authority to enact a franchise ordinance although it grants a right to telephone companies to use the right -of -way. Unlike the statutory grant of time for bringing suit against the 18 000580 county discussed in sca_, this section imposes limits on the rights granted by the statute and implies that local governments may further limit them. The statute provides that the telephone company authority is limited to the extent that it may not obstruct the common uses of the right -of -way. This limitation along with the fact that other statutes authorize county regulation of telephone company line placement indicates that a franchise ordinance is not inconsistent with the statute. E. Franchise Agreements and _public Service Commission Regulation. Utility regulation by the Florida Public Service Commission ( "PSC ") is not inconsistent with a franchise ordinance governing a utility. Under Florida law, the PSC regulates service availability and rates of some water and sewer utilities, electric utilities and telephone utilities. In 1971, the Attorney General issued an opinion implying that county relinquishment to the Psc of its authority to regulate water and sewer rates preempted county authority to grant a water and sewer franchise. AGO 071 -54 (April 1, 1971). However, the courts have made it clear that a county franchise agreement can coexist with PSC regulation of utilities. For example, in County of Lee v. Lehigh Utilities, Inc., 307 So. 2d 496 (Fla. 2d DCA 1975) , the Court held that the county's relinquishment of authority to regulate water and sewer rates to the PSC did not necessarily void a franchise agreement with a water or sewer utility requiring the payment of a franchise fee equal to six percent of its gross receipts to the county. The 19 lwrt ruled that the franchise fee may be lawful, provided that 4 the county continued to provide benefits to the utility such as the use of right -of -way or other assistance as envisioned by the original agreement. F.-47`'iranchise Fees Compared to Taxes. Municipalities in Florida are authorized to impose utility taxes pursuant to Section 166.231, Florida Statutes. Some charter counties may also impose the utility tax. -See, State ex rel. Volusia County v. Dickinson, 269 So.2d 9 (Fla. 1972), in which the Supreme Court upheld the utility tax of Volusia County, a charter county. Non - charter counties are not granted that authority under the statutory construction in the Volusia County case. In 1971, the Attorney General opined that a non - charter county had no authority to impose a utility tax on private and municipal corporations providing utility services in the unincorporated area. AGO 071 -54 (April 1, 1971). The Attorney General noted that counties had no .statutory authority to impose a utility tax. Relying on Article VII, Section 9(a) of the Florida Constitution, which limits county taxation authority to the ad valorem tax and to such other taxes as are authorized by general law, the Attorney General opined that a non - charter county had no general law authority to impose a utility tax. A franchise fee is not a tax governed by Article VII, Section 9(a) of the Florida Constitution. The Supreme Court addressed the issue of franchise fees versus taxes in City of Plant City v. Mayo, 337 So.2d 966 (Fla. 1976). A question was raised as to the 20 000582 r eatment of franchise fees in the electric company rate base. The 7 municipality and the utility had negotiated a fee equal to six percent of the gross receipts collected by the company within the municipality An return for use of the municipal rights -of -way. The �J1 Supreme-Court ruled that the franchise fees were not taxes, rather "they are bargained for in exchange for specific property rights relinquished by the cities ". The Attorney General reached the same conclusion in a 1976 opinion wherein he said that a community college is not exempt from the payment of a natural gas utility franchise fee even though it would be exempt from a utility tax. AGO 077 -94 (September 13, 1977). IV. DEVELOPMENT AND IMPLEMENTATION OF A FRANCHISE ORDINANCE The preferable approach to secure a franchise agreement with a particular utility is to enter good faith negotiations to set the terms and conditions of the franchise agreement and the degree and manner of county regulation. If the utility refuses to negotiate or questions the'County's authority to grant a franchise, the County can enact an ordinance setting the terms and conditions of the franchise and require its execution by a date certain as a condition of utilizing the County's rights -of -way and as a means of regulating the placement of utility lines. If the utility persists in questioning the authority of the County to :require a franchise as a condition of the use of county rights -of -way and as a regulatory vehicle of utility line placement, and other utility regulation, a declaratory action can be filed in court to resolve the dispute over the County's authority. 21 000583 A. Resolving the Issue of County Authority to Enter Into Franchise Agreements. A declaratory judgment as provided in the Declaratory Judgment Act, Chapter 86, Florida Statutes, affords relief from insecurity and ungertainty with respect to rights, status and other equitable or legal relations. To trigger jurisdiction under the Declaratory Judgment Act, the moving party must show that he is in doubt as to the existence or nonexistence of some rights or status, and that he is entitled to have such doubt removed. ")Celner v. Woody, 399 So.2d 35 (Fla. 3rd DCA 1981). It is within the court's discretion to allow a declaratory action. The court may not allow the action if the plaintiff is merely seeking legal advice about the correct legal path to take. gelner at page 38; Village of Virginia Gardens v. City of Miami Springs, 171 So.2d 199 (Fla. 3d DCA 1965). In East Naples Water $vstems. Inc. v. Board of County Commissioners of Collier County, 457 So.2d 1057 (Fla. 2nd DCA 1984), the Court ruled that a utility company uncertain about the applicability of a newly adopted franchise ordinance may question the validity of the ordinance by filing a declaratory action. A water /sewer utility brought an action for declaratory relief concerning the validity of a county ordinance relating to the regulation of water and sewage systems. The utility, the court held, was entitled to proceed if the action would determine whether it was subject to the jurisdiction of the County. A utility may challenge the validity of a franchise ordinance by filing a declaratory action. 22 000584 J Should the County file a declaratory action, the County could ,:ate that it adopted an ordinance providing for certain regulation of utilities including the payment of a fee and ask the court to determine whether it had the home rule authority to enforce the r ud ordinance. In a declaratory judgment action, the fact that the j g interpretation of the court might be adverse to the plaintiff does not preclude the right to declaratory relief. Because the County could state that it was uncertain as to its authority pursuant to the Florida Constitution and the statutes to adopt a franchise ordinance which includes a fee, it could allege the uncertainty element required of declaratory actions. Declaratory actions are discretionary and courts are not required to entertain 'them. Although the court may refuse to entertain the County's action, public policy considerations should persuade the court to resolve the issue. B. Developina a Franchise Ordinance,. A franchise ordinance governs a utility's authority to operate within the county as well as the county's responsibility to the utility. The ordinance establishes the utility's authority to 'provide utility services in the county and its authority to use the county right -of -way. To protect the county from utility actions, the ordinance may require the utility to be responsible for damage caused to the right -of -way or elsewhere. The ordinance may prescribe county supervision over the placement, and maintenance of utility lines. A franchise fee for the grant of the franchise may be required. The effect of a sale of the utility on the franchise 23 000585 should also be addressed. The ordinance should have an expiration date so that its provisions may be revised as the community and the utility changes. Most franchises also include a franchise fee. The basis and rate of the fee must be carefully considered because the fees are the obligation of the utility to the local government, but may be added directly to the customers' monthly bill and identified as the County's franchise fee. The county must also decide on the frequency of collection of the fee and performance of audit. C. Competition and Franchise Ordinances. Special consideration should be made in drafting a franchise ordinance for utilities which have competition. An electric utility may compete with a natural gas utility in providing power for heating. Both use county right -of -way and a franchise ordinance may address both types of utilities. But not all competing utilities use rights -of -way. A local telephone company uses county right -of -way for their lines to provide local and long distance service. The local company competes with telecommunication companies which do not directly use the county right -of -way. The Legislature has recognized the possible competitive disadvantage associated with municipal franchise fees on telephone companies and limited them to one percent of gross receipts for recurring local charges, with credit required for all other municipal fees and taxes, including ad valorem taxes. See, Section 337.401(3), Florida Statutes. 24 January 5, 1990 000586 OKEECHOBEE BEACH WATER ASSOCIATION, INC. October 11, 1993 8840 HIGHWAY 78, W. OKEECHOBEE, FL. 34974 -97.87 NOTICE TO: The Membership of Okeechob.ee?Beach Water Association, Inc. As you know :,,the Board of Di r•ectore,,has decided to build a 1.5 million ga11on pert day water': ytreatment plant rather than seek another bulk sale contract wi tli" the. City of Okeechobee. it_ i l r ,..•J;o• ,,1,•�S ,• Okeechobee County Commissioners and Glades County Commissioners have approved a; Franchise Ordinance granting a service area to Okeechobee Beach Water Association (OBWA). Each county ordinance requires OBWA :to pay a l six,i,(6%) ;.percent, Franchise Fee to the , county. The Countires wil„1, hold ' the f r.anch,ise ,fees in a separate fund and will expend the funds to, 'dev,e1op or assist OBWA in the development of the water ortsewer,syst,em, },or both, in the service area. OBWA Board of Directors has found it;necessary to increase the monthly water bill to pay, for the franchise;fee required by each county. The County Franchise Fee will be added: as a separate line on each monthly water bill.' , The added fee will be 51.00 per meter per month at this time. • OBWA Board of. Directors has;, also found it necessary to increase the fee to transfer' the membership from,one property owner to another. Because the_ water sys,tem,can only ,consider property owners as members, it'is necessary, to transfer the membership anytime a property changes- owner hip.' r The:- Mikrrenitian'sf er fee is $3.00. The Directors are recommending an increase to $5.00 for the first notice to transfer,,$10.00 for the second notice.to transfer and $20.00 for the'third and final; notice,to transfer the membership to the'new property owner. The water•rservice will be turned off if the transfer is not completed 'Within fifteen (15) days after the third notice is mailed to the new :property owner. Additional fees will be added if the water service is turned off for nonpayment of a regular water' bill or nonpayment`of'transfer fee and completion of Service Agreement. As required in the County Franchise Ordinances, the Board of Directors will holda PUBLIC HEARING on NOVEMBER 9, 1993, at 7:00 P.M. The public hearing will'be° held at the OBWA office to allow all interested persons an opportunity to speak concerning the proposed changes in the monthly water bill and other charges by the Association. The Franchise Ordinances adopted by Okeechobee and Glades Counties provide procedures for filing complaints concerning the OBWA system. Written complaints.; received by this office are investigated, and necessary,,;• action ,<:, taken. We will record verbal complaints4riontl;acomplaint form \at the `office and proper action taken by OBWA. `±Please`call (813)1.763 -3793 if you have a complaint or mail written complaints to the office at 8840 Highway 78 West. * ** MORE ON THE BACK * ** The Membership of Okeechobee Beach Water Association, Inc. October 11, 1993 ; � y, •I ' /0:11 .Y �.�r b.z G. Page 2 H1 Ir The current water rates and charges of this Association are as follows: Water Rate - Residential Service Monthly minimum $8.00 Includes 3,000 gallons /of water $3.00 charge per 1,000 gallons over 3,000 gallons Water Rate - Commerciale Service;,, Monthly minimum i"418:00 , ,,,,�„ �, ,;� ,, ¢�a:,i l Includes 5,000 gallons of water $3.00 charge per 1,000 gallons over 5,000 gallons Miscellaneous Charges Meter testing at customer's,request Turn water on after delinquent charges are paid Turn water on at customer's request' Turn water off at customer's 'request' Return of check by bank (Fee established by Florida Law) Fee to transfer membership 1 Late Charge added if payment not received in office on or before the 10th of the month. Actual cost $10.00 $10.00 $10.00 $20.00 $ 3.00 10% The Rules and Regulations, Section 10,, requires a cut off valve on the customer's side of the'met�er2, box'`and., within twelve inches of ...pis 1:., •: � '{ the meter box. If you have a valve within twelve inches of the meter, thank you. If you do''not have a cutoff valve,•wi,thin twelve inches of the-meter- box, - please ;- instal �., , a valve as soon as 4 .1 .1 .1. i I ,,. t r t o 4, 4'r a• possible. ,,1>fatr= rllr.,, , ,,� y Ito ,• , If the angle valve inside;the meter box;; i is damaged.by! the customer, there will be a charge to;'the customer of the actual cost for replacement of the angle }valve. This''v`alve is to be used by OBWA employees only. 4 ,,i !� Copies of the Rules and Regulations were mailed to each customer on July 29, 1992. If 'you`tdid not receive a copy, please pick up a copy at the office. The Board of Directors wish to thank you for „your,support of this Association during : the pastyears and1 theyears to come. Yours Truly, , pY.0 -A92 L. C. Fortner, Superintendent LCF /pdv 9 't".�01 Fca1��;Ijr`s is , i t ! ..... real. !E, 'WO DRAFT 4/14/93 007.00 OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WATER ASSOCIATION, INC. WATER AND SEWER FRANCHISE ORDINANCE ADOPTED APRIL, 1993 TABLE OF CONTENTS ELK 344 P cE1129 PAGE SECTION 1.01. SECTION 1.02. SECTION 1.03. SECTION 2.01. SECTION 2.02. SECTION 2.03. SECTION 2.04. SECTION 2.05. SECTION 2.06. SECTION 2.07. SECTION 2.08. SECTION 2.09. SECTION 2.10. SECTION SECTION SECTION SECTION SECTION SECTION SECTION SECTION SECTION SECTION SECTION 3.01. 3.02. 3.03. 3.04. 3.05. 3.06. 3.07. 3.08. 3.09. 3.10. 3.11. SECTION 3.12. SECTION 3.13. ARTICLE I INTRODUCTION DEFINITIONS CONSTRUCTION AND INTERPRETATION FINDINGS. ARTICLE II WATER AND SEWER SYSTEM FRANCHISE GRANT OF AUTHORITY WATER SYSTEM USERS SEWER SYSTEM USERS TERM OF FRANCHISE; ORDINANCE CONSTITUTES FRANCHISE AGREEMENT FRANCHISE CONSIDERATION ASSIGNMENT RIGHT TO PURCHASE ASSOCIATION FACILITIES CONSTRUCTION TIMETABLE TERMINATION BREACH ARTICLE III OPERATIONS USE OF RIGHT -OF -WAYS CONSTRUCTION OR INSTALLATION OF FACILITIES SYSTEM MAINTENANCE TRANSITION AND SERVICE AGREEMENTS CONTRIBUTIONS TO BENEFIT USERS RATES, FEES AND CHARGES SYSTEM DEVELOPMENT CHARGES REPORTING REQUIREMENT, BOOKS AND RECORDS . COMPLAINTS PERFORMANCE MONITORING MANDATORY USE OF ASSOCIATION FACILITIES AND SERVICES PLANNING REQUIREMENTS COMPLIANCE WITH OTHER LAWS, ORDINANCES AND REGULATIONS i 1 3 4 8 9 9 9 10 11 11 14 15 16 18 18 19 20 21 21 23 27 28 29 30 30 32 ARTICLE IV GENERAL SECTION 4.01. INDEMNIFICATION SECTION 4.02. CHANGE OF LAW SECTION 4.03. AMENDMENTS AND WAIVERS SECTION 4.04. SEVERABILITY SECTION 4.05. ALTERNATIVE METHOD SECTION 4.06. EFFECTIVE DATE APPENDIX A FORM OF ACCEPTANCE APPENDIX B SERVICE AREA 11 % 344 P4rE1131 ORDINANCE NO. 93- 5 AN ORDINANCE GRANTING A NON - EXCLUSIVE FRANCHISE TO OKEECHOBEE BEACH WATER ASSOCIATION, INC., ITS SUCCESSORS AND ASSIGNS, TO OPERATE AND MAINTAIN WATER AND SEWER SYSTEMS IN A PORTION OF THE UNINCORPORATED AREA OF OKEECHOBEE COUNTY; IMPOSING PROVISIONS AND CONDITIONS RELATING THERETO, PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE. NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF COUNTY COMMISSIONERS, OKEECHOBEE COUNTY, FLORIDA: ARTICLE I INTRODUCTION SECTION 1.01. DEFINITIONS. As used in this Ordinance, the following words and terms shall have the following meanings, unless the context clearly otherwise requires: "Association" means the Okeechobee Beach Water Association, Inc., a Florida corporation, its successors and assigns.. "County" means Okeechobee County, Florida. "Franchise Agreement" means the agreement between the County and the Association as provided in this Ordinance and accepted by the Association pursuant to its terms, as amended by the parties. "MGD" is an abbreviation for "million gallons per day." "Service Area" means the lands described in Appendix B attached hereto. "Sewer system" means and includes any plant, system, facility, or property and additions, extensions and improvements thereto at any future time constructed or acquired as part thereof, useful or 1 ■ 6C� '344 P4CE necessary or having the present capacity for future use in connection with the collection, treatment, purification, or disposal of sewage of any nature or originating from any source, including industrial wastes resulting from any processes of industry, manufacture, trade or business or from the development of any natural resources; reclaimed water treatment transmission and distribution facilities; and without limiting the generality of the foregoing definition shall embrace treatment plants, pumping stations, lift stations, valves, force mains, intercepting sewers, laterals, pressure lines, mains, and all necessary appurtenances and equipment, all sewer mains and laterals for the reception and collection of sewage from premises connected therewith, and shall include all real and personal property and any interest therein, rights, easements, and franchises of any nature whatsoever relating to any such system and necessary or convenient for the operation thereof. "System" shall mean any water system or sewer' system, including any reclaimed or irrigation water system, now owned and operated or hereafter owned and operated by the Association, unless the context otherwise requires. "System development charges" means fees and charges imposed to acquire, construct, equip or expand the capacity of the system facilities in excess of that reasonably determined by the Association to be necessary to provide service to current users of the system for the purpose of paying or reimbursing the equitable share of the capital cost relating to such acquisition, 2 rK 344 frE1133 construction, expansion or equipping of excess and unused capacity of the system or expansion thereof in order to serve new users of the facilities of the system and new development within the Service Area. "Water system" means and includes any plant, system, facility, or property and additions, extensions and improvements thereto at any future time constructed or.acquired as part thereof, useful or necessary or having the present capacity for future use in connection with the development of sources, treatment, or purification and distribution of water for domestic or industrial use and, without limiting the generality of the foregoing includes dams, reservoirs, storage tanks, mains, lines, valves, pumping stations, laterals, and pipes for the purpose of carrying water to the premises connected with such system and includes all_real and personal property and any interests therein, rights, easements . an franchises of any nature whatsoever relating to any such system and necessary or convenient for the operation thereof. SECTION 1.02. CONSTRUCTION AND INTERPRETATION. (A) The terms "herein," "hereunder," "hereby," "hereto," "hereof," and any similar terms, shall refer to this Ordinance; the term "heretofore" shall mean before the date of adoption of this Ordinance; and the term "hereafter" shall mean after the date of adoption of this Ordinance. (B) Words importing one gender include every other gender. (C) Words importing the singular number include the plural number, and vice versa. 3 6 :44 F CE 1 13-4 SECTION 1.03. FINDINGS. It is hereby ascertained, determined and declared that: (A) It is in the public interest to ensure that all lands within the Service Area are adequately provided with high quality fresh water service and high quality wastewater service. (B) It is in the public interest to retain control over the use of public and County maintained rights of way by providers of central water and sewer service to ensure against interference with the public convenience, to promote aesthetic considerations, to promote planned and efficient use of limited right of way space, and to protect the public investment of right of way property. (C) It is in the public interest to attract, encourage, protect and nurture high - quality, efficient and cooperative providers of water and sewer service and that this . can be accomplished by protecting the capital investments of private utility companies, associations or cooperatives providing service to members or rate payers who solely own or control such companies, associations or cooperatives. (D) It is in the public interest to ensure that high quality water and sewer service is maintained through a responsive complaint procedure. (E) The provision of central water and sewer services usually takes the form of a natural monopoly which, if not regulated, would have the power to operate without adequate regard for the public interest. 4 L4 3 44 f10E 1135 (F) The granting of the nonexclusive franchise described herein promotes the decisive, cost efficient and environmentally sound provision of water and sewer utility services to the Service Area. (G) The County is desirous of having available to its citizens, visitors and landowners within the Service Area, in return for valuable consideration, certain water and wastewater facilities of sufficient size and capacity to serve the citizens, visitors and landowners within the Service Area at reasonable rates, and constructed in such a manner so that at such time as the County desires to purchase or otherwise acquire said facilities, that prospective purchasers of revenue bonds of the County to be used to obtain the funds to make such purchase or acquisition can be assured that the facilities are adequate and satisfactory and will produce revenues capable of retiring said revenue bonds. (H) The Association has indicated to the County that it is willing and desirous to undertake the installation and "operation of 1.5 MGD water treatment plant and appurtenant facilities to serve the Service Area under a franchise from County. (I) The Association currently controls and operates a .1 MGD water treatment facility and owns and operates an extensive water distribution system serving over 3,200 accounts in the Service Area. (J) The Association is a not for profit corporate entity owned and operated solely by its members for their benefit and was 5 .3 44 ?!tE113f created in 1964 with the acquiescence of the City of Okeechobee and the County to provide water service to the Service Area. (K) The Association has, since 1965, entered into a series of long term agreements with the City of Okeechobee wherein the City of Okeechobee recognized and defined the Association's service area and has been selling bulk water to the Association for the Association's use in providing water service to the Service Area. The current bulk commodity agreement was entered into in 1985, terminates on October 1, 1994 and limits the amount of water to be supplied to the Association to .75 MGD. (L) As early as June of 1991, after extensive negotiations commencing as early as 1986 between the Association and the City to increase the daily bulk water supply to the Association beyond .75 MGD, were unfruitful, the Association notified the City that it would develop its own treatment facilities and would no longer seek to purchase bulk water from the City after the current bulk commodity agreement expires on October 1, 1994. (M) The Association has diligently proceeded to test, acquire and design a potable water well field, acquire a water :treatment plant site, design a 1.5 MGD water treatment plant, seek and obtain necessary approvals from the County, the Central Florida Regional Planning Council, the Florida Department of Environmental Regulation and the South Florida Water Management District. (N) The provision of central sewer service to a parcel of property by the same utility that provides central water service promotes water conservation, efficiency of service and is the most 6 .344 Pnf 11 7 cost effective alternative to provide wastewater services to the Service Area. (0) The Association has indicated to the County that it is willing to seek transition agreements with the operators of existing package water and sewage treatment plants and on -site disposal facilities within the Service Area, develop a plan in conjunction with the County to provide a central sewer system to all water customers served by the Association and, under certain circumstances, implement such plan. (P) The provision of such central sewer system by the Association in the Service Area is in the overall best interest of the health, welfare and safety of the citizens, visitors and landowners of the County. 7 BLG�( 344 ,PnEI1J ARTICLE II WATER AND SEWER SYSTEM FRANCHISE SECTION 2.01. GRANT OF AUTHORITY. (A) There is hereby granted to the Association, its successors and assigns, the non - exclusive right, privilege or franchise, to construct, maintain and operate in, under, upon, the present and future streets, alleys, bridges, over and across easements, rights -of -way and other places owned by the County and its successors, water lines, pipes, wellfields, pumps, water any and all other appurtenances necessary of operating a water system and supplying treatment facilities and thereto for the purpose water within the Service Area to the County, its successors, and the inhabitants thereof, and persons and corporations within and beyond the limits of the Service Area. (B) There is hereby granted to assigns, the non - exclusive right, privilege or successors and franchise, to construct, maintain and operate in, under, upon, over and across the present and future streets, alleys, bridges, easements, rights -of -way and other places owned by the County and its successors, wastewater collection and distribution lines, pumping stations, lift stations, forcemains, manholes, wastewater treatment facilities, reuse water facilities and any and all other appurtenances necessary thereto for the purpose of operating a sewer system and supplying sewer service or reuse water within the Service Area to the County, its successors, and the inhabitants the Association, its 8 344 PlGf1i3J thereof, and persons and corporations within and beyond the limits of the Service Area. SECTION 2.02. WATER SYSTEM USERS. All occupants and landowners within the Service Area are hereby granted the privilege and right to receive from the Association the water services described herein, subject to the terms and conditions described herein; provided, however, that any request for Association water services that requires the extension of water mains, shall be subject to prior approval of the County. Said approval shall not be unreasonably withheld. SECTION 2.03. SEWER SYSTEM USERS. All occupants and landowners within the Service Area are hereby granted the privilege and right to receive from the Association the wastewater services described herein, subject to the terms and conditions described herein; provided, however, that any request for Association wastewater services that require the extension of sewer or reuse water mains or the reconfiguration, installation or location of treatment facilities, shall be subject to prior approval of the County. Said approval shall not be unreasonably withheld. SECTION 2.04. TERM OF FRANCHISE; ORDINANCE CONSTITUTES FRANCHISE AGREEMENT. This Ordinance shall take effect and be in force from and after the final passage hereof, as required by law, and upon filing an acceptance by the Association with the County, in the form attached as Appendix A, within 7 days after the adoption of this Ordinance. Such franchise shall continue in force and effect for term of 30 years, beginning with the date of such 9 E 344r4iI40 acceptance. This Ordinance, upon acceptance by the Association as provided herein, shall be construed as and constitute the Franchise Agreement. SECTION 2.05. FRANCHISE CONSIDERATION. (A) To compensate the County for the cost of administration, supervision and inspection rendered for the effective performance of this Franchise Agreement and as fair and reasonable rental for the use by the Association of the streets, alleys, bridges, easements, rights -of -way and other places owned by the County, the Association shall pay an annual fee to the County. Any amounts not paid when due shall earn interest at the same rate provided in Section 55.03, Florida Statutes. Within 60 days after the first anniversary date of this grant and within 60 days after each succeeding anniversary date thereafter, the Association, its successors and assigns, shall pay to the County and its successors and assigns, an amount equal to six percent (6 %) of the Association's gross revenues from the sale of water: and the provision of wastewater services to its customers within the geographic limits of Okeechobee County for the annual period proceeding the applicable anniversary date. (B) Nothing herein shall be construed to be a limitation on the assessment and collection of valid taxes, special assessments, licenses, fees, charges or other impositions by the County or other public or governmental body on or from the Association in excess of such six percent (6 %) amount. 10 BC, 3±i J CE1i4i (C) The County shall hold all monies collected under this section in a separate fund and only expend those funds, in the manner and amounts solely determined by the County, to develop or assist the Association in further developing water or sewer systems, or both, in the Service Area. SECTION 2.06. ASSIGNMENT. Before the Association shall sell, transfer or assign its franchise, written notice Association to the County facilities and operations under this of at least 90 days shall be given by the . The County shall have the right and option after receiving said notice and within said 90 day period, to elect to purchase or otherwise acquire the water system and sewer system of the Association operated under this franchise, upon the terms and conditions available to the County under Section 2.07 hereof. Said purchase by the County shall be consummated within 180 days of said notice, unless a different period of time shall be agreed upon by both parties. If this option is not exercised by the County and the perspective purchaser acquires the facilities and operations of the Association, such purchaser shall agree to be bound by the terms and conditions contained in this ' sFranchise Agreement and shall provide the County sufficient evidence to establish its capacity to do so before said sale to the purchaser may be consummated. SECTION 2.07. RIGHT TO PURCHASE ASSOCIATION FACILITIES. (A) The County hereby reserves the right to terminate the franchise granted herein and purchase or otherwise acquire the water and sewer system of the Association operated under this 11 Irra :344 f4 f1I42 Franchise Agreement and such right of purchase is a condition precedent to the taking effect of this grant to the Association. The County's right of purchase under this section shall not be exercised, unless otherwise consented to by the Association, for a period of three years from the effective date of this ordinance, or upon substantial completion of a water treatment facility, whichever shall first occur. ,The Association shall be deemed to have given and granted such right of purchase or acquisition by its acceptance of this franchise, which shall be signified by filing an acceptance by the Association with the County, in the form attached as Appendix A, within 7 days of the adoption date of this Ordinance. (B) In the event the County exercises its right to purchase or otherwise acquire all or any part of the water system or sewer system of the Association, the purchase price shall be mutually agreed upon by the Association and the County, but in no event shall the County be required to pay more than the amount of any outstanding indebtedness owed by the Association for revenue bonds or other obligations issued by the Association to finance the facilities or operations of its systems, if any, plus $100 additional consideration. (C) In consideration of the Association's agreement to limit the amount payable by the County to acquire the Association's water or sewer systems in accordance with subsection (B) above, the County or its successor in interest shall take title subject to a covenant running with the land and systems so acquired which 12 F K:344 e4.PE11 -4: requires the grantee, unless otherwise agreed to by the Association, (1) to operate any water or sewer system acquired from or formerly operated by the City of Okeechobee on a self - liquidating basis, i.e., to impose rates and charges for the services provided by such systems that are sufficient to pay the debt service, operating and maintenance expenses and all other costs properly allocable to such systems and (2) to segregate any system acquired from the Association from any system acquired from or formerly operated by the City of Okeechobee. Additionally, any future contract by which the County or its successor in interest agrees to transfer title to the Association's water and sewer system shall include a covenant requiring the transferee to operate any water or sewer system acquired from the City of Okeechobee on a self- liquidating and segregated basis, as aforesaid, specifying that the Association shall be a third -party beneficiary of such covenant. This subsection (C) shall not be construed to prohibit any physical interconnection between the Association's water or sewer system and any water or sewer system acquired from the City of Okeechobee to enhance either system's reliability for health and safety purposes on a temporary basis. (D) Upon notice given to the Association under this section that the County will exercise its right to purchase or otherwise acquire the water system or sewer system Association's facilities or operations, the Association shall suspend all activities associated with debt financing unless otherwise agreed to by the County, execute a warranty deed and bill of sale for all such 13 1 344 F CE1144 facilities and property, together with all documentation necessary to effect a transfer of all property and contract rights to the County, its successors or assigns, give possession and control of such systems to the County within 90 days and otherwise fully cooperate in the orderly transfer of assets and operations to the County. Upon receiving documents of title and the possession and control of the equipment, facilities and operations of the Association, the County shall then become responsible for all care, maintenance and operation of such property. (E) Nothing in this section shall limit the County's ability to exercise its powers of eminent domain to otherwise acquire the systems of the Association. However, in the event the County does acquire the systems of the Association by eminent domain, the covenants in this Section shall be deemed unenforceable and severed from this Franchise Agreement. SECTION 2.08. CONSTRUCTION TIMETABLE. (A) The Association has represented to the County that it has tested, acquired and designed a potable water well field, acquired a water treatment plant site, and is designing a 1.5 MGD water treatment plant to serve the Service Area. The Association shall continue to seek and obtain necessary approvals, permits and financing and construct a water treatment plant to serve the potable water needs of the Service Area when its current commodity agreement with the City of Okeechobee expires in October of 1994. (B) No later than within one year after the Association's water treatment plant is substantially complete, the Association 14 L:344 pcE1145 shall develop and submit a plan to the County to provide central wastewater services to all water customers served by the Association. The County and the Association shall actively participate in the development of the plan. To the extent of the funds actually paid to the County under section 2.05 or to the extent the South Florida Water Management District provides funding for such activity to the County, the County shall reimburse the Association or otherwise bear all costs of both the Association and the County in developing such plan. In any event, the Association shall have no obligation to implement the plan. The implementation of such a plan by the Association shall be subject to assistance from the local, state and federal governments in providing funding and developing an affordable infrastructure delivery program. (C) The County has entered into a cooperative funding agreement with the South Florida Water Management District. The potential for negative environmental effects as a result of the proliferation of package treatment plants and septic systems within close proximity to Lake Okeechobee was the driving force behind the cooperative funding agreement and appropriations thereunder are dependent upon future budget approvals. The County shall, subject to the terms and intent of such cooperative agreement as amended, assist the Association in fulfilling the Association's obligations under the Franchise Agreement relative to planning and developing central water and sewer systems in the Service Area. SECTION 2.09. TERMINATION. Failure of the Association to comply substantially with any material provisions of this Franchise 15 . 344 'Fla 1146 Agreement shall be grounds for termination of this grant, but no such termination shall take effect until expiration of 180 days from the date of receipt by the Association of written notice of such material non - compliance and the failure of the Association to cure such material non - compliance during such 180 day period to the satisfaction of the County. The County may in its discretion grant additional time to the Association for compliance as required by the circumstances of the case. SECTION 2.10. BREACH. The Association recognizes that the failure on the part of the Association to comply with the terms of this Franchise Agreement is likely to cause irreparable damage to the County, and damages at law will be an inadequate remedy. Therefore, the Association agrees that in the event of a breach or threatened breach of any of the terms of this Franchise Agreement by the Association, the County shall be entitled to an injunction restraining such breach or to a decree of specific performance, or both, without showing or providing any actual damage, togdther with recovery of reasonable attorneys fees and costs obtaining said equitable relief until such time as incurred in a final and binding determination is made by the court. The foregoing equitable remedy shall be in addition to, and not in lieu of, all other remedies or rights which the County may otherwise have by virtue of any breach of this Franchise Agreement by the Association. The County shall be entitled to seek injunctive relief without the posting of any bond or security to obtain the entry of temporary and permanent injunctions and an order of 16 Zit; :344 PMMf1147 specific performance enforcing the provisions of this Franchise Agreement. 17 R .344mcf11 ARTICLE III 8 OPERATIONS SECTION 3.01. USE OF RIGHT -OF -WAYS. (A) In performing the work and providing the water system and sewer system services provided by this franchise, the Association shall, at its expense and without reimbursement from the County, locate or relocate its system facilities so as to interfere as little as possible with traffic, over said streets, alleys, bridges, easements, rights -of -way and public places owned by the County and shall provide reasonable access to abutting public and private property. All system facilities shall be located or relocated under the County's supervision and with the County's approval; however, the County shall not unreasonably interfere with the proper operation of the water and sewer system of the Association. (B) Any portion of a street or other public way or'facility disturbed by the Association's excavations or operations shall within a reasonable time and as early as practicable after disturbance, be restored by the Association at its expense in as good or better condition as it was and immediately prior to the disturbance. SECTION 3.02. CONSTRUCTION OR INSTALLATION OF FACILITIES. The construction, maintenance and operation of water system and sewer system facilities, both as to those portions located within the Service Area and those portions located beyond the Service 18 ' Br K 344 Pm-H4 49 Area, shall be subject to the prior approval of the County of the plans and specifications for all such construction shall first be approved by the County before construction is commenced. The County, through its employees, officers or agents shall have the right to inspect the system facilities of the Association at any reasonable time. SECTION 3.03. SYSTEM MAINTENANCE. (A) The Association shall maintain in good condition and operate its water and sewer systems so as to render efficient service to the County and its inhabitants, and the Association shall comply with the rules and regulations as are, or may be, described' under the terms of this Franchise Agreement, and those set forth by the State and federal governments for the operation of water and sewer systems. (B) Whenever it is necessary to shut off or interrupt service for the purpose of making repairs, adjustments or installations, the Association shall do so at times and under circumstances as will cause the least amount of inconvenience to its customers. (C) All water service shall be supplied through meters which shall accurately measure the amount of water supplied to all customers. The Association shall at any time requested by a customer, make a test of the accuracy of any water meter. The Association may impose a reasonable charge for such an accuracy test. (D) The Association shall install and maintain at its own expense all necessary fittings, pipes and appliances, including all 19 ° ;"1 44 WE1150 meters and meter boxes to delivery water to its customers. All said fittings, pipes, appliances, meters and meter boxes shall remain the property of the Association and shall at all times be accessible to it or under its control. (E) No plumber, owner or other unauthorized person shall install or disconnect or remove a meter provided under this franchise without the consent of the Association. SECTION 3.04. TRANSITION AND SERVICE AGREEMENTS. (A) The Association shall identify all owners and operators of package water and wastewater treatment plants, and on -site disposal facilities within the Service Area and seek transition agreements, in form acceptable to both the County and the Association, which provide for the transition of these package or on -site treatment facilities to service by water system and sewer system facilities provided by the Association. (B) The Association shall revise its water service agreement procedures to require all landowners who have developdd or are seeking to develop their lands in a manner that requires or will require the development of a central sewer collection system to covenant in writing (1) to dedicate all wastewater collection facilities and easements to the Association, in conformance with procedures adopted by the Association, or otherwise hold such facilities and easements in trust for the benefit and use of the users thereof, and (2) that, when and if the Association or its successors or assigns provides wastewater treatment services, the landowners shall abandon the use of any private or investor owned 20 e`td x344 FarFl151 treatment facilities at the landowners' expense and become a customer of the Association's sewer system. SECTION 3.05. CONTRIBUTIONS TO BENEFIT USERS. In the event of the condemnation an investor owned water or sewer utility by the County or the Association, or in the event of the condemnation by the County of a system owned or operated by the Association, all contributions in aid of construction, including those defined in Section 367.021(3), Florida Statutes, received by such utility subsequent to the effective date of this Ordinance shall be deemed held by the utility solely for the use and benefit of its customers and such assets and contributions shall not constitute an investment or equity or property interest of the utility in the condemned assets in any evaluation method presented in such condemnation proceedings. Such prospective consideration of the investment reality of contributions in aid of construction condemnation proceedings is in the public interest to insure that the rate payer does not pay for the utility system twice, once through their contributions and a second time through rates to support the acquiring utilities' investment when a condemnation award includes such contributions. SECTION 3.06. RATES, FEES AND CHARGES. (A) The Association shall from time to time, by resolution, adopt a schedule of rates, fees or other charges for the use of the water system and sewer system of the Association to be paid by the owner, tenant or occupant of each parcel of land which may be connected or provided with service by such system. The initial in 21 C q ��gg B :34' P..GEl152 schedule of rates, fees and other charges, shall be those already in effect within the boundaries of the Service Area as of the effective date of this Franchise Agreement. The Association may thereafter revise the schedule of rates, fees and charges from time to time. However, such rates, fees and charges shall be adopted and revised so as to provide monies, which, with other funds available for such purposes, shall be sufficient at all times to pay the expenses of operating and maintaining its systems, including reserves for such systems and the principal and interest on any revenue bonds or other obligations as the same shall become due and the reserves therefore, and provide a reasonable margin of safety over and above the total amount of such payments, to comply fully with any covenants contained in any resolution authorizing the issuance of bonds or other obligations of the Association or assumed by the Association. (B) Such rates, fees and charges shall be just and equitable and uniform for the users in the same class and may be based upon or computed upon any factor or combination of factors affecting the use of the services or facilities furnished, as may be determined by the Association from time to time. No rates, fees or charges shall be fixed, adopted or revised under the foregoing provisions until a public hearing in which all the users of the system affected thereby, or owners, tenants or occupants served or to be served thereby, and all other interested persons shall have an opportunity to be heard concerning the proposed rates, fees or charges. Notice of such public hearing setting forth the proposed 22 et,°([.K 3114 e!tE 1153 schedule or schedule of rates, fees or charges, shall be sent to the County and shall also be given by one publication in a newspaper circulating in Okeechobee County at least 20 days before the date fixed in such notice for the public hearing, which may be adjourned from time to time. After such hearing, the proposed schedule or schedules, either as initially adopted or as modified or amended, may be finally adopted. (C) The rates, fees or charges adopted for any class of users or properties served shall be extended to cover any additional users of properties thereafter served which shall fall within the same class, without the necessity of any further hearing or notice. (D) Except as expressly provided by law, no free water or sewer services shall be rendered by the Association and no discrimination shall exist in the fees, rates and charges for the users of the same class. SECTION 3.07. SYSTEM DEVELOPMENT CHARGES. (A) The Association may levy and collect system development charges for the water system and the sewer system, or both, for capital improvements and debt service on such capital improvements as thereafter specified. (B) Within the Service Area, under the following conditions, the Association may levy and collect system development charges for the water system and the sewer system, or both, for capital improvements and debt service on such capital improvements as hereinafter specified, within the Service Area, under all of the following conditions: 23 BCA.344 .c€ii34 (1) Whenever a property owner or his authorized representative connects an existing structure to a system or portion thereof owned or operated by the Association; (2) Whenever representative a property owner or his applies for a building permit to authorized alter an existing structure previously connected to a water system or sewer system owned or operated by the Association, where such alteration increases the potential demand on the Association's systems; and (3) Whenever a property owner or his authorized representative applies for a building permit to construct a structure or alter a structure on property which according to a plan adopted by the Association or the County is scheduled in the future to be connected to a system owned or operated by the Association even though the property owner or his representative may receive interim water or interim sewer service from a source other than the Association. (C) If the structure on the property for which a system development charge has been paid is not authorized to connect to the Association's systems within 10 years of the date of such payment, the property owner holding legal title at the end 10 -year period shall be eligible for a refund of the development charge without interest. The Association shall of the system notify the property owner of his eligibility for a refund by mailing notice and an application for refund to the property owner Such notice shall be sent by certified or registered mail with return 24 FtLK 344 CFI1575 receipt requested to the then owner of record as shown on the most recent ad valorem tax roll. Any property owner eligible for a refund shall file written application with the Association for a refund within 90 days of the date of mailing of the notice by the Association or such property owner shall be deemed to have waived any right to a refund, and the Association shall be entitled to retain and apply the system development charge for capital water and sewer improvements. Failure to construct the structure for which a system development charge has been paid shall not constitute grounds for a refund, nor shall delay or failure to receive the mailed notice of eligibility for a refund toll the 90- day time limit within which an application for refund must be filed. (D) All system development charges imposed for the water system shall be segregated from all other funds held by the Association and placed in a special fund. Except as otherwise provided by the resolution authorizing the issuance of bonds or other obligations of the Association, monies from this fund shall not be transferred or used for any purpose other than capital improvements for raw water supplies, water treatment facilities, water transmission mains, storage facilities, pumping facilities, distribution lines, and related facilities required to provide new connections by new customers and for payment of debt service on public obligations issued to finance any such capital improvements. Capital improvements which are designed to benefit existing 25 FLT.:344 ftGEi1 ;6 customers of the Association shall not be paid for with monies from this fund. (E) All system development system shall be segregated from Association and placed into a special fund. Except as otherwise charges imposed for the sewer all other funds held by the provided by the resolution authorizing the other obligations of the Association, monies from this fund shall not be transferred or used for any purpose other than capital improvements for sewage treatment and disposal facilities, sewage transmission facilities, reclaimed water treatment facilities, reclaimed water distribution facilities and related facilities required to provide new connections by new customers and for payment of debt service on public obligations issued to finance any such capital improvements. Capital improvements which are designed to benefit existing customers of the Association shall not be paid for with monies from this fund. (F) All system development charges shall be reviewed; at least every three years by the Association to determine that the charges are equitable and proportionate to the current estimate' of costs for providing the capital improvements for which the charges are imposed. The Association may change or revise the schedule of system development charges upon compliance with the notice and hearing requirements set forth for the adoption of rates, fees and other charges. (G) The Association, in its discretion, may permit the owners of existing structures which connect to the Association's system issuance of bonds or 26 Frx.3 r-!cf115 to pay system development charges on an installment basis with interest over a period not to exceed 10 years. In the event that system development charges shall not be paid as and when due, any unpaid balance thereof and all interest accruing thereon may also be a lien on any parcel of property affected thereby. In the event that any such system development charge shall not be paid as and when due and shall be delinquent for 30 days or more, the Association may file a notice of lis pendens and the unpaid balance thereof and all interest accrued thereon at the legal rate, together with attorney's fees and costs, may be recovered by the Association in a civil action, and any such lien and accrued interest may be foreclosed or otherwise enforced by the Association by action or suit in equity as for the foreclosure of a mortgage on real property. (H) System development charges may be pledged to the payment of bonds or other obligations of the Association, provided that the Association has agreed in the resolution authorizing sucli bonds or other obligations that it maintain net revenues, together with special assessment proceeds and other revenues derived by the Association, exclusive of system development charges, equal to at least 100 percent of the debt service on such bonds or obligations. SECTION 3.08. REPORTING REQUIREMENT, BOOKS AND RECORDS. (A) The County or its designee shall have the right to review all records maintained by the Association on five days' written notice. 27 I_A :344 flCE1158 (B) An annual audit of the Association's books and records shall be prepared by an independent Florida certified public accounting firm in accordance with generally accepted accounting principles and shall be delivered to the County, at the Association's expense, within 120 days of the twelve month period ending the Association's fiscal year. Said audit shall include, but not be limited to the following elements: (1) balance sheet; (2) statement of revenue and expenses segregated by type of services (water and wastewater); and areas served (Okeechobee County or Glades County); (3) statement of cash flows; and (4) notes to financial statements. The Association shall establish and maintain at its own expense during the term of this franchise, a bookkeeping, accounting and recordkeeping system to facilitate the preparation of said audit and shall preserve for at least six years from the date fx-om their preparation, full, complete, and accurate books, records, and accounts that have been consistently applied in accordance with generally accepted accounting principles. SECTION 3.09. COMPLAINTS. (A) All service complaints shall be directed to the Association. The County shall notify the Association of any complaint communicated to the County. All complaints received by the Association shall be immediately recorded in the complaint log maintained by the Association. Complaints shall be resolved within 28 ID FC,K 344 P' ff 11 24 hours after being received by the Association. When a complaint is received after 12:00 noon on a Friday or the day preceding a holiday, it shall be resolved by the Association no later than the next regular working day. (B) The Association shall supply the County on a periodic basis, no less often than monthly, a typed statement of all oral or written complaints (inclining copies of written complaints received) on a complaint form or other written format approved by the County, from any source and whether or not received and forwarded to the Association by the County. Such statement shall be in a format indicating the date and hour of inquiry or complaint received, the nature of the complaint received and a full explanation of the disposition of the complaint. The Association shall establish procedures acceptable to the County to ensure that all customers are notified regulations, rates and fees as to complaint procedures, rules and charged or imposed by the Association. The County may from time to time contact customers; directly regarding the quality of service and the disposition of complaints. SECTION 3.10. PERFORMANCE MONITORING. (A) In order to fully implement the provisions of this Franchise Agreement, a panel for the review of the quality of services provided shall be created to consist of three members, one member representing the Association, one member representing the County, and a third independent member chosen by the previously named two members. It shall be the function of this committee to review, report and make recommendations to the County and the 29 :3 44 i Act 1160 Association, not less often than annually, regarding the quality of services provided for herein. For the purpose of this function, "service" shall be defined as the performance of the duties, tasks and obligations of the Association enumerated in this Franchise Agreement performance of such other duties, tasks and obligations as are generally and reasonably regarded as incident to the safe and satisfactory discharge of responsibilities in the water or wastewater utility industry. SECTION 3.11. MANDATORY USE OF ASSOCIATION FACILITIES AND SERVICES. All lands, buildings, premises, persons, firms and corporations or other users within the Service Area, shall use the water and sewer facilities of the Association, or any other service provider authorized by the County, when and where ever such services and facilities become available; and for such purposes, the Association shall be entitled to seek injunctive relief, either mandatory or prohibitory, to enforce the use of Association facilities or services. SECTION 3.12. PLANNING REQUIREMENTS. (A) Within three years after the effective date of the Franchise Agreement, the Association shall adopt a master plan which identifies current customers, projects and future customers; profiles customers (residential, commercial, industrial); reviews and generally inventories all existing infrastructure and treatment facilities within the Service Area; identifies a capital improvement program for the Association; reviews all current permits and compares existing regulations to projected regulations; 30 r'llrf 344 F!CE11f1 identifies and evaluates potential acquisitions or service expansions; evaluates Association staffing; provides for detailed mapping of system facilities; provides for hydraulic analysis of system facilities, both existing and proposed; evaluates present and future sources of raw water and the treatment requirements for those sources in terms of capacity, reliability and economy; provides for an analysis of all available wastewater alternatives, including surface water discharge, wetlands discharge, percolation facilities, spray irrigation and deep well injection; identifies reclaimed water storage alternatives and wetweather back -up alternatives; and identifies current and potential high volume users of reclaimed water. Thereafter, the Association shall review, and if necessary amend the master plan periodically, but not less often than every three years. (B) Treatment facility construction or expansion or line extension policies adopted by the Association shall be in furtherance of land development regulations adopted by the County. (C) The construction or expansion of any portion of the Association's systems, or major alterations which affect the quantity or quality of the level of service of the Association's systems, which is undertaken or initiated by the Association shall be consistent with the applicable local government comprehensive plan of the County adopted pursuant to Chapter 163, Part II, Florida Statutes; provided, however, that this obligation shall not be construed to allow a local government comprehensive plan to require the Association to construct, expand, or perform a major 31 F 344 FLCE11F62 alteration of any public facility which would result in the impairment of covenants and agreements relating to bonds or other obligations, issued or assumed by the Association. (D) When the County has issued a development order which approves the construction of public facilities or has issued a development order pursuant to Chapter 380, the County shall not use the requirements of this section to limit or modify the rights of the Association to approve, construct, modify, operate, or maintain public facilities authorized by the development order. (E) The Association shall take no action which is inconsistent with applicable comprehensive plans, land development ordinances, or regulations adopted by the County. SECTION 3.13. COMPLIANCE WITH OTHER LAWS, ORDINANCES AND REGULATIONS. (A) This franchise does not and shall not be construed to relieve the Association from any obligation to address any permit, condition, term, approval or restriction and shall not relieve the Association or its successors, of the obligation to comply with any law, ordinance, rule or regulation governing said permitting requirements, conditions, approvals or restrictions. (B) All extensions of water and sewer system facilities and service shall be subject to the approval of the County and said approval will not be granted if such grant would be inconsistent with the County's comprehensive land use plan or zoning ordinance. (C) Nothing in this ordinance shall be construed as a surrender by the County of its right or power to pass ordinances 32 �r+ [TA :344 P'GE 1163 regulating the use of its streets, sidewalks, alleys, rights -of- way and easements. The Association shall abide by all such ordinances relative to its activities. (D) This Franchise Agreement is not and shall not be construed as a development agreement pursuant to the Florida Local Government Development Agreement Act, Sections 163.3220- 163.3243, Florida Statutes. 33 ec •J 44 f�!tf 11 4 Qc�x •� ' ARTICLE IV GENERAL SECTION 4.01. INDEMNIFICATION. The County shall in no way be liable or responsible for any accident or damage that may occur in the construction, operation and maintenance by the Association of the water or sewer systems hereunder, and the acceptance of this Ordinance shall be deemed the agreement on the part of the Association to defend, fully protect, indemnify and hold harmless the County from and against each and every claim, demand or cause of action in any and all liability, costs, expense (including but limited to reasonable attorneys' fees, costs and expenses incurred in the defense of the County, even if incident to appellate, post judgment or bankruptcy proceedings), damage or loss in connection therewith which may be made or asserted by the Association, the Association's employees or agents, or any third parties (including but not limited to the County) on account of personal injury, death, damage or property damage caused by, or arising out of in any way incidental to or in connection with its performance hereunder. At the election of the County, the Association shall contest or defend the County against any such claims of liability against the County. The County shall in any event, have the right, through counsel of its choice, to control the defense or response to any such claim to the extent it could affect the County financially, this indemnification shall also include any claim or liability arising from or in any way related to actual or 34 tr :344 PrFii €3 threatened damage to the environment, including agency cost by investigation, personal injury or death, or damaged property. Only those matters which are determined by a final, nonappealdDLe judgment to be the result of the negligence of the County shall be excluded from the Contractor's duty to indemnify the County, but only to the extent of the negligence of the County. For the purpose of this section, the. term "County" shall be deemed to include the County Board of Commissioners and its agents, employees and affiliates. For purposes of this indemnification, "claims" shall mean and include all obligations, actual and consequential damages and costs reasonably incurred against the County, including, but accountants', attorneys' and expert in the defense of any claim not limited to reasonable witness fees and costs of investigation and proof of facts, court costs, other litigation expenses, and travel and living expenses. The County shall have the right to defend such claim against it in any such manner as the County deems appropriate or desirable in its sole discretion. The indemnity shall continue in full force and effect subsequent to and not withstanding the expiration or termination of the 'franchise granted herein. SECTION 4.02. CHANGE OF LAW. Changes in law in the future, including, but not limited, legislative, judicial or administrative changes, which mandate certain actions or programs for local governments or water and sewer utility providers may require changes or modifications in some of the terms or conditions or obligations under the franchise granted herein. Nothing contained 35 .,K.344FrE.'HA) in this Franchise Agreement shall require any party to perform any act or function contrary to law. SECTION 4.03. AMENDMENTS AND WAIVERS. No amendment, supplement, modification or waiver of the Franchise Agreement granted herein shall be binding unless executed in writing by the County and the Association. No waiver of any of the provisions of this Ordinance shall be deemed or constitute a waiver of other provisions of this Ordinance, whether or not similar, unless otherwise expressly provided. Each such amendment, supplement, modification or waiver of this Ordinance shall be filed with the Clerk of the Circuit Court of Okeechobee County. SECTION 4.04. SEVERABILITY. The provisions of this Ordinance are severable. If any section, subsection, sentence, clause or provision is held invalid by any court of competent jurisdiction, the remaining provisions of this Ordinance shall not be affected thereby; except that if the County finds the invalidated portion to be an essential part of this franchise the County may declare this franchise terminated. SECTION 4.05. ALTERNATIVE METHOD. This Ordinance shall be deemed to provide an additional and alternative method for the doing of the things authorized hereby and shall be regarded as supplemental and additional to powers conferred by other laws, and shall not be regarded as in derogation of any powers now existing or which may hereafter come into existence. This Ordinance, being necessary for the welfare of the inhabitants of the County, shall be liberally construed to effect the purposes hereof. 36 e, :344 PycEii €) i SECTION 4.06. EFFECTIVE DATE. This Ordinance shall not take effect unless the Association files an acceptance with the Clerk of the Board of County Commissioners, in the form attached as Appendix A, within seven (7) days of enactment by the Board and, in such an event, a certified copy of this Ordinance shall be filed with the Department of State by the Clerk of the Board of County Commissioners within ten (10) _days of enactment by the Board and shall take effect upon receipt of official acknowledgement of filing as provided in Section 125.66(2), Florida Statutes. DULY ENACTED, by the Okeechobee County Commissioners this _ OL /day of April, 1993. (SEAL) ATTEST: "e-1e Clerk 37 BOARD OF COUNTY COMMISSIONERS OKEECHOBEE COUNTY, FLORIDA r «cf11CS APPENDIX A FORM OF ACCEPTANCE Ire. .344 pltEl 1G9 ACCEPTANCE Tliis Acceptance is made and entered into this c•PiG day of e/L(L , 1993, by the Okeechobee Beach Water Association, Inc., a Florida corporation (hereinafter the "Association "), after complying with the requirements of Section 617.1202, Florida Statutes, and is hereby delivered to the Board of County Commissioners of Okeechobee County, Florida, as the governing body of Okeechobee County (hereinafter the "County "). WHEREAS, this Acceptance shall be an appendix to the ordinance granting a franchise to the association and its successors and assigns to operate and maintain water and sewer systems within a portion of the unincorporated area of Okeechobee County (hereinafter the "Ordinance "). W I T N E S S E T H: That the Association for and in consideration of the sum of ten dollars ($10) and other valuable consideration paid by the County, receipt of which is hereby acknowledged, hereby conveys, grants, bargains and sells unto the County, its successors and assigns, the right to acquire the systems, facilities and operations of the Association on the terms and conditions contained in the Ordinance. Said ordinance (adopted as Okeechobee County Ordinance No. 93 -_) is incorporated herein by reference: Further, that the Association by its execution of this Acceptance hereby agrees, for itself and its successors and assigns, to accept all of the rights and privileges granted by the Ordinance and be.bound by all the obligations thereunder as a non- exclusive franchisee of the County. This Acceptance shall become effective upon enactment of the Ordinance by the County and shall run with the land and property of the Association, its successors and assigns. IN WITNESS WHEREOF, the Association has caused these presents to executed the date and year first above written. zi4reic a Witness Witness ' A -1 OKEECHOBEE BEACH ASSOCIATION WATER, INC., a Florida corpora t�ion is - -r By: President b ix :344 ?f 1170 STATE OF FLORIDA COUNTY OF OKEECHOBEE The foregoing Acceptance was acknowledged /4" , who is personally known to the Okeechobee Beach Water Association, corporation, on behalf of the corporation. WITNESS my hand and Official Seal this 1993. B. CONNER MY COMMISSION t CC 282009 .. EXPIRES: Fsbnwry 28, 1987 '.f .......... Bonded Tin Notary Public Undermttere before me by L6ZfD me, as President of Inc., a Florida 04 day of ignature of Notary Public Name of Notary Public typed, printed or stamped My Commission Expires: I hereby certify that this Acceptance was duly filed with the Clerk to the Board of County Commissioners of Okeechobee County, Florida, pursuant to the terms of Okeechobee County ordinance No. 93- , on this . .Z9 day of /9/7k)/ , 1993. (SEAL) ATTEST: Rc[K :344 roc €1171 APPENDIX B SERVICE AREA F«x 344 ffCf11 SERVICE AREA Beginning at the Tnwnchip line between T37S and -MRS on the Martin County line proceed west along the north section line of sections 1, 2 and 3 in T38S to the West corner of Section 3 thence north along the east section line of section 33, T37S to the northeast corner of section 33 thence west along the north section line of section 33 and 32 to the half section line of section 32, 29 thence north on the half section line of section 29 to the east west section line between sections 29 and 20 thence west along this section line along the north side of sections 29, 30 T37S, R36E and section 25 and section 26, T37S, R35E to the west section line of section 26 then south along the west section line of section 26 to its southwest corner thence west along the north section line of section 34 to the northwest corner of section 34 thence south along the west section line of section 34 to the north 1/4 section line, thence west on the north 1/4 section line to the half section line of section 33 thence south on the half section line to the east west 1/2 section line to the north south section line between sections 33 and 32 thence south to the south west corner of section 33 thence west along the south section line of section 32 to the southwest corner of section 32 thence south to the east west half section line of section 5, T38S, R35E thence west to the Township Range line between R35E and R34E thence south to the north 1/4 section line of section 1 thence west on the south section line of section 1 to the Hoover Dyke Road, thence southeast along the I- Ioover Dyke Road to Lake Okeechobee, thence northeast and south along Lake Okeechobee shore line to the Martin County line, thence north along the Martin County line to the point of beginning. 1 LESS AND EXCEPT those lands lying 100 feet on each side of U.S. I- iighway 441 from the Okeechobee City limits south to the intersection of State Road 78 and those parcels along U.S. Ilighway 441 being served by the City of Okeechobee as of the effective date of this Ordinance. ALSO LESS AND EXCEPT the following subdivisions: Ousley Estates, recorded in Plat Book 5, Pages 36 and 37, and Palm Village Ranch, recorded in Plat Book 6, pages 34 and 35, Public Records of Okeechobee County, Florida. fir .X :344 PAGE 11 (,3 RESOLUTION OF THE BOARD OF DIRECTORS OF OKEECHOBEE BEACH WATER ASSOCIATION,INC. APPROVING A WATER AND SEWER FRANCHISE AGREEMENT WITH OKEECHOBEE COUNTY BE IT KNOWN, that at a special meeting of the Board of Directors of Okeechobee Beach Water Association, Inc. (' "the Association ") held on April 26, 1993, a quorum being present, it was resolved by Board of Directors, upon majority vote of directors present: RESOLVED, that Okeechobee Beach Water Association, Inc. shall enter into a franchise agreement with Okeechobee County in the form attached hereto. IT IS FURTHER RESOLVED, that the franchise agreement with Okeechobee County, shall executed by the President and Secretary of the Association. Dated this day of April, 1993 OKEECHOBEE BEACH j '1"1✓It SSOCIATION, By T' LELAND PEARCE, PRESIDENT Verna Gabrie , Secretary dd\m isc \corresp \obwa- bdd.res G7 Er_.0 44 lGf 11 14 RESOLUTION OF THE MEMBERSHIP OF OKEECHOBEE BEACH WATER ASSOCIATION,INC. APPROVING A WATER AND SEWER FRANCHISE AGREEMENT - • UNTY WHICH INCLUDES A PROVISION FOR THE SALE FOR THE SALE OF AL II • • BE IT KNOWN, that at a special meeting of the members of Okeechobee Beach Water Association, Inc. ("the Association") held on April 26, 1993, after proper notice, a quorum being present, it was resolved by membership, upon majority vote of members present: RESOLVED, that the membership of Okeechobee Beach Water Association, Inc. approves the Association entering into a franchise agreement with Okeechobee County which will contain a provision allowing Okeechobee County to purchase all of the assets of the Association at some time in the future. IT IS FURTHER RESOLVED, that the Board of Directors of the Association shall take the necessary steps to finalize a franchise agreement with Okeechobee County, which agreement is to be executed by the President and Secretary of the Association. a Dated this 4- day of April, 1993 JVIT ST: el-11a Gabriel, Secretary OKEECHOBEE BEACH WATER SOCIATION, By Y —`` ✓/j /'' (`��i� ` C��'f'�- cam' LELAND PEARCE, PRESIDENT ddbn isc \co rresr \obwa -ass.s al "j" IN THE CIRCUIT,COURT FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WATER ASSOCIATION, INC., CASE NO: 93 -555 CA Plaintiff, vs. CITY OF OKEECHOBEE', FLORIDA, Defendant. MOTION FOR PARTIAL SUMMARY JUDGMENT Plaintiff, OKEECHOBEE BEACH WATER ASSOCIATION, INC. ( "OBWA "), moves the Court for a partial summary judgment against Defendant CITY OF OKEECHOBEE ( "CITY ") as to certain issues raised in the pleadings and says: PRELIMINARY MA'TTERS 1. OBWA has filed a declaratory action to determine its right to serve potable water to an area of southern Okeechobee County based in part on contractual rights under an existing contract with CI'T'Y ( "the Contract "), and on statutory rights under Chapter 180, Florida Statutes ( "Chapter 180 "). CITY has also filed a declaratory action counterclaim seeking a determination of CITY's right to serve potable water to an area of southern Okeechobee County which overlaps OBWA's service area. 2. At a minimum, both declaratory actions require the initial determination of OBWA's right to serve potable water to existing OBWA members by building a water treatment plant. For purposes of this motion, "existing OBWA members" shall refer to those members of OBWA who have an active service agreement with OBWA as of November 1, 1993, to serve a parcel of land within the area of dispute between OBWA and CITY. 3. The other issues raised in the pleadings involve future growth, in terms of customers or members, by each system, which are more complex issues than the underlying 5\013 \CITY\M- PAR- SM..TMT 1 legal issue involving OBWA's right to serve exis OBWA members by building a water treatment plant. 4. The only question addressed by this motion for partial summary judgment. is the purely legal issue concerning OBWA's right to serve existing OBWA menrber4y building a water treatment plant 5. Consideration of this motion will promote judicial economy by adjudicating a threshold question, and avoiding wasteful efforts in pursuing more complex litigation issu es. FACTUAL ALLEGATIONS OBWA states there is no genuine dispute about the following material facts (references to the record are stated within [ J; "Answer" refers to CITY's answer to O.BWA's amended complaint): 6. OBWA, a nonprofit corporation, was formed to supply its members with potable water. Since 1965, OBWA has owned and operated a system of pipes, tanks, valves, meters and pumps in southern Okeechobee County and has supplied its members with potable water. [Par. 5 of Pearce Affidavit] 7. CITY is a municipality as defined by Chapter 180. [Par. 1 of Answer] e 8. Since 1965, BWA has been obtaining a supply of water from CITY under a series of bulk water wholesale agreements. Copies of the series of contracts between OBWA and CITY are attached in chronological order to OBWA's Amended Complaint For Declaratory Judgment as Exhibits A, B, C and D. The present bulk water wholesale agreement (the Contract) expires on September 30, 1994. [Par. 1 of Answer] 9. OBWA has advised CITY that it does not intend to renew its contract to purchase bulk water from CITY. [Par. 1 of Answer] 10. OBWA intends and has engineering plans to build a water treatment plant to continue supplying its members with potable water after the Contract expires. OBWA has obtained financing for the project, purchased land for the well field, and has an option to purchase land for the water treatment plant. Originally, the water treatment plant was scheduled to begin operation October 1, 1994, however, OBWA has experienced delays in the permitting process with the South Florida Water Management District, as more fully 5 \O I3 \CI't'Y\M- PAR -S M.J MT 2 explained below. [Part's 5 ;12 of Fortner AffidavitJ 11. CITY has stated publicly that it does not oppose OBWA building a water treatment plant to serve exist:iaig OBWA members, and CITY has voted to supply OBWA with water at a fair price even after the Contract expires, until construction of OBWA's water treatment plant is completed. [Par. 1 of Answer] 641- �`` c /, 12. Paragraph 7 of the Contract provides: 7. It is further agreed between the parties hereto that the Association shall serve all users in the areas south of the boundary line that is identified between the City and the Association per legal description attached hereto and made a part hereof as Exhibit A, except for its users presently served by the City. It is specifically agreed that the City shall not serve any new water users in this area unless such potential user has been refused service by the Association, and neither shall the Association provide service to any user north of the boundary unless it is mutually agreed upon by the City and the Association. [Exhibit D attached to Amended Complaint] A graphic representation of OBWA's service area under the Contract is highlighted in blue on Exhibit A attached to this motion. r/ t� 2,13. OBWA has relied upon the established separate consumer territories of OBWA and CITY in making decisions about capital improvements to OBWA's system. [Par. 6 of Pearce Affidavit] 14. OBWA has applied for a water consumptive use permit from the South Florida Water Management District ( "the Water Management District ") to serve existing OBWA members and future potable water users in the area described in Exhibit A attached to this motion. [Par. 5 of Answer; Par. 10 of Fortner AffidavitJ For purposes of this notion, the scope of the application for a water consumptive use permit is limited to persons or entities —7 scope who are OBWA members. 15. In 1976, CITY sought. a modification of an existing water consumptive use permit issued to CITY by the Water Management District. In applying for the modification, CRAA CITY described a service area which included, in part, OBWA's service area. [Par. 11 of Fortner Affidavit] A graphic representation of the service area described by CITY in applying for the modification is highlighted in yellow on Exhibit B attached hereto. 16. In June 1983, CITY enacted Ordinance No. 488 purporting to claim a certain portion of Okeechobee County as a zone in which CITY is authorized to provide potable 5 \0I3 \CITY\M -PAR- SM.JMT 3 water service pursuant -to chapter 180. A copy of Ordinance No. 488 is attached hereto as Exhibit C. A graphic representation of the entire zone is highlighted in pink on Exhibit 1) attached hereto. The zone includes a portion of the area in southern Okeechobee County presently served by OBWA. 17. OBWA has been advised by the Water Management District that there is an overla between the service area described by OBWA in its application for a water consumptive use permi • he service ce area described by CITY in the water consumptive use permit already issued by the Water Management District. The Water Management District contends that it does not determine legal entitlement to service areas by competing utilities, and that when it appears that an applicant for a consumptive use permit is describing a service area already described in an existing permit, the applicant must demonstrate tavcrlap has been resolved with the existing permittee, the applicant has legal control over the overlap area. As to the overlap area in this case, the Water Management District has advised OBWA that the Water Management District will not issue a water consumptive use permit to OBWA until OBWA can establish that the overlap has been resolved with CITY or that OBWA has legal control over the overlap area. [Par. 12 of Fortner Affidavit] A graphic representation of the overlap area is made in Exhibit E attached hereto (the blue striped area between the blue and pink lines). 18. OBWA and CITY have been unable agree what will be OBWA's service area when OBWA builds a water treatment plant. [Par. 18 of Fortner Affidavit] 19. Each member of OBWA signs a potable water service agreement with OBWA. A meter is issued for each service agreement. A service agreement is always signed by at least one of the owners of the parcel being served by the meter. Frequently all of the co- owners of the parcel sign the service agreement. [Par. 19 of Fortner Affidavit] 20. Every parcel of land served by OBWA is owned by a member of OBWA. Each parcel served by OBWA has a meter owned by OBWA installed to serve the owner or owners with potable water. Each meter has been assigned a customer identification number which stays with the parcel, regardless of a change of ownership of the parcel served. [Par. 20 of Fortner Affidavit] 21. As of November 1, 1993, OBWA has 2,043 meters installed and issued to members who own parcels of land within the overlap area. [Par. 21 of Fortner Affidavit] 5 \013 \CI'I'Y\M- I'AR- SM.JMT 4 $22. The welll.fielc, water treatment plant and transmission lines OBWA has plans to construct will .e within the corporate limits of CITY, ®in CITY's consumer territory. [Par. 15 of Fortner Affidavit] `23. CITY has not constructed any water system facilities, similar to the ones OBWA intends to construct, immediately adjacent to the property upon which OBWA intends to construct facilities. [Par. .16 of Fortner Affidavit[ )24. The facilities OBWA intends to construct will not compete with CITY's existing consumer territory. [Par. 17 of Fortner Affidavit] Lk) Ax- - SUBSTANTIAL MATTERS OF LAW TO BE ARGUED AND GROUNDS FOR THE MOTION The substantial matters of law to be argued and grounds for this motion are: 25. OBWA is a private company duly authorized under the laws of the state to operate a "water works sysicW" as that term is used in Chapter 180. 26. OBWA currently operates a water distribution system serving in excess of 2,000 members in the overlap area. 27. A water distribution system is a "water works system" within the meaning of Chapter 180. 28. OBWA is not he agent of CITY in serving potable water to existing OBWA members. ,Ageltcy is a contractual relationship. The Contract does not contain any language creating an agency relationship wherein CITY is the principal and OBWA is the ���nJ�-�`I agent. N" '`' 29. The Contract does not contain any ambiguous language which requires the introduction of extrinsic evidence to determine whether the Contract was intended to create an agency relationship between CITY and OBWA. 30. OBWA is not a franchisee of CITY in serving potable water to existing OBWA Z1 members. A franchise is a contractual relationship. The Contract does not contain any { Qc�� language creating a franchise relationship wherein CITY is the franchisor and OBWA is the '," franchisee. 31. The Contract does not contain any ambiguous language which requires the introduction of extrinsic evidence to determine whether the Contract was intended to create 5 \OI3 \CITY\M- PAR - SM.JMT 5 a franchise relationship between CITY and OBWA. it tt 32. The fact that OBWA is a bulk water customer of CITY does not create an agency or franchise relationship between OBWA and CITY. 33. Assuming, arguendo, OBWA is a franchisee of CITY, CITY has no power to restrict or encroach upon OBWA's established property rights under the franchise to serve existing OBWA members. 34. From OBWA's inception in 1965, OBWA and CITY have maintained separate b1/41,0,5j consumer territories. Since 1970, OBWA and CITY have memorialized (with minor adjustments consented to by OBWA) the boundaries of their respective consumer territories. rr 35. OBWA has relied upon the established separate consumer territories of OBWA and CITY in making decisions about capital improvements to OBWA's system. 36. Pursuant to express terms of the Contract, OBWA has rights superior to any rights of CITY to serve the parcels of land owned by existing OBWA members which have a meter owned by OBWA installed thereon. 37. OBWA, as a private company within the meaning of Chapter 180, has a right to build a water treatment plant. 38. CITY has stated publicly that it has no objection to OBWA building a water treatment plant to serve existing OBWA members. 39. As interpreted by Florida case law, the last sentence of Section 180.06, Florida Statutes, which prohibits construction of similar utilities in the same or immediately adjacent territories without consent, was enacted in order to prevent wasteful duplicate capital investments by competing facilities in the same consumer territories. The purpose of the statutory provision was to prohibit direct encroachment by one utility provider into an operating area already served by another utility. As a result, this statutory provision does_ not prohibit OBWA from constructing a water treatment plant to serve existing OBWA members because OBWA and CI'T'Y have separate consumer territories,4nd because CITY has consented to OBWA building a water treatment plant to serve existing OBWA members) Moreover, CITY does not have any facilities constructed, similar to the ones OBWA intends to construct, immediately adjacent to the property OBWA intends to construct facilities upon. Furthermore, the facilities OBWA intends to construct to serve existing OBWA members will not compete with CITY's consumer territory. 5 \013 \CCI1'\M - PAR - SM.JMT 6 40. The adoption of Ordinance No. 488 by CITY did not create a mechanism by which CITY can prohibit a private company front building facilities to produce potable water. Chapter 180 allows a municipality to create a zone for mandatory hookup to a municipal sewerage system only. Nothing in Chapter 180 authorizes a municipality to create a zone for mandatory hookup to a municipal water system. Thus, the adoption of Ordinance No. 488 does not affect OBWA's right to build a water treatment plant to serve existing OBWA members. Furthermore, CITY has no right to interfere with OBWA's preexisting service area and preexisting right to serve existing OBWA members by subsequently annexin OBWA's service area into CITY's service area through the adoption of Ordinance No. 488. 41. The fact that CITY produces potable water, while OBWA currently only distributes potable water, does not give CITY any superior right to serve • existing OBWA members. One does not have to produce potable water to be able to serve it. One simply has to own a supply of potable water to serve it. CITY does not own the potable water served to existing OBWA members. OBWA owns the potable water it currently serves its members. The means by which OBWA obtains the water it serves existing OBWA members is legally irrelevant. OBWA has applied to the Water Management District for a permit which will allow OBWA to draw the water out of the ground to produce potable water to serve existing OBWA members. There is no statutory or contractual provision which limits OBWA to being a bulk water purchaser. OBWA has the right to become a potable water producer to serve existing OBWA members. AFFIRMATIVE DEFENSES This motion addresses each affirmative defense raised by CITY as follows: First Affirmative Defense: 42. CITY raises the affirmative defense that OBWA is not a private company under Chapter 180. However, the record establishes that OBWA is a private company as defined by Section 180.05, Florida Statutes, and that OBWA owns and operates a water works system. Second and Third Affirmative Defenses: 43. CITY pleads in its second and third affirmative defenses that a declaratory 5 \013 \CI'I'Y\M -I AR- SM.JMT 7 action is not needed for OB,,WA to continue operating a water distribution system. however, CITY incorrectly assumes OBWA has no right to become a potable water producer. Fourth Affirmative Defense: 44. CITY pleads in its fourth affirmative defense that CITY did not need to obtain the consent of OBWA in taking certain actions because OBWA does not own or operate a system similar to CITY. CITY's fourth affirmative defense does not apply to the question raised in this motion, wherein OBWA is seeking a determination of its right to serve existing OBWA members. Fifth Affirmative Defense: 45. In pleading its fifth affirmative defense, CITY admits that OBWA has not been, and is not operating in a territory immediately.adjacent to CITY, and for that reason, CI'T'Y did not need the consent of OBWA in taking certain actions. The same reasoning applies to OBWA's position that construction of a water treatment plant and well field to serve existing OBWA members will not violate the last sentence of Section 180.06, Florida Statutes, and because OBWA and CITY have separate consumer territories. Sixth Affirmative Defense: 46. In its sixth affirmative defense, CITY pleads that OBWA cannot serve its members absent the purchase of water from CITY. CITY's sixth affirmative defense incorrectly assumes or asserts that OBWA has no right to become a potable water producer. Seventh Affirmative Defense: 47. In its seventh affirmative defense, CITY pleads that OBWA must obtain the consent of CITY to construct a system, work, project or utility within CITY's Chapter 180 service area. OBWA does not need to obtain the consent of CITY to construct its well field or water treatment plant to serve existing OBWA members because CITY has admitted that OBWA is not operating in a territory immediately adjacent to CITY and because OBWA and CITY have separate consumer territories. Eighth Affirmative Defense: 48. In its eighth affirmative defense, CITY pleads that OBWA is guilty of laches in not opposing the adoption of Ordinance No. 488. The theory of laches does not apply to one's right to oppose the validity of a legislative enactment. Furthermore, Chapter 180 grants no authority for a municipality to create a protected zone for the supply of potable 5 \013 \CIrY\M - PAR - SM.JMT 8 water. Ninth Affirmative Defense: 49. In its ninth affirmative defense, CITY claims OBWA is the agent or franchisee of CITY in serving potable water to existing OBWA members. However, the plain and unambiguous language of the Contract establishes there is no contractual agreement between the parties creating an agency or franchise relationship. Tenth Affirmative Defense: 50. In its tenth affirmative defense, CITY pleads that OBWA has no superior legal right to either a service area or to serve existing OBWA members by virtue of the Contract. CITY's tenth affirmative defense completely ignores the express terms of Paragraph 7 of the Contract. The CITY's right to serve new potable water users within OBWA's service area has no bearing on the issue of OBWA's right to serve existing OBWA members. Eleventh Affirmative Defense: 51. CITY pleads in its eleventh affirmative defense that OBWA has no superior legal right to a service area or to serve existing OBWA members by virtue of the franchise granted by Defendant OKEECIOBEE COUNTY. As previously stated, OBWA does not base any of the grounds for this motion on the franchise granted by Defendant OKEECHOBEE COUNTY. As to all Affirmative Defenses: 52. The affirmative defenses raised by CITY do not apply to the issue of OBWA's right to serve existing OBWA members by building a water plant because CITY has stated publicly that it has no objection to OBWA building a water plant to serve existing OBWA members. WHEREFORE, OBWA moves for a partial summary judgment declaring: A. OBWA is a private company within the meaning of Chapter 180. B. OBWA is not the agent or franchisee of CITY in serving potable water to existing OBWA members. C. Under Chapter 180, OBWA has the right to build a well field and water treatment plant to serve existing OBWA members. D. The adoption of Ordinance No. 488 by CITY does not affect OBWA's right to build a well field and water treatment plant to serve existing OBWA members. 5 \OI3 \CI'I'Y\M- PAR -SM.J MT 9 E. "Existing OBWA members" are those members of OBWA as of November 1, 1993, as listed in Exhibit J attached to the affidavit of L. C. FORTNER, JR. in support of this motion. For purposes of this motion, the service area for existing OBWA members includes those parcels of land owned by existing OBWA members which have a meter owned by OBWA installed thereon, as depicted in Exhibit K attached to the affidavit of L. C. FORTNER, JR, in support of this motion. I HEREBY CERTIFY that a true copy of the foregoing has been furnished to John R. Cook, Attorney for Defendant CITY, by hand delivery on December. ', 1993, and to John D. Cassels, Jr., Attorney for Defendant COUNTY, by hand delivery on December 3v, 1993. 5 \013 \CITY\M - PAR -SM.J MT BURTON C. CONNER BURTON C. CONNER, P.A. Florida Bar No. 0254551 301 Northwest Fifth Street Okeechobee, Florida 34972 813 - 467 -8800 10 n+1 ..... Illoollmomoomoolmiolmolomosimomoo......11111.1•••••••••■■•••=111.INT.wominowomPeommoonl000mowoo ) — T, I -1 — • I • oo, • • rl cyrnr!i3 quAnienS Dtt,wtto Ant,` so. r.. 1.100 ; 4 i rip /14. • 1/o1 Oro C0120. .0(1.1.4110 Ant 50 rylo. Lake !I T / e, eec1io be N, 1 21— 1 0 Motion For Partial Sum. EXHIBIT A 4 Jmt. scALE /0 0 05 1 3 ko0115 0 0 5 2 3 1 1(11.0.E.TL.3 ••••••ol. 7 1,- Z-s 11141)A111. DROWNING TERRARI & 11111.51ROM, INC. OKEECHOBEE BEACH WATER ASSOCIATION, INC. rt moult) IL SURVIvORS nox 711 ittru1t, 111/110A 3111111 / /7 1111/11,1A1 111/A11 511111 7111 if int rirtit f. /1()/111/1, )11sn In (11,41 RAI rARKWAY SUM 120 SIUM11. /I (IRMA 34774 OVERALL SERVICE AREA BOUNDARY & AREA SERVED WELLFIELD & WATER TREATMENT PLANT SITES FIGURE 1 6 \ 6 12 SlooPh 77 StI SetrHSr1— wh�fn.r�nP reef r B.nf,on0 5,IM19. /I - nr,rr hell as OKIECIIOBEE. 599 .Set WSI .- I°.��.rb. . _•c '!AS Dmrint. Pe. 0 • s 7 Voth.oro•e Beech 44 L a k e . 0 Motion For Partial Sum. Jmt. EXHIBIT B e e c 12 o b e e CITY OF OKEECHOBEE SERVICE AREA FIGURE 1 • ORDINANCE NO. 488 Nose AN ORDINANCE AMENDING THE ORDINANCE CODE OF THE CITY OF OKEECHOBEE, FLORIDA; AMENDING CHAPTER 18, ARTICLE I PRO- VIDING FOR A NEW SECTION 18 -4 RECOGNIZING THE ZONE OF INFLUENCE AS BEING THE OKEECHOBEE 201 FACILITIES PLANNING AREA; AUTHORIZING PROJECTS; AUTHORIZING RULES AND REGULA- TIONS; PROVIDING AN EFFECTIVE DATE. NOW, THEREFORE, BE IT ORDAINED BY TIIE CITY COUNCIL'OF THE CITY OF OKEECHOBEE, FLORIDA AS FOLLOWS: SECTION I: Chapter 18, Article 1 is hereby amended to add Seciton 18 -4 which shall read as follows: CHAPTER 18 WATER, SEWERS AND SEWAGE DISPOSAL ARTICLE I IN GENERAL Section 18 -4. Okeechobee 201 facilities planning area - purposes allowed- authority to establish rules and regulations It is hereby declared the Okeechobee 201 facilities planning area conforms in all respects with the zone or area requirements set out in Chapter 180.02, sub - paragraph 3, Florida Statutes, and the City is authorized to conduct within this area any of the purposes contained in Chapter 180.06, sub - paragraph 1 through 9 and for the accomplishment of same, is authorized to establish reasonable rules and regulations relating to those purposes. Legal description of the 2.01. facilities planning area is as follows: Being all of Sections 27, 28, 33 and 34, Township 36 South, Range 35 East AND all of Sections 3 through 30, and Sections 32 through 36, Township 37 South, Range 35 East AND the West of Section 29, all of Sections 30 and 31 and the Northwest '-, of Section 32, Township 37 South, Range 36 East, AND the North } of Section 6, Township 38 South, Range 36 East lying North of Lake Okeechobee AND all of Sections 3, 4 and the North 1 of 5, Township 38 South, Range 35 East lying North of Lake Okeechobee. SECTION II: This Ordinance shall take effect upon its adoption. Introduced on first; reading and set for public hearing this 6th day of June , 1983. Introduced and passed on second and final reading this 20th day of Jrine 1983. ATTEST: City Clerk Motion For Partial Sum. Jmt. EXHIBIT C 5 Z 1" 10 1S :I _ Vales Ilr11 (11 J, _ 3, Whltptdnp pmt, AInPOnT M .Stt1Nf1 •: sh.lm.n 3, O k Motion For Partial Sum. Jmt. EXHIBIT D L a lc e. e C l2 o b e e CITY OF OKEECIIOBEE SERVICE AREA FIGURE; 1 10 AFFIDAVIT OF WILLIAM REESE IN SUPPORT OF DEFENDANT'S MOTION FOR CONTINUANCE / 4 c p, t 7i /�'Iv 7�• '� STATE OF FLORIDA: COUNTY OF OKEECHOBEE: BEFORE ME this day personally appeared, WILLIAM REESE (Affiant), who being duly sworn, deposes and says as follows: 1. Affiant is over 18 years of age and is competent to affirm statements. 2. Affiant has personal knowledge of the facts stated herein. 3. Affiant is and has been employed by and as such is the engineer for the City of Okeechobee responsible for the planning and design of the City's water treatment system. 4. As the engineer for the City, Affiant is familiar with the areas within and adjacent to the City that are served by the City's water system. Affiant is also familiar with some of the properties which have been purported by the Okeechobee Beach Water Association, Inc. ( "OBWA ") to be served by its system. 5. Affiant has learned from the Superintendent of OBWA that at least three of the properties listed by OBWA as "existing members" are, in fact, not receiving water from OBWA for either residential, commercial or any other type of use at the property. 6. Specifically, one of the properties listed as an existing member is the Coker Tract located in Sections 27 and 34, Township 37S, Range 35E. This tract of over 800( ?) acres is served by one inch line with a single meter that runs water into a horse watering trough. Such a line would be inadequate to provide water service to any residential or commercial use at this property. 7. A second property is the Roland Trust Parcel. This parcel consists of over acres of land with a single mobile home on it which is served by a inch water line installed by OBWA. Such a water line would be inadequate to provide water service for any other residential or commercial uses for this property. 8. A third property is the Oasis Village mobile home park. This property has a master meter in place which was installed by OBWA; however, Oasis Village does not consume water through this meter. Instead, Oasis Village receives its water from its own well and package water treatment system. 9. These properties represent only three of the 2,043 meters represented by OBWA to have been installed for its existing members as of November 1, 1993. These three examples raise the distinct possibility that there are other properties which, while they may have meters and active service agreements with OBWA, do not, in fact, receive water service from OBWA. Additional investi- gation is required to determine whether there are other instances where "existing OBWA members" do not receive water service from OBWA. FURTHER AFFIANT SAYETH NOT. William Reese SWORN TO and SUBSCRIBED before me this day of January, 1994, by WILLIAM REESE, who produced a Florida Drivers License as identification and did not take an oath. NOTARY PUBLIC, State of Florida My commission expires: May 4, 1982 Memorandum To: David Conlon From: RCF Subject: Case law water /sewer mandatory connection Claude Mullis gave me the following citations on Florida cases involving mandatory connection of water or sewer or both: Water only: 6f} -SOT f HOWE v. C.H. Turner Construction Company :, 3 -2_33 Sewer only: 184 SO. 2nd, Page 707 Combination water and sewer: 34 SO. 2nd 309 27 SO. 2nd 118 !i It is Claude's opinion the city can force a person to connect with a water system only where sewer is not available and vice versa. Please let me know if I can furnish you any additional information. Richard C. Fellows RCF /rl cc: L.C. Fortner, Jr.v/ 05/21/93 09:57 $813 763 1031 CASSELS & McCALL 444 JOHN COOK Q002/002 �,�nueuq�gi Board of Count Commissioners °�? . p" Y � � s�E�L1� a County Attorney Okeechobee County �. 101 I. Cassels �e, ,►�..�_�, Zee ..'t +'$ May 21, 1993 John Cook, Esquire City Attorney 202 N.W. 5th Avenue Okeechobee, FL 34972 Post Office Box 968 209 N.W 4th Avenue OKEECHOBEE, FLORIDA 34972 (813)467 -6900 • Fax 1763 -1031 Re: Chapter 164 Notification Our File No: 7047 Dear John: Pursuant to our recent telephone conference, please be advised that the County is in receipt of your letter to Commissioner Harvey notifying Okeechobee County that the City intends to file a claim pursuant to Chapter 164, Florida Statutes. We are in the process of scheduling the meeting required by Section 164.103. It is my understanding that you are concerned with regard to a thirty day time period from the Okeechobee Beach Water Franchise adoption date, within which to institute an action to challenge either the adoption or effect the ordinance. So that this limitation does not impede our continuing settlement negotiations, the County agrees that Section 164.105, Florida Statutes will toll the otherwise applicable period within which to appeal or challenge the ordinance until July 3, 1993. look forward to continuing our discussion to arrive at a mutually agreeable settlement. With kindest regards, I am Very truly yours, D. CASSELS, J JDC /_jad cc: Mr. Christopher Chinault Mr. Charles Harvey Susan 83'hiughes Tommy Close Clif Betts, Jr. District 1 District 2 District 3 Stephen Porter Charles W. Harvey District 4 District 5 County Administrator F.S. 1991 BOND FINANCING Ch. 159 r tl e 9 3l 1r 6 31 s iy Is d le in .ir is 1s of CHAPTER 159 BOND FINANCING PART I REVENUE BOND ACT OF 1953 (ss. 159.01- 159.19) C�-3ART 11 FLORIDA INDUSTRIAL DEVELOPMENT FINANCING ACT (ss. 159.25- 159.431) PART 111 INDUSTRIAL DEVELOPMENT AUTHORITIES (ss. 159.44- 159.53) PART IV HOUSING FINANCE AUTHORITIES (ss. 159.601- 159.623) PART V RESEARCH AND DEVELOPMENT AUTHORITIES (ss. 159.701- 159.7095) PART VI PRIVATE ACTIVITY BONDS (ss. 159.801- 159.816) PART VII TAXABLE BONDS (ss. 159.821- 159.8291) PART 1 REVENUE BOND ACT OF 1953 159.01 Short title. 159.02 Definitions. 159.03 General powers. 159.04 Neither credit nor taxing power pledged. 159.05 Purchase of projects. 159.06 Improvement of projects purchased. 159.07 Construction of projects. 159.08 Revenue bonds. 159.09 Trust agreement. 159.10 Revenues of projects. 159.11 Trust funds. 159.12 Remedies of bondholders and trustee. 159.13 Revenue refunding bonds. 159.14 Alternative method. 159.15 Tax exemption and eligibility as investments. 159.16 Additional pledge of faith and credit. 159.17 Lien of service charges. 159.18 Collection of charges. 159.19 Additional pledge of excise taxes. 159.01 Short title. -This part I of chapter 159 shall be known and may be cited as the "Revenue Bond Act of 1953." History. -s. 1. ch. 28045, 1953, 159.02 Definitions. -As used in this part, the follow- ing words and terms shall have the following meanings, unless some other meaning is plainly intended: (1) The word "municipality" shall mean any city, town, village or port authority in the state, whether incor- porated by special act of the Legislature or under the general laws of the state. (2) The word "unit" shall mean any county or munici- pality in the state, now or hereafter created or estab- ished. (3) The term "governing body," as applied to a County, shall mean the board of county commissioners, and as applied to a municipality, shall mean the council, Commission or other board or body in which the general legislative powers of the municipality shall be vested. (4) The word "project" shall include all property, rights, easements, and franchises relating thereto and deemed necessary or convenient for the construction or acquisition or the operation thereof, and shall embrace waterworks systems, sewer systems, gas systems, bridges, causeways, tunnels, incinerator and solid waste disposal systems, harbor and port facilities, mass transportation systems, expressways, marinas, civic auditoriums, sports arenas, parking facilities, and theme and amusement parks. (5) A project shall be deemed "self- liquidating" if, in the judgment of the governing body, the revenues and earnings thereof and other special funds pledged there- for as provided in this part, will be sufficient to pay the cost of maintaining, repairing and operating the project and to pay the principal and interest of revenue bonds (as hereinafter defined) which may be issued to pay the cost of such project or improvements thereof. (6) The term "revenue bonds" shall mean the obliga- tions issued by a unit under the provisions of this part to pay the cost of a self - liquidating project or improve- ments thereof or combination of one or more projects or improvements thereof, and payable from the earnings of such project, and any other special funds authorized to be pledged as additional security therefor under this part. Whenever the word "bonds" is used in this part, it shall be deemed to mean "revenue bonds," unless the specific term "general obligation bonds" is used. (7) The word "bridge" and the word "tunnel" shall include not only the bridge or the tunnel but also all structures and equipment connected therewith and the approaches thereto and approach roads. (8) The word "causeway" shall mean any raised road or way over and across any marshy ground, swamp, river, bay or water in the state, the bridges or tunnels and structures connected therewith, and the ap roaches k Y aches thereto and approach roads. The term "waterworks astern: stern_' shall mean and sha include water supply systems, water distribution systems and any integral part thereof, whether inside or outside the unit, and shall include but shall not be limited to reservoirs, wells, intakes, mains, laterals, aqueducts, pumping stations, standpipes, filter stations, purification plants, hydrants, meters, valves and equipment. psa jgoW aL.5 927 s. 468.526 1992 SUPPLEMENT TO FLORIDA STATUTES 1991 s. 468.548 History. —ss. 8, 17. ch 91 -93; s. 4. ch. 91 -429; s. 132, ch. 92 -149. 'Note. — Repealed effective October 1,2001, by s. 17, ch. 91 -93, and scheduled for review pursuant to s. 11.61. 468.540 Short title.— Sections 468.540- 468.552 may be cited as the "Water and Wastewater Operators Certification Act." History. —s. 2, ch. 92 -75. 468.541 Purpose. —The Legislature finds that the threat to the public health and the environment from the operation of water and wastewater treatment plants mandates that qualified personnel operate these facili- ties. The sole legislative purpose in enacting ss. 468.540- 468.552 is to ensure that every person who operates a water or wastewater treatment plant meets minimum requirements for professional practice. It is the legislative intent that any person who performs the duties of an operator and who falls below minimum com- petency or who otherwise presents a danger to the pub- lic be prohibited from operating a plant or system in this state. History. —s. 2, ch. 92 -75. 468.542 Definitions. —As used in ss. 468.540- 468.552, the term: (1) "Department" means the Department of Profes- sional Regulation. (2) "Domestic wastewater collection system" means pipelines or conduits, pumping stations, and force mains and all other structures, devices, appurtenances, and facilities used for collecting or conducting wastes to an ultimate point for treatment or disposal. (3) "Domestic wastewater treatment plant" means any plant or other works used for the purpose of treat- ing, stabilizing, or holding domestic wastes. (4) "Operator" means any person, including the owner, who is in onsite charge of the actual operation, supervision, and maintenance of a water treatment plant or domestic wastewater treatment plant and includes the person in onsite charge of a shift or period of opera- tion during any part of the day. (5) "Public water system" means a community, non - transient- noncommunity, or noncommunity system for the provision to the public of piped water for human con- sumption, provided that such system has at least 15 ser- vice connections or regularly serves at least 25 individu- als daily at least 60 days out of the year. The term includes: (a) Any collection, treatment, storage, and distribu- tion facility or facilities under control of the operator of such system and used primarily in connection with such system. (b) Any collection or pretreatment storage facility or facilities not under control of the operator of such sys- tem but used primarily in connection with such system. (6) "Water distribution system" means those compo- nents of a public water system used in conveying water for human consumption from the water plant to the con- sumer's property, including pipelines, conduits, pump- ing stations, and all other structures, devices, appurte- nances, and facilities used specifically for such purpose. (7) "Water treatment plant" means those compo- nents of a public water system used in collection, treat- ment, and storage of water for human consumption, whether or not such components are under the control of the operator of such system. History. —s. 2, ch. 92 -75. 1468.543 License required. —A person may not per- form the duties of an operator of a water treatment plant or a domestic wastewater treatment plant unless he holds a current operator's license issued by the depart- ment. ✓ History. —s. 2, ch. 92 -75. 'Note. — Seclion 6, ch. 92 -75, provides That "Itthis act shall lake effect October 1, 1992, however, operators certified by the Department of Environmental Regulation as of October 1, 1992 shall be deemed to be licensed by the Department of Profes- sional Regulation until the expiration of the term of their certification" 1468.544 Utility, requirements by. —A utility may have more stringent requirements than set by law, including certification requirements for water distribution systems and domestic wastewater collection systems operations, except that a utility may not require a person licensed under s. 489.105(3) to have any additional license for work in water distribution systems or domes- tic wastewater collection systems. History. —s. 2, ch. 92 -75. 'Note.— Section 6, ch. 92 -75, provides that Tiflis act shall take effect October 1, 1992, however, operators certified by the Department of Environmental Regulation as of October 1, 1992 shall be deemed to be licensed by the Department of Proles - sional Regulation until the expiration of the term of their certification." 468.545 Authority to adopt rules. —The department may adopt rules necessary to carry out the provisions of ss. 468.540- 468.552. History. —s. 2, ch. 92 -75. 468.546 Technical Advisory Council for Water and Domestic Wastewater Operator Certification. —The secretary of the department may appoint a technical advisory council as necessary. History. —s. 2, ch. 92 -75. 468.547 Fees. —The department shall, by rule, establish fees to be paid for applications and examina- tion, reexamination, licensing and renewal, renewal of inactive license, reactivation of inactive license, record - making, and recordkeeping. The department shall establish fees adequate to administer and implement ss. 468.540- 468.552. (1) The application fee may not exceed $100 and is not refundable. (2) The renewal fee may not exceed $100 and is not refundable. (3) All fees collected pursuant to ss. 468.540- 468.552 must be deposited into the Professional Regula- tion Trust Fund. History. —s. 2, ch. 92 -75. 1468.548 Requirements for licensure.- (1) Any person desiring to be licensed as a water treatment plant operator or a domestic wastewater treat- ment plant operator must apply to the department to take the licensure examination. (2) The department shall examine any applicant who meets the criteria established by the department for licensure, submits a completed application, and remits the required fee. (3) The department shall license as an operator any applicant who has passed the examination under this section. 1428 S. 46 (4) crite requ a Ire onsit (5) that to di prior Hlst, 'Note 1992. h as of 0 slonal I 146 (1' recei (2) proc (3) bienl catty (4) and the c kv noHh 'Nott is 9 as 19 o1 2, C t Nonal1 46 (1' licen fee. (2: licen tion (3' 4 ye appli (4) dept ee's becc `,them HLH 46 (1) (a) en 'unlel ��dorr other for in hims ofa (c) (d: for tl ' (e) cusp Ch. 190 COMMUNITY DEVELOPMENT DISTRICTS F.S. 1 (18) "Revenue bonds" means obligations of the dis- trict which are payable from revenues derived from sources other than ad valorem taxes on real or tangible personal property and which do not pledge the property, credit, or general tax revenue of the district. (19) "Sewer system" means any plant, system, facil- ity, or property, and additions, extensions, and improve- ments thereto at any future time constructed or acquired as part thereof, useful or necessary or having the pres- ent capacity for future use in connection with the collec- tion, treatment, purification, or disposal of sewage, including, without limitation, industrial wastes resulting from any process of industry, manufacture, trade, or business or from the development of any natural resource. Without limiting the generality of the forego- ing, the term "sewer system" includes treatment plants, pumping stations, lift stations, valves, force mains, inter- cepting sewers, laterals, pressure lines, mains, and all necessary appurtenances and equipment; all sewer mains, laterals, and other devices for the reception and collection of sewage from premises connected there- with; and all real and personal property and any interest therein, rights, easements, and franchises of any nature relating to any such system and necessary or conve- nient for operation thereof. (20) "Water management and control facilities" means any lakes, canals, ditches, reservoirs, dams, levees, sluiceways, floodways, pumping stations, or any other works, structures, or facilities for the conservation, con- trol, development, utilization, and disposal of water, and any purposes appurtenant, necessary, or incidental thereto. The term "water management and control facili- ties" includes all real and personal property and any interest therein, rights, easements, and franchises of any nature relating to any such water management and control facilities or necessary or convenient for the acquisition, construction, reconstruction, operation, or maintenance thereof. (21) "Water system" means any plant, system, facility, or property and additions, extensions, and improve- ments thereto at any future time constructed or acquired as part thereof, useful or necessary or having the pres- ent capacity for future use in connection with the devel- opment of sources, treatment, or purification and distri- bution of water. Without limiting the generality of the foregoing, the term "water system" includes dams, reser- voirs, storage, tanks, mains, lines, valves, pumping sta- tions, laterals, and pipes for the purpose of carrying water to the premises connected with such system, and all rights, easements, and franchises of any nature relat- ing to any such system and necessary or convenient for the operation thereof. History. —s. 2, ch. 80 -407; s. 2, ch. 84 -360; s. 10, ch. 87 -363; s. 2, ch. 91 -308. 190.004 Preemption; sole authority. — (1) This act constitutes the sole authorization for the future establishment of independent community devel- opment districts which have any of the specialized func- tions and powers provided by this act. (2) This act does not affect any community develop- ment district or other special district existing on June 29, 1984; and existing community development districts will continue to be subject to the provisions of chapter 80- 407, Laws of Florida. (3) The creation of an independent commun development district as provided in this act is not development order within the meaning of chapter All governmental planning, environmental, and la development laws, regulations, and ordinances apply all development of the land within a community devel ment district. Community development districts do have the power of a local government to adopt a c prehensive plan, building code, or land developm code, as those terms are defined in the Local Gove ment Comprehensive ''planning and Land Developm Regulation Act. A district shall take no action which inconsistent with applicable comprehensive plans, or nances, or regulations of the applicable local gene purpose government. History. —s. 2, ch. 80 -407; s. 3, ch. 84 -360; s. 27, ch. 85 -55; s. 34, ch. 87 190.005 Establishment of district — (1) The exclusive and uniform method for the esta lishment of a community development district with size of 1,000 acres or more shall be pursuant to a ru adopted under chapter 120 by the Florida Land a Water Adjudicatory Commission, granting a petition f the establishment of a community development distr. (a) A petition for the establishment of a commune development district shall be filed by the petitioner wi the Florida Land and Water Adjudicatory Commiss The petition shall contain: 1. A metes and bounds description of the exte boundaries of the district. Any real property within t external boundaries of the district which is to excluded from the district shall be specifical described, and the last known address of all owners such real property shall be listed. The petition shall al address the impact of the proposed district on any r property within the external boundaries of the distr which is to be excluded from the district. 2. The written consent to the establishment of district by the owner or owners of 100 percent of the r property to be included in the district or documental. demonstrating that the petitioner has control by deed trust agreement, contract, or option of 100 percent the real property to be included in the district. 3. A designation of five persons to be the ini members of the board of supervisors, who shall serve' that office until replaced by elected members as pro vided in s. 190.006. 4. The proposed name of the district. 5. A map of the proposed district showing current major trunk water mains and sewer interceptors and out falls if in existence. 6. Based upon available data, the proposed timeta- ble for construction of the district services and the est. mated cost of constructing the proposed services These estimates shall be submitted in good faith but shall not be binding and may be subject to change. 7. A designation of the future general distribution location, and extent of public and private uses of lard proposed for the area within the district by the future land use plan element of the effective local government comprehensive plan of which all mandatory elements have been adopted by the applicable general - purpose local government in compliance with the Local Govern. F.S. 1991 fhent Comprehensive Regulation Act. 8. An economic *ith the requirement; (b) Prior to filing 1 1. Pay a filing fe each municipality the Otis with, or contain a external boundaries 2. Submit a cop. b each municipality 1 us with, or contain 9 external boundar (c) Such county Conduct a public he7 the petition to the fac public hearing shall the date the petition Is requested by the p or municipality. The public hearing may t or objection to the gr Land and Water Adj ust base any obje pon the factors spe municipality may Objection at the Flc mmission hearinc Silty to present relev, (utIon. 1(d) A local publ conducted by a hee Applicable requirem ttative Procedure Al *ritten comments o Specified in parago an accessible local rhunity developmer 1toner shall cause a ill a newspaper at IE vtieeks immediately shall give the time Von of the area tc description shall in• to be covered by Information which may require. The that portion of the Classified advertis shall be published Won in the count' ship in the commu tipursuasement nt shall app chapt stleast5days to aw community is pub ffected units of g the general publi appear at the hea ments on the pet; (e) The Florid; ssion shall cons Ing, the transcript 1158 Ch. 153 WATER AND SEWER SYSTEMS CHAPTER 153 WATER AND SEWER SYSTEMS PART I COUNTY WATER SYSTEM 01 N 5SA SANITARY SEWER FINANCING (ss. PART II COUNTY WATER AND SEWER DISTRICTS (ss. 153.50-153.88) ( PART I COUNTY WATER ES SYSTEM AND SANITARY 153.01 Short title. 153.02 Definitions. 153.03 General grant of power. 153.04 Construction supply systems, water of sewage disposal system m improvements, systems, and sewer improvements. 153.05 Water system improvements and sanitary sewers; special assessments. 153.06 Issuance of bonds. 153.07 General obligation bonds. 153.08 Water and sewer district general obligation bonds. 153.09 Water revenue bonds and sewer revenue bonds. 153.091 Combined systems; issuance of bonds. 153.10 Call for bids. 153.11 Water service charges and sewer charges; revenues. 153.12 Collection charges. I cation of Avenues. 153.13 APP 153.14 Trust funds. 153.15 Remedies. 153.16 Water revenue refunding bonds. 153.17 Sewer revenue refunding bonds. 153.18 Exemption of property from taxation. 153.19 Private water supplies. 153.20 Alternative method. 153.01 Short title.—This part shall be Sanitary may be cited as the "County Water Sewer Financing Law." History. —S. 1. ch. 29837, 1955. 153.02 Definitions. —As used in this part the follow- ing words and terms shall have the following meanings unless some other meaning is plainly indicated: several (1) The word "county" mean under thehauthority counties of the statoperating 9 granted by this chapter. (2) The term "county commission" or the word "com- mission" shall mean the board of county commissioners s granted by ment, the cost of all lands, P apncin charges, interest t any county operating under the p and franchises acquired, 9 this chapter. prior to and during construction and for 1 year specifications, com- include The term "water system" tanks, mean and shall pletion of construction, cost of plans include any plant, property wells, pipes, reuse, leor having sthe p surveys facility, or property used or useful or ha� t9 the engineering costs and services, andfall other expenses tem, y present capacity for future use in connection service F.S. 1991 obtaining and supplying water for human consumption, fire protection, irrigation, consumption by business, or consumption by industry, and, without limiting the gen- erality of the foregoing definition equipment and shall all nec- essary appurtenances and eq p all property, rights, easements and franchises relating to any such system and deemed necessary or convenient for the operation thereof. improvements" shall (4) The term "water system imp include all water pipes or lines, valves, meters, and other water- supplying equipment within the county other than such equipment as constitute a part of the water supply system and shall embrace water mains and late is for s the of carrying of water to the p connected there the with and for carrying such water from some part supply system. (5) The term "sewage disposal system" shall mean and shall include any plant, system, facility or property used or useful or having the present capacity for future use in connection with the collection, treatment, purifica- tion or disposal of sewage, and without limiting the gen- erality of the foregoing definition shall embrace treat- ment plants, pumping stations, intercepting sewers, pressure lines, mains, and all necessary appurtenances and equipment and shall include all property, rights, easements and franchises relating to any such system and deemed necessary or convenient for the operation thereof. improvements" shall include all (6) The term "sewer and sewers within the county f a other ewage disposal sys- tem, lines as constitute a part and shall embrace sewer main sand laterals for the e reception of sewage from p art the of the with and for carrying such sewage to some p sewage disposal system. (7) The word "facility" shall mean such water sys- tems, sewage disposal systems, water system improve- ments and /or sewer improvements or additions thereto as are defined by this chapter. (8) The word "cost" as applied to a water supply sys- tem or extensions or additions thereto or to w supply improvements or to a sewage die p at or exten- sions or additions thereto or to sewer imp rovements shall include the cost of construction or reconstruction, the cost of all labor, materials, machinery easemenpts and 868 Ch. 153 rated areas are in extreme pl r facilities, of such sewage dis- that it is the intent of e, construction or of all labor, materials, machinerY and posal and water supply equipment, cost of all lands and interest therein, prop- ' coun- ht s easements and franchises of any nature WATER AND SEWER SYSTEMS F.S. 1991 and p� ties of the state to alleviate such conditions in such unin- corporated areas. History. —s 2, ch 59 -466. 153.52 Detinitions. —As used in this law, the follow- ing words and terms shall have the following meanings, unless some other meaning is plainly intended: (1) "District" shall mean any unincorporated contigu- ous area comprising part but not all of the area of any county created into and existing as a water and sewer district pursuant and subject to this law, having the rights, powers and privileges granted in this law. (2) "Board of county commissioners" shall mean the board of county commissioners of the county in which a district created pursuant to this law is located. (3) "District board" shall mean the board of county commissioners of any county constituting the governing body of any district as provided for in this law, and act- ing for and on behalf of such district as a body corporate and politic. (4) "Sewer system" shall mean and shall include any plant, system, facility or property and additions, exten- sions and improvements thereto at any future time con- structed or acquired as part thereof, useful or necessary or having the present capacity for future use in connec- tion with the collection treatment purification or dis- er y, g whatsoever, financing charges, interest prior to and dur- ing construction and for not more than 2 years after com- pletion of the construction or acquisition of such water system or sewer system or extensions, additions or improvements thereto, the creation of initial reserve or debt service ft.dnds, bond discount, cost of plans and specifications, surveys and estimates of costs and reve- nues, cost of engineering, financial and legal services, and all other expenses necessary or incidental in deter- mining the feasibility or practicability of such construc- tion, reconstruction or acquisition, administrative expenses and such other expenses as may be neces- sary or incidental to financing authorized by this law, and including reimbursement of the county or any other person, firm or corporation for any moneys advanced to a district for any expenses incurred by a district or county in connection with any of the foregoing items of cost, or the creation of such district. (7) "Assessable improvements" shall mean that por- tion or portions of a sewer system or a water system of a local nature and of benefit to the premises or lands served thereby and particularly, without limiting the gen- erality of the foregoing, with reference to a sewer sys- tem, shall include, without being limited to, laterals and mains for the collection and reception of sewage from remises connected therewith, local or auxiliary pump- N posal of sewage of any nature or originating from any ing or lift stations, treatment plants or disposal p an s, source, including industrial wastes resulting from any and other appurtenant facilities and equipment for the processes of industry, manufacture, trade or business collection, treatment and disposal of sewage; and with or from the development of any natural resources; and reference to a water system shall include such mains without limiting the generality of the foregoing definition and laterals and other distribution facilities, pumping shall embrace treatment plants, pumping stations, lift stations, and sources of supply as are of benefit to the stations, valves, force mains, intercepting sewers, later- property served by such water system together with als, pressure lines, mains and all necessary appurte- incidental equipment and appurtenances necessary nances and equipment, all sewer mains and laterals for therefor. the reception and collection of sewage from premises (8) "District clerk" shall mean the clerk of the circuit connected therewith, and shall include all real and per- court and ex officio clerk of the board of county commis - sonal property and any interest therein, rights, ease- sioners in and for any county having or establishing a ments and franchises of any nature whatsoever relating district pursuant to this law, who shall be clerk and treas- to any such system and necessary or convenient for'the urer of the district. operation thereof. (9) "Revenue bonds" shall mean bonds or other obli- (5) "Water system" shall mean and include any plant, gations secured by and payable from the revenues system, facility or property and additions, extensions derived from rates, fees and charges collected by a dis- and improvements thereto at any future time con- or s scs or ootheaacilwhich may water system structed or acquired as part thereof, useful or necessar ewer system, or having the present capacity for future use in connec- secured by a pledge of the proceeds of special assess- tion with the development of sources, treatment or purifi- ments levied against benefited property or by a pledge cation and distribution of water for domestic or industrial of the full faith and credit of the district, or both. use l include dams, generality torage tanks, ma mains, other obligations secured bonds" he full shall mean bonds or and credit and shall ivc i es for taxing power of the district and payable from ad valorem lines, valves, pumping stations, laterals, and pipes 9 P the purpose uccarrying stem and shall include all real eal con- nd district, collected on of rate or amount, in nected with such system property hy therein, additionally s by pledge either s easements and francisesof any nature whatsoever prroceedsofspecial assessments levied against bene- relating to any such system and necessary or conve- fited property, e system, obothrived from said water sys- nient for the operation thereof. 11 sewer r "Assessment bonds" shall mean bonds or other (6) "Cost" as applied to the acquisition and construe- (11) ea le bonds or other tion of a water system or a sewer system or extensions, obligations secured by and payable or improvements thereto shall include the cost assessments levied against benefited lands, and which 880 City of Okeechobee 55 S.E. Third Avenue • Okeechobee, Florida 34974 - 2932.813/763 -3372 August 25, 1992 Burton C. Conner 301 N.W. 5th Street Okeechobee, Florida 34972 Re: Beachwater Dear Burton: Enclosed please find Beachwater checks nos.9486; 9860; & 9995 which I have held since mailing, in reference to the additional costs to produce water billed to your client due to the various engineering fees for our new system. Considering our mutual interests concerning the provision of water service to the entire Okeechobee area, and the City's continued and ongoing attempt to work with Beachwater towards that goal, we have determined that we would all be better served by withdrawing our claim for these costs at this time. In light of the current developments with Water Management and the move towards a utility authority, we reiterate our willingness to meet with you all, the County, or combination thereof at any time. Kindest Regard ohn R. Cook City Attorney xc: John Drago June 3, 1992 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. Ben Loftin City of Okeechobee 55 S.E. Third Avenue Okeechobee, Florida 34974 -2932 Dear Mr. Loftin: I have reviewed the water bills submitted for the months of January, February, and March, 1992. I have corrected the errors and recalculated the bills. The totals are as follows: DATE TOTAL OF BILL AS SUBMITTED BY CITY January 1992 $31,074.33 TOTAL OF BILL AS ADJUSTED BY OBWA DIFFERENCE $21,650.59 $ 9,423.74 Meter reading was also corrected, which added 711,000 gallons to the total gallons for January. February 1992 $27,315.30 $19,472.23 March 1992 $21,518.27 $161034.24 $ 7,843.07 $ 5,484.03 TOTALS $79,907.90 $57,157.06 $22,750.84 Attached for your review is a copy of the corrected pages. The telephone bills you submitted on May 22, 1992, were the total paid from the Public Utilities operating fund. According to the agreement, the total phone bill for the water treatment plant, plus 25% of the phone bill for the Public Utilities office should be included in the bill calculations. The total phone bills paid from the Public Utilities operating fund includes phone bills for the sewer plant, w/s maintenance yard and several others. I called Lola, in order to save time, and obtained the correct totals to be used in the calculation of the water bills. Attached is Check No. 9994 in the amount of $57,157.06, payable to the City of Okeechobee for that portion of the bills which is undisputed. Mr. Ben Loftin June 3, 1992 Page 2 We are submitting Check No.9995 in the amount of $22,750.84, payable to John Cook Trust Account and a copy of this letter to City Attorney John Cook. This check is for the amount of the bills which is disputed and to be held in escrow by John Cook, until the City and OBWA reach an agreement on the disputed portions. Please contact this office if you have any questions concerning the recalculation of the water bills. Yours Truly, )6LL4.c,c- L. C. Fortner Jr. Superintendent LCF /PDV CC: Burton Conner John Drago /John Cook BURTON C. CONNER, P. A. ATTORNEY AT LAW 301 NORTHWEST FIFTII STREET OKEECIIOBEE. FLORIDA 34972 April 9, 1992 John R. Cook, Esquire 202 Northwest Fifth Avenue Okeechobee, Florida 34972 Re: Water Bills From the City 4 TELEPHONE 18131 467 -8800 FACSIMILE (813) 467 -6316 Dear John: The water bills submitted by the City for the months August, September, October, November, and December, 1991, have been reviewed by L. C. Fortner. Several errors were found, and the bills have been recalculated. Attached please find the memo from o L. C. with attachments explaining the recalculations. lso enclosed is OBWA's check in the amount of $88,001.29, payable the City of Okeechobee for that portion the trust bills which in undisputed, together with a check pay able to your the amount of $21,123.45 for the portion which is disputed. The check payable to your trust account is delivered to be held in escrow by you until City and OBWA reach an agreement on the disputed portions. BCC /glc cc: L. C. Fortner Enclosures COOK - CR.APR Sinc rely, Burton C. Conner &LA - cucA. BURTON C. CONNER, P.A. COUNSELOR AT LAW 301 N.W. FIFTH STREET OKEECHOBEE, FLORIDA 34972 August 30, 1991 1813) 467 -8800 John R. Cook, Esquire 202 Northwest Fifth Avenue Okeechobee, Florida 34972 Re: OBWA contract with City of Okeechobee Dear John: L. C. Fortner has provided me with a letter he received from Susan Groover this week, a copy of which is attached. Please notice Paragraph 3. Could you please clarify with Susan what we discussed at your office and my follow -up letter dated August 23, 1991. It seems to me the four of us should meet. Please advise. Sincerely, Burton C. Conner BCC /glc cc: L. C. Fortner Enclosure COOK2- CR.AUG City of Okeechobee 55 S.E. Third Avenue • Okeechobee, Florida 34974 - 2932.813/763 -3372 August 23, 1991 Mr. L. C. Fortner, Jr., Superintendent Okeechobee Beach Water Association, Inc. 8840 Highway 78, West Okeechobee, Florida 34974 -9787 RE: April 1991 Bill Dear Mr. Fortner: In response to your letter of June 25, 1991, we offer the following: 1. Item 4, PU Office Telephone The telephone bill paid by the Public Utilities office for April was $500.60. Twenty -five percent of this amount is $125.15. Enclosed is a copy of that page of the general ledger showing this line item. 2. Item 6, Repairs and Maintenance An error was made in developing the bill. The ledger indicates a check sent to the company, "Chlorinator Replacement." I was wrong in assuming that this amount was spent on a new chlorinator. The bills indicate that the check was for 2 gears, 2 shaft pins, 2 screws, 2 washers, 2 lock washers, 4 shafts, 12 cotter pins and 1 feed screw unit. As you are familiar, parts of this type are very, expensive. The total cost for these items is $1401.16, which is included in the total line item of Repairs and Maintenance. 3. Item 10, Outside Special Services John Cook met with Burton Connors, and they determined that these costs are legitimate expenses to be included in the Beach bill. If you have any questions, please do not hesitate to call. Very Truly Yours, Susan S. Groover, PE Interim Director of Public Utilities SSG /be Enclosures LAW OFFICES JOHN R. COOK 202 NW 5TH AVENUE OKEECHOBEE, FLORIDA 34972 TELEPHONE (813) 467 -0297 FAX (813) 467 -4798 January 22, 1992 Division of Corporations P. 0. Box 6327 Tallahassee, FL 32314 Re: BeachWater Association, Inc. Dear Sir: Please forward me copies of articles of incorporation and by -laws for the above corporation. Thank you. Kindest regards, /s/ JOHN R. COOK JRC:vs FLORIDA DEPART\'IEtiT OF STATE Jim Smith Set ",tare January 28, 1992 John Cook 202 N.W. 5th Ave. Okeechobee, FL 34972 SUBJECT: BEACHWATER ASSOCIATION, INC. We are in receipt of your recent letter requesting certification. The records of this office do not reflect an entity by the above name, either foreign or domestic, active or dissolved. Should you have any questions regarding this matter, please call the Certification Section at (904) 487 -6053. DAVID DEWELL Division of Corporations Division of Corporations, PO Box 6327, Tallahassee, Florida 32314 LAW OFFICES JOHN R. COOK 202 NW 5TH AVENUE OKEECHOBEE, FLORIDA 34972 TELEPHONE (813) 467 -0297 FAX (813) 467 -4798 January 22, 1992 Division of Corporations P. 0. Box 6327 Tallahassee, FL 32314 Re: Dear Sir: Please forward me copies of articles of incorporation and by -laws for the above corporation. Thank you. Kindest regards, JOHN R. COOK JRC:vs Florida Department of State, Jim Smith, Secretary of State Filing fees for corporations, limited partnerships and other business en- tities were increased effective July 1, 1990 by the Florida Legislature. Please make a note of these changes in your records. Profit and NonProfit Florida Corporations Filing Fees $35 Certified Copy $52.50 Registered Agent Designation $122.50 Certified Copy of any record Change of Registered Agent Reinstatement Annual Report Amendment of any record Dissolution & Withdrawal Articles of Correction Revocation of Dissolution Certificate of Status Resignation of Reg. Agent (Active Corporation) CORPORATION BASIC FEES Foreign Corporations Filing Fees $35 Certified Copy $52.50 Registered Agent Designation $122.50 Foreign Non Profit Corporations Filing Fees $60 Certified Copy $52.50 Registered Agent Designation saa $52.50 Merger $35 Trade & Service Marks $175 Trade & Service Mark Renewals $61.25 Trade & Service Mark Assignment $35 Name Reservation $35 (120-day non - renewable) $35 Foreign Name Registration $35 Foreign Name Renewal $8.75 Resignation of Reg. Agent (Inactive Corporation) $87.50 Substitute Service of Process (Chapter 48) $147.50 $35 for each party $87.50 per class $87.50 per class $50 $35 $87.50 $87.50 $35 $8.75 LIMITED PARTNERSHIP CERTIFICATE /APPLICATION AND BASIC FEES Filing Fees $52.50 minimum - $1750 maximum Registered Agent Designation $35 The filing fee is based on the total amount contributed and anticipated to be contributed by the limited partners as shown in the affidavit at a rate of $7 per $1000. The filing fee for an Application to Register a Foreign Limited Partnership is based on the total amount contributed by the limited partners allocated for the purpose of transact- ing business in the State of Florida at a rate of $7 per $1000. Certified Copy $52.50 (15 pages or less. $1 for each additional page after initial 15 pages) Reg. Agent/Office change $35 Affidavit Increasing Contributions $7 per $1000 on increase only ($52.50 minimum - $1750 maximum) Affidavit Decreasing Contributions $52.50 Amendment (other than specified above) $52.50 Name Reservation (120 days) (non renewable) Certificate of Status $ 8.75 (Certificate of Fact) Cancellation $52.50 Resignation of Registered Agent $87.50 L.P. Annual Report $7 per $1000 of invested capital ($52.50 minimum - $437.50 maximum) Reinstatement $35 ($500 for each year or part thereof the partnership was revoked plus the delinquent annual report fees) DIVISION OF CORPORATIONS, P.O. BOX 6327, TALLAHASSEE, FL 32314 CR2E058 (7 -90) BURTON C. CONNER, P.A. COUNSELOR AT LAW 301 N.W. FIFTH STREET OKEECHOBEE, FLORIDA 34972 August 23, 1991 1813) 467 -8800 John R. Cook, Esquire 202 Northwest Fifth Avenue Okeechobee, Florida 34972 Re: OBWA contract with City of Okeechobee Dear John: I discussed with L. C. Fortner the objections he has registered to the billing statements from the City concerning engineering fees. The matter has also been discussed with the Board of Directors. OBWA's position is that the contract does not contemplate engineering services for expansion of the plant or anything connected with the sewer system. Perhaps it would be best for you and I to sit down with Ms. Groover and L. C. if Beach Water is not correctly understanding the nature of the engineering fees the City is attempting to charge us for. Also, please be advised that Beach Water does not intend to prepare a preliminary draft of any new contract for water. Because the City seems to be so disgruntled about the wording of the existing contract, we fee it would be best for the City to prepare the preliminary draft. Beach Water still stands by its resolution that a new contract must be signed on or before October 1, 1991. Burton C. Conner BCC /glc cc: Leland Pearce, President L. C. Fortner, Superintendent COOK - CR.AUG ,,iii.... OKEE 0 90: ,,,.,� City of Okeechobee 55 S.E. Third Avenue • Okeechobee, Florida 34974 - 2932.813/763 -3372 October 17, 1991 Mr. Steve Porter, Chairman Water and Sewer Task Force c/o Board of County Commissioners 304 NW 2nd Street, Room 106 Okeechobee, Florida 34973 Dear Mr. Porter: The City Council would like to request a meeting of the Water and Sewer Task Force to discuss the Final Report of water and sewer options developed by PMG Associates, Inc. We are in receipt of the Final Report which provides input to define our direction; however, we believe that a session should occur which would determine how best to use this data to chart a course in utility services to best meet the needs of the overall community. Please contact us at your earliest convenience when this meeting could be scheduled. Thank you. JEK /ssg /res C:];7 ames E. Kirk Mayor Truly Yours, cc: City Council Okeechobee Beach Water Association Okeechobee Business Council City of Okeechobee 55 S.E. Third Avenue • Okeechobee, Florida 34974 - 2932.813/763 -3372 October 17, 1991 Mr. Leland Pearce Okeechobee Beach Water Association 8840 HWY 78 West Okeechobee, Florida 34974 Dear Mr. Pearce: The City has completed the pilot study on the ground water well field. Preliminary indications regarding water quality and quantity are generally positive. We would like to take this opportunity to invite the Okeechobee Beach Water Association to remain with the City as a water customer. We need to determine the size of our new facility; obviously, Beach's intentions will affect this decision. We would be pleased to meet with you to discuss contract details at your earliest convenience, if you feel this would be appropriate. This decision must be made within the next two weeks in order for the City to meet the requirements of the Florida Department of Environmental Regulation. Please respond as soon as possible. Thank you. JEK /ssg /res cc: City Council Truly Yours, James E. Kirk Mayor BURTON C. CONNER. P.A. COUNSELOR AT LAW 301 :N8i\O12TIIWEST FIFTH STREET ()IiEEC!IOBEE. FLORIDA 34974 May 29, 1991 Honorable James E. Kirk, Mayor City of Okeechobee 55 Southeast Third Avenue Okeechobee, Florida 34974 Re: Negotiations for New Contract For Water 1813) 467 -8800 Dear Mayor Kirk: This letter will confirm the mutual agreement between the City Council and the Board of Directors of Okeechobee Beach Water Association to select a committee of six to make recommendations for the main points of a new contract for water. The new contract is to begin when the present contract expires. The City Council will select three members of the committee, and Okeechobee Beach Water Association will select three members. It was further discussed and agreed that the committee would not begin its work until after PMG Associates, Inc., completes its study, which will take approximately six weeks after the consultant is officially hired. Finally it was discussed and agreed that once the consultant completes its work, the City representatives on the committee would meet and draft a proposal on the manner in which the water charge would be calculated. The representatives of Beach Water would review the proposal and then the full committee would meet to begin discussing recommendations to the Council and the Board of Directors for a new contract. If your understanding of the plan of action y plan vi. Z'i iv any different,' please advise. Sinc BCC /glc urton C. Conner cc: Leland Pearce, President L. C. Fortner, Jr., Superintendent John R. Cook, Esquire KIRK2- CR.MAY ® & 1989 MIRAGE STUDIOS. OKEECHOBEE BEACH \A! A.TER ASSOC SAT ON, INC. April 26, 1991 Ms. Susan S. Groover City of Okeechobee 55 S.E. ThirJ Avenue Okeechobee, Florida 34974 RE: System Capacity Charges Dear Ms. Groover, In reply to your letter to Mr. Leland Pearce, dated April 24, 1991, we submit the following: Peak PAID by OBWA Month Average GPD March 1985 640,065 $140,065.00 February 1986 662,321 22,256.00 February 1987 677,543 15,222.00 February 1988 655,862 -0- February 1989 775,929 98,386.00 February 1990 717,769 -0- Total $275,929.00 In 1987, the Ok.-7.7.h,;bee Beach Water Association paid the system capacity charges thle peak usage of 677,543 gallons per day. In 1988, the peak usage of 655,842 gallons per day was less than the peak of 1987, therefore, no system capacity was due the City in 1988. Ire 19n), tga1 imat ,.visage of 775,929 gallons per day less the 677‘543 gallons per day paiJ for aim 1987, left a balance of $98,386.00 due the City. This was paid on Ayz-1 26, 1989, by check number 8109. Page 2 of your letter to Mr. Pearce, shows the 1987 peak to be 655,862 gallons per day, but should have been 677,543 gallons per day. 8840 Hwy 78W 34974 RO1i c aroaci Qc5XE • OKEECHOBEE, FLORIDA 3X472 • PHONE 763 -3793 OKEECHOBEE BEACH WATER ASSOCNATION, INC. Page 2 Ms. Susan S. Groover According to my calculations, the Okeechobee Beach Water Association has paid the City for the peak usage of 775,929 gallons per day. No additional money is due the City at this time. Please give me a call if you have any questions. Yours Truly, Landon C. Fortner, Jr.. Superintendent LCF/ m j m 8840 Hwy 78W 34974 i@atmvat4x)ap x®owsxi • OKEECHOBEE, FLORIDA 3347(2 • PHONE 763 -3793 / l'' OXf, 111 0 ~O 14 ' , s. \O n% Z t City of Okeechobee . 7 1/ -_�OR10 ,1 55 S.E. Third Avenue • Okeechobee, Florida 34974 -2932 • 813/763 -3372 April 24, 1991 Mr. Leland Pearce Okeechobee Beach Water Association 8840 HWY 78 West Okeechobee, Florida 34974 Dear Mr. Pearce: In accordance with our agreement of August 6, 1985, this letter will bring you up to date on the systems capacity charges for the Okeechobee Beach Water Association for the time period of September 1989 to August 1990. The OBWA monthly usage statistics are as follows: Month Gal /Month Gal /Day (Avg) Sep 89 14,318,000 477,267 Oct 89 15,433,000 497,839 Nov 89 17,681,000 589,367 Dec 89 19,876,000 641,161 Jan 90 20,692,000 667,484 Feb 90 20,095,000 - 717,679 * Peak Mar 90 21,642,000 698,129 Apr 90 17,181,000 572,700 May 90 16,083,000 518,806 Jun 90 14,270,000 475,667 Jul 90 14,114,000 455,290 Aug 90 14,696,000 474,065 Peak daily average usage occurred during February 1990 of 717,679 gallons per day. This amount of water is less than the peak daily average usage of 1989 of 775,929. As defined in our agreement, the annual invoice for the systems capacity charge for 1990 is zero. In reviewing our records of previous billings, we have discovered that the amount billed in 1989 was in error. The peak daily average usage for 1988 was 655,862 gallons per day; therefore, the bill should have been calculated as follows: 775,929 - 655,862 = 120,067 gpd X $1.00 per gpd = Less amount previously received = Total owed to City = 120,067 gpd $120,067.00 $ 98,386.00 $ 21,681.00 Mr. Leland Pearce April 24, 1991 Page 2 It appears that the peak daily average for 1987 of 655,862 gpd was used in the determination of the 1989 systems capacity charge, when the 1988 value should have been used. If you have any questions, please do not hesitate to call. Very Truly Yours, )Skt.)-(A.^— Susan S. Groover, PE Interim Director of Public Utilities cc: Finance Office �M1 i OKEECHOBEE BEACH WATER ASSOCIATION, INC. April 20, 1989 Mr. John Drago City Administrator 55 S.E. Third Avenue Okeechobee, Florida 34974 Dear Mr. Drago, This association wants to correct any misunderstanding which may occur as a result of your letter of January 16, 1989 (enclosed copy). Our concern is your statement that this association is agreeable to converting the present contract cost provisions into a single rate. The two members of the board who met with you on November 16, 1988, did not agree to cancel the present contract in favor of your proposal, but agree to consider it. The directors feel that the current contract is still valid with more than five years remaining and that the end result of negotiations is to amend the contract to provide for additional water rather than cancelling for some other agreement. In order to avoid any further confusion, we are sending copies of your letter of October 6, 1988 and the association's letter of October 18, 1988, and your response of January 16, 1989 to each member of the city council and the city attorney. As states in our letter of October 18, 1988, we are ready to have our representatives meet with you at a mutally satisfactory time to discuss this matter. Leland Pearce, President Okeechobee Beach Water Assoc. CC: see Page 2 ROTIT - #tmtxiifOXY511 • OKEECHOBEE, FLORIDA,3a mmx • PHONE 763 -3793 34974 8840 Hwy 78W City of Okeechobee Office of City Administrator January 16, 1989 Mr. Leland Pearce President Okeechobee Beach Water Association, Inc. 8840 Highway 78 West Okeechobee, Florida 34974 Dear Mr. Pearce: At our November 16, 1988 meeting, which was our first and only meeting and discussion, your association was agreeable to have the current contract costing provisions converted into a single rate. The rate of $1.10 includes a 25% surcharge, permitted by Florida law, and charged to all customers in the county. The $1.10 rate will be adjusted, upward, after the city borrows the money for its water plant expansion. The service availability charge will.now be billed monthly, rather than yearly. This will help your association better manage your cash flow, and avoid having to pay a large sum at one time (i.e. the $140,065 service availability charge you paid in 1985). The rate schedule was designed to be used for any wholesale account - current or future; therefore, some of the rates in the schedule may not apply to your association but may apply to other wholesale customers. After your review, the city can prepare the necessary contract to present to your association for approval; which in turn will be presented`to the city council for their approval. Sincerely, // n J. Drago ity Administrator sf 55 S.E. Third Avenue • Okeechobee, Florida 34974 -2932 • 813/763-3372 RATE SCHEDULE FOR WHOLESALE CUSTOMERS 1. Water volume charge per 1000 gallons - $1.10. 2. Water service availability monthly charge: METER SIZE 8" 1 0" 1 2" CHARGE $4,000.00 6,000.00 8,000.00 3. Emergency rate surcharge for water conservation: Surcharges to be applied to water gallonage rate per 1000 gallons when deemed necessary by the city council. PERCENT REDUCTION IN PERCENT SURCHARGE APPLIED WATER USAGE REQUIRED GALLONAGE CHARGE 0% 10% 25% 50% 0% 25% 60% 125% 4. Customer deposit will equal the estimated billing for two months. 5. Service Re- connect: During business hours After business hours 6. Temporary disconnect: Turn -off charge $25.00 50.00 25.00 7. Billing and collection of utility fees or third party billing: a. Initial set -up charges: Create a file Computer program maintenance Accounting services b. Charge for billing 5.00 2.50 per 1/4 -hour 2.50 per 1/4 -hour 1.00 per account 8. Water meter installation including turn -on: Meter installation charge will be based upon the actual cost of installation. 9. Labor and material for services: Labor, straight time Labor, overtime Material 10. Meter Re -read: Standard scheduling By appointment Meter re -read charges reading was incorrect. 1.3 x actual labor dollars 1.5 x straight time 120% of actual cost $25.00 per occurrence 35.00 per occurrence are not applicable if the initial 11. Meter Test - $30.00 per test. Meter test charge is not applicable if the meter is inaccurate by AWWA•Standards. 12. Delinquent Fee - 2.5% of delinquent amount due. 13. Service disconnect for nonpayment: One within 15- months $25.00 per occurrence Two within 15- months 35.00 per occurrence Three or more within 15- months 50.00 per occurrence 14. Removal of service line: Charge based upon actual replacement cost (labor and materials) plus a 10% surcharge or $100.00, whichever is greater; per occurrence. 15. Reinstallation of a service line removed for nonpayment of charges: Charge based upon actual replacement cost (labor and materials) plus a 10% surcharge or $100.00, whichever is greater; per occurrence. 16. Straight line removal - $100.00 per occurrence. 17. Destruction of meter and /or related equipment: Charge based upon actual replacement cost (labor and materials) plus a 10% surcharge or $100.00 whichever is greater; per occurrence. 18. Illegal turn on or tampering with a water meter - $50.00 per occurrence. 19. Returned check - $25.00 per occurrence OKEECHOBEE BEACH WATER ASSOCIATION, INC. October 18, 1988 Mr. John J. Drago City Administrator City of Okeechobee 55 S.E. Third Avenue Okeechobee, Florida 34974 RE: Contrace.between City $ Okeechobee Beach Water Association Dear Mr. Drago, In reply to your letter of October 6th, OBWA is willing to contribute a fair -share amount toward the construction costs for the $6,000.000 water treatment plant expansion. For your information, OBWA in the past has contributed a total of $275,000 toward the construction costs of new Raw Water Facilities and new Clearwell. In addition, we have paid a System Capacity Charge of $177,543 to the City. The water bills for members of OBWA have never been subsidized by the customers of the City's water system. The existing contract between OBWA and the City has not expired and is fair to both parties in that it requires the Association "to pay monthly to the City 100% of the actual cost to the City of producing the water, plus an additional 15%". Debt service and depreciation of the present worth of the City's Water Plant are included in the actual cost of producing water. We are ready to have our representatives meet with you at a mutually satisfactory time to discuss this matter. Sincerely, Leland Pearce President LP /mjm cc: Attorney Selmi Okeechobee News Engineer J.H Weaver K515c114xltxd3QXina( • OKEECHOBEE, FLORIDAx3 0( • PHONE 763 -3793 8840 Hwy 78W'Y! 34974 October 6, 1988 City of Okeechobee Mr. Leland Pearce President Buckhead Enterprises, Inc. 250 Buckhead Ridge Okeechobee, Florida 34974 Dear Mr. Pearce: Office of City Administrator At Tuesday's city council meeting the contract between the city and your organization was discussed. As you are aware, the city is considering a 6- million dollar water treatment plant expansion project. The estimated rate increase to present water customers is 50 %. In order to equalize the impact of the rate increase, the city is desirous of renegotiating our present contract for water consumption, and negotiating a separate contract for debt service. With the water treatment plant expansion, the city would be in a much better position to supply you with more water; thereby enabling you to expand your distribution system to new customers and increase your revenue base. We would appreciate knowing a time when we can meet to discuss this matter. Sinc - rely, ,� J. rago ty A.'inistrator sf 55 S.E. Third Avenue • Okeechobee, Florida 34974 -2932 • 813/763-3372 rd6 3303 P4GE1:154 NOTICE OF UTILITY LIEN Inc conditions of this claim of lien are as follows: Applicant /owner hereby elects to proceed under Chapter 18, Article IV, Section 18-561 of the Code of Ordinances of the City of Okeechobee, Florida allowing applicant /owner an extended pay plan of thirty -six (36) months for sewer connection fees and sewer system capacity charges. Applicant /owner- understands that in the event applicant /owner sells or disposes of his property, as hereinafter described, or is delinquent in the payment of connection charges or sewer system capacity charges, the payment of these charges, to the City, shall become immediately due and payable thereon. Applicant /owner shall take notice that the City shall have a lien provided hereon on said property, pursuant to Section 159.17 Florida Statutes, until such time as the connection; charges and sewer system capacity charges tore paid by applicant /owner. Such lien becomes effective if full payment due of connection charges and system capacity charges is not made im- mediately, to the City, upon change in ownership of said property or upon a delinquency in the payments of said connection charges and sewer system c zpacity charges. Applicant /owner r:nclertands that once the partial and /or full pa} rnents due of connection and system capacity charges have been made, to the City, the City shall there upon release said lien, partially or fully, accordingly. Wherefore, applicant /owner hereby agrees to proceed under the extended payment plan described herein and to follow the foregoing conditions of this claim of lien. WIT ESSES FOVAPP1', ANT /OWNER: 7 a Rk i c. APPLICANT /OWNER/ , APPLICANT /OWNER, A1ND TO ()THERS WHOy1 IT MAY C`ONCERN: YOU G,'ILL PLEASE TAKE NOTICE YOU ARE NOTIFIED THAT THE CITY OF OKEECHOBEE, A 11'IvIICIPALITY, IN THE COUNTY OF OKEECHOBEE, STATE OF FLORIDA, IN PU Y!Y\NC1E OF THE CONTRACT Ac.;REEMLLNT HEREIN WITH 4'_r f 1'c_' PAY SEWER CONNECTION AND SYSTEM CAPACITY Y CHARGE TINDER AN EXTENDED PAYMENT PLAN, HAS, HOLDS AND INTENDS TO MAI LIAIN A LIEN UPON THE FOLLOWING DESCRIBED LOT, PIECE OR PARCEL OF . ND, SITUATE, LYING AND BEING IN THE CITY OF OKEECHOBEE, COUNTY OF Y' ECHOBEE AND STATE OF FLORIDA, KNOWN AND DDESC ZIB,,EDAS: Y� r�. LLL t,t J / /2/4.Z4 ,CZ; / ' lir cite -Z. FOR THE SUM OF /.0 Z . 4.t e ,tCG��L DOLLARS ($ �D Y ' ) INCLUDING ALL LAWFUL FEES AND CHARGES AS AFORESAID. 6 308 PACE1155 IN WITNESS WHEREOF, The City of Okeechobee has caused this NOTICE OF LIEN be s_gned in its name, by its Mayor, and its corporate seal to be affixed and attested by its City Clerk this 1 / ay of �� , 19 ' , in City Hall in the City of Okeechobee, County of Okeechobee and the State of Florida. City of Okeechobee: BY ATTEST: STATE OF FLORIDA: COUNTY OF OKEECHOBEE: I HEREBY CERTIFY that on this day, before me, the undersigned, a notaryjyblic in and, or the State of Florida at large, personally appeared ('/ ��r1 ���2� /3 and he , l .- . '� - / tomato me well known to be the Mayor and City lerk, respectively, of the City of Okeechobee, and known to me to be the persons who exe- cuted the foregoing NOTICE OF LIEN for the City of Okeechobee as well Mayor and City Clerk: z rid they severally acknowledged executiorio:f same to be their free act and deed by authority and on behalf of the City of Okeechobee for the use and pur- poses therein expressed. WITNESS ray hand and official seal at Okeechobee, said aunty and state on this " day of �.0 �Ew , 194 ? . NOTARY: PUBLIC, STMT. OF FLORIDA AT LARGE NOTARY PUOLIC SLATE OF FLOR10a • MY COMMISSION EkP. APR 15,1950 BONDED IHRU GENERAL INS. UND. ca r d pia OM. WOO CO r CJ1 April 19, 1989 City of Okeechobee Ms. Leiand Pearce President Okeechobee Beach Water Association, Inc. 8840 Highway 78 West Okeechobee, FL 34974 Dear Mr. Pearce: Office of City Administrator The city mailed to you a proposed rate schedule for wholesale customers. The new rate for water consumption was converted into a single rate as we had discussed on November 16, 1988. We hope that you and your staff have had an opportunity to review the rate schedule. The city is interested in meeting with you concerning the rate schedule. As you may be aware, the city seems to have only one additional item to add to the water plant expansion before we are permitted. The city is exploring financial arrangements to pay for the water plant expansion. If you require any additional information, please let me know. Also please let me know when we can meet. Sincerely, Jo J' Drago C y dministrator 55 S.E. Third Avenue • Okeechobee, Florida 34974 -2932 • 813/763 -3372 w o3 Q 0 C Lu COUNCIL ACTION xxxx xxxxx Mayor Kirk called the April 20, 1993 meeting to order at 7:00 p.m. A. Call meeting to order on April 20, 7:00 P.M. Clerk Thomas called the roll: 444.4 c c c c c a)a,rorow co co co co co w of 4, 4, Q- Q, 0) 0 Q� ro(c).- cu c a 0) "C o ro 2 ro o. 5/20Z a $2 _2 o O 0 o U o0 Op Q Q E U N +,. O U WU j 0 `"- o 5 O U E ro� Q c a) a, a, a, 0 •J W 0 0 co co co co (/) o CC 0 12 ; � a 0 a6aa U WO C. Mayor and Council attendance: CD O, ,c 15 o Z L. a(II ,-- RI L. > a O, c "CF.. roCZ 0 0, °' U 'di al c4- W� �s aroi w 9_ C'3 � rn L. c 4. — cis O .o 2 �cc0tz octo(� Q YO �� U -c� a' 2 c Wa�`wa`,a` �'�i� aorn WEEEE ai t `o.a -' - •�' °' `asEEEE c� ^'RIcU 42 a5' .1 1 1 1 O 1 \ •1 L. 0 C C C C C .0 m "` C CO O C C C C O� E..- 0. g E Q ro o o o o cts E L. N O; Q ScUUUU z OQ v, o Stal O 3 5 0 0 0 St o 0 43 m 0 mom• oC CD00 co 0 D' 0 Eb 0cD 4 o `D cD m 3ONVNIU iO O0 nO in `1) s? A,,, n) ti o,. V LCD �Wp hl •ii 1ty A N rn :, nXi rn 0) 1 0 m Motion to approve Warrant Registers for March, 1993: O 1/4OmZ-< ° 0. DZ) m v' m (0 0- DJ O Qma) Q 0. 0 `CD `z o °a3' 0 0cD 0 Q1 — cD CD 0 ° o o'Cr n N cD Dzi o 0 Q o m o, PUBLIC HEARING at 7:05 p.m. for Ordinance cncwj ai �0Z x o w 0 A c ve °.o =1 =ill 0� � C''� Q ZOOn` o° 00 Cr 43 s< °ACa -,3 tb a �O PiW j 0 Q DJ 0)aa ) a _ m m ^.. Q, Q. ca. ~'c° w sv C74, v'0 W N 0 `tea. C N <° W - to�4 n �OQ�O `a) o LD°ca�aa a N A) a 0, ..co am O ai a. Q -' Q. 0 b ,.00 C CD � 0 C � n. m QQw m a CD 0 4a) ZZ`� a) a rri rn, o Q a) co to Flo?-, (Ci) (C1) Q v' -' :3 W CD (0 (0 y to tlo Qoz) 3 c o w cD -� c��Dm(n (,ago 0 0 z CO rn n Z N ein5ad - C66 z 10 Z abed - 6upeen ti W y m Q O 2 W COUNCILMEMBER ACTION Attorney Cook read Ordinance No. 655 by title only as follows: Discussion was held among Council and Attorney Christiansen. ct Q W o Q PUBLIC HEARING CONTINUED LC A. Reading of Ordinance 655 continued: B. Motion to adopt Ordinance 655. C. Public Comment. •uopo/N UO aeon rn DapZ� m O �A�prnT o c a. o 0 y��p�X c� ° n� c ��X0 � `° 0 R • �, c) j za)DJz� O jsz Q. co ZD7�7ZK J nom co �o 0 3 0 �<2 0c O 3 0R. CD ), D7 O •y• O' , cD n ; t a7 , O. O' O ° 0 D , ° cp Fri O O w x°,300 w �� 2) Q. w c Q, `° ~ o 0 cp `� fv O cD ° a+ R• te. Q a"mma' a p1 O1:a� Q p 0 p� j y a, a• R fb '.i O cp ^* O O Fit N Q n 0 0: m .-� Q 0 0 S� -om° �' Q p' O W 0 p ? O n n Q N(Q fn 1D ° CD Urn O 0 oaa vow cp cp < < n cp &o ~ 1 ki n.a, �� o A a �� 0 �• ^ i. z' cr c m R- () al, 3 m : pepuewa s8 gg g 1 ti 0 0 0 0 0 d m Lcn Z 0o April 20, 1993 - Regular Meeting - Page 5 of 21 W y Q O z J 7 ti COUNCILMEMBER ACTION C m o � Ems' a) rocc a) a) -a) ro0 0 00) • a)� • CD O ci CC .0 - U L) E a) ;c O Q U • • roU ti oCI) QQO U a2.Q Attorney Cook read Ordinance No. 656 by title only: PUBLIC HEARING CONTINUED LL c\i W N p •uopo1N uo 9.10n quewwo0 oi/gnd -0 •ggg eoueuipjo 4dope of uo!,oV •8 0311NI.NO0 JNINd3H 0178ld ii,g1,521 1 orti... 0 o o O OA Z � R3of j 'ro o j l TO� O � o � %V. n ZD3 7 oo m� OOrn -< ZDoDtZ (t) nO 0 y O W D =7 A y O 7 O DJ 04 -6 tIS E23 eN m o n� m Q. 0 °4 V , c) D Q Cr D � i A obO D tea' o al p 0 O v 0 O 04 g @ 04 ' Dzi CD FS 0 41 oo 0 O cD 0 cD cD a O_ 244 cD Z -D., iP 90 g c) R, gptitt t.,,W :999 -ON aoueu!pJQ ./dope o.7 uopow uo aion O • W ,Z2 O E2. . ;x cD - ((D Q. 0"1 M sl o4 cD , Q O (D co O `C 0. o O 3 a) O O O 't) 0 O Q 3 0 . (?D n (D cc - O n O) U1 Sr? co co 0 0 O a cD a aJaM aiayl NOLLOV N38W3W710Nf O0 xxx >< x kxxxx t O 0o y y N L Z to 9 abed - 6 &Dean Je/n5ad - 061. L April 20, 1993 - Regular Meeting - Page 7 of 21 W ONO Q Z COUNCILMEMBER ACTION ^ • ^,Ip2yooUp ^4 �n a� CD ro c U p o Ww �y 3 coa h O �,� ca o q����q�� � °moo ro w �p�'�wA Z Z 0 v v•_' a� E_,� c�'')R4 o^ ataa4a4o c cu cu 6 a)iroroo. ororoC.) Vo�a 1011Z11 W� �a •c �' �' c °� �� o p oo p a a-czo :a` 6 ��j�C $Hh1Iq Oq a o cti L. o,0 o.c >,a' 46 -a a- 4.4 gl 3 mac ai c o .E :---ii. p��p 4Oer,1�jI hE�i 812 U C C Q% N �t V C 04 a.° °� ���� 3 cow o.o � CU Itzg 8�' ogao roro c c U E,o� aWoaW� ro. ro �roc00Evoa) "- o o �, 0 �•.� pU c m ce, 0 ;xi ��WO WWO roo ro z- `cEa) �,�'`o ro ro 1) q ., ��ax Jp E� 4.0 °' x E i3 U S> - EQ Q"" o �UV 0 st o h w L U a) U Uj o -c U R U a) -- �oa acv c a E -o.� ppp O O R,O ,, -Y. a w��y`Iw4'O C��oR E-o ro °o� c „co ,ro c 0 c o o o o h o o a' a -` 0 as co cu ,�, CU ro ro 4 44 ° ;12 E� Y croro»�c`a'cc -c Lb 0 o a sQ o oU roc 0Loat�UhL O �' "c Q (0U O c re PUBLIC HEARING CONTINUED Li A. Reading of Ordinance 657 continued: ri B. Motion to adopt Ordinance 657. Public Comment. U O SS3NISn9 M3N ONI1d t13H 0178nd 3SO73 Mayor Kirk closed the PUBLIC HEARING at 7 :34 p.m. •uo4 oW uo aJofl .0 F.0 C. Discussion continued: '�; rs co (0 a om? o'1 O c 0 ' O O < c M O n D (j Q cD O . oO Zo Fe.) �~llr ..0 5. i-64 o-, - Z Do Z tr o W 0 0 a vpi o m T1. D3 Z otodim��cp�i 0 O C ((DD 0) 00� W y `C < C y. iii 0) O O O t O p n y W ii (D (D : O cD ON y ' (D .-, N ti x 1Q O O c C D '+ cq 0 (D O ' W ilo a, N (D b C 0 a Q ; � - j n 0 «Q 0 Z p 0 cD O (D v, 9-. -1 c(0 j o ° a w 2 2= (� ' .‹ 0 y-0 p 3 pn Q 00 O -9 (-,5- ii. ��0 Q.Qei Qn j'_ 5. W a) j y �' (D (D T O(D N Q D Q 0 W ? 0 0 0 (D O O ca D 43 co (D p• c) ti FS O O n 1 'D (D (D -a• 0 4 5.. � c)(= •o(9,b045 0 (D ,� N 3 cD Si) 0 `C _ St o•S� • D'0 ° �'� o o w -� ".8 0 Q S.' (7 a Cr- 0- O O OQ� o O , iv O (/) O b 002"Z`-b+013 3 O9.° U3nNLLNO0 ONIW 3H 0f8nd N eln5e& - 866 L LZdo8a6ed -5 cn O O 00 O W 20, 1993 - Regular Meeting - Page 9 of 21 COUNCILMEMBER ACTION Vote on motion to approve water utility agreement: C a) -0 -cc a) o c >. a) ro i - a) �-' 3 a� b b CO CI) . roa) .c0�ai ,nom c E � o.c az'i .ena moo, ='o) a) • '73 -c a) C 0 o L. >. ` 0O o -c E U aw al (CI o �"� a) a)o�s ?o co m�,ro �' cb • rob a) 'C rn� tC. ;.:. 3' o 4 c 0) aa)) U 0 a) as ''' O) as t Qs L �� obi a)0 o)�o oa)n• ' �3 k• . rot.: Q1 .2,) O E E O w E a it Ea o ct ro' CD o.ro0) I-- 494 O co ° • c 0 Q 0 a Q o• a (u a o i= o 0 c 0 o cod �0E .._ 10)i bac`ts • b ' • Cr 4-) c QS �'"' Q- L- E= o� a'-ca) cx-C b 4 b o a) QJ CD CO C IS! o 44 b c 1 3Iti • • rooms E a)wcu b ro � 3 ro L. C Ecc C c O)4 C • O U t% O cu 0 U O o �Q. QU oo'o U ro� o o `� O WZp roN4 p • � ro °o CC a) a) cC a) : Q EroE L. .-S CC Q Eats "E o- a� ta 0 cc OU a) a) roo 0 QU a)ro0�a) �� • ZCC CC Z ESE z,2 aa; ZccccZ E�o`'E �' �,'� ›- ZYOO c0 0 • U .C"'' .C.3 ro-c >.Z OO U ` • 0 Qp �O- -1f—F= o o ro 4a, Y�O��. c a).� c ,.c �ZUQQO o 0 0 -o ro a) ro zZUaCRO o ai o o c ao'i 211J0 Z U;cU Q o.;S.c YW.04 Z Ucp 0 U:r.:...o qzt Q NEW BUSINESS CONTINUED HCA Realty, Inc. continued: ,S\ :penuquoo speod J9498 Q3fNI1NO3 SS3NISt18 M3N "0 G) m N j 2 �. CC/) j O „, cD ? 0 O 4 Q. co gv; c 0 n• v, <C m lb co cr cD CO Co 0 -J co w 3 o 0 Q 0 c�D ry new cr a 0�3 M O 0 1 N tr"` 0 0 z0 CO CD co 0. Fo- CDD n. m c -ti -r co ti 0 a Q. C cD m 0 CO ccb o0'QQ o. O u- O o~ 3 aci)0 om m w w ? -0 c°m�0 p D8 o `4acj�(0 0 �sl" w �, 0 a13 cn Ti O W 9: (c) (t, O AI i-13 in w m y tDw� °0 c c a 0 , (D a as •A 0 o a °n0m _,,O 0 CD CD , O O 0 Do O m w hi 0 'E'• D O W 0 cD O c""n 4 q 5' o c 'mm(0: 1!U• Z�o]oZ z?O'� 0 D 0 a Da 0 0 (0 m 0 cD ova � O M `D �o tr � a o c C �• ' Q. N c m� C7 4 _• CD al 0 0 y j 0 CO - CDD O o CD W 0 0 CD (0 (0 Vote on motion to approve partial pay request: NOLLOV lI38W3W7IONROO 0 CO (0 CO CD LZ 10 W. abed - 5upeen 0 co N April 20, 1993 - Regular Meeting - Page 11 of 21 W co °z Lu y COUNCILMEMBER ACTION Item was withdrawn from today's agenda. ..... a) co = aa>..co aa) E C3 as a) 0) V :� co C ro c) •° .,- c • . — v a) •C O c ,'c., c a°) a) ro D 0 U o•° al ro-0 o 3 a�o O)m � -0a)a.ccocob*0 as a Q O o ro (el c v m C • . ''- o a� O O • c O ro L. ro 3 as •� -° 4 v o v) cu E ro o ro c� � '`Ca�o) O3ca-c Vs " :U a' O E ° x N vi oU� a) 'C cw� moo) ) �a,om o ;� cU'a ro�ro 48 a) E0 Q.Q)c0q�a)a)um- O > >C 'E O N c .;C ° U '2 °p 0 O 0° c E 0 0 ° C N aj Q a) co > W Z co 0 m oc o a U ��a?o a JD j.. a) a) C .° U t a c U -° c V a) ro C." mv N -E o co �acr Oo rnEro E3o1°aakiro.orn -0 0) w -§ a) cwacio c�•c oa 0 ° v) 0) c .0 a >- �° il U QQ3 ro o) °c 3 a� i 659 amends Chapter 2 of the Code Book by a w NEW BUSINESS CONTINUED 2 E oL a Z c as V O co cu 4 O Q c a) a s E Ec o U ° c 0 ��, W o v c 2 v 0 aL- o Q �j o m c 3 a) cn ro � '0 U U N O • .� O T.� Quern 0 panupuoo 699 eouawpJQ a3nN11NOO SS3NISn9 M3N C) m O )Ny�Zx, o o y o p>ncZx ?• < • 0 b' O OMZ� al0 y OO � OO Z� . . • 11 �. 2�Dri2 �. 3 � �° •< 2DoXI2 Q U o O 0 0 v, cD n�, 0 n0 0 o m OA 41 O' 4 Rtli C : • O o a • 1 i c'' 2 n in N I 3 cm° �' 2 c ° B 'a• ' (D ° ° O n CDD ,b ebe trW rn 0• 00 • �. �� `° o b WO (0 � � ^� ' � 1 sZ O� OR Quo s,�� Z ' cD gQQ 4. y 0 °1 R i 0 RI 'Ss' E.: '," :.---;.- ill s. :-,-• ,-.6.• -.. R.(,) (,) qe . 4 . s . Z• Z 't 0' nay �0 rs' Ate' ab Ph 'q• 'l 112E al k o (1 -.4171) Ol 2 P o oo- 0) cD NO11Od 1:f38W3W71ONnOO Z O CO m April 20, 1993 - Regular Meeting - Page 12 of 21 a) O April 20, 1993 - Regular Meeting - Page 13 of 21 COUNCILMEMBER ACTION �a)aa)a) U °2 -c -off �EoEc�ai Q Q �o3�ro v, cccroroa_ ,� au 4,U ,,>,���a)a,Q N aci ro 3 a ,.. c0 o U a) cu >` 5- 0 0 t ti E O coL0 3 3C 32 v� oc�0roao CD ro 0 >. ESE_ -c v)o ..o. aro)Z�.>,0— 0 Vi 10--1) a))co .c •Q �j v°�' EcwQ CD Zr. �j a o a) !1ft ro a)oro�•`� MI jo.6 FO) � Q ?L4 c� a) c a)Ew . �3 c a ro N o p) ` E ;� N Q a a) •V ro a) a) O U v, a0iQCL° 412 -mac to >�0) ca L. c•cq o� 3 ro vroi roQ RI CD .Z Cs) w., _ s o CI) oro01Lc� Q) oo° 49, "*Q � a>i roro ��aZ'.. -o 3E va'O ='E `mc'o3 =' cam, I3L0 c ro m E� E ro ��" ` � 4) c U '1 4 �... C v ro ozu U�' Uq 3E ov'v ro"- aEiac�i1oec Q) C° c "r" ,cu L E c 2 a) Q. O cu ro E t' (1 0 o Via),, -ro ) •ate oQ Zs chic Uai�� oZ,�� o E.6 0 c c rn oQ oro0a�i 3 a' = omo 0) 4-'1 CU a) b U U •o a o 6:X S c�'Q°, �a ���Oaoi 00 33fia) oEoaa))aQro 3 RS aa) Eon a,�m o Z� o "_' =O "".'�._ U�crogaa'i� caciro -CD" or- cl c c°' oaoa, m 4")ro ∎ *ao a�•zro �•C -� O a) "0 4._ �.. E.c�0oro Vo.� 3c° ooO mEca,ENc Iro C p O Q CU C C 6 x ': •C J i I U 0 a •O (n U E C RS a) A Q NEW BUSINESS CONTINUED ro E Q 0 Public Utilities issues - CO — C U 00 Public Utilities issues continued: Q3l1 N►1NO0 SS3MSf l9 M3N "0 0 m 0 6 o C 4 , c g 0. g z(D b W N a 'n ?Q y c n �D A o 0 O m COQ (0 "' O ' ; O m m � a)P _I, s ?� pa Q m ��Q=o o ? (1-1:21 9, ai � s ? a a C3'' (Dc 0 o N a - .9.. a O a) �' 9 ) CD -"5.. 0 (D .. oa t o � 2��' tr i ° .�5. v - orb-,13 co � o m oo DQ D(0 m mm(a N a) w y c,W s °`o n..,, '-. am`Z o o y_ Q oQo Al 0 m a 1lE m Q a a CD 0) m a p Q9 0 3 y Q m Q`Z? j _ cr. cr. O „ Rm O a Q fa, m , Q ' ry "O „ Q' j Q _ * a -� 4 l� a m -• 4 0 a.. b m `° s �'g ' o Z o c a. a � o m o y R.� �?ZDm m o m o " c E) w a) � �O Qpw�b(o o msQO r amcDCDOSm0 <:Z . y�° �O O o o 0 ZT c0 C7 ° m.- 5' -O m m o `C 5, S Z - (0 El: v- ia� mmDO D b cp c, a)�s `D �O �0 .s y ° C j ti rz. 5 D (1) 4 ) ° o y�mo�oti Q��n0� 0'.‹M29, (0 (1) ' o n a ' n 's Q cn cl° c c a-�. O a N b , O coop 0 `c • '-I ` °, ' Q a. A.�� 3° w o?o� o (DD w mo oc-a) 5 m� o a)5�,�zb oma .0 v)5 c �cDc w�1moamov; ma<c�cmccDOO ..Z .6D 4aQ..,cco a, �oa) 0a) 4a)a)`�c��o o00 tb O�',a. 9`Q�mm�0 -ocQ S o 'S St o ° Pi _oo -w? m a) m 4 O m? O a' (bb -�, Q. c�D a) a D N W? m _O a Z a o a 4 , m - a) m CD 01 Q Q c m cD o ° n ?- Q ` a) b L n Q 'cn m d w m m (- 4 QOCD (D CD o-1 o 0�' m cD j' ° C y � O w O a (1) i cD (D CL a S-1'. m Q - j' Q. '� Q C Q. j a o O Q 9, `C m O`Z O O a m NO113V H39W31N710NfOO O to m 1- W co 40 Q Meeting - Page 15 of 21 COUNCILMEMBER ACTION ISSUE #2 - COUNTY/OBWA FRANCHISE cls 10 a) cro 0 o) 4..., T +'C., • • of O U N N u) U ` a •`= a) Q a -C O O -C C 0 r „0 E O 0 N 0 1 N •� 0 O o c O 4.� RI O a) o a ro 0 .Z E•0 43 c a) .4-. •c a) 4_• .0 a) ro E 0 o oco U . ` a) Q. • O 0 C t U o m '0 6 0 'i .2 C il • 0 a) U c aa,�s>., � N U C cti a) cC -c o0 U C °' �pyl p Q) O RS t .V) �, a a) 0 a) th ,e• 1' a 1 0) 4--,,,, -0 C U ,C C` C `i ro ` ro 'C .c i ..'- Qi U °' L-. vi a) ro Is a) U U ro0. O) b- 0 0 Q. a) Q. U O •'U Q .. k a) U c U •� .0 = co E C a) ,. 0 ti O ro co � •M. 03oa) a�a >ro c°'� cmc —� �t 0a u) `� as o O ”) 0�>, .0-a'c 1s°u,' q. c0c 3ac.g,� c�a -0L-CD ao'i (a .•-, a� ro QO c l_-• 0 �'` �.E � co a O L. ro O N U .0 'amro N o J $ N � O �. � .` ' = U O.4 _ 0 m, N a) c . 'U 1 d O 0 0 C C O c .0 c ' Q C V E w 1 ki p Cro t U A. o c roao c o o � � 1-. � ro � O � s.2 0 � o Qo 0 k 0 U 0 c� ro 0 cro .Oro > a) U 2 ` t t a) 2CD •4•)',v,�ro =.oro� p)�u,roQ,0 C ro C ` as) C -C C O o y �,a)'. E0a)0U aairovc~ro rn 003 `., a) a Faro,; •�e��ro0 �0���� o Uu 0 MI 3 °' 13ro2rororo 6' v a� 'c 0 1 .�� ro � Qoa, ooU �oa g, .Z E ro aa �13 roi'S. a L. c• ro � cu.= C a) ° ro h a m ai E o •V a U -o (CS O .92 E C 92 p Q N R o ,...4) ro,o a.a)o3a) �� 0 4 cu�� �� a) id 0 c cum occv° cac,°'t a'3ZL: 0 00 °•Z-. (3) OOa) 0a)2 03 Ot UOk Ca tea, � --FEZ 2b � �,' -,a) o a,�; us -C wo�CO a)o�ac y w C U a C— a C U co- a) > 9oo •�s ai ro �� o E c u, o t 0 0 a) Mt ro o ;OroEro }-$2co00•C1- QUU.0-CUtJ NEW BUSINESS CONTINUED Public Utilities issues continued: 00 Public Utilities issues continued: U3f1N11NO0 SS3NIS118 M3N C) a o. in '3 ' 3 a a o • oa 7c-O � o0 �p 0 O 'wO ���D w cp�`� N O� 0 m m ,.."-t C C vb p � C b - • ?� � :o ococp� D -o u ° ° °o (c) & Qcu o � w < Q O cD o 0 tv cD t O S � O coO `O ? p n• 0 M ; O ° p w � m O j D (D Q p p Q (D c 0 D u (D (p o 4 b O -` • W '< .-. (A cr o '< n ? ' (p z. c tb _1 W (n (D 0 ) c° ., (1° °la(4 ma„ ) )oo &1Z S o mCL O. "• o cc) W S _ W o• (D r. n lb t �, Q CD � BCD "� y o , (D i ▪ n p' cD C CD cn O CD ? ° (D in' CD ° W o� ace, o c • m co o ° �•a, a) 6. a) wJi w o`° o.' m cD ° o — < o w c) 0) • ° cD w p w CD° 0 w �'S C • °"' M`Z al %) 43 2 _S 4 - cD S O S .. • -C.13' m a. �p •``a)c)c°o la' a3'(b°8m'1- °ro aE <w`6' o 4 _ _ S w III t tea. _ O o n s< cD y Q Q, cn S. o-- 4 W (D a)i ti =Q� nmtA'��'�a� 4mwQ°ost ca wM `<�< o O c/> > n 0 -13,4-, n. `C i`-'7 N cn Q b ."'i ° Q y cD C W cD .., O O • o -.CI: bsv ,' a w O O N �' ry, , y. • 0 c=i. cD O CD ° 0 O ..-4, • O O cep C° c�i� (D o (-D 6 w O. 0 ° w CD cD N k w • Q o c) ) o w� �'� c m g it w stem's :`o :0�< m ° c-D 0 • -, c„ 5......z p < a) •-• CD c) (D Q C CO `Z o �� O cD A) p O p? W O t11 Q ry �' Q W C% Q S iv S O el -, Q o cD to Q n O' O a< ?mac O ..� a) Q O cp in' b N (p 'O ° c<D O fa; cD ti (7' O co 2) n h. b Q Q 01 3 S. 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"" o v o co as 09 >° ooOQ E aroi .0 ro mo b() 0 co .6 iii dQ = : U i `' x p N CZ o a)U o N h °o �� o, a emu) °(1) ° co ow 0 c a)c� L-: O, O ° .� E o L. U U r Q .e 1 ° C ° ° U o a) O 0 CO r o E b o o o f O p) a) : C O� °rot �O �oppro Q> a).0 v) ,E C@ O E C EE ro E�, `a) a) moo '''° °oEr ro�� °� O�'4- - cr0 co •.'.- ai4- re t r •- 0 ro.� ti 5N boo -°cc L-�'- o- �4)E ".,Q, as �c O Q NEW BUSINESS CONTINUED C7 Public Utilities issues continued: oci Po Public Utilities issues continued: p C3f1NIINOO SS3NISM3 M3N C) m 0 m w� m_ �, m o 3° c�D Q � m al CO'' Vili0 0 0 w aC < o'3'R. Q4 a w • _ ti ;� CD N ,.� Q Al n ? a o ' co o SD CD _ o � m 3 iii `i ru- 3 Q o C T co -� n'a`g co 0 00 �.jro I R ° w c C O? 'O `� c N C ej' N �D CO 1 cnD st 13) Np�j , a n C Al p, ,i a• p o j W "' C n: Q C Q• 0. ' Q C1 .p $1, L9: o� 0�40 o m3`< q� Q�cro 0(� p`<O•o_A b�3y bn �• O m (DD cD ... ro 0 s c-D j o o t `� C. _ • Al co w ? N ? n O' ti Q. CD Q CD O m Q �' p cD a a �_ Ca 3 (D ? r O W C N Ra o ^ O PA m c''D 'p o. ,� CO P'�Q. C�a(D -6. mv; 3 88't �� m 0.0 ? o 0 o ' o�'cD o.� � 1 �4 n ?gym O1�m�� C CDZ %< °b; vim ' ym? 80 40 3a b ' ti CO 4. CD Q O <• O O C it S cc, Rc�D •WNv1' Cr Q1 O � �. I co eaiq LIOEJDEJEd a a. O cD 3 a: C r n ? o s b C o tr5. Sk °c�Om w a 0 tzi CD m b CD co O C g`, ^ o ° O m t co CDD 350 n CDU° o 20, 1993 - Regular Meeting - Page 18 of 21 rn y O `Z1• m W 2 April 20, 1993 - Regular Meeting - Page 19 of 21 COUNCILMEMBER ACTION •tiaa)) -c DE ao� o... --• ;cam oa)a) c 4 c a) Z� �ro E —c30)o *-E>, a) E0-c ,� U.. o CU '0 co "' 0 0' o v roc 3° c ro O� N ro O ov°,a) o- a) �;_z.,E cc). �, o��� CU aE ro c �V 3 b ro o JO .C5 o �TOU` o t Q0' o 0 0 tea, acc�a, c° .) t°) 3 ro'tea 3roa 0'"-' ro°E�,o a) c a) a) o La as L 3 •, .Q o ESE �6 a 0„„ ...... i U� o =ro,, ->, ° r..""3= .ro co3 a) cu o Z • o L. a) U a) 0 ° U R3 U 13 cu U o a) c(,)) �o� ro cow °ro •c 0 C 3 - v 0 roczo ors t�, cu (400� ro�� cavi .o -`- _o0 o 0 •S-. ` c 0 CU t ro — a) ` ro •� RI 0 03 -c — E� c °a. ¢� r roro �av, mac VI c)0oQ) roa)0 C� -E 3 ��.. Uro0= oa,a�, c roW 0 c,r aa)) a)ro 0 P. a)c3 ao EQ-�3of a'a)E *•-• -8 a�iroa) ) co a) E°-0 Ek -c.0oo t 7-z. a) 13 o `w roams) =``' � ro L.. Rs �°) a`) - 0 C.)) � a) —o roroa ;0a)0 ¢L..c oa)._,c °cc Ero= `coro aai�mc �;�sp ota)Cc� a) 00�.. ° -ci �3a) ccCro �- ....L. )cv cova °c C aa))'o c 3 co -c aro 3� �o 0) .4, 10� o o arc .ro (N. >,<04 -o �rocV L. Qaa)).�co � ro '�' m c a) a) 3 ca ti 0 a) m a, a) t- �c X 0 oE3 ro .2o .Qco.0a) o °C^ -Q .Q ,.o 0 >.Q .. 3 E Zc o od• Ero Ec 3.,T °4 'o E oa >`0"J ›, Ero E row. 3 cv �•• �; �ro� ornoroc� a)Oro3 0x03 U�oc)t ro co °>, a� c•Eroro` oU`,c -°) jai�� =3 a)�a)a, rooco oro���a,0.o) o� 0Eroo °c > ;c Q 3 roU U CO CU CU o ¢•E 0 U v).0 U.� E 3-a�c W C3 NEW BUSINESS CONTINUED Public Utilities issues continued: ao L --- 00 Public Utilities issues continued: p G3f1NI1NOO SS3NIStl8 M3N 0 omx o 31 O O hi DJ DJ nd 0 m :uo! OW uo alon o o n o Q n O 0 tr CDD O D' 0 a o 0 Qa O O N Q ? cD O ill O Q (D a O paj c (?p • i'5- Q o Q (D N O n O 4 CD j CD (C ID) nc CD 0 Q O Q C ('j Co Q CO (D Q cD ?Sv o in' m (D C7 m)? a: j 0 a 0 g a-1 c Q0 <�o wmc�m�2c S0 CD 0 61) s g 4 5. .,.. a Sb � pi. (0 ' ( 1W 0 O O o. (D O (1) 0 (D — ° 4 7..... (?p ((;) j' (A' A- 6-6- 0 cD R a' 5 go --t-, 0 CD -1 �9N.�w w 0 O (D 'ti ry C O? do O .c— O Q (0 N O (p a -i, a rx, Q o oct, `C C (gyp c `< al- -S. cap (D Q Q O C O �' (D `� O NSit �• --i. (D Sb a (D !Ii: ll Q (D (`'D - . C O-9 C 3 O cD W (D Co "I cD y W b Sb ,? (D ()D •J y o A N q (OD W O C ((1D •-I. 1 CCD Q1 tp g1 CD 'i .7t (I) C, n `G 4 cp cD O cD .-« a O C a j' 0 zi' O (On a' O j' j b O co a -O W — St St p) O (D -0 (D j (D W c a p ; ). N , 0 o Qa'' aQ� n�sZ m we�-0. mwQ� ` o tD Q1 cD ? a Q1 a n ~ "� (D (D A W *° Q O a 0 0 Q j y `< `Cp t� Q Q. °go,� Qoom o� ? ° Q. vi- m NO113V 1:138W3W710N11O0 I. JO OZ 95 d - 6ulleen le!nBe& - C66L `OZ I!idd O April 20, 1993 - Regular Meeting - Page 21 of 21 co z COUNCILMEMBER ACTION a) oa,•� ti .t..-, a�E v EU E E t C C Q U o c C aao c.') -6 E ' o o cam; a) ;, o o ro ∎oac�SU 0 0 3 �0 rota CC; L.a i Z� 3 � 0 ro 0a)a,` c a? 110) a ;c -0 -3 0°0 .pro ro C ° a) co .. CU a) 0 v _- oV, a) c •° e -S 13 3 % ° oa ° C CU a C ro Q 0 ° L. C 0) iffli E 403 a)coci'z aaa))Q� ooE,o �w - C' QQ` PE ro co j ° 0 .ro o Q) C o 0 �. O 10 C N ctf E N o) U O v) C 9 t -D 0 V C s a) .v) 0.� ro` ro a •c a ,� E 'C ro YY a ° ().°O >N0 E O ° °c' Q)..(,)00 o U a) >, >, occro =)V> a) 41)) ZZ� v UZZ P. `o E Mayor Kirk adjourned the NEW BUSINESS CONTINUED Public Utilities issues continued: cci Bonnie S. Thomas, CMC, CITY CLERK ''�/0* OKEECyO: J •• 1 V V 1 V November 16, 1993 John Cook, Esquire Okeechobee City Attorney (Hand Delivery) RF : OI3WA vs. City of Okeechobee Dear John: .'J 1 JJ 11 • 1V 111-1 . V'. l r .lJL The following is what I think would be a reasonable long -term settlement of the disputes between OBWA and the City: 1. The following service arca will be served by OBWA: a) t verything� rest. tad south of the existing 201 Service Area. b) S32- T37S -R35E (Wolff and Davis property) c) North U2 of S5 -'138S -R35E, except for existing City ctistomers. d) S3 and 4 -T38 -R35E, except for existing City customers. c) S35- T37S - R3517, f) S36- T37S- R35fi, except Rowland Foundation property and any other parcel in the NE1 /4 not presently sewed by OI3WA. g) S25- T37S -R35E h) S26- T37S - R35E, except any property north of Taylor Creek not presently served by OBWA. 2. The following service area will be served by the City: S33- T37S -R.35E b) S30 and 31 -1 7S -R3 E, and everything east and southeast thereof. c) Rowland Foundation property and any other parcel in the NE1/4 of S36 -T37- R35E, not presently served.by OBWA. d) Everything north of Taylor. Creek lying in S26-T37S-R35 not presently served by OBWA. 2 \obwa\eity \cook 1111.10. t-L 1 vl J 4V I VJ1 U • pct. 1O,;: 1( .10 NU.L)1-11 r.U0 3. OBWA will give the King's Bay water plant to the City, 4. As to any portib of 527- 5 -R35E an( S.34-1'375-16 " south the prop cd Wolff Ro Extension of served by BWA or the : 'ty, 1 wo propos• that we leave up to the veloper of c, h parcel to de c w entity wi -.rve a parse . This area o and is truly "middle groi - ` of developable . nd between the two system , so let the near t determine who serves that area, 5. OI3WA will agree to an atrnendrnei t to the franchise from the County to reduce our service area within the 201 Facility Planning Area to the limits outlined above. 6. The City will drop all further challenges to the constructlon of OBWA's water plant and well field. Please advise. Sincerely, I3URTON C. CONNER I3CC /ktd 0 /. ? lr) 4 SLc_. 351. 5 '%6 -c_.. 2k>bwa \city \a+ok11 J 1.1et 2 CITY OF OKEECHOBEE MEMORANDUM TO: Mayor and Council DATE: December 30, 1993 THRU: SUBJECT: Agenda for 01/04/94 THRU: FROM: John Drago ********************* *********************** * * * * * * * * * * * * * * * * * * * * * * * * * * * * * ** Please find attached your agenda for the January 4, 1994 Council Meeting. vaN3011 SaWOO1 NO SW311 dO 1VMV iGH1 /M tIO 1111:11:1343G 1NO111GGV 3H1 1•JOd 1S311031:1 o y 0 m � �-« O C) O O Q Qaa ...a Q0 to (D CD con O CO W ? 0 • O O s', (D 0 0 0 0 z ZIT 0 : eouepuafly lle1S O 0 O 0 p) • c C C `C > > O O O o 0 0 0 (Dm (D (D D• 0- 0. O. co ED, (D (D (D rn O(<D m -- '� ?a Gy m • 0 Q L � P ao n D) o w 0 cD o � o Q a Q cD DJ ((DD j j C Q w O to av � V 1 0O cD Q 'b C 3 0 �. a CO 0 cD D 0. 0 Mayor and Council Attendance: aaaOHDaaN 0 Discuss Occupational Licenses - Finance Director (E -9) cp 93 V 9) Vti to W N Discuss Resolution 86-7 - Finance Director (E -8) S-' °. 3• O 0 0 0 oO O St o O j > > j n Q. j v j ca tb 3 0 0 O O j 0 D O O O ix -i5 oa c�' c ) a� w a) ) �' - 0 0 0 w- o -0 w '`• a `v O 0 ' 0 o Q O � cc) 5? m sv CD cpn (1) upi m w r o CD `D 0 0 0 .•�-o n0. N0 -13 O. 3- - co p p �; O CO O co co co `a ti w 4 OO Q P 13) -0 01 o 6 0 cc. w N -► m o 0 , 4 � m n C) n -0 m� n� � p '�` '�` '�` `v°, `w cD Cn 2 Q Q Q p C la 3. 3 CO 0 p cD p > -4. r N o 0 ti 10 0 0 0 C �� 0IQ 0 Z N3 a0 o 0 n • c) a' 0 co N• O z 0 CD O co ' • o 16 CD 00 0 Q ti 3 43• 0) 0) • ET co o 0 St z T w m al o coo 5 o 0 (D co j y 0 P o j w 9 Hear from the Economic Council of Okeechobee - Mr. Robbie Hoover (E -1) sseuisn8 meN Economic Council of Okeecho ee P.O. Box 718 Okeechobee, FL 34973 TO: City Councilmen RE: Water /Sewer Dear Councilman, December 13, 1993 As you are aware, the Okeechobee Economic Council has been working deligently over the past four years endeavoring to resolve the problems of water and wastewater in our community. I am sure that you feel with the current onslaught of lawsuits that we now have begun a period of complete silence and no progress will be made until they are settled. The Economic Council has supported the idea of forming a comprehensive utility service for the entire community. We know that you have also supported this idea, along with the other members of the Okeechobee City Council, Okeechobee County Commission, and Okeechobee Beach Water Association. However, for various reasons, the merits of this idea have not been fully explored. We fear that the opportunity and benefits for a cooperative project may be lost if we don't act now. For this reason, we of the Economic Council of Okeechobee request of the Okeechobee City Council, County Commission and Okeechobee Beach Water (the Parties) that they set aside a sixty day period to investigate solutions to the current water and sewer problems. 1. The Parties would suspend all planning, permitting, funding, construction (with the exception of the city's water treatment facility now under construction) or acquisition activity relevant to water and sewer during the period. The Parties also would agree to stay all relevant litigation with preservation of rights. 2. The City would need assurance from DEP that the delay would be acceptable. We pledge our assistance in gaining these assurances. 3. The Parties commit to good faith efforts to reach agreement on a plan to create a unified utility service benefiting our entire community. To expedite this endeavor we believe it is essential that the Parties establish an Okeechobee Utility Working Group which would consist of five members as follows: 300 N.W. 5th Street, Site 318, Okeechobee, FL, 3.1972 a. Once city council member and one citizen chosen by the city council. b. One county commissioner and one citizen chosen by the county commissioners. c. One member chosen by the OBWA. This membership is suggested to provide a minimum size working group, yet with all the essential interests represented. 4. We perceive the working group having the following specific duties: a. Gather and analyze all information concerning the most cost efficient and non - discretionary means for providing area wide utility services for the entire community. This would include but not be limited to, legal issues, service areas, rate structures, funding, and a review of the city's utility appraisal due in February 1994. b. Provide to the parties, on a regular basis, reports of the working group's activity and findings or recommendations for action. We suggest that the meetings of the working group would be co- chaired by the city council member and the county commission member. Of course, the working group would be advisory in nature and the Parties would retain all of their respective decision making authority. It is important that this effort begins as soon as possible. We urge the Parties to commit to this effort in January, 1994 and form the Working Group to begin in February, 1994. The Okeechobee Economic Council urges you to consider how valuable this effort is to our community. We pledge our strongest efforts to help in this endeavor. We intend to present this request to you at your meeting on Tuesday, January 4, 1994 (7:00 P.M.) and therefore formally request that it be an agenda item at that meeting. Respectfully submitted, Monica M. Clark, Chairperson Economic Council of Okeechobee County, Inc. MMC /hls Copies: City Councilmen, County Commissioners, John Drago, Chris Chinault. RMA Reese, Macon and Associates, Inc. December 15, 1993 City of Okeechobee 55 S.E. Third Avenue Okeechobee, FL 34974 ATTN: Mr. John J. Drago RE: Water Distribution System Improvements Dear John: On November 18, 1993 we conducted a bid opening for the above referenced project. Eight (8) bids were received as follows. Contractor Amount Censtate Contractors, Inc. Sheltra & Sons Construction Johnson Davis Inc. Construction Speegle Construction, Inc. Erskine Florida Properties Chaz Equipment, Inc. Giannetti Contracting, Inc. Smith & Co. $1,226,136.45 $1,274,075.25 $1,313,212.00 $1,387,087.00 $1,398,800.00 $1,672,599.75 $1,850,419.00 $1,936,695.50 The apparent low bidder for the project was Censtate Contractors, Inc. with a bid of $1,226,136.25. We have reviewed Censtate Contractors, Inc. qualifications and past performance history and find them to be an acceptable contractor for this project. We therefore recommend the City award this project to Censtate Contractors, Inc. in the amount of $1,226,136.45 at the next City Council Meeting. If you have questions or wish to discuss this further, please call. Very truly yours, wdr -380 92 -115 William D. Reese, P.E. 9121 N. Military Trail • Suite 207 • Palm Beach Gardens, Florida 33410 Ph. (407) 625 -6660 FAX (407) 625 -6664 Tabulation Sheet PIJ 11-00-12-93 for 6" Self Priming Sewage Pump Blankenship & Associates Inc. $ 17,410.00 i H . 1 ilgulllIcliug o °f1. f�a N . R giai B a. v, u., to 0 , co .., , th LI d to to 6 O lW 0I USA L4 W th "MUM! IP mq000 oa ogava„,31, Th!IIN: t4.1 ! 8' Piq 31000 l� + '; o v g lOgggl v; ° Ihto .w a P•v14 viP mg cfp4tt g,„ ph,... iiNtigoildw 4 V• ro I �'v glie�a ro ro fi gl . o �w ,� � aro �°� rob' Poignal 0 tAi wo 0 0 0 gqo q' H 04 13. o m n N• w 0 0 N •ti �O 1 0 0 v (x ) /999-SZ9- to Wr:N, P1-"N1 0rtNI 0N0� a OH ; J 'Jrt_ P) M• ID Cis rte N; hi 1-1 a L, O IT) RESOLUTION NO. 94 -1 A RESOLUTION DECLARING A PORTION OF DOWNTOWN OKEECHOBEE AS AN AREA SUITABLE FOR REDEVELOPMENT AND FINDING THE NEED FOR REHABILITATION, CONSERVATION, OR REDEVELOPMENT OF SUCH AREA AND PROVIDING AN EFFECTIVE DATE. WHEREAS, there exists in the Downtown Okeechobee area more particularly described as follows: Begin at the Southwest Corner of Block 164 at Southwest 7th Avenue and Southwest 2nd Street; proceed East on Southwest 2nd Street along the South boundary of Blocks 164 through 169 continuing East on Southeast 2nd Street along the South Boundary of Blocks 170, 171 and 203 to Southeast 4th Avenue; then North along the East boundary of Block 203 to the Northeast Corner of Block "A "; then West along the North boundary of Blocks "A ", "P ", and "R" continuing West to the Northeast corner of Block "E "; then North along the East boundary of Block 155 to the Northeast corner of Block 155; then West along the North boundary of Block 155 to the Northwest corner of Block 160; then South along the West boundary of Blocks 160, "F" and 164 to the POB. certain areas which are hereby found to be slum or blighted areas, and WHEREAS, the rehabilitation, conservation, or redevelopment of such areas is necessary in the interest of the public health, safety, morals and welfare of the residents of the City of Okeechobee; NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Okeechobee, Florida: 1. That certain areas within the Downtown Okeechobee area described above are hereby declared to be slum or blighted areas. 2. That such areas are appropriate for the Community Redevelopment projects pursuant to the Community Redevelopment Act of 1969, as amended. 3. That the rehabilitation, conservation, redevelopment of such areas is necessary in th interest of the public, health, safety, morals and welfare of the residents of the City of Okeechobee. 4. This resolution shall become effective immediately. Dated this 4th day of January , 1994. ATTEST: Bonnie S. Thomas, CMC, City Clerk CITY OF OKEECHOBEE James E. Kirk, Mayor RESOLUTION NO. 94 -2 A RESOLUTION OF THE CITY OF OKEECHOBEE, FLORIDA FINDING A NEED FOR THE CREATION OF A DOWNTOWN REDEVELOPMENT AGENCY TO CARRY OUT THE COMMUNITY REDEVELOPMENT PURPOSES OF CHAPTER 163, PART III, FLORIDA STATUTES IN DOWNTOWN OKEECHOBEE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Okeechobee, Florida has by Resolution No. 94 -1 declared an area of land located in downtown Okeechobee to be a slum or blighted area suitable for a community redevelopment project pursuant to Chapter 163, Part III, Florida Statutes, and WHEREAS, said chapter requires a finding that the creation of a Community Redevelopment Agency is necessary to effectuate the purposes of said chapter, NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OKEECHOBEE, FLORIDA: 1. That there is a need for a Community Redevelopment Agency to carry out the community redevelopment purposes of Chapter 163, Part III, Florida Statutes, in the downtown area of the City of Okeechobee, 2. This Resolution shall become effective immediately upon its adoption. Dated this 4th day of January , 1994. CITY OF OKEECHOBEE James E. Kirk, Mayor ATTEST: Bonnie S. Thomas, CMC, City Clerk RESOLUTION NO. 94 -3 A RESOLUTION OF THE CITY OF OKEECHOBEE, FLORIDA DECLARING ITSELF AS THE DOWNTOWN REDEVELOPMENT AGENCY TO CARRY OUT THE COMMUNITY REDEVELOPMENT PURPOSES OF CHAPTER 163, PART III, FLORIDA STATUTES IN DOWNTOWN OKEECHOBEE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Okeechobee, Florida has by Resolution No. 94 -1 declared a portion of downtown Okeechobee as an area suitable for redevelopment and finding the need for rehabilitation, conservation or redevelopment of such area, and WHEREAS, by Resolution No. 94 -2 the City Council of the City of Okeechobee had declared the need for a Community Redevelopment Agency to carry out the community redevelopment purposes of Chapter 163, Part III, Florida Statutes. WHEREAS, the City Council of Okeechobee, Florida deems it appropriate to exercise its authority under Chapter 163.357 and declare itself to be the agency, NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OKEECHOBEE, FLORIDA: 1. That the City Council of the City of Okeechobee, Florida be and the same is hereby declared as the Downtown Redevelopment Agency for the City of Okeechobee, Florida. 2. The Downtown Redevelopment Agency shall have all the rights, powers, duties, privileges and ammunites granted by Chapter 163, Part III, Florida Statutes subject to all responsibilities and liabilities imposed thereby. 3. The Downtown Redevelopment Agency shall carry out the community redevelopment purposes authorized by Chapter 163, Part III, Florida Statutes. 4. This resolutions shall become effective immediately upon its passage. Dated this 4th day of January , 1994. ATTEST: Bonnie S. Thomas, CMC, City Clerk CITY OF OKEECHOBEE James E. Kirk, Mayor OKEECHOBEE BEACH WATER ASSOCIATION, INC. Plaintiff, -vs- IN THE CIRCUIT COURT, IN AND FOR THE NINETEENTH JUDICIAL CIRCUIT, FOR OKEECHOBEE COUNTY, FLORIDA. CASE NO. 93- 555 -CA CITY OF OKEECHOBEE, FLORIDA, a municipality existing under the Laws of the State of Florida. Defendant. MOTION TO DISMISS COMES NOW the City of Okeechobee, Florida, by and through undersigned counsel, and files this motion to dismiss the complaint filed herein by Plaintiff, pursuant to F.R.C.P. 1.140, and as grounds therefore, states the following: I. 1. The complaint filed by Plaintiff pursuant to the provisions of Florida Statutes Chapter 86, Declaratory Relief, is insufficient as a matter of law. The requirements of Chapter 86 F.S., necessitate a pleading that sets forth allegations of doubt as to the existence or nonexistence of any immunity, power, privilege or right; an allegation of a claim of right under any instrument in writing in which plaintiff's right might be in doubt, or any right or status, either equitable or legal, affected by any statute, regulation, ordinance or otherwise which would require a judicial determination as a condition precedent to the existence or establishment of such rights. Lyles v. Dade County 123 So.2nd 466 (Fla. 3 DCA 1960). 2. The complaint filed by Plaintiff, at best, declares in paragraph 18 that "Plaintiff and the Water Management District are in doubt as to the service areas Plaintiff and Defendant may legally serve after the existing bulk water supply contract expires." Alleging the state of mind of the Water Management District, since they are not a party to the action, should be stricken. Further, in ruling on a motion to dismiss a complaint for declaratory relief, the test is not whether Plaintiff is entitled to a declaration in his favor, but rather it is whether he is entitled to a declaration of right at all. City of Homestead vs. Dade County 425 So.2nd 593 (Fla. 3 DCA 1983). 3. The complaint of Plaintiff, by failing to allege the necessary elements of Chapter 86, to specifically show a bona fide adverse interest between parties concerning power, privilege, immunity or rights of Plaintiff, fails to establish as a matter of law that Plaintiff is entitled to declaratory relief at all; is therefore deficient as a matter of law, and subject to dismissal. II. 4. The complaint of Plaintiff should be dismissed for failure to join indispensable parties. 5. The basis for Plaintiff's complaint seems to be that they received benefit of a franchise ordinance from Okeechobee County, which grants a certain described service area in which to conduct the production of, and distribution of, potable water, and that this granted service area overlaps the service area designated by ordinance by Defendant City of Okeechobee. Based upon this overlap, Plaintiff states they have not been able to procure a consumptive use permit from the South Florida Water Management District, and that they demand judgment declaring the rights of Plaintiff under its existing contract with Defendant; and also under Plaintiff's franchise from Okeechobee County. 6. The provisions of Chapter 86, Florida Statutes, section 86.091, provide: In any proceeding concerning the validity of a County or Municipal charter, ordinance, or franchise, such County or Municipality shall be made a party. 7. Further, it is clear that: "It is essential that the Defendant in a declaratory judgment action be the party or parties whose interests will be affected by the decree. All persons having an interest in the subject matter should be before the Court." Jacobs & Goodman P.A. vs. McLin, Burnsed, Morrison, Johnson & Roebuck, P.A. 582 So.2nd 98 (Fla. 5DCA 1991); and Miller v. Miller 151 So.2nd 869 (Fla. 2 DCA 1963). 8. The allegations of Plaintiff's complaint state they derive rights under the franchise ordinance with Okeechobee County, and that they require the court's determination to ascertain those rights. As this franchise ordinance ostensibly grants a certain service area to Plaintiff, any determination by the court to the contrary would necessarily affect the rights or interests of Okeechobee County in its ordinance. Therefore, the County of Okeechobee would be an indispensable party, and must be joined by Plaintiff. III. 9. The complaint of Plaintiff should be dismissed, as the Plaintiff, by its own pleading, is not a system, work, project, or utility of similar character to that of Defendant. 10. The statutory language on which Plaintiff bases its claim for declaratory relief is set forth in F.S. 180.06 (9), which states: "However, a private company or municipality shall not construct any system, work, project or utility authorized to be constructed hereunder in the event that a system, work, project or utility of a similar character is being actually operated by a municipality or private company in the municipality or territory immediately adjacent thereto, unless such municipality or private company consents to such construction ". 11. The allegations of Plaintiff's complaint make a bare assertion that "Plaintiff has the ability and is serving in excess of two thousand members in the Overlap Area, which is part of the service area Plaintiff has claimed since 1965" (at paragraph 14). However, other pleadings make it clear that Plaintiff is not a system or utility of "similar character ", as defined in Chapter 180. The complaint states: -at paragraph 4: "Since 1965, Plaintiff has been obtaining a supply of water from Defendant under a series of bulk water wholesale agreements." - at paragraph 6: "Plaintiff intends and has engineering plans to build a 1.5 million gallon per day water treatment facility to supply water to its members." - at paragraph 8: "Plaintiff has applied for a water consumptive use permit from the South Florida Water Management District." -at paragraph 14: "When its new plant is built, Plaintiff will have the ability to serve the projected growth of new connections in the Overlap Area for the next ten years." 12. The allegations of the complaint, in their best light, illustrate that Plaintiff is a water customer of Defendant, who has no present ability, nor any in the foreseeable future, to serve any customers potable water, absent the purchase of such water from Defendant. 13. The court's interpretation of Chapter 180.06(9) has been held to be that it only prohibits direct encroachment by one utility provider into an operating area already served by another. Ortega Utility vs. CitLof Jacksonville 564 So.2nd 1156, 1158 (Fla. 1 DCA 1990). 14. The flaw in Plaintiff's complaint is two -fold: First, by their own pleadings, they are not a competing utility of a similar character to Defendant; and Secondly, by their own pleadings, they have no present ability to serve the area in dispute, and but a hope of such service ability some unknown years in the future, in the event they are ever able to construct a facility. 15. As previously discussed herein, the test of whether a viable request for declaratory relief is before the court is not whether Plaintiff is likely to prevail, but whether they are entitled to make a claim for relief at all. City of Homestead, id. With the pleadings before the court, Plaintiff seeks a declaration that because they are a competing utility, and have the ability to serve their customers, they are entitled to such declaration to determine their service area However, the pleadings make it clear Plaintiff is not a competing utility of similar character, nor does it have the ability to serve any customers without purchasing water from Defendant. Therefore, as a matter of law, Plaintiff is not entitled to a declaration of its rights under F.S. Chapter 86. IV. 16. The complaint of Plaintiff should be dismissed by the court for failure to exhaust administrative remedies. 17. The Plaintiff, as alleged in their complaint, has a pending application before the South Florida Water Management District for a consumptive use permit, to initiate the construction of a well water supply, and distribution plant to serve its claimed service area with potable water. 18. The application to the District well predates the filing of this lawsuit. However, since the initiation of the lawsuit, on August 3, 1993, the Plaintiff has furnished the District additional information, particularly on August 19, 1993, which purpose is to ...enable the District to address a request for service area modification relative to the above referenced application." The information furnished on that date included a revised service area map, and revised population projections for the new requested service area. (copy of letter attached, exhibit A). 19. It is evident from the application, and documents furnished subsequent to the initiation of this lawsuit, that Plaintiff is actively seeking an administrative determination to obtain a consumptive use permit, and a service area designation from the District. 20. The courts have held that while Section 120.73, Florida Statutes stands for the proposition that nothing in the administrative procedures act shall be construed to divest the circuit courts of jurisdiction to render declaratory judgments under the provisions of chapter 86, the courts have consistently held that if administrative agencies are to function and endure as viable institutions, courts must refrain from promiscuous intervention in agency affairs, except for the most urgent reasons. Odham v. Formost Dairies, Inc. 128 So.2d 586, 593, (Fla. 1961). This reasoning is carried through in the recent decision of Gulf Pines Memorial Park, Inc. v. Oaklawn Memorial Park, Inc. 361 So.2d 695, 699 (Fla. 1978) wherein the court observed: ...as a general proposition, the circuit court should refrain from entertaining declaratory suits except in the most extraordinary cases, where the party seeking to bypass usual administrative channels can demonstrate that no adequate remedy remains available under: Chapter 120." See also: School Board of Leon County v. Mitchell 346 So.2d 562 (Fla. 1DCA 1977). 21. Apparent from the complaint of Plaintiff, and the attached letter of August. 19, 1993 from the agent of Plaintiff to the Water Management District, the agency has not yet passed upon the consumptive use permit application of Plaintiff, nor their request for a service area modification. Therefore, administrative remedies have not been exhausted, and there is nothing contained in Plaintiff's pleadings which would indicate that they do not possess adequate remedies under such administrative procedures. WHEREFORE, for the reasons expressed herein, Defendant City of Okeechobee, Florida respectfully requests that the complaint of Plaintiff be dismissed. SUBMITTED this day of August, 1993. I HEREBY CERTIFY that a true copy of the foregoing was furnished by U.S. Mail this day of August, 1993 to: Burton C. Conner 301 N.W. 5th St. Okeechobee, Florida 34972; and Vickers, Caparello, Madsen, Lewis, Goldman & Metz, 2000 Palm Beach Lakes Blvd. Suite 900, West Palm Beach, Florida 33409. John R. Cook 202 N.W. 5th Avenue Okeechobee, Florida 34972 (813)467 -0297 Florida Bar 262951 08-23 -93 12:09PM FROM SFWMDREGULATION DEPT LINDAHL, BI()WNINCI, FEfi *AR( MELI.w'I'w't)M, INC, 1INI ; I kti. 1'I ANN1 GM0S 1901 HANDCARRY Fc.„111,...: AUG 9 1993 August 19, 1993 P.N. 92 -037 Mrs Thomas Colios, Flydrogeologist Water Use Division, Regulation Department South Florida Water Management District (District) 3301 Gun Club Road West Palm Beach, Florida 33416 -4660 RE: Application #921204 -10; Request For Additional Information Okeechobee Beach Water Association,,Inc, (OBWA) Okeechobee and Glades Counties • Dear Mr, Colios: This correspondence is in response to the District's letter, dated August 121 1993 (copy attached) reciuesting additional information to enable the District to address a request for service area modification relative to the above referenced application, This information is provided by Lindahl, Browning, Ferrari & Hellstrom, Inc. on behalf of OBWA. The additional information /response is provided, in the same order as'the Request, as follows: 1. A revised service area map is enclosed which delineates the new requested aervico area and the City of Okeechobee 201 Facilities Planning Area (201 Area) boundary; the new requested service area includes the areas indicated as OBWA's existing customer base plus those areas outside the 201 Area within the OBWA Service Area Boundary in Okeechobee County and GLadea County, 27 Enclosed are revised population projections for the new requested service area and a water demand allocation based on OBWA's existing customer base within the 201 Area and the existing and projected demand within the remaining areas outside the 201 Area in Okeechobee and Glades counties. i ' I ri I I U II( I I I I 1\ ' . 1 " I t i l ' I l I 1.1, I I 1Lsl.li•tt- •l III jUI'I I rk l • \i.l w lit 7! I I VAR' 1, lit III I lln U l '13•f7Y I \ \, ..IU'l "d!, •.!'! 08 -23 -93 12:09PM FROM SFWMDREGULATION DEPT a t hodalogy Tho revised population erojections were derived by OBWA based on the existing number of water meters in the 201 Area, tho eNisting number of meters in the remaining service area and a pr.ojectipn 'Y"f growth in the non -201 Areas. A meter was assumed to represent a typical household unit. A typical household unit was conservatively assumed to represent 2.5 people, This persons per household unit number is less than the County of Okeechobee Comprehensive Plan projection of 2.67 persons per household in 1995 and 2.62 persona per household in 2000. The current member of OBWA meters in the 201 Area Is 2043 meters. The current number of OBWA meters in the remaining Okeechobee and Glades County service area is 1184, Total OBWA existing customer base is represented by 3207 meters (household units). The current equivalent population of the existing OBWA customer base was therefore estimated to be equivalent to 8018 persons. (2.5 persons /household)(S207 meters) e 8018 persons Future demand projections were based on the historical water consumption of 85 gpcd, which is the average of residential and commercial uae combined. Separate projections were made for Okeechobee County and Glades County. No growth was assumed within the 201 Area; only the existing customer base population in the 201 Area was carried forward each year up to the year 2005 end of the projection period. The increase in connections (meters) in Glades County was projected at one percent (1x) per year. In the areas outside the 201 Area in Okeechobee County, the increase in connections (meters) was projected at one percent (1%) per year for 1994, 1995 and 1996 and, at three percent (3%) per year for the remaining projection period, This assumed the new water treatment plant will allow an increase in connections to the OBWA system starting in 1397, 'Please contact LIF &H or OBWA should the District have any questions or need more information, Thank you for you effort to insure this matter ie placed before the Governing Board in September. it ••.• r 9Y APB M)9 19 N, �,.,. ,. ... _ , 1 GKM /smt Enclosures xet L.C. Fortner /OBWA Steve Walker, ;Ng, very truly yours, LINA L, BROW ► TNG, FERRARI & HE ROM, s rris Engineer onmental Services OKEECHOBEE BEACH WATER ASSOCIATION, INC. Plaintiff, -vs- IN THE CIRCUIT COURT, IN AND FOR THE NINETEENTH JUDICIAL CIRCUIT, FOR OKEECHOBEE COUNTY, FLORIDA. CASE NO. 93- 555 -CA CITY OF OKEECHOBEE, FLORIDA, a municipality existing under the Laws of the State of Florida. Defendant. MOTION TO DISMISS COMES NOW the City of Okeechobee, Florida, by and through undersigned counsel, and files this motion to dismiss the complaint filed herein by Plaintiff, pursuant to F.R.C.P. 1.140, and as grounds therefore, states the following: I. 1. The complaint filed by Plaintiff pursuant to the provisions of Florida Statutes Chapter 86, Declaratory Relief, is insufficient as a matter of law. The requirements of Chapter 86 F.S., necessitate a pleading that sets forth allegations of doubt as to the existence or nonexistence of any immunity, power, privilege or right; an allegation of a claim of right under any instrument in writing in which plaintiff's right might be in doubt, or any right or status, either equitable or legal, affected by any statute, regulation, ordinance or otherwise which would require a judicial determination as a condition precedent to the existence or establishment of such rights. Lyles v. Dade County 123 So.2nd 466 (Fla. 3 DCA 1960). 2. The complaint filed by Plaintiff, at best, declares in paragraph 18 that "Plaintiff and the Water Management District are in doubt as to the service areas Plaintiff and Defendant may legally serve after the existing bulk water supply contract expires." Alleging the state of mind of the Water Management District, since they are not a party to the action, should be stricken. Further, in ruling on a motion to dismiss a complaint for declaratory relief, the test is not whether Plaintiff is entitled to a declaration in his favor, but rather it is whether he is entitled to a declaration of right at all. City of Homestead vs. Dade County 425 So.2nd 593 (Fla. 3 DCA 1983). 3. The complaint of Plaintiff, by failing to allege the necessary elements of Chapter 86, to specifically show a bona fide adverse interest between parties concerning power, privilege, immunity or rights of Plaintiff, fails to establish as a matter of law that Plaintiff is entitled to declaratory relief at all; is therefore deficient as a matter of law, and subject to dismissal. II. 4. The complaint of Plaintiff should be dismissed for failure to join indispensable parties. 5. The basis for Plaintiff's complaint seems to be that they received benefit of a franchise ordinance from Okeechobee County, which grants a certain described service area in which to conduct the production of, and distribution of, potable water, and that this granted service area overlaps the service area designated by ordinance by Defendant City of Okeechobee. Based upon this overlap, Plaintiff states they have not been able to procure a consumptive use permit from the South Florida Water Management District, and that they demand judgment declaring the rights of Plaintiff under its existing contract with Defendant; and also under Plaintiff's franchise from Okeechobee County. 6. The provisions of Chapter 86, Florida Statutes, section 86.091, provide: In any proceeding concerning the validity of a County or Municipal charter, ordinance, or franchise, such County or Municipality shall be made a party. 7. Further, it is clear that: "It is essential that the Defendant in a declaratory judgment action be the party or parties whose interests will be affected by the decree. All persons having an interest in the subject matter should be before the Court." Jacobs & Goodman P.A. vs. McLin, Burnsed, Morrison, Johnson & Roebuck, P.A. 582 So.2nd 98 (Fla. 5DCA 1991); and Miller v. Miller 151 So.2nd 869 (Fla. 2 DCA 1963). 8. The allegations of Plaintiff's complaint state they derive rights under the franchise ordinance with Okeechobee County, and that they require the court's determination to ascertain those rights. As this franchise ordinance ostensibly grants a certain service area to Plaintiff, any determination by the court to the contrary would necessarily affect the rights or interests of Okeechobee County in its ordinance. Therefore, the County of Okeechobee would be an indispensable party, and must be joined by Plaintiff. III. 9. The complaint of Plaintiff should be dismissed, as the Plaintiff, by its own pleading, is not a system, work, project, or utility of similar character to that of Defendant. 10. The statutory language on which Plaintiff bases its claim for declaratory relief is set forth in F.S. 180.06 (9), which states: "However, a private company or municipality shall not construct any system, work, project or utility authorized to be constructed hereunder in the event that a system, work, project or utility of a similar character is being actually operated by a municipality or private company in the municipality or territory immediately adjacent thereto, unless such municipality or private company consents to such construction ". 11. The allegations of Plaintiff's complaint make a bare assertion that "Plaintiff has the ability and is serving in excess of two thousand members in the Overlap Area, which is part of the service area Plaintiff has claimed since 1965" (at paragraph 14). However, other pleadings make it clear that Plaintiff is not a system or utility of "similar character ", as defined in Chapter 180. The complaint states: -at paragraph 4: "Since 1965, Plaintiff has been obtaining a supply of water from Defendant under a series of bulk water wholesale agreements." - at paragraph 6: "Plaintiff intends and has engineering plans to build a 1.5 million gallon per day water treatment facility to supply water to its members." - at paragraph 8: "Plaintiff has applied for a water consumptive use permit from the South Florida Water Management District." - at paragraph 14: "When its new plant is built, Plaintiff will have the ability to serve the projected growth of new connections in the Overlap Area for the next ten years." 12. The allegations of the complaint, in their best light, illustrate that Plaintiff is a water customer of Defendant, who has no present ability, nor any in the foreseeable future, to serve any customers potable water, absent the purchase of such water from Defendant. 13. The court's interpretation of Chapter 180.06(9) has been held to be that it only prohibits direct encroachment by one utility provider into an operating area already served by another. Ortega Utility vs. City of Jacksonville 564 So.2nd 1156, 1158 (Fla. 1 DCA 1990). 14. The flaw in Plaintiff's complaint is two -fold: First, by their own pleadings, they are not a competing utility of a similar character to Defendant; and Secondly, by their own pleadings, they have no present ability to serve the area in dispute, and but a hope of such service ability some unknown years in the future, in the event they are ever able to construct a facility. 15. As previously discussed herein, the test of whether a viable request for whether Plaintiff entitled to make a With the pleadings declaratory relief is before the court is not is likely to prevail, but whether they are claim for relief at all. City of Homestead, id. before the court, Plaintiff seeks a declaration that because they are a competing utility, and have the ability to serve their customers, determine their service they are entitled to such declaration to area. However, the pleadings make it clear Plaintiff is not a competing utility of similar character, nor does it have the ability to serve any customers without purchasing water from Defendant. Therefore, as a matter of law, Plaintiff is not entitled to a declaration of its rights under F.S. Chapter 86. IV. 16. The complaint of Plaintiff should be dismissed by court for failure to exhaust administrative remedies. 17. The Plaintiff, as alleged in their complaint, has a pending application before the South Florida Water Management the District for a consumptive use permit, to initiate the construction of a well water supply, and distribution plant to serve its claimed service area with potable water. 18. The application to the District well predates the filing of this lawsuit. However, since the initiation of the lawsuit, on August 3, 1993, the Plaintiff has furnished the District additional information, particularly on August 19, 1993, which purpose is to ...enable the District to address a request for service area modification relative to the above referenced application." The information furnished on that date included a revised service area map, and revised population projections for the new requested service area. (copy of letter attached, exhibit A). 19. It is evident from the application, and documents furnished subsequent to the initiation of this lawsuit, that Plaintiff is actively seeking an administrative determination to obtain a consumptive use permit, and a service area designation from the District. 20. The courts have held that while Section 120.73, Florida Statutes stands for the proposition that nothing in the administrative procedures act shall be construed to divest the circuit courts of jurisdiction to render declaratory judgments under the provisions of chapter 86, the courts have consistently held that if administrative agencies are to function and endure as viable institutions, courts must refrain from promiscuous intervention in agency affairs, except for the most urgent reasons. Odham v. Formost Dairies, Inc. 128 So.2d 586, 593, (Fla. 1961). This reasoning is carried through in the recent decision of Gulf Pines Memorial Park, Inc. v. Oaklawn Memorial Park, Inc. 361 So.2d 695, 699 (Fla. 1978) wherein the court observed: ...as a general proposition, the circuit court should refrain from entertaining declaratory suits except in the most extraordinary cases, where the party seeking to bypass usual administrative channels can demonstrate that no adequate remedy remains available under Chapter 120." See also: School Board of Leon County v. Mitchell 346 So.2d 562 (Fla. 1DCA 1977). 21. Apparent from the complaint of Plaintiff, and the attached letter of August 19, 1993 from the agent of Plaintiff to the Water Management District, the agency has not yet passed upon the consumptive use permit application of Plaintiff, nor their request for a service area modification. Therefore, administrative remedies have not been exhausted, and there is nothing contained in Plaintiff's pleadings which would indicate that they do not possess adequate remedies under such administrative procedures. WHEREFORE, for the reasons expressed herein, Defendant City of Okeechobee, Florida respectfully requests that the complaint of Plaintiff be dismissed. SUBMITTED this day of August, 1993. I HEREBY CERTIFY that a true copy of the foregoing was furnished by U.S. Mail this day of August, 1993 to: Burton C. Conner 301 N.W. 5th St. Okeechobee, Florida 34972; and Vickers, Caparello, Madsen, Lewis, Goldman & Metz, 2000 Palm Beach Lakes Blvd. Suite 900, West Palm Beach, Florida 33409. John R. Cook 202 N.W. 5th Avenue Okeechobee, Florida 34972 (813)467 -0297 Florida Bar 262951 03=23-93 12:09PM FROM SFWMDREGULATION DEPT Lh GM0P1901 HANDCARRY LINDAHL. 13N()WNING, FEI' FAR( FIEL1.S'I Vl)M, INC. t't )Vhl'I I INt ; L`(11Vl 1 RS. I'1 ANNI P:` ` wtJk \'I 1 yValow; R limp AIM agaD Aus 9 1993 t./"J':1- k "d August 19, 1993 P.N. 92 -037 Mr. Thomas( Colios, Rydrogeologist Water Use Division, Regulation Department South Florida Water Managemeet District (District) 3301 Gun Club Road West Palm Beach, Florida 33416 -4660 RE: Application *921204 -10; Request For Additional Information Okeechobee Beach Water Association, Inc. (OBWA) Okeechobee and Glades Counties Dear Mr. Colios; This correspondence is in response to the District's letter, dated August 12, 1993 (copy attached) requesting additional information to enable the District to address a request for service area modification relative to the above referenced application. This information is provided by Lindahl, Browning, Ferrari & He11etrom, Inc. on behalf of OBWA. The additional information /response is provided in the same order as'the Request, as follows: 1. A revised service area map is enclosed which delineates the new requested service area and the City of Okeechobee 201 Facilities Planning Area (201 Ares..) boundary; the new requested service area includes the areas indicated as OBWA's existing customer base plus those areas outside the 201 Area within the OBWA Service Area Boundary in Okeechobee County and Glades County, 2, Enclosed are revised population projections for the new requested service area and a water demand allocation based on OBWA's existing customer base within the 201 Area and the existing and projected demand within the remaining areas outside the 201 Area in Okeechobee and Glades counties. 14 7', I c 11 f It I I!t 1\ "' !l II +III A, II 1 441,11.0" !� ! II/ ION IYR1.\ 1. 1clitriI !\', \I +I1,14t111IIINi:lilt "•in' +:.Ili 1\ \.,•411"1-111 cr.2 03,-23 -93 12:09PM FROM SFWMDREGULATION DEPT Methodolog Pus The revised population projections were derived by OBWA based on the existing number of water meters in the 201 Area, they existing number of meters in the remaining service area and a projection' '(. growth in the non -201 Areas. A meter was assumed to represent n typical household unit. A typical household unit wai: conservatively assumed to represent 2 . 5 people, This persons per household unit number is less than the County of Okeechobee Comprehensive Plan projection of 2.67 persons per household in 1995 and 2.62 persons per household in 2000. The current number of ODWA meters in the 201 Area Is 2043 meters, The current number of OBWA meters in the remaining Okeechobee and Glades County service area is 1184. Total OBWA existing customer base is represented by 3207 meters (household units) . The current equivalent population of the existing OBWA customer base was therefore estimated to be equivalent to'8018 persons. (2.5 persons /household)(3207 meters) s 8018 persons Future demand projections were based on the historical water consumption 'of 85 gpcd, which is the average of residential and commercial use combined,, Separate projections were made for Okeechobee County and Glades County. No growth was assumed within the 201 Area; only the existing customer base population in the 201 Area was carried forward each year up to the year 2005 end of the projection period. The increase in connections (meters) in Glades County was projected at one percent (1%) per year. In the areas outside the 201 Area in Okeechobee County, the increase in connections (meters) was projected at one percent (1%) per year for 1994, 1995 and 1996 and, at three percent (3%) per year for the remaining projection period, This assumed the new water treatment plant will allow an increase in connections to the OBWA system starting in 1997. Please contact LBF &Ii or OBWA should the District have any questions or need more information, Thank you for you effort to insure this matter le placed before the Governing Board in September. �.•�� 4 ^' rit Ir V ..y I w IM. M)9 19 ,I.I 41 11,4011 GKM /smt Enclosures xe; Lie, Fortner /OBWA Steve Walker, Ise., Very truly yours, LIND L, BROW►TNG, FERRARI & HE ROM s E • rris Engineer onmerztal Services June 2, 1993 MEMO To: John Drago From: John Cook Re: OBWA service area John: PREPARED IN ANTICIPATION OF LITIGATION NOT A PUBLIC DOCUMENT I net with Burton Conner today concerning the CBWA service area, and enclose a colored map of the result--; of niar on. They would like to Lescive the entire service area question, as would I, to send on to SFWMD. This mecp represents some Qeneral ideas we had, knowing that there would be refinement, and approval of each board. All it is, is a starting point. They would essentially give up the blue area Nest of 441 cveL to Ferrell road; the blue area North of Taylor Creek; and everything East of their current service area, inuluding Kinu's Bay: They paid $50,000.00 for the plant, which has extra capacitv: and would sell it to us for the same orice. We would concede that portion in yellow West of Ferrell road, being the Davis property. Their plant is goin,a to be on this property, and they feel it would make sense to serve that parcel. It appears that Jack Wolf also wants them to serve the area around the wellfield site, but T told Buytnn that w'ruld he a hard sell. 'e would concede that portion ir . yellow being Jack Coker's property, with an uncertain dividing line below K-Mart along the East side of 441 going to the City. Fo: ease of description, they would serve the afeas in yellow just to the East of their present service area maiked pinn. Everything South on Hwy. 73 from Ferrell road would remain theirs. We aiso agreed to reciprocal tiansmission easements across each others area :f necessary to reach an area we would serve: Burton also -relayed to me that he talked to Cassels this morning, advised him of our meeting, and Cassels replied whatever we agreed to was fine with him As mentioned, this is just a suggestion at this pcnt. lowever, an agreemeTat similar this is probably going to be required to avoid litigation, end to be fair to all sides- 1 anticipate meeting with Durten ahOl :assels on June 7, so get back with me at your earliest convenience: Jcu R. Cook BURTON C. CONNER, P. A. ATTORNEY AT LAW 301 NORTHWEST FIP'Tii STREET OKT:P:CTIO13111E. FLORIDA 34972 September 3, 1993 IIonorable Judge Fennelly 315 Courthouse Addition 218 South 2nd Street Fort Pierce, Florida 34950 Attention: Eula Re: Okeechobee Beach Water Association v. City bf Okeechobee Case No: 93- 555 -CA TEA j?1'11()NE 181.31 407•RPOO FACSIMii.fl 01131 407-0310 Dear Judge Fennelly: Attached is a copy of the Complaint and Motion To Dismiss filed in the above case, as well as the Certification of Counsel Regarding Motion to Dismiss. Could you please authorize Eula to set a hearing and advise me of the date and time so I may prepare a notice of hearing. Thank you for your attention to this matter. Sincer / -' Orli URTON C. CONNER BCC\dnc Enclosures: As stated cc -John Cook IN THE CIRCUIT COURT IN AND FOR OKEECHOBEE COUNT, FLORIDA CASE NO: 93- 555 -CA JUDGE FENNELY OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff v� CITY CAF OKEECHOBEE, FLORIDA, Defendant. CERTIFICATION BY COUNSEL REGARDING MOTION TO DISMISS The undersigned counsel certify that they have conferred and attempted in good faith to resolve all issues in Defendant's Motion To Dismiss without a bearing. Counsel have been unable to resolve all of the issues and a hearing is necessary. Counsel estimate that the hearing will require 45 minutes. TON C. CONNER Attorney for Plaintiff Fla. Bar No: 0254551 301 Northwest 5th Street Okeechobee, Florida 34972 (813) 467 -8800 Date: /7/S(93 GrIc JOHN R. COOK Attorney for Defendant Fla. Bar No: 262951 202 Northwest 5th Avenue Okeechobee, Florida 34972 (813) 467 -0297 Date: 9 31 `'1 -3 [Preliminary Draft - Not for Reproduction] GOVERNANCE ALTERNATIVES TO PROVIDE REGIONAL WATER AND WASTEWATER SERVICES AND FACILITIES TO THE URBANIZED AREAS OF SOUTHERN OKEECHOBEE COUNTY PHASE I SUMMARY REPORT OF FINDINGS AND RECOMMENDATIONS Prepared for: Okeechobee County, Board of County Commissioners •I By: Nabors, Giblin & Nicke Barnett Bank Buildir 315 South Calhoun Tallahassee, Flor EXECUTIVE SUMMARY [to come] I INTRODUCTION This report (the "Phase I - Report ") has been prepared for the Okeechobee County Board of Commissioners (the "County ") by Nabors, Giblin & Nickerson, P.A., Tallahassee, Florida, (the "Firm ") to review potential governance alternatives for the creation, acquisition, construction and operation of a regional water and wastewater utility system to serve urbanized areas within the southern portion of Okeechobee County. This Phase I report identifies governance alternatives for a regional utility system, makes recommendations to the County Commission, provides an overview of existing and future water and wastewater service along the north shore of Lake Okeechobee and identifies certain typical funding alternatives. This report, prepared in conformance with our correspondence to the County dated February 24, 1992, has been drafted to provide assistance and advice to the County Commission in making a determination of the feasibility of providing regional water service to certain portions of the unincorporated area of Okeechobee County and Glades County. Although our endeavor was to initially concentrate on the legal and limited financial aspects required to review, analyze, implement a governing structure and ultimately finance the provision of water treatment and distribution infrastructure, it became apparent at the outset that consideration of the delivery of regional wastewater treatment and transmission service to both incorporated as well as portions of the unincorporated area was a 1 fundamental consideration. Accordingly, many aspects of our analysis, out of practical necessity, took a more global view of the provision of both water and sewer services in the entire southern and more urbanized area of Okeechobee County. After several discussions with County management in March, the Firm decided not to formally engage the assistance of a governmental consulting firm for completion of this Phase I Report. The Firm has, however, received the gracious input and informal analysis from several professionals, including but not limited to representatives from the City of Okeechobee, the County, the Okeechobee Beach Water Association and various citizens of Okeechobee County. Purpose and Scope Pursuant to the terms of this engagement, the Firm has reviewed an extensive list of reports and other written materials including, but not limited to material provided by the City of Okeechobee, the County, the Okeechobee Beach Water Association, Inc., and the department of Environmental Regulation. To further familiarize ourselves with the issues involved, we also conducted a series of in- person and telephone interviews with local officials and citizens to assist in determining the overall needs of the community and the service objectives of the various jurisdictions. We have also briefly surveyed the two primary water service . delivery providers, the City of Okeechobee and the Okeechobee Beach Water Association. Although there are at least 50 smaller package 2 water treatment plants and 22 package wastewater treatment plants that may be affected by the provision of regional services, it was determined not necessary to meet with these owners or operators at this time to accomplish the overall objectives of this Phase I report. Information received from the Florida Public Service Commission indicates that the responsibility for regulating these smaller water and sewer package plant operations has never been transferred away from the County. These smaller providers will require a significant amount of attention and consideration at a later date from any central utility provider. As a result of the Firm's requests for information and various interviews it was relatively easy to identify the potential service areas, both short and long term for the subject urbanized areas. The difficulty arises in determining which portions of these areas are best served by the City of Okeechobee, the Okeechobee Beach Water Association or the County. Accordingly, it is premature and would not be meaningful for us to develop a time line or critical path for the creation of central utility system as part of this Phase I - Report. We have also generally reviewed financing and debt capacity considerations for the provision of water and sewer utilities as they relate to the City of Okeechobee, the County, Okeechobee Beach Water Association, and the more global approach of an overall utility authority. In keeping with the primary focus of this Phase I report, after we collected information unique to Okeechobee County, we 3 conducted research to identify and assess governance alternatives for the provision of central utilities and then analyzed various options available to the community as a whole. As a footnote to this introduction, it should be emphasized that the regional approach taken by this Phase I Report became quickly apparent to us when we conducted a series of in- person interviews in Okeechobee. Such approach addresses the issues of providing central water and sewer to not just the City of Okeechobee, or the City's water service area, or the area served by the Okeechobee Beach Water Association, but the entire urbanized area around the northern rim of Lake Okeechobee. This area comprises the economic and social hub of the "Okeechobee Community" and as such its problems associated with water and sewer service transcend artificial jurisdictional boundaries. Accordingly, its solutions should also. This Phase I Report has been prepared with that thought and direction in mind. Identification of the Study Area Okeechobee County is located on the north shore of Lake Okeechobee. The City of Okeechobee is the county seat of Okeechobee County and is the county's only incorporated area. The City of Okeechobee is located approximately 60 miles northwest of Palm Beach and 95 miles from Boca Raton at the crossroad of highways U.S. 441, U.S. 90, and S.R. 70. The City is 31 miles east of I -95 and the Florida Turnpike. Okeechobee County has approximately 31,000 people, and the City of Okeechobee has 4 approximately 5,100 people. Most of the population in the County resides relatively close to the lake .shore. Growth rates in Okeechobee County are typically low and generally, the population is not increasing as fast as the rest of the state'. The community as a whole, including the incorporated area can be characterized as relatively rural community with a significant increase in seasonal traffic and population during the dry and more temperate winter season. The rural character of the area lends itself to the relatively modest housing and commercial development. The area's economy is primarily dependent upon agricultural activities and limited tourism, retirement and related support services. Table 1 shows the growth in population and housing units for the area, with the Okeechobee Beach Water Association units shown separately. Table 1. Population/Housing Units City County 08WJA Year Pop. Units Pop. Units Pop. Units I 1990 4937 1936 24739 11343 6484 2973 1995 5240 2055 30516 13998 7347 3390 2000 5536 2171 34115 15648 8564 3930 2005 5840 2290 36173 17225 n/a n/a 2010 6135 2406 39073 18606 . n/a n/a Estimates based on 2.18 persons per unit. To assist in defining the boundaries of a potential water and sewer utility service area certain information contained in the Okeechobee County Property Appraiser's master appraisal file will ultimately need to be extracted and reviewed for the contiguous areas contained within the bounds of the area identified as "Urban Residential Mixed Use," on the Okeechobee County Generalized 'Bureau of Economic and Business Research, Florida Statistical Abstract, page 47 (1991). 5 Conceptual Future Land Use Map2 (the "Study Area "). This area is effectively • the urbanized area of Southern Okeechobee County and includes the City of Okeechobee. This Study Area, located on the north shore of Lake Okeechobee, includes approximately 51 square miles of property. Use of information from the Property Appraiser files will be fundamental if future special assessments or taxes 'are anticipated to be collected in the same manner as ad valorem taxes are collected. The Study Area will need to be better defined and described as certain policy decisions are made and cooperation between the current jurisdictions and service providers evolves. 2See Okeechobee County Comprehensive Plan, Okeechobee County Generalized Conceptual Future Land Use Map, Okeechobee County Ordinance No. 92 -5. 6 GOVERNANCE STRUCTURE A governing entity is needed to consolidate, refurbish, expand and deliver water and wastewater utility services in the Study Area. Such an entity will need to provide a conduit for funds (1) to retire existing and future debt, (2) to pay for the operation and maintenance deficiencies remaining after utilization of fair and equitable rate revenues and (3) to generate revenues from new users of a fair share basis. The creation of such a governance entity is dependent on a resolution of numerous policy issues: 1. Is the governing body of the governing entity to include elected or appointed officials or a combination of the two? 2. If the governing body is to be appointed, who makes the appointments? 3. Is the annual budget of the governing entity subject to approval by the City or the County, or both, and to what extent does a requirement of County approval affect the county purpose mi�llage authority of the County? - 4. Does the entity possess the taxing or revenue generating capacity to provide needed capital and annual operation and maintenance costs? To the extent ad valorem taxes are to be utilized as a funding source, certain Florida constitutional and statutory constraints should be noted. Article VII, Section 9(b), the Florida Constitution, requires special district ad valorem tax millage to be authorized by law and approved "...by vote of the electors who are owners of freeholds 7 therein not wholly exempt from taxation." Likewise, Article VII, Section 12, the Florida Constitution, requires approval "...by vote of the electors who are owners of freeholds therein not wholly exempt from taxation..." prior to the issuance of any indebtedness payable from ad valorem taxation that matures more than twelve months after issuance. A discussion of the cases regarding freeholder elections is included in this report under the caption "LOCAL REVENUE SOURCES -- Ad Valorem Taxes." If the status of a special district is classified under Section 189.4035, Florida Statutes, as a "dependent" special district, any authorized special district ad valorem millage is aggregated with the countywide millage levied by the County within a statutory 10 mill limitation for county purposes.3 Section 189.403(2) defines a special district as "dependent" if it meets one of the following criteria: (1) its governing body is identical to that of the County or the City; (2) all members of the governing body are appointed by the County or the City; (3) the members of its governing body can be removed during their unexpired term by. the County or the City; or (4) its budget requires approval of or can be vetoed by the City or the County. As discussed subsequently, to the extent the County levies taxes within a municipal service taxing unit for a water and wastewater utility system, the millage is included within the 10 mill limit for municipal purposes levied by the County within the \' 3Section 200.001(8)(d) and Section 200.071, Florida Statutes. 8 unincorporated area.4 The level of millage levied within the taxing unit boundaries would thus limit the ad valorem taxing capacity of the County in the unincorporated areas since under such constitutional and statutory millage limitations no one parcel of property can bear ad valorem taxation in excess of 10 mills for municipal purposes. In the event the boundaries of a municipal service taxing unit includes municipal areas with the consent of the City, the millage levied within the taxing unit would likewise limit the ad valorem taxing capacity of the City. Finally, it should be noted that Article VII, Section 2, the Florida Constitution, requires all ad valorem taxation to be at a uniform rate within each taxing unit. As a consequence of such constitutional uniformity provision, a levy of ad valorem taxes is limited to the following geographic areas: (i) the established boundaries of a municipal service taxing unit; (ii) the entire boundaries of the County or the City; or (iii) the boundaries of a special district if the ad valorem millage is approved by the electors. Such constitutional uniformity provisions apply; to ad valorem taxes only and are inapplicable to the imposition of special assessments. The Florida case law criteria for the imposition of special assessments is discussed subsequently. 4Article VII, Section 9(b), the Florida Constitution;-and Section 200.071(3), Florida Statutes. 9 Governance Alternatives There are several alternative governing entities that could be created for the Study Area: • a municipal service benefit or taxing unit, • a special district created by special act, • a special district created by general law, • implementation by County ordinance, • joint delivery of service by interlocal agreement, and • a special district created under home rule. /Municipal Service Benefit or Taxing Unit Section 125.01(1)(q), Florida Statutes, authorizes the County to create municipal service taxing or benefit units within all or part of the unincorporated areas to provide "...water, wastewater and sewage collection and disposal... and other .essential facilities and municipal services... ". This section goes on to provide that subject to the consent of the affected city, "given either annually or for a term of years, the boundaries of a municipal service taxing or benefit unit may include all or part of the boundaries of a municipality in addition to all or part of the unincorporated areas." Section 125.01(1)(r) expressly states that there shall be no referendum required for the levy by a county of ad valorem taxes within a municipal service taxing unit. Section 125.01(2) provides that the board of county commissioners shall be the governing body pf any municipal service taxing unit or benefit unit. 10 A municipal service taxing unit is not constitutionally or functionally a special district.5 It is purely a mechanism by which a county can fund a particular service from a levy of ad valorem taxes not countywide but within all or a portion of the unincorporated areas. It is a tax equity tool available to a board of county commissioners within its legislative discretion to place the burden of ad valorem taxes upon a geographic area less than countywide to fund a particular service. In terms of function and' accountability it is no different than any other revenue source appropriated and budgeted by a county. The distinction between a municipal service taxing unit and municipal service benefit unit is that "benefit unit" is the correct terminology when the mechanism used to fund the county services is derived through service charges or special assessments rather than taxes. Again, both units are similar in that a municipal service benefit unit is a mechanism available to a board of county commissioners to identify a precise geographic area in the unincorporated area in which to impose such service charges and special assessments and is not a special district in function or status. The municipal service benefit unit is utilized within the county budget to account for such special assessments and service charges to insure that such funds are used to provide the county services for which they were imposed. 5Gallant v. Stephens, 358 So.2d 536 (Fla. 1978). 11 METHOD OF CREATION: By ordinance of the County, with consent by ordinance by affected municipality if unincorporated areas are included. Special District Created by Special Act Section 189.404, Florida Statutes, adopted under the provisions of Article III, Section 11(a)(21), the Florida Constitution, prohibits the creation of independent special districts by special acts or general laws of local application unless they conform to the stated statutory criteria and minimum requirements.6 An "independent" special district is defined in Section 187.403(3) as a special district that is not defined as dependent under the criteria of Section 189.403(2). Section 189.4041 provides that the charter for the creation of a dependent special district shall be adopted only by "... ordinance of a county or municipal governing body having jurisdiction over the area affected." Except for the Section 189.404 criteria and minimum requirements, a special act creating an independent special 6Section 11(a)(21), Article III, the Florida Constitution, prohibits a special law or general law of local application on: ... any subject when prohibited by general law passed by a three - fifths vote of the membership of each house. Such law may be amended or repealed by like vote. Historically, there has been a difference between the Florida House of Representatives and the Florida Senate on the interpretation of this constitutional provision. The House position is that a special act passed by a "like vote" of three - fifths repeals a general law prohibition. The Senate position is that the general law prohibition must be repealed by a three - fifths vote prior to the consideration of the inconsistent special act. 12 district can be uniquely crafted to provide the authority and organizational structure desired. It should be noted that Chapter 189, Florida Statutes, provides the procedure, not the authorization, for creating special districts. A special act independent special district can authorize the levy of ad valorem taxes within a stated millage cap subject to elector approval. Article VII, Section 9(a), the Florida Constitution. However, it should be clearly recognized that a special act cannot authorize a special district to impose or levy any other tax. All forms of taxation other than ad valorem taxes are preempted to the State except as provided by general law.7 A major disadvantage of a special act special district is that any charter change requires a supplemental special act adopted by the Florida Legislature. METHOD OF CREATION: By special act approved by the Okeechobee County Legislative Delegation and adopted by the Florida Legislature. Special District Created by General Law The prohibited special law provisions of Article III, Section 11, the Florida Constitution, recognize a general law classification of special districts in Section 11(b) as follows: (b) In the enactment of general law on other subjects, political subdivisions or other governmental entities may be classified only on a basis reasonably related to the subject of the law. 7 Article VII, Sections 1(a) and 9(b), the Florida Constitution. 13 Thus a general law may authorize the creation of a special district to perform a specialized function. If applicable less than statewide, the counties to which the general law special district classification applies must be reasonably related to the subject of the law or the nature of the special district. Examples of general law special districts are juvenile welfare independent special districts authorized under Section 125.901, Florida Statutes; county health care special districts authorized under Section 154.331, Florida Statutes; regional transportation authority authorized under Section 163.567, Florida Statutes; and regional water supply authorities created under Section 373.1962, Florida Statutes.8 The local mechanism creating the special district can be individually tailored. Examples of local creation options are: (i) ordinance adoption by County; (ii) ordinance adoption by County with the consent of the City; or (iii) interlocal agreement between the City and the County. Since the enabling act is a general law, selected tax revenues could be included as local tax options of the 8Unfortunately, Chapter 153, Part II, Florida Statutes, cited as the County Water and Sewer District Law, was enacted well before the 1968 Constitution. Chapter 153 does allow for the provision of water and sewer to unincorporated areas, but does not appear to provide viable general authority for creation of a special district that could be tailored to local needs. Chapter 153 also appears to have been overlooked by_the Legislature when it passed Chapter 189, Florida Statutes, the Uniform Special District Accountability Act of 1989. Use of Chapter 153 would require a legislative amendment to include municipal areas and other changes to obtain consistency with Chapter 189. Due to archaic language, Chapter 153, does not appear to be a viable governance alternative. 14 governing board of the special district or the creating general purpose local government. A major disadvantage of a general law special district is the need for the adoption of a general act by the Florida Legislature. In addition, because the impetus would be from Okeechobee County, approval by the Okeechobee County Legislative Delegation would be a practical requirement. METHOD OF CREATION: By general act approved by the Okeechobee County Legislative Delegation and adopted by the Florida Legislature. Implementation by County Ordinance Article VIII, Section 1(f), the Florida Constitution, provides that a non - charter county ordinance in conflict with a municipal ordinance shall not be effective within the municipality to the extent of such conflict. Okeechobee County is a non - charter county. Under this power of self government the County could fund utility improvements county -wide by the imposition of water and wastewater capital and maintenance assessments by ordinance. However, because of the preemptive power of the City to pass a conflicting ordinance, such option is not practically or financially feasible. METHOD OF CREATION: By county ordinance. 15 Joint Deliver of Service b Interlocal Agreement Part I, Chapter 163, Florida Statutes, provides for intergovernmental cooperation and the exercise of joint powers by the City and the County through the execution of an interlocal agreement. Section 163.01(5) enumerates the terms and conditions of the interlocal agreement and specifically provides that such agreement may provide for the creation of a separate legal entity. Section 163.01(7)(a) also specifically provides that the interlocal agreement may create "a separate legal or administrative entity to administer" the agreement. However, Section 163.01(7)(c) limits the power of any separate legal or administrative entity by providing that such entity shall not possess the power to levy any tax, issue any bonds, or obligate financially any participating governmental unit. As a consequence, without additional legislative authorization, the creation of a separate legal or administrative entity by interlocal agreement is not a viable option to construct and maintain a regional utility system. An interlocal agreement is a viable option to obtain City consent to the imposition of special assessments by the County under the implementation by county ordinance option discussed above. However, the presence of an interlocal agreement would not eliminate the major disadvantage of the county ordinance option, i.e., that the utility system becomes essentially a County project. METHOD OF CREATION: By County ordinance and execution of interlocal agreement between the City and the County. 16 Special District Created Under Home Rule Section 125.01(5)(a) authorizes the County to create a special district to include both incorporated and unincorporated areas subject to the approval of the City. Once created, each special district has the power to provide municipal services and facilities ...from funds derived from service charges, special assessments, or taxes within such district only." The special district would be classified as "independent" or "dependent" under Chapter 189, Florida Statutes, depending on the governing board and budget adoption provisions provided in the authorizing ordinance. Section 189.404(4)(b), Florida Statutes, expressly recognizes that a county may create an independent special district "...as otherwise authorized by general law." Section 189.4041, Florida Statutes, provides that a charter for the creation of a dependent special district shall be adopted only by ordinance of a county or municipal governing body having jurisdiction over the area affected. Section 125.01(5)(b) requires that the governing body of the special district be composed of county commissioners and further provides that the governing board may include elected officials of the affected municipality. The basis of governing board apportionment is required to be established in the ordinance. The major advantage of a home rule special district is the retention of local control in the drafting of the initial charter and any subsequent amendments. The statutory requirement that members of the governing board are required to be county 17 commissioners and city council members may also be an advantage under the current circumstances. METHOD OF CREATION: By ordinance of the County consented to by ordinance of the City. Governance Recommendation The recommended governing structure for a water and wastewater utility system to serve the Study Area is a home rule special district. A special district charter adopted by an ordinance agreed to by both the City and the County will have broad acceptability and will permit a locally designed charter with flexibility for effective implementation. In addition, charter provisions can be modified or amended and special district boundaries realigned locally by ordinance when needed. A home rule special district would also have the power to serve the eastern reaches of Glades County,- now served by the Okeechobee Beach Water Association,ivia interlocal agreement. It is anticipated that the statutory requirement that the governing board be composed entirely of county commissioners and city council members may not be acceptable. As a consequence, we recommend that Section 125.01(5)(b), Florida Statutes, be amended during the 1993 Regular Legislative Session to allow the members of the governing board to be wholly or partially appointed by the City or the County. In our judgment, such general law amendment would not be controversial and is possible. Since the other viable options of a special act or general law special district also require legislative action, this need for legislative action is not 18 considered to be a major impediment. Because of the early start of the 1993 Regular Legislative Session, the complexity of obtaining approval of a special act or general law special district is much greater; however, seeking a minor amendment to Section 125.01(5)(b) has a reasonable possibility of success. In addition, relying upon an existing general law mechanism for the creation of a special district also facilitates general law authorization of a tax revenue source since the tax to be authorized can be made available only to a special district created under Section 125.01(5)(a), Florida Statutes, to provide utility facilities. Development of Local Consensus It is of fundamental importance that the City, the County and the Okeechobee Beach Water Association agree in concept on participation in a consolidation of facilities and services in the Study Area. I To that end it would be advisable to adopt a non- binding agreement to identify and generally outline the financial and policy details of consolidation. Such an endeavor would require various community leaders and elected officials address the issues involved in a statesmanlike manner and fashion an objective, fair and viable resolution that serves the entire community, not just one fraction or jurisdiction. Development of District Boundary Description In addition to the development of a local consensus, implementation of any of the foregoing alternatives will require development of a specific boundary description of the area to be 19 encompassed by the district. For purposes of this report, most of the whole sections affected by the Study Area, comprising approximately 51 square miles were identified.. The information was compiled by reviewing the Okeechobee County Property Appraiser's master appraisal file. Since distinguishing properties within a specific section requires individual coding of the designated parcels and computer manipulation of information, this estimation is a very crude representation of the taxable value from the 51 identified sections. The delineation of actual district boundaries requires the initial exercise of policy judgment by the City, County and Okeechobee Beach Water Association. This report outlines the general criteria to be applied and identifies relevant factors to be considered. Upon receipt of further direction, specific district boundaries can be delineated and parcels located in sections partially within the district boundaries will be individually coded to conform the Study Area to the actual district boundaries. The general criteria for the determination of district boundaries is inclusion only of those properties which are expected . to be served by or otherwise benefit from the creation of a regional utility system. Relevant factors for consideration include: • the reasonably anticipated service area, • natural boundaries, 20 • State, regional and local comprehensive plan requirements, and • the extent of homogeneous land use. The concept of homogeneous land use is intended to classify properties with a common interest in the development and operation of the regional utility system. The extent of homogenous land use is now driven by local comprehensive plan requirements. This was the primary factor in identifying the Study Area. On the other hand, the anticipated service area will be driven by the probable demands of any available State or federal funding. It should come as no surprise that State or federal subsidization will be required if central water and sewer is to be developed in the Study Area. As well, if State or federal funds are available, they will no doubt be tied a regional approach that leads to sewering the Study Area in order to reduce pollution of Lake Okeechobee aid its tributaries.9 The Study Area boundaries are intended to illustrate the application of the factors described above and are not intended to limit any policy judgment ultimately made by a home rule special district. It is anticipated that a workshop -type session would be conducted with the City, County and Okeechobee Beach Water Association to discuss and determine, among other matters, the actual district boundaries. 9For this reason, the disparity in rates between incorporated and unincorporated ratepayers and lack of governance participation by the County Commission, we did not suggest Chapter 180, Florida Statutes, as a viable governance alternative. 21 OVERVIEW OF PRESENT SERVICE TO STUDY AREA In Okeechobee County, the provision of central water and wastewater are critical issues requiring immediate and long term attention.10 The majority of the population in Okeechobee County is located along the north shore of Lake Okeechobee. The City of Okeechobee is the single largest provider of potable water to the 10See Okeechobee County Comprehensive Plan, Okeechobee County Ordinance No. 92 -5: Potable Water and Sanitary Sewer Objective 83: Okeechobee County shall coordinate with providers of public supply potable water and sanitary.sewer facilities, and with appropriate state or regional agencies, to: maximize the use of existing facilities; coordinate the extension of facilities in unincorporated areas of the County; and .encourage efficient patterns of development while discouraging sprawl. [9J- 5.011(2) (b)2,3) Policy S3.1: Okeechobee County shall continue coordinating with the South Florida Water Management District and the Florida Department of Environmental Regulation to complete an assessment of potable water and sanitary sewer existing conditions and future needs in the County. [9J- 5.011(2) (c)3) Policy S3.2: Okeechobee County shall continue working with the City of Okeechobee to evaluate the feasibility of establishing a utility authority which would be responsible for meeting the potable water and santiary sewer needs of southern Okeechobee County. Feasibility shall be determined through ongoing discussions with the City, as well with assistance from the Florida Department of Environmental Regulation and the South Florida Water Management District and ongoing potable water and sanitary sewer studies. If determined to be feasible, the utility authority shall incorporate existing service areas and coordinate the expansion of facilities, including requiring that septic tanks along Lake Okeechobee and Taylor Creek be replaced by connection to existing or expanded public supply sewage treatment facilities. [9J-5.011(2)(c)1,2] 22 Study Area. Limited central sewer service to this area is also provided via the City of Okeechobee. The City sells bulk treated water to the Okeechobee Beach Water Association, a not - for - profit cooperative, which, in turn, resells it to a number of residential customers located southeast of the City and toward the west along the shoreline of Lake Okeechobee. The service area of the Okeechobee Beach Water Association continues into a small portion of the eastern edge of Glades County. Approximately thirty percent (30 %) of the population served by the Okeechobee Beach Water Association exists within Glades County. Plans are underway for additional residential development in the Okeechobee Beach area. To address the utility issues involved with added development in the Beach area and the provision of regional utility services and facilities, the City of Okeechobee, Okeechobee County, and the Okeechobee Beach Water Association have held discussions concerning the County initiating a water system, the City continuing to provide service and expanding its existing capacity, the Okeechobee Beach Water Association developing its own water treatment system, and a multi -party utility authority that would transcend the various jurisdictional boundaries. This section of the Phase I report is intended to assist the community in evaluating and analyzing (1) the existing infrastructure conditions and current service being provided by the City of Okeechobee and the Okeechobee Beach Water Association, (2) the existing customer base, (3) City utility revenues and expenditures, (4) identified future infrastructure improvements necessary to meet service demands, (5) 23 an evaluation of operating data and potential options for water service and (6) certain debt capacity considerations. This section of the Phase I report is provided primarily as a tool to inform and assist policy and decision makers in the Study Area. An inventory of existing facilities has been compiled from limited information provided by the City and the Okeechobee Beach Water Association. Unfortunately, neither of theses utility service providers could provide a "system map" of their respective infrastructure systems. A review of past and projected budgets and financial statements has also been performed, along with a review of the monthly operating reports. The information analyzed was derived from documentation and reports provided by the entities involved and the Florida Department of Environmental Regulation. In some instances it was necessary to make assumptions. Such assumptions can later be validated by other professionals. Existing Infrastructure The City of Okeechobee water system consists of a conventional coagulation and sedimentation water treatment plant with lime softening capabilities, two 250,000 - gallon elevated tanks, a 500,000 - gallon and a 1,000,000 - gallon ground storage tank. The water plant was originally constructed in 1925 and upgraded in 1958 and 1972 to provide larger pumps and include improved treatment technologies. The treatment process (See Appendix A) includes coagulation and sedimentation with alum and powder- activated carbon addition, lime softening (when necessary), rapid sand filtration, and 24 chlorination. Alum and powder- activated carbon are applied directly into the discharge side of the raw water pipe as it enters the coagulation and sedimentation basin. The coagulation and sedimentation basin is a four -step process, with each sub -basin providing additional treatment to the water. Settled sludge accumulates predominately in the first two settling basins which are cleaned manually every two to three weeks. Water routed from the coagulation and sedimentation basin goes to the lime- softening unit when necessary and then to the filters. Water comes off the filters and goes into the ground storage reservoirs (clear wells). Transfer pumps then pump from the clear wells into the system. Chlorine is injected immediately after the water leaves the transfer pumps from the clear well, and prior to entering the distribution system. The raw water supply for the City of Okeechobee Water Plant is Lake Okeechobee, which is a shallow, 714 - square -mile lake. Because of the shallowness of the lake, the runoff from nearby agricultural interests and the number of septic tanks located in close proximity to the lake, impurities (most notably nitrogen and phosphorus) exist within Lake Okeechobee. This provides an environment conducive to the growth of algae blooms and lake phytoplankton which can create treatment problems. High algae and phytoplankton content may at times exert'a negative influence on the color and bacterial quality of the raw water and subsequently provide difficulty in treatment. When this occurs, the City 25 backwashes the filters in order to ensure that no toxic algae enter the distribution system. Raw water is drawn from the intake structure from two 2,000 gpm turbine pumps (See Appendix B). Presently, the raw water supply is throttled by valves at the raw water meter and adjusted according to the need for raw water. Activated carbon has been added to reduce the organic content, unpalatable. taste and odors within the lake water. Four disinfection by- products have been detected within the finished water supply, the source of which is not completely. identified• in the available City of Okeechobee literature. These substances are (1) chloroform, (2) bromodichloromethane, (3) dibromochloromethane, and (4) bromoform. Each of these impurities, under the Secondary Drinking Water Requirements, 11 should not be detectable and are obviously the result of the surface water source for the water system (see Appendix C fi or lab results). Trihalomethanes in the system vary from .04 to .075 mg per liter, which is in accordance with the Safe Drinking Water Act12 requirements at this time, but does not meet with the proposed requirements of .05 mg per liter. To counteract this, the City may consider the addition of ammonia to retard trihalomethane formation. l'Drinking Water Standards, Monitoring and Reporting, Fla. Admin. Code 17 -550 (1992). 12F1a. Admin. Code 17- 550.310(2)(c)(1992). 26 The City of Okeechobee Water Treatment Plant is under consent order with the Florida Department of Environmental Regulation13 due to taste and odor problems with water from the City system (along with chlorine residual problems). This problem stems primarily from the surface water utilization of Lake Okeechobee. Lake Okeechobee water is variable in quality, contains minerals, color and turbidity as the result of runoff, algae and other chemicals which tend to produce or contain taste and odor - producing substances. Open surface water tends to have a higher potential for pollution than does groundwater. The City had an existing consumptive use permit from the South Florida Water Management District for 3.73 MGD of surface water withdrawals from Lake Okeechobee. A second filing for a consumptive use permit has been secured for seven shallow wells for an average of 2.2 MGD from the wells, and 2.88 MGD from the surface water source, with a combined withdrawal not to exceed 2.57 MGD average, and a maximum of 3.47 MGD. The City's water distribution system consists of 4 -, 6 -, 8 -, 10 -, and 12 -inch water mains and a 24 -inch transmission pipeline which are predominantly constructed of cast iron, PVC, and asbestos cement pipe. The 24 -inch main extends from the water treatment plant to an elevated storage tank located on Southwest 23rd Street. The second elevated storage tank is located at City Hall and is supplied by parallel 10- and 12 -inch water mains. Table 2 denotes the materials utilized on the system. Of significant concern 13See Appendix D - Consent Order. 27 within the system is the cast iron pipe, of which there is 78,000 feet; the asbestos cement pipe of which there is over 30,000 feet; and galvanized steel pipe of which there is 84,000 feet. This comprises over half of the City's water distribution system which has a total of only 314,000 feet of pipe. Table 2. Existing Water Main Tabulation Linear Feet of Water Main With Respect to Pipe Diameter Material 2" 3" 4" 6" 8" 10" 12" AC 0 0 3,696 26,612 0 1,200 2,190 CI 2,192 2,505 5,162 58,972 16,962 1,390 875 DI 340 95 2,343 5,511 9,049 3,435 7,771 GS 84,247 0 30 0 0 0 0 PVC 79.097 7.324 35.572 35.572 25 952 0 568 Total by Size 165,876 9,924 46,803 179,683 51,963 6,025 11,404 Abbreviations: AC - Asbestos Cement Pipe CI - Cast Iron Pipe DI - Ductile Iron Pipe GS - Galvanized Steel Pipe PVC - Polyvinyl Chloride Pipe The cast iron pipes on the system have been tested and found to have very low C- factors. The C- factor is a measure of the ability of water to flow freely through the pipe. A c- factor of 100 is marginally acceptable. C- factors on the cast iron pipes between zero and 50 have been found. In addition, ductile iron pipe over ten years old has been tested and found to have similar substantard C- factor characteristics. This indicates that the water in the system has a tendency to leave behind flow - inhibiting deposits within the pipes, which requires regular cleaning. The amount of pipe found with a C- factor of 100 indicates a significant cleaning effort is required as well as potential replacement of significant portions of the system. 28 Much of the cast iron pipe is older, indicating it may have lead joints and, as such, may create problems for the City in complying with the Safe Drinking Water Act requirements for lead.14 Asbestos cement lines in many areas of the country are expected to pose potential problems in the coming years. Asbestos cement water lines tend to show some deterioration over time, resulting in brittleness and a tendency for shear breaks when disturbed. Direct tapping is not practical, as drilling into the pipe walls for service lines creates hazards for employees. The same is true for repair work on this type of water mains. Galvanized steel water mains tend to last less than twenty years. This has been demonstrated in other areas of Florida, where the galvanized steel is exposed to soils or groundwater that is acidic or saline. Galvanized steel water lines typically become high- maintenance appurtenances as they age and need to be replaced. In addition to the 84,000 feet galvanized steel water lines in the City system, many of the City's existing service lines are likely to be galvanized steel and use galvanized fittings which may contribute to additional leak problems in the system. Unfortunately, no information was provided concerning the water loss on the City's water system which, under good engineering principles, should be less than ten percent. No data on meters, conditions, or the existence of the changeout program were reviewed. An in depth analysis of such information would be prudent. 14Safe Drinking Water Act, 42 U.S.C. § 300g -6 (1988). 29 Part of the Department of Environmental Regulation Consent Order, enter into by the City as previously noted, focused upon the problem of low- chlorine residuals in various areas of the City's water system. Florida's Drinking Water Standards require service providers to maintain a chlorine residual in all parts of the system at all times to prevent the growth of bacteria.15 Low chlorine residuals can be attributed in part to the lack of flushing of the system to eliminate stagnant water in the mains. The algae bloom problem with the raw water drawn from Lake Okeechobee, as was suggested in the engineer's report attached to the Official Statement for the City of Okeechobee, Water and Sewer Improvement Revenue Bonds, Series 1989, can also contribute significantly to this problem. The City of Okeechobee Wastewater Treatment Plant is located on the north side of Cemetery Road. This plant was constructed in 1985 using a Marolf- designed contact stabilization plant. The plant capacity is 0.6 MGD with an average daily flow of 300,000 gallons per day. This negative disparity is due to a functional inability to properly dispose of wastewater effluentual points to a need for the community as a whole to find a positive use for what can be a valuable and useful by- product of a central sewer system. The wastewater plant consists of a grit chamber with bar screen, surge tank, lift station, pumps, contact aeration tank, aerobic digester, clarifier, and chlorine contact chamber, from which sewage is discharged to holding ponds and sprayed on 300 15Fla. Admin. Code 17- 550.510(6)(d). 30 acres located at the plant site. This irrigation is controlled by an irrigation pump station with three trailing spray guns. Sludge from the digester. is removed in liquid form and transported and discharged to a permitted offsite location. The major measuring device for wastewater at the plant is the V -notch weir located at the effluent end of the chlorine contact chamber. A system to measure flow depths over the weir is tied to a continuous flow recorder and chart. Auxiliary power is available onsite, as are a small office and laboratory. The suggestion exists in the engineer's report contained in the Official Statement for the City of Okeechobee Water and Sewer Improvement Revenue Bonds, Series 1989 that there may be some problems with groundwater on the effluent irrigation sites, which may limit or prevent future spray irrigation on the site. This was followed in the engineer's report by a suggestion that a deep injection well may need to be constructed for effluent disposal. A 1989 expansion to the plant included filtration of chlorinated secondary treated effluent utilizing a dual -media filter, with additional chlorination following the filter, 61,000,000 gallons of unlined holding pond storage, and a reclaimed water line to adjacent groves. Finally, the City's 1989 bond issue was utilized to add a low -lift pump station and drainage ditches to the spray field to prevent runoff of the sprayed effluent to adjacent properties. This water is returned to the onsite ponds. The City's wastewater collection system consists of 6 -, 8 -, 10 -, 12 -, and 15 -inch vitrified clay and PVC pipe. A substantial 31 increase to the number of connections that the City serves was completed in 1988 as part of its Phase I sewer expansion. On this Phase I project, the City encountered significant construction management problems and engaged a contractor who appeared to lay a significant portion of the pipe in this project with insufficient slopes. The City's 1989 bond issue included work to correct and repair some of these problems. There appear to be some fluctuations in the flows generated by the system that would indicate that some infiltration of the system is present. However, no correlating rainfall information was provided. The Okeechobee Beach Water Association system has little available information. The system has two elevated storage tanks, each with 75,000 gallons capacity located at Buckhead Ridge and Treasure Island. The system contains about 15 miles of 6- and 8 -inch "transmission" lines, and an unknown quantity of lines less than 6 inches in diameter serving individual lots. All water service is currently provided by the City of Okeechobee as a part of a bulk water service agreement that expires in 1994. The system appears to be in fair condition, but little information was available for review in the preparation of this report. The total value of the assets of the City's water and sewer system is $7,441,576 according to the 1990 audit, with contributions in aid of construction of $4,447,549, totalling a system asset value of $11,889,125.16 However, debt on the system 16Financial Statements and Accompanying Information, provided by City of Okeechobee, p. 18 (1990). 32 is $9,552,283,17 leaving a net residual value on the system of $2,336,842 when debt is deducted. The Okeechobee Beach Water Association system has no debt. The latest annual report lists the value of the assets of the system at about $1,550,000, leaving a net residual value of about $1,550,000. These crude valuations do not take into consideration other positive or negative factors, such as a need to replace deteriorated or unsafe pipe, additional infrastructure needs or the ability or inability to raise rates to meet revenue needs. Existing Customer Base The City of Okeechobee water system presently serves 3,718 residential customers, 20 multi - family connections, zero industrial customers, and 762 commercial customers. Added to this are the Okeechobee Beach Water Association customers, including 2,973 residential customers and 178 commercial customers. Nearly half of the customers on the City system are located within the County, but not within the Okeechobee Beach Water Association's water distribution system service area. Table 3 shows existing and 17Financial Statements and Accompanying Information, provided by City of Okeechobee, p. 20 (1990). 33 proposed customers for the City, County, and the Okeechobee Beach Water Association for 1991 and 1994. TABLE 3. WATER CUSTOMERS Type City County OBWA 1991 1994 1991 1994 1991 1994 Single Family 1944 1981 1774 2000 2973 3285 Multi Family 9 n/a 11 n/a 0 0 Commercial 519 540 243 289 178 190 Industrial 0 0 0 0 0 0 TOTAL 2472 2521 2028 2289 3151 3475 Gallons Used /Day (000,$) 574 587 451 511 *484 *527 (actual) 562 612 Rates 3.10 +1.70/1000 3.88 +2.13/1000 8.00 +3.00/1000 NOTES: Average low - Single Family (City & County) 5100 gal /mo Single Family (OBWA) 3000 gal /mo Multi Family & Commercial (City & County) 17700 gal /mo Multi Family & Commercial (OBWA) 31400 gal /mo Total Plant Average Daily Flow - 1991 - 1.59 MGD 1994 - 1.71 MGD The City of Okeechobee sewer system only serves 1,387 City customers and 589 County customers (a total of 1,976), but no Okeechobee Beach Water Association customers. City Utility Revenue and Expenditures Tables 4 and 5 present the revenue and expenditures budgeted for the City of Okeechobee water and sewer systems over the past few years. TABLE S. CITY OF O*O ECNOBEE REVENUES(in 000's) Item/Year 1987 1988 1989 1990 User Fees (w & S) 1417 1722 1697 2251 Interest Income 63 72 62 305 Impact Fees • 112 91 212 417 Misc. 0 43 37 58 TOTAL 1592 1928 2008 3031 NOTE: Figures for FY 1991 were not made available by the City. 34 • Table 5 also shows estimated future expenditure budgets. TABLE 5. CITY OF OIO ECHOBEE EXPENDITURES (in 000's) Item/Year 1988 1989 1990 1991* 1992* 1993* 1994* Personnel 541 582 615 650 685 710 745 Contract Serv. 41 54 56 63 70 76 82 Mtls & Suppl 246 352 348 350 350 350 350 Utilities 131 137 127 135 135 135 135 Insurance 60 52 49 50 50 50 50 Repair & Maint. 60 81 68 70 72 75 78 Admin. Suppl 19 25 23 23 24 25 26 Transf. to GF 48 48 48 48 48 48 48 Bad Debts 20 12 0 5 5 5 5 Debt Service 436 593 767 797 859 854 n/a Legal & Eng. 593 ** 45 0 0 0 0 0 Misc. 2 25 8 10 10 10 10 Deprec. * ** 281 306 311 320 340 360 380 TOTAL 2482 2312 2420 2521 2648 2698 n/a Net Operating (32) 140 133 n/a n/a n/a n/a NOTES: * Projected, with no plant expansions ** Arbitration Case settlement * ** This is not the usual procedure for public sector accounting. This could be a Repair & Replacement Fund, but the annual audits do not indicate whether this is the case, or whether this is an actual dollar expenditure. Recent rate increases by the City have generated an influx of monies for operations and to offset bond indebtedness incurred in 1987 and 1989 for the previous plant expansions and the City's Phase I sewer area installation. Debt on the system currently is $9,552,288. Unfortunately, the debt is not divided between water and wastewater, which require assumptions to be made. The City's 1989 bond issue for $4.8 million was split $4.6 million for sewer, the rest for water. The City of Okeechobee, Water and Sewer Refunding and Improvement Revenue Bonds, Series 1987 refinanced previous bond issues for which little information has been made available. Based on the official statement, it appears that the debt may be evenly split between water and wastewater (the 1972 35 FMIIA issue appears to upgrade the City's water treatment plant, while the 1983 issues are split between water and sewer). As such, the debt on the water and wastewater systems, for the purpose of clarity, is estimated as follows: Water related debt $2,650,000 Sewer related debt $6,900,000 Total debt (water and sewer) $9,550,000 Table 6 compares monthly water utility bills for the City of Okeechobee and some surrounding communities. Presently, the City's rates appear in the middle of the spectrum. However, future infrastructure requirements may cause the monthly bills to appear significantly different were the City to incur the debt to make the improvements. As well, increased principal payments on the City's debt will also demand increased rate revenues. TABLE 6. COMPARISON OF CITY WATER BILLS TO AREA SYSTEMS System Okeechobee OBWA Moore Haven Sebring Clewiston Belle Glade South Bay Pahokee Availability 3.10 8.00 9.00 7.10 3.00 8.61 6.00 9.00 Per Gallon 5000 gal 1.70 2.00 /over 3000 2.50 1.77/1.45 over 3000 2.50 1.87 2.00 3.00 /over 3000 11.60 12.00 21.50 13.31 15.50 14.22 16.00 15.00 NOTE: Rate information from August 1991 Okeechobee Area Water &Sewer Task Force Final Report on Comparison Analysis - Water and Sewer Options, which was not reverified for this report. Based upon a review of the pledged security for the City's 1987 and 1989 bond issues and the City's rate structure, it appears that a portion of the revenue necessary to cover city debt service is being derived from charges to rate payers for operating, as 36 opposed to availability costs.18 Also, it appears that some general fund monies are being used to offset debt service. The net result of this latter point would result in city taxpayers subsidizing the utility system rate payers with artificially lower utility rates. Alternatively, this might be explained by the fact that the City is depreciating its infrastructure; which is not a customary practice on governmentally owned utility systems. If either of these observations is correct, the City could be faced with a future management problem due to a cash flow shortage, be unable to make periodic repayment on the bonds and /or be faced with an inability to meet operations costs, all due to a shortage of utility rate revenues. Future Infrastructure The water and wastewater plants in the City of Okeechobee will need expansion in the near future, as the units that can be 18In a typical rate structure service availability costs are made up of debt service, meter reading and billing and collection costs. These are fixed costs which occur whether any water is used or not. The other component of a typical rate structure is the cost of operations which are composed of the cost to produce the commodity or service and the maintenance of infrastructure. Typically all rate payers pay the same availability charge or portions of fixed costs and rate payers who use more water than others pay a proportionately larger share of the cost of operations. Shifting a portion of debt service from the fixed or availability side of the rate equation to the operations cost side does three things: (1) artificially lowers rates for small users because they pay a disproportionately small share of debt service costs, (2) shifts to larger users a disproportionately large share of debt service costs and (3) creates a potential management problem resulting from lack of funds from rate revenue to cover debt service. This latter consequence would occur if larger users were to significantly reduce consumption, resulting in a lack of revenue to cover that portions of debt service cost inappropriately charged as a part of operations costs. 37 1 served under current conditions are theoretically 11,850 and 2,400, respectively. Indications are that the City's water plant may not be able to meet State and federal drinking water standards at that level due to the quality of the lake water. On the wastewater side, the estuary system and the lake itself may pose problems for the future disposal of wastewater effluent. The engineer's report attached to the City of Okeechobee, Water and Sewer Improvement Revenue Bonds, Series 1989, noted that the ultimate disposal for the wastewater effluent would be a deep injection well. This is an extremely costly alternative; however, it may lend itself to a number of potential benefits for the provision of both water and wastewater. Unfortunately, two wells (one for backup) would be required,19 each costing approximately $2.5 million. All of the above points to a need for significant revenue, which in turn makes significant rate increases for City users inevitable. According to the Okeechobee County Comprehensive Plan, the sanitary sewer use is estimated to be 130 gallons per capita per day while the peak daily water demand for potable water is 114 gallons per capita per day.20 This is contrary to generally accepted engineering standards, which indicate that the per capita water usage should be higher than the per capita sewer demand. It 19F1a. Admin. Code 17 -28 (1990) essentially requires that one deepwell will not be permitted without another for back -up purposes. 20Okeechobee County Comprehensive Plan, Policy S1.1, Okeechobee County Ordinance No. 92 -5. 38 is suspected that this standard has been set to account for summer infiltration into the area wastewater treatment plants. This is an issue that needs to be reviewed and corrected on a community -wide basis in order to protect groundwater supplies and reduce wastewater treatment plant construction costs to area residents. In evaluating the future wastewater infrastructure, it should be recognized that although the City of Okeechobee is a,major provider of sewer service in the Study Area, it is not the only provider. A significant number of small package wastewater treatment plants exist in the area surrounding the City of Okeechobee.Z1 These package wastewater treatment plants may constitute a health, safety, and welfare risk or an environmental risk at some future point in time (if not already) . The County recently commissioned a study by Craig A. Smith & Associates to review the swer service aspects of a regional county provider to provide service to the outlying areas and to take these package plants off line.22 As such, this Phase I Report will endeavor to avoid duplicating the efforts of the Craig A. Smith report relative to wastewater service. The City of Okeechobee recently indicated that it is ready to expand its water treatment plant. In 1994, the bulk water service agreement with the Okeechobee Beach Water Association expires. 21Draft- Okeechobee County Utility System, prepared by Craig S. Smith & Associates, p. 4 -70, September 1991. 22Draft- Okeechobee County Utility System, prepared by Craig A. Smith & Associates, September 1991. 39 This fact has opened discussions among the City, County, and Okeechobee Beach Water Association concerning the best alternatives to the provision of water service to the area. The City, as the current water provider, appears desirous of continuing that service. At some point there may be some resistance from City voters to the issuance of debt in order to provide additional capacity to County residents. This fact has been realized by Okeechobee Beach Water Association which evaluated its ability to, and appears poised to, embark on construction of its own water treatment plant. The South Florida Water Management District has recognized the need to plan, design and construct regional water and sewer infrastructure in the Study Area and has agreed to incrementally provide partial .funding to explore and promote such activity through the County in a performance based manner. This funding is pursuant to la Cooperative Agreement between the South Florida Water Management District and the County, dated April 9, 1992.23 has the 23This funding Agreement provides for funds to be paid over to the County upon the happening of specific events or the provision of specific deliverables over a period of as long as three Fiscal Years ending September 30, 1994. Although this funding agreement is subject to revision and amendment the current funding milestones are as follows: wastewater effluent disposal site- specific study - $50,000; preliminary wastewater collection system design and cost estimate - $125,000; wastewater system financing plan - $75,000; design and permitting of the initial phase of wastewater facilities - $50,000; hydrogeologic study and test well program for wellfield- $100,000; development of governance structure to deliver utility facilities and services - $50,000; preparation of plans and receipt of permits to construct well field, tankage, transmission and pumping appurtenances; preparation of plans and receipt of permits to construct 1.5 MGD water treatment plant - $50,000 completion of wellfield, raw water storage facility, transmission lines and appurtenances - $500,000. 40 Annual Operations Assumptions OPERATIONS COSTS - CITY PLANT (Water Only) 1991 1994 Personnel 350,000 435,000 Contractual Serv. 30,000 40,000 Maint & Suppl 220,000 220,000 Utilities 75,000 75,000 Insurance 25,000 25,000 Repair & Maint. 40,000 45,000 Admin. Suppl 10,000 15,000 Transf. to CF 24,000 24,000 Misc. 5,000 5,000 R &R (Deprec.) 130.000 140.000 TOTAL 909,000 1,024,000 OPERATIONS COSTS - OBWA NEW PLANT (Water only) Chief Operator 37,000 5 Operators (5 a 27,000 /yr) 135,000 Utility Tech /Meter Reader 46,000 Utilities 75,000 Repair & Maintenance 30,000 Contract Services (Lab) 30,000 System Maintenance 50,000 Administrative Costs 35,000 Miscellaneous Costs 25,000 Insurance 10,000 R &R 200,000 TOTAL 673,000 OPERATIONS COSTS - COUNTY /AUTHORITY PLANT (Water Only) Chief Operator 37,000 5 Operators (5 2 27,000 /yr) 135,000 Utility Tech 46,000 Meter Reader • 23,000 Billing 5,000 Utilities 75,000 Repair & Maintenance 40,000 Contract Services (Lab) 30,000 System Maintenance 50,000 Administrative Costs 25,000 Miscellaneous Costs 25,000 Insurance 10,000 R &R 250.000 TOTAL 767,000 42 OPERATIONS COSTS - COUNTY /AUTHORITY 2 PLANTS (Water Only) Personnel 630,000 Contract Services 40,000 Maint & Suppl 270,000 Utilities 150,000 Insurance 25,000 Repair & Maint 80,000 Miscellaneous Costs 25,000 R &R 390.000 TOTAL 1,610,000 Again for comparison, Table 9 briefly outlines each of several options. TABLE 9. DEVELOPMENT OF OPTIONS OPTION: A. Existing system is City operated 2.88 MGD plant with bulk sale to OBWA B. City expands plant by 2.0 MGD and continues to serve all via contractual arrangement C. City serves its current area, minus OBWA. OBWA purchases water from 2.0 MGD regional county treatment plant, constructed by County D. City provides its service area minus OBWA who builds own 1.0 MGD water treatment plant E. County or authority operates existing City plant and builds new 2.0 MGD regional water treatment plant - interconnects same, purchases City system for net value, purchases OBWA system for net value, and provides OBWA water like any other customer F. County or authority operates existing City water plant, and expands same to 4.88 MGD on site, thereby eliminating some costs, purchases City system for net value and purchases OBWA for net value, treats all customers the same G. County or authority operates existing City water plant, builds new plant that can be expanded, interconnects systems, assumes City debt. City and OBWA give systems to authority H. County or authority operates existing City water plant, expands it, and assumes City debt. City and OBWA give systems to authority Option A is the existing situation where the City is operating a 2.8 MGD water treatment plant with a bulk sale of up to 800,000 gallons per day to the Okeechobee Beach Water Association. This option is shown for later comparative purposes. 43 Option B utilizes the expansion by the City of its' plant capacity by 2.0 MGD and assumes that contractual arrangements can be negotiated to allow the City to continue to provide water service to the Okeechobee Beach Water Association system. Without the latter bulk service arrangement and the light of below average growth in the community, it makes little sense for the City to plan any expansions. Option C assumes that the City continues to serve in its current service area with its current water treatment plant, excluding the Okeechobee Beach Water Association system. This option assumes that the Okeechobee Beach Water Association purchases water from a 2.0 MGD regional County water treatment plant, constructed by the County utilizing the South Florida Water Management District grant. The County would then continue to pick up customers from this plant without deleting any of the City's current service area. Option D assumes the Okeechobee Beach Water Association builds its own 1.0 MGD water treatment plant and services its customers. The only problem with this option is that the Okeechobee Beach Water Association is a private cooperative, and the impetus behind construction of a new plant reasonably appears to be land development- driven, leading to the question as to whether or not the system might be abandoned at some point in the future requiring operation by the general purpose government, the County. 44 Options E, F, and G all assume that the County or a multi -party authority provides water service to all of the customers on a retail basis, at equivalent rates. These scenarios are developed because a disparity exists in the current rate structure among the three parties (County residents pay 1.25 times City residents for the same service, and Okeechobee Beach Water Association customers pay less than even City customers due to their long term bulk service arrangement which is due to expire in 1994). All three options also assume that the County or a multi- party authority assumes all current indebtedness on either the City or Okeechobee Beach Water Association system. Options E and F also assume that the City and the Okeechobee Beach Water Association require that the County or an authority purchase their systems for net value as a part of the initial setup of the authority. The latter assumption significantly increases the start -up costs and debt incurred on the regional system. Option E assumes that the County builds a new 2.0 MGD regional water treatment plant, interconnects same with the City's plant, and operates both. Option F assumes by the same methodology that the County or a multi -party authority can expand the City's water plant onsite, thereby eliminating some duplication in the operations costs. Option G assumes the County or multi -party authority operates two plants that are interconnected and a new plant that can be expanded. 45 Option H is identical to Option G, except operating with one expanded plant instead of two. Table 10 indicates the cost of each of the above described options, utilizing the assumptions made in Tables 7 and 8. Obviously, the most expensive options appear to be those in which the County or multi -party authority must purchase the City and Okeechobee Beach Water Association water systems. However, it must be remembered that the larger rate base helps to overcome its apparent disparity. TABLE 10. OPTIONS FOR WATER SERVICE-FOR USE AS A DECISION MAKING TOOL Option A. Current Conditions - No Growth (for comparison) Option B. City plant expanded by 2.0 MGD 3,000,000 Wells 500.000 TOTAL 3,500,000 Option C. County builds new plant at 2.0 MGD 3,000,000 Wells 500,000 Land 250,000 0.5 MG tank 500.000 TOTAL 4,250,000 Option D. OBWA builds 1.0 MGD plant 1,500,000 Wells 375,000 Land /piping 250,000 (2 tanks owned by OBWA) -0- Clearwell 250.000 TOTAL 2,375,000 Option E. OBWA system 1,600,000 City Net Value 2,400,000 -- . Assume City Debt 2,650,000 New Plant Construction 4,250,000 Credit SFWMD Grant (1,500,000) Reserve 10% 1,100,000 Issuance 4X 440.000 TOTAL 10,940,000 46 Option F. OBWA system City Net Value Assume City Debt Ex. Plant Expansion Credit SFWMD Grant Reserve 10% Issuance 4% TOTAL Option G. 1,600,000 2,400,000 2,650,000 3,500,000 (1,500,000) 1,010,000 410,000 10,070,000 Assume City Debt 2,650,000 New Plant Construction 4,250,000 Credit SFMMD Grant (1,500,000) Reserve 10% 630,000 Issuance 4X 250.000 TOTAL 6,280,000 Option H. Assume City Debt Ex. Plant Construction Credit SFWMO Grant Reserve 10% Issuance 4X 2,650,000 3,500,000 (1,500,000) 540,000 220,000 TOTAL 5,410,000 NOTE: Debt service assumed 8 7X over 30 years (.0814) Table 11 summarizes the water debt obligations that each of the parties would incur if the above options were pursued. TABLE 11. WATER DEBT OBLIGATIONS (in 000's) Option City County OBWA A. 2650 0 0 B. 6150 0 0 D. 2650 2750 0 D. 2650 0 2375 E. 0 10940 0 F. 0 10070 0 G. 0 6280 0 H. 0 5410 0 To further refine the cost to the consumer under each of the options, a simplified rate study must be performed. Rate analyses 47 are best performed utilizing a conversion of the current meter sizes to equivalent residential customers (ERC). This calculation is relatively easy and assumes that a 5/8- by -3/4 -inch standard meter is one ERC. Each meter size larger than the standard meter has a multiple assigned to the number of connections. Table 12 illustrates how the number of meters as converted to ERCs were developed. In 1990, the total ERCs served by the City was 7,185. TABLE 12. EQUIVALENT RESIDENTIAL CUSTOMER CALCULATION (1991) Meter Size City County Number /ERCs OBWA 5/8 x 3/4 1970/1970 1954/1954 2112/2112 1 58/ 116 31/ 62 16/ 32 1-1/2 19/ 95 17/ 85 3/ 15 2 22/ 176 15/ 120 8/ 64 3 2/ 32 5/ 80 1/ 16 4 1/ 32 1/ 32 4/ 128 6 0/ 0 0/ 0 1/ 64 TOTAL ERCs 2421 2333 2431 ERCs all systems 7185 Based upon a determination of equivalent residential customers or1ERCs, a prorata share of the debt on the system can be assigned to each user class. Table 13 indicates the amount of debt that will be required to be secured for a standard 5/8- by -3/4 -inch meter customer (typical residential user). TABLE 13. MONTHLY DEBT REQUIREMENT -BY OPTION Option City County OBWA A. 3.10 3.88 8.00* B. 5.60 7.00 4.88 C. 3.43 4.12 7.67 D. 3.43 4.12 5.58 E. 10.33 10.33 10.33 F. 9.51 9.51 9.51 G. 5.92 5.92 5.92 H. 5.11 5.11 5.11 Okeechobee Beach Water Association residents get 3000 gallons for the minimum rate. 48 Option A indicates the current rates on the system. In each of the cases, the debt service required is higher than present, given that some expansion must take place in order to continue to provide sufficient quantities of water to the area. Table 14 shows the per- thousand gallon cost for each of the alternatives. Anytime more than one treatment plant is involved, the operations costs increase. These costs are based upon current and projected costs incurred by the City of Okeechobee as detailed on Table 5 and assumed on Table 8. TABLE 14. MONTHLY VARIABLE COST (per 1000 gal) Option City County OBWA A. 1.70 2.12 3.00* B. 1.54 1.93 3.00 C. 1.71 2.14 3.39 D. 1.71 2.14 2.97 E. 2.58 2.55 2.58 F. 1.64 1.64 1.64 G. 2.58 2.58 2.58 H. 1.64 1.64 1.64 NOTE: Cost per 1000 gallons above 3000 Table 15 illustrates a comparative monthly water rate under each of the options. Under each option, there are different winners and losers. TABLE 15. COMPARABLE MONTHLY WATER RATES (5000 gallon per month usage) Option City County OBUA A.* 11.60 14.53 14.00 B. 13.30 16.65 19.88 C. 11.98 14.82 24.62 D. 11.98 14.82 20.16 E. 23.23 23.23 23.23 F. 17.71 17.71 17.71 G. 18.82 18.82 18.82 H. 13.31 13.31 13.31 NOTE: *Current City Rates 49 No doubt other parties could create an endless options with varying numbers. This analysis provides a glimpse into the future and makes it rather obvious that the [conclusion]. Debt Capacity Considerations In the State of Florida, the majority of large water and sewer utilities (more than 3,000 connections) are owned by local governments, as opposed to private for - profit entities. Water and sewer utilities are capital intensive, and therefore, the ability of local governments to finance capital projects with.low interest rate, tax - exempt debt is a significant advantage of local government ownership. Local government tax exempt debt issued in order to finance utility projects carries extremely low interest rates due to investors' perception that the security of water and sewer debt is of the highest quality. The credit quality is high because the debt is secured by water and sewer revenues which are easy to forecast and represent payment for an essential service. Both of these attributes: tax - exemption and high quality credit will be secured regardless of the governance alternative selected. The City of Okeechobee has capitalized on the advantages discussed above as demonstrated by the following summary of the City's outstanding water and sewer debt. Bond Issue Water and Sewer, Series 1987 Water and Sewer, Series 1989 50 Range of Amount Maturities of Outstanding Interest Rates $4,745,000 1993 -6.0% to 2017 - 7.875% $4,830,000 1994 -6.10% to 2015 - 7.125% The Okeechobee Beach Water Association has no significant debt outstanding. Current market tax - exempt interest rates are at a 14 year low. These market conditions provide an excellent opportunity for the community to consider more regional governance alternatives. The analysis set forth as Appendix E, demonstrates that the City's outstanding water and sewer debt could be refinanced, in the current market, with no increase or even a small decrease in debt service requirements (principal and interest payments). The analysis is a refinancing analysis, and therefore, includes no compensation in addition to the retirement of all outstanding debt. We believe this financing plan could be implemented by under regional governance structure adopted by the community at least a "break even" level. Therefore, financing concerns should not be significant in the selection of a governance alternative. Other than the knowledge that refinancing the City's existing water and sewer debt will not add to the cost of consolidating local utilities, the selection of a governance alternative should be based on other, more significant, issues addressed in this Phase I Report. Summary of Overview This overview of service in the Study Area has been developed to address certain issues involved with the provision of water and wastewater service to the southern Okeechobee County area. The analysis considered existing infrastructure, the present financial picture, and a number of possible options. The "bottom line" 51 indications in Tables 10, 11, 13, 14 and 15 must not be allowed to totally drive any conclusions - there are other less tangible considerations. There are serious problems with the age and type of infrastructure that exists on the City system, especially with regard to the older cast iron, asbestos cement, and galvanized steel water lines. It is anticipated that significant expense will be incurred in the coming years to repair, maintain or replace aging, dysfunctional or unsafe water distribution and service lines.. The Okeechobee Beach Water Association system is a small system, and small utility systems are generally not viable for any length of time due to the regulatory requirements and the increasingly extensive sampling and testing that must be performed. In reviewing the present provider's financial picture, it appears that the City of Okeechobee has only recently been able to break even or show a surplus on its utility system, but additional debt, aged infrastructure, present service demands or the loss of the cash flow from Okeechobee Beach Water Association may force significant rate increases in the future. Likewise, the Okeechobee Beach Water Association, in building its own water treatment plant, will ultimately have to face the prospect of substantial rate increases. If the community continues with the City as a sole provider of water more than half of the City's rate payers will continue to pay 25% more than the minority of the City resident customers. If the Okeechobee Beach Water Association builds its own water treatment plant, the City's rate base will shrink and the rates 52 charged by the City to its remaining customers will be sharply adjusted upward to make up for the $200,000 per year that the Okeechobee Beach Water Association pays under its bulk service arrangement. Were the County to build the required infrastructure for County residents and the Okeechobee Beach Water Association, the rates in the City system would also increase for the same reasons. In addition, it makes little sense to have two or three entities in the water business in such a small area. Finally, disjointed and competing water utility service will undoubtedly lead to disjointed, inefficient and expensive delivery of wastewater services. Such circumstances generally leads to the proliferation of package wastewater treatment systems, environmental degradation, regulatory scrutiny and, ultimately building or use moratoriums. As Noted previously, the market for tax - exempt interest rates is at a 14 year low and the assumption of the City's existing water and sewer debt in the worst case would only have a neutral affect. A regional approach to providing water and wastewater provides a larger and more credit worthy base than any other approach. This larger, more credit worthy base in turn results in lower- costs and more stable rates to the entire community. Finally, from a general financial view point, the larger geographic area encompassed by the Study Area lends itself to providing an assessment base to assist in financing infrastructure. This facet may not generate the revenue to build out the system, but will demonstrate to state and federal agencies 53 and the credit markets that the community (1) has put in place the framework to obtain the best credit and lower cost of funds in the event of any borrowing and (2) is poised to participate to the best of community's ability. The natural hesitance of the City to be a participant in a County utility authority, or for competition in the provision of potable water, is the loss of control and /or existing utility customers. However, without a regional approach in place the chances of obtaining State or federal subsidies for wastewathr infrastructure are for all practical purposes non - existent. If the City of Okeechobee utility system was to be transferred or contributed to a multi -party authority, City residents would be assured of stable rates and the rates for all customers in both the incorporated and unincorporated areas would be equal. Such a regional scenario will significantly increase the possibility of sewering the urbanized areas in the City and in the unincorporated nearby areas. A regional approach brings with it a viable opportunity to seek State or federal subsidy for the community as a whole. Without a regional approach and outside subsidy for the cost of needed capital infrastructure, commerce in the whole community will suffer, service expansions will be sporadic and inefficient and rates for everyone will be disparate and much higher. Table 15 is illustrative, and shows for policy making purposes how the different governance alternatives are significantly different cost -wise from each others. Additional 54 study beyond the scope of this Phase I report is necessary to review the viability and continued utilization of portions of the City utility system and to fine tune the selected option or alternative. For example, Options B, F and H may not be possible if significant room does not exist at the current water treatment plant site to effect an expansion to that same plant and take advantage of the savings that a one -plant scenario would provide. From the standpoint of "what's best for whole community ? ", it appears desirable to have one regional agency that provides utility service to the limited number of customers that exists within the Study Area. This alternative (1) takes advantage of any economy of scale that can be derived, (2) will transcend artificial boundaries within the community and (3) put the community as a whole in the best position to seek subsidy from State and federal sources. Given that under a consolidated scenario there is little difference in the future rates, it is recommended that a multi -party authority be developed to provide for the water and wastewater utility service in the Study Area.24 The most sensible approach in this regard appears to be one where the City and the Okeechobee Beach Water Association contribute their systems to the multi -party authority and the County contributes its South Florida Water Management District grant and . bonding capacity. Over time, while the rates will never decline, 24Providing representation and input from Okeechobee Beach Water Association may need to come from legislative revisions to general law, special law, or by agreement. See "GOVERNANCE STRUCTURE -- Governance Recommendation" herein. 55 the rates will likely be more stable than any of the other options. The multi -party authority would have the responsibility for maintaining and repairing the existing infrastructure and providing infrastructure for future customers and to residents currently on well service. Regionalized wastewater service, generally in accordance with the County's wastewater recent study, could be incorporated into the same multi -party authority to begin the process of aggressively seeking of extending sewer to unserved areas and toward replacing the package wastewater treatment plants throughout the Study Area. 56 LOCAL REVENUE SOURCES Ad Valorem Taxes Ad valorem property taxes are an option to partially fund a regional utility system. As of May, 1992, the real property in the Study Area, including both residential and commercial properties, had a combined ad valorem taxable value of $400,150,070. Based upon this valuation, one mill25 of ad valorem taxes within the Study Area would generate $400,150 of annual ad valorem tax revenues. Ad valorem tax revenue generated in a special taxing district would provide a reliable and easily administered revenue source to partially fund the capital and operating costs of a regional utility system. As discussed subsequently, an election is required to impose ad valorem taxes in a special taxing district. Ad valorem taxes are value -based taxes on real and tangible personal property. The Florida Constitution prohibits a local law for the assessment and collection of taxes, so general law defines the ad valorem tax base and provides for the annual collection of ad valorem taxes by the tax . collector in each county.26 The tax liability of an individual property owner depends on two factors: the parcel's taxable value and the millage rate applied by the taxing unit. Florida law requires the property appraiser to determine the taxable value of all property in the county by 25One mill equals one one - thousandth of a dollar. Section 192.001(10), Florida Statutes. 26Article III, Section 11(a)(2), Florida Constitution. 57 appraising all parcels according to just or fair - market value, and by making adjustments for tax exemptions and classifications authorized by the Florida Constitution and implemented by Florida Statutes.27 The millage rates are established annually by the local taxing authorities in accordance with procedures established by general law.28 Property owners are sent a single ad valorem tax notice each year that contains a bill for the millages levied by all the taxing units.29 The millage rate levied within each unit must be uniform.3o There is no requirement that a taxpayer benefit from the expenditure of tax revenue. The general rule is that the questions of benefits and of unlawful burdens do not arise when the tax is uniform, for a public purpose, and within the power of the Legislature to prescribe.31 Limitations on the use.of; the ad valorem revenue may be provided by law or in the charter establishing the taxing district and are governed generally by the public purpose requirement of the Florida Constitution. A reasoned consideration of using ad valorem tax revenue from the Study Area to partially fund a regional utility system through 27Chapters 193 and 196, Florida Statutes. 28Chapter 200, Florida Statutes. 29Section 197.3635, Florida Statutes. 3°Article VII, Section 2, Florida Constitution. 31Hunter v. Owens, 86 So. 839 (Fla. 1920); Jinkins v. Entzminger, 135 So. 785 (Fla. 1931); Dressel v. Dade County, 226 So.2d 402 (Fla. 1969) ; and Tucker v. Underdown, 356 So.2d 251 (Fla. 1978). 58 a special taxing district vehicle must include consideration of the referendum requirement. The imposition of ad valorem taxes by any entity other than a county, municipality, school district or water management district must be approved by the electorate.32 Voters must also approve a pledge of ad valorem revenue for the payment of indebtedness.33 The Florida Constitution provides that special districts may be authorized by law to levy ad valorem taxes but requires that the rate of taxation be "... authorized by law approved by vote of the electors who are owners of freeholds therein not wholly exempt from taxation. "34 Limiting the vote to owners of "freeholds," or title holders of property, has been the subject of litigation. In City of Phoenix v. Kolodzielski, 90 S.Ct. 1990, 399 U.S. 204, (1970), the United States Supreme Court invalidated a general obligation bond referendum on equal protection grounds where the electorate was limited to freeholders. The referendum was struck down on the ground that the property owners' interest in the outcome of the election was no more substantial than the interest of the non - property owners. However, the Court upheld a property owner election against an equal protection challenge where the purpose of the election was to elect a board of directors with limited powers of government in Salver Land Co. v. Tulare Lake Basin Water Storage District, 410 U.S.419, 93 S.Ct 1224 (1974). 32Article VII, Section -9(b), Florida Constitution. 33Article VII, Section 12, Florida Constitution. 34Article VII, Section 9(b), Florida Constitution. 59 The Supreme Court of Florida has followed the United States Supreme Court opinions in interpreting the constitutional provision regarding freeholder elections. In State v. Frontier Acres Community Development District, 472 So. 2d 455 (Fla. 1985), the court upheld the constitutionality of Section 190.006, Florida Statutes, which provides for voting on a one - vote - per -acre basis for electing the board of directors of a community development district. The court reasoned that a community development district does not exercise general governmental functions and does ,have a disproportionate effect on landowners within the district. A special taxing district encompassing the Study Area would perform functions similar to those of government, such as levying property taxes, assessments, issuing bonds and providing water and sewer services. Since the district encompasses residential as well as commercial areas, a freeholder election is not a good alternative as a court would undoubtably balance that fact against the appropriateness of holding an election based on ownership of land. The fragmented development of the Study Area makes it distinct from the characteristics of a community development district which typically has few owners of large tracts of underdeveloped land. We believe that ad valorem taxes, in this circumstance, is not a good alternative as the same revenue could be created via a municipal service benefit unit without the need for an election. 60 Special Assessments General Description Generally special assessments are "charges assessed against the property of some particular locality because that property derives some special benefit from the expenditure of the money... "35 As established by Florida case law, there are two requirements for the imposition of a valid special assessment: (i) the property assessed must derive a special benefit from the improvement or service provided and (ii) the assessment must be fairly and reasonably apportioned between the properties that receive the special benefit. An assessment may provide funding for either capital expenditures or the operational cost of services, provided that the property which is subject to the assessment derives a special benefit from the improvement or service.36 35Atlantic Coast Line R. Co. v. City of Gainesville, 91 So. 118, 121 (Fla. 1922) (quoting Page & Jones on Taxation by Assessment, Section 553, pp. 896, 897). 36Special assessments are available under any of the governance structures described in this report under the caption "GOVERNANCE STRUCTURE -- Governance Alternatives." In addition to other specific legislative authorization, Section 197.3631, Florida Statutes, provides: Section 197.3632 is additional authority for local governments to impose and collect special assessments supplemental to the home rule powers pursuant to ss. 125.01 and 166.021 and Chapter 170, or any other law. A local government is defined as "... a county, municipality, or special district levying non -ad valorem assessments." 61 Special Benefit Requirement The Florida Supreme Court has determined in Meyer v. City of Oakland Park, 219 So.2d 417 (Fla. 1969) that the benefit required for a valid special assessment consists of more than simply an increase in market value but includes both potential increases in value and the added use and enjoyment of the property. In Meyer, the Court upheld a sewer assessment on both improved and unimproved property, stating that the benefit need not be direct or immediate but must be substantial, certain and capable of being realized within a reasonable time. Nor must the benefit be determined in relation to the existing use of the property. In City of Hallandale v. Meekins, 237 So.2d 318 (4th DCA 1970), aff'd, 245 So.2d 253 (Fla. 1971), the Court indicated that the proper measure of benefits accruing to property from the assessed improvement was not limited to the existing use of the property, but extends to any future use which could reasonably be made. Although the benefit derived need not be direct and immediate, it must be special and peculiar to the property assessed and not a general benefit to the entire community. Services which are provided by a government may be essential to the public welfare but not provide the special benefit necessary for the imposition of a valid assessment. In Crowder v. Phillips, 1 So.2d 629 (Fla. 1941), a special .assessment for the establishment and maintenance of a hospital was found to not afford a special or peculiar benefit to the real property assessed. The Court reasoned that a hospital provided benefits to 62 the entire community because of its availability to any person and that no logical relationship existed between the construction and maintenance of the hospital and the assessed property. In Whisnant v. Stringfellow, 50 So.2d 885 (Fla. 1951), an assessment for the county health unit was also held to be invalid in that it benefited everyone in the county, regardless of their status as property owners. In Fire District No. 1 of Polk County v. Jenkins, 221 So.2d 740 (Fla. 1969), the Supreme Court found that necessary special and peculiar benefits resulted from the levy of an assessment for fire protection against mobile home rental spaces. The Court found the presence of special and peculiar benefits from the resulting decrease in insurance, protection of the public safety, enhancement of business property and better service to tenants. Other assessed services found to have provided the requisite special benefit are garbage collection37; erosion control groin systems38; sewer improvements39; and street improvements40. Generally, the governing authority levying the special assessment must make a specific determination as to the special benefit received by the property to be assessed.41 However, a 37Charlotte County v. Fiske, 350 So.2d 578 (Fla. 2d DCA 1977). 38City of Treasure Island v. Strong, 215 So.2d 473 (Fla. 1968). 39City of Hallandale v. Meekins, supra. 40Atlantic Coast Line R. Co. v. City of Gainesville, supra, and Bodner v. City of Coral Gables, 245 So.2d 250 (Fla. 1971). 41City of Fort Myers v. State, 117 So. 97 (Fla. 1928). 63 specific finding by the governing body is not required in all cases. When a particular improvement, by its nature, is designed to afford special or peculiar benefits to property within the proximity of the improvement, it is presumed that special or peculiar benefits will accrue to the property. In City of Treasure Island v. Strong, supra, the Supreme Court found that special assessments levied for the construction of an erosion control groin system were valid because the system would inherently benefit the property it protected. Street improvements and sanitary sewer systems have also been found to inherently benefit abutting and other property. In City of Hallandale v. Meekins, supra, the Court held that a sanitary sewer system is by its nature designed essentially to afford special or peculiar benefits to abutting or other property within the protective proximity of the improvement. See also Bodner v. City of Coral Gables, 245 So.2d 250 (Fla. 1971) where the court found that there was no need for the city to make an express determination of special benefits inuring to property assessed for street improvements, as they were inherently beneficial. Apportionment Requirement Once a determination has been made that an assessed improvement or service specially benefits the properties within a district, then the assessment must be "fairly and reasonably apportioned" among the benefited properties.42 The manner of the apportionment of the assessment is immaterial and may vary 42Parrish v. Hillsborough County, 123 So. 830 (Fla. 1929). 64 provided that the amount of assessment for each property does not exceed the proportional benefits it receives as compared to other 1 properties.43 In City of Fort Lauderdale v. Carter, 71 So.2d 260 (Fla. 1954), an assessment for garbage, waste and trash collection was apportioned based upon the value of the property. The Court held this assessment to be invalid in that apportioning on the basis of value did not bear any reasonable relationship . to the services provided. By comparison, the Court found in City of Naples v. Moon, 269 So.2d 355 (Fla. 1972), that the levying of an assessment for improved parking facilities was valid, because it set specific guidelines to measure the benefits afforded to the property assessed. The guidelines were "value of the property benefited, relative floor space of each improved property, its kind, susceptibility to improvement, and the maximum annual benefits to be conferred thereon. "44 Examples of other methods of apportionment which have been upheld are sewer improvements on a square foot basis,45 street improvements on a lineal front foot 43South Trail Fire Control District, Sarasota County v. State, 273 So.2d 380 (Fla. 1973) . - -- 44City of Naples v. Moon, at 358. 45Meyer v. City of Oakland Park, supra. 65 basis46 and improvements benefitting downtown business properties on an ad valorem basis in a downtown redevelopment scenario.47 In determining the reasonableness of the apportionment, the courts generally give deference to the legislative determination of a local government. In Rosche v. City of Hollywood, 55 So.2d 909, 913 (Fla. 1952), the Florida Supreme Court stated: The apportionment' of assessments is a legislative function and if reasonable men differ as to whether land assessed was benefited by the local improvement the • determination as to such benefits of the city officials must be sustained. Subsequent case law continues to follow this rule, provided the basis for apportionment has some logical relationship to the benefit received. Collection Alternatives The traditional method of collecting special assessments is similar that associated with mortgage loans. A notice of lien is recorded in an amount equal to each property's total share of the 46Bodner v. City of Coral Gables, supra. 47City of Boca Raton v. State of Florida, 17 Fla. L. Weekly S142 (February 27, 1992). Caution should be used in relying upon this decision to justify an apportionment of a special assessment based on assessed value under differing facts. The project or program to be provided with the special assessment proceeds must be of a character or nature that the benefit to be received by the assessed property is an economic benefit that can be apportioned based upon the assessed value of the property. In most instances, utilization solely of assessed value as the apportionment method cannot be justified factually. See City of Naples v. Moon. The City of Boca Raton opinion issued by the Florida Supreme Court adopted substantial portions of the amicus brief prepared and filed by Nabors, Giblin & Nickerson, P.A., on behalf of the Florida League of Cities. 66 capital cost. In the event of a non - payment, the entire amount due is accelerated and the assessment lien foreclosed. The credit market does not view the traditional collection methodology with great favor for two principal reasons: (i) it requires an extraordinary exercise of political will to foreclose upon any residential property and (ii) the foreclosure process is frequently resisted, resulting in a protracted litigation prior to payment. More recently, local governments (including special districts) have been authorized to collect special assessments on the ad valorem tax bill.48 This tax bill collection method is much more highly favored by the credit market because the special assessments are collected in the same manner as ad valorem taxes. No specific enforcement action is required by the governmental unit that imposed the assessment. The statutory process for collecting a special assessment on the ad valorem tax bill begins a year in advance of collection. The first step is the adoption of a resolution indicating the governmental unit's intent to use the method. The resolution must be adopted after a public hearing noticed by publication four weeks in advance. This resolution, which does not obligate the governmental unit to use the method or impose a special assessment, must be sent to the Tax Collector, the Property. Appraiser and the Department of Revenue by January 10. By June 1, the Property Appraiser must provide to the County by list or by compatible electronic media the legal description of the affected property and 48Section 197.3632, Florida Statutes. 67 the names and addresses of the property owners. From this information, the governmental unit prepares an assessment roll which must be adopted at a public hearing prior to September 15. The local government is required to publish notice of this hearing and provide individual notices to the affected property owners by first class mail. After the public hearing and the adoption of the assessment roll, the assessment roll is certified to the Tax Collector who includes the special assessment on the ad valorem tax bill. The special assessments are then collected by the Tax Collector in the same manner as ad valorem taxes, including the sale of tax certificates in the event of nonpayment. Impact Fees General Description Impact fees are charges imposed by local governments against new development as a total or partial reimbursement for the cost of additional facilities or services made necessary by the new development.Q9 The function of impact fees is to regulate growth by imposing on the newcomer, rather than the general public, the cost of new facilities necessitated by his or her arrival. Impact 49The general restrictions on the imposition of impact fees have been developed from the following cases within the State of Florida: Broward County v. Janis Development Corporation, 311 So.2d 371 (Fla. 4th DCA 1975) ; Contractors and Builders Association of Pinellas County v. City of Dunedin, 329 So.2d 314 (Fla. 1976); Hollywood Inc. v. Broward County, 431 So.2d 606 (Fla. 4th DCA 1983); Town of Longboat Key v. Lands End. Ltd., 433 So.2d 574 (Fla. 2d DCA 1983); Home Builders and Contractors Association of Palm Beach County v. Board - -of -- County Commissioners of Palm Beach County, 446 So.2d 140 (Fla. 4th DCA 1983); City of Ormond Beach, et al. v. Volusia County, 383 So.2d 671 (Fla. 5th DCA 1980); and Seminole County v. City of Casselberry, 541 So.2d 666 (Fla. 5th DCA 1989) . 68 fees may be imposed by local government pursuant to its home rule powers. Okeechobee County currently has the authority to impose impact fees and the charter of a special district created jointly by the County and the City pursuant to Section 125.01(5), Florida Statutes, may contain the authority to impose impact fees. If the governance alternative selected is a special district created by the Legislature, the general or special act must include specific authorization for the imposition of impact fees. It may be desirable to impose impact fees upon development of properties within the Study Area. If special assessments are imposed on the vacant land in the Study Area to fund capital costs of certain portions of a regional utility system, impact fees may not be also be imposed to fund the same capital costs. To the extent a special assessment is imposed on vacant land to apportion the capital cost of creating and implementing a regional system attributablelto the projected development on such vacant land, the ability to additionally impose an impact fee is substantially diminished. Criteria to Impose Impact Fees As interpreted by case law, a valid impact fee is required to meet the following criteria: (i) the fee is imposed to provide capital facilities required to serve future development or new use and is not imposed for operation and maintenance of such capital facilities; 69 (ii) there must be a rational nexus between the need for the capital facilities and the growth development that bears the burden of the impact fee; (iii) there must be a rational nexus between the expenditure of the impact fee revenue and the benefits received or burden caused by the growth development; (iv) the proceeds of the impact fee cannot exceed the public facilities burden reasonably anticipated to be caused by growth development; and (v) the impact fee proceeds are to be held in trust to be used exclusively to provide the growth necessitated capital improvements. An estimate of the revenue to be generated by an impact fee against vacant land requires further study of the cost :of the projects and a decision on the methodology to be used in developing an impact fee for a regional utility system. User Rates or Service Delivery Fees [to come] 70 GENERAL LAW REVENUE SOURCES General Legislative Authorization Issues Funding a regional utility system by a tax source other than an ad valorem tax requires general law authority from the Florida Legislature. The Florida Constitution provides that all forms of taxation except ad valorem taxation are preempted to the;State except as provided by general 1aw.50 The Florida Constitution further provides that counties and municipalities shall, and special districts may, be authorized by law to impose ad valorem taxes and may be authorized by general law to impose other taxes.51 In other words, authority to impose a non -ad valorem tax is required to be provided by general law and may not be provided by special act of the Legislature. The legislation authorizing a tax source to fund a regional utility system may provide for the imposition of the tax in a variety of ways. The legislation may authorize the imposition of the tax by any of the alternatives described in the section of this report under the caption "GOVERNANCE STRUCTURE -- Governance Alternatives." Our recommended alternative, a home rule special district created by the County pursuant to Section 125.01(5), Florida Statutes, could be authorized to levy the tax by general law. Or the Legislature may impose the tax directly instead of allowing a local entity to impose the tax. 50Article VII, Section 1, Florida Constitution. 51Article VII, Section 9, Florida Constitution. 71 Regardless of the alternative chosen for imposing the tax, the legislation may limit the tax to the Study Area. Such a levy would be of little consequence as the cost of needed infrastructure in the Study Area far exceeds the community's reasonable ability to produce sufficient revenue. However, the Legislature may by general law authorize a tax in only one area of the state as long as the classification of the area is reasonable and bears a reasonable relationship to the purpose of the act.52 Such authority has been relied upon by the Legislature in authorizing Dade County alone among Florida counties to impose certain local taxes, including a documentary stamp tax for affordable housing and a convention development tax.53 The courts have upheld such legislative authority.54 Another example of the Legislature limiting the authority to impose a tax to a limited area is the one cent high tourism impact tax on the tourist tax base authorized to Orange County and Osceola County.55 Relying upon this authority to make reasonable classifications, the potential for levying a tax 52 Article III, Section 11(b), Florida Constitution, provides: In the enactment of general law on other subjects, political subdivisions or other governmental entities may be classified only on a basis reasonably related to the subject of the law. 53Chapter 83 -220, Laws of Florida, as amended by Chapter 84- 270, Laws of Florida; and Section 212.0305(4)(b), Florida Statutes. 54See, Golden Nugget Group v. Metropolitan Dade County_, 464 So. 2d 535 (Fla. 1985) and Thomas v. Department of Revenue, 466 So.2d 1069 (Fla. 1985). 55Section 125.0104(3)(0), Florida Statutes. 72 within the South Florida Water Management District to assist in cleaning up Lake Okeechobee should be fully explored. Assistance of the South Florida Water Management District as a Funding Conduit The South Florida Water Management District is one of five special taxing districts created in 1972 to manage water resources. The South Florida Water Management District encompasses two major basins, the Big Cypress Basin and the Okeechobee Basin. The South Florida Water Management District is also, in essence, the successor to the Central and Southern Florida Flood Control District which was created in 1949 to serve as a local sponsor.for a massive, federally authorized flood control project intended to temper the region's extremes of devastating hurricanes and excessive dry spells. Although flood control is a major concern, the South Florida Water Management District's mission has evolved to address South and Central Florida's changing water resource protection and conservation needs. Major initiatives in this area are the Kissimmee River restoration, the restoration of Lake Okeechobee and the Everglades restoration. These projects have had severe economic impacts upon the Study Area. Conversely, the Study Area is affected by pollution in Lake Okeechobee and in all probability septic and wastewater related discharges from the Study Area are a significant contributor to pollution of the lake and its tributaries. 73 The Legislature has recently recognized this dilemma and authorized preferential assistance to areas like the Study Area.56 At the same time the South Florida Water Management District has also recognized the need to assist the region on the north shore of Lake Okeechobee in moving forward with regionalized water and sewer infrastructure.57 As well, the South Florida Water Management District recently entered into a settlement stemming from a Federal lawsuit charging that the State and the South Florida Water Management District failed to protect Everglades National Park and Loxahathee National Wildlife Refuge. The settlement resulted from the change in the governor's office which demonstrated an overriding commitment to the Everglades restoration. This settlement and its ramifications have yet to be completely finalized and determined. It is possible that the federal government may also be a funding partner if regional sewering of the Study Area meets the government's objective of removing a source of pollution to Lake Okeechobee. In light of the above, the South Florida Water Management District is a likely candidate to serve as a funding source or conduit for other state or federal funding. For example the South Florida Water Management District is authorized to levy 8 /10th of a mill and has only levied a little under 6/10 of a mill for the last three years. With a taxable base 5692_132, §18, Laws of Florida - See Appendix F. 57Cooperative Funding Agreement between the South Florida Water Management District and the County dated April 9, 1992; see Note 23 supra. 74 throughout the district of roughly 215 billion dollars, a levy of 1 /50th of a mill would yield $ . A governance alternative for the entire Study Area, able to fairly and efficiently provide water and sewer infrastructure to the entire Study Area in a series of phases over a period of years would be the most effective way to work with the South Florida Water Management District and maximize cooperative intergovernmental relationships and assistance to achieve the goals and objectives of both entities. As the consideration of a regional water and sewer service provider evolves, so should the analysis of alternatives for seeking assistance and cooperation from the South Florida Water Management District. 75 PHASE II REQUIREMENTS Scope of Work Phase II consists of the tasks necessary to create a consensus to develop the governance structure to provide a regional water and wastewater utility system for the Study Area. Phase III would then consist of the tasks necessary to create a regional governance structure and develop appropriate revenue sources. Task 1. Prepare a non - binding interlocal agreement to provide an immediate schedule and vehicle, through a series .of local workshops between the City, the County and the Okeechobee Beach Water Association, to develop community consensus which identifies and generally outlines the financial and policy details of the consolidation of facilities and services in the Study Area. Task 2. Assist in determining specific boundaries of the area encompassing the proposed special district and, if needed, preparation of a Study Area database from the Property Appraiser's records. Task 3. Review the viability and refine the selected option for the provision of regional water and wastewater services to the Study Area. Phase III Task 1. If required, identify and seek legislative changes or authorization from the Florida Legislature. Task 2. Based upon the consensus developed in Phase II, prepare the special district charter and necessary ordinances to 76 create the district and present same to the County, City and Okeechobee Beach Water Association. Task 3. Prepare and present binding agreements by and between the City, County and Okeechobee Beach Water Association which refine and implement the consensus developed in Phase II. Task 4. Provide a Scope of Services to develop district revenue options including ad valorem taxes and non -ad valorem revenues such as special assessments, impact fees, user fees and other sources of revenue. Task 5. Identify list of policy decisions for the governing board of the district that are necessary to finalize the recommended funding mechanisms. Task 6. Based on decisions made in developing a local consensus, prepare a Phase III Summary Report of Recommendations to include an implementation plan and actions and necessary tol create a regional water and wastewater utility governance structure. Anticipated Schedule For purposes of this report, it is assumed that Okeechobee County desires to create a governance structure at the earliest possible date. It is contemplated that the Phase II tasks would be completed within 120 calendar days of receiving authorization to proceed. Estimated Cost The cost of professional services associated with this project is difficult to estimate with precision. The estimate submitted 77 as part of this report encompasses only the services to be provided by Nabors, Giblin & Nickerson, P.A. We have assumed 4 to 5 working group meetings and that the governing bodies of the entities involved will meet, cooperate in a statesmanlike fashion and make policy decisions on a timely basis. It is estimated that the total Phase II fee for the Firm would range from $ to $ and would be based on the following hourly rates: Hourly Rates for the Firm 1. Firm principals: $150 per hour 2. Senior firm associates: $125 per hour 3. Firm Associates: $100 per hour 4. Legal Clerks: $50 per hour In addition to the above hourly rates, the Firm would seek reimbursement for actual costs incurred, such as photocopies, long distance telephone charges, travel expenses and overnight delivery services. Any travel expenses would be in accordance with Section 112.061, Florida Statutes. Time incurred in travel would be billed at one -half the above specified hourly rates. 78 APPENDIX A CITY WATER TREATMENT PROCESS 1 LIME SLUDGE ^Z/• BASIN \v_\ BACK WASH WATER BASIN ■ NEW SAND FILTERS• FILTER SLUDGE MAP 1 /LIME SOFTENING 0.25 mg. 1.5 mg. CLEARW ELL c c 0 T �TRANS(ER PIT OLD SAND. FILTERS 1 .CHLORINE .TREATED WATER (2.6 mgd.) OVERFLOW 1.000 ,913^a 0.5 mg. COAGULATION BASIN CITY OF OKEECHOBEE GENERAL PROCESS ‘VATER DIAGRAM ALUM. RAW WATER (2.58 mgd.) APPENDIX B LOCATION OF CITY WATER INTAKE STRUCTURE f o • , • • ft f . • MAP 2I t .,f • ■ • • ti cow — •••••041 • •, \ •• - -- - -�� • t .. y. ..t . f1• .Pct _ 1 :: t •t1• I . •• I 70 �. ^t • J It �f`-- � �_ 3_ ✓ . . • \ _ 38 f N.pdn • 14 SI M• 3 6 • 1 t r t 3 9 ,. .P•'• .i 9 7 4 0 KIl II " I w /1.It Clomp.. •1.11 -• 1.• _ ^ . _ - _.. • • • .._...4 . t7 A.r • f H11• tUCKHEAD RIDG 0 11 44.4 lw•r [ 2 2 2 • 7 7 7 t 10 APPENDIX C LAB RESULTS [to come] APPENDIX D CONSENT ORDER BETWEEN CITY AND DER I OKEECHODEE COUNTY TEL :' 813 - 763 -9529 STATE OF FLORIDA DEPARTMENT Or ENVIRONMENTAL REGULATION, Complainant, vs, OOC Case No. B9 -0545 CITY 017 OKEECHOBBE, Respondent. Jun 04 ('" 14:26 No .003 P.02 vim" CONSENT AGREEMENT Pursuant to the provisions of Sections 403.121(2) and 120.57(3), Florida Statutes (F,S.), and Florida Administrative Code (F.A.C.) Rule 17- 103.110, this Consent Agreement is entered into between the State of Florida Department of Environmental Regulation ( "Department") and CITY OF OKEECHOBEE ('Respondent ") to reach settlement of certain matters at issue between the Department and Respondent. The Department finds and Respondent admits the following: 1. The Department Is the-administrative agency of the State of Florida which has the authority to administer and enforce the provisions of Chapter 403, Florida Statutes, and the rules promulgated thereunder, Florida Administrative Code Chapter 17.4, 17.550, 17 -555, 17 -560, and 17 -602. The Department has Jurisdiction over the matters addressed in this Consent Agreement. 2, Respondent is a person within the Moaning of Section 403.031(5), F.S. 3. Respondent is the owner and operator of a drinking water system known as the City of Okeechobee Water Treatment Plant ( "facility "), The facility is located adjacent to U.S. Highway 78 West, west of U.S. Highway 441, Okeechobee County, Florida. 4, Inspections by Department personnel and review of Department records for the facility have documented the following deficiencies since at least 1986: a. maximum total raw water pumped exceeding the rata] plant capacity of 2.88 million gallons per day (MOD) b, inadequate chlorine residuals in portions of the distribution system. c. poor fitter media condition (cementing of media) item (b) has been partially addressed. 5. The deficiencies described In paragraph 4 of this Consent Agreement are violations of Sections 403.161(1)(b) and 403.087(1), F.S., and of F.A.C. Rules 17- 550.510(6)(d) and 17- 555350. 6. On May 9, 1988, Respondent submitted to the Department an application for a permit to expand the existing facility. On December 27, 1989, the Department issued Permit Number WC- 47.149211 for expansion of the existing facility. To date, no construction has been initiated under this permit. 7, On May 30, 1989, Respondent submitted to the Department an application for a permit to construct a chloraminC booster station and to change the point of application of powdered activated carbon, On September 201 1989, the Department issued Permit Number WC-47- 165527 for these modifications. The modifications were based on recommendations in the engineering report dated February, 1989 prepared by Broome Engineering, Inc. which addressed the issues OKEECHOBEE COUNTY 5. 1 le TEL :1 -813- 763 -9529 Jun 04 92 14:27 No.003 P.03 L modifications were based on recommendations In the engineering report dated February, 1989 prepared by Broome Bnginaoring, Im wh1G1 addressed the issues of low chlorine residuals . in the distribution system and taste and odor problems. These modifications have boon completed and approved for use by the Department. 8. On November 5, 1990, Respondent submitted to the Department a groundwater feasibility study dated October; 1990, prepared by Rooso, Macon and Associates, Inc. 9, On April 19, 1991, Respondent submitted to the Department an application to modify the existing facility, including changes in the method of pH adjustment, for further improvement of filter operation. On May 2, 1991, Respondent submitted additional information to modify the application to include modifications to expand and uprate the existing facility. 10. On April 19, 1991, Respondent submitted to the Department an application for approval of the location of the walls for the proposed groundwater treatment fadllty. 11. The Department and Respondent met informally on. numerous occasions, most recently March 28, May 2, and May 10, 1991, to discuss the alleged violations with a view toward their resolution. THEREFORE, having reached a resolution of these matters pursuant to F,A,C, Rule 17403.110(3), Respondent and the Department mutually agree and it is ORDBR$D: / 12. Within thirty (30) days of execution of this Consent Agreement, Respondent shall pay the Department $1,000.00 for costs and expenses incurred by the Department dufing the investigation of this matter and the preparation and tracking of this Consent Agreement, Payment shall be made by cashier's check or money order payable to the "State of Florida Department of Environmental Regulation" and mailed or delivered to the Department of Environmental Regulation, Southeast District Office, 1900 South Congress Avenue, Suite A, West Palm Beach, Florida 33406, 13. Respondent Is presently monitoring for chlorine residual and bacteriological contaminants on n weekly basis at Everglades Elementary School. Respondent shall continue weekly monitoring until notified in writing by the Department that the frequency of monitoring may be modified. In the event that the chlorine residual is determined, by either Respondent or the Department, at any time to be less than the minimum as required by FAC 17-550.510(6)(d), Respondent shall take steps to restore the residual to a minimum of 0.6 mg /1 total chlorine, within 24 hours of discovery. V 14, Within 15 days of execution of this Consent Agreement, Respondent shall submit to the Department a proposed timetable, including interim milestone dates, fort a. completion of the expansion and uprating of the existing facility, and b, pilot testing, permitting, and construction of the new groundwater treatment facility. . The timetable shall indicate that the expansion of the existing facility • (.21 1 P11 7P1 OF90 (5R —i r;-%•-%7 33 1 r. OKEECHOBEE COUNTY TEL:1- 813 - 763 -9529 Jun 04 99 14:27 No.003 P.04 shall be substentlnlly completed within 195 days from issuance of the required permit(s), and that construction of the groundwater facility shall begin no 1 for than April 1, 1992, • V 15, Within 75 days of execution of this Consent Agreement, Respondent shall submit to the Department an engineering report addressing the problem of inadequate chlorine residuals in the distribution system, in particular, at Everglades Elementary School. The report shall contain recommendations for a permanent solution of the problem; A proposed timetable for completion of the modifications shall accompany the report, 16. The Department shall review the timetables submitted pursuant to paragraphs 14 and 15 of this Consent Agreement. In the event modifications to the proposed timetable(s) are deemed necessary by the Department, the Department shall make written request to Respondent for such modifications. Within 1S days of receipt of the Department's request, Respondent shall either revise the timetable(s) accordingly uud eubiui6 the final version in writing to the Department, or submit a written objection to tlic.request, including information to Justify the Respondent's objection, If Respondent objects to the • Department's regnest to modify ehe tlmetable(s), the parties shall meet within 15 days of the Department's receipt of Respondent's written objection to negotiate a mutually acceptable timetable. Both parties shall make a diligent effort to reach an agreement, If the parties are unable to reach an agreement within 7 days of meeting, the Department shall establish the final timetable, taking into comslderation all Additional information provided by the Respondent. Respondent shall be. notified in writing of Department approval of the proposed timetables, a 1espondent objects to tho Department's approval regarding the timetable(s), Respondent may file a Petition for Formal or Informal Administrative Hearin Proceeding, pursuant to Section 120.57, ES,, and Chapters 17 -103 and 28.5, P.A.C. Respondent shall have the burden to establish the inappropriateness of the Department's determination, 'The petition must conform with the requirements of F.A.C. Rule 28-5,210, and must be reclved.by the Department's `Office of General Counsel, within 14 days after receipt of notice from the Department of any determination Respondent wishes to challenge, Failure to file a petition within this time period shall constitute a waiver by Respondent of its right to request an administrative proceeding under Section 12037, F,S. Tho Department's determination, upon expiration of the 14 day time period if no petition is filed, or the Department's Final Order as a result of the filing of a petition, shall be incorporated by reference into this Consent Agreement and made a part of it. All other aspects of this Consent Agreement shall remain in full force and effect at all times, If Respondent seeks an administrative proceeding pursuant to this paragraph, the Department may file suit against Respondent in lieu of or in addition to holding the administrative proceeding to obtain judicial resolution of all the Issues unresolved at the tine of the request for administrative proceeding. .17. The Department shall review the report submitted pursuant to paragraph 15 of this Consent Agreement, In the event additional information, modifications or specifications are necessary for the Department to evaluate the report, the (3) OKEECHOBEE COUNTY ti , . • TEL t1-'13- 763 -9529 lame Jun 04 9^ 14.28 No .003 P.05 f u Department shall make written request to Respondent for such information, Respondent shall accordingly submit the requested Information in writing to the Department within thirty (30) days of receipt of the request. Respondent shall be notifed in writing of Department approval of the report. 18. In accordance with the tlmcframos in the timetable submitted pursuant to paragraph 15 and approved by the Department pursuant to paragraph 16 of this Consent Agreement, Respondent shall submit an application, together with any required application fees; for any construction pormit(s) which may be required for the modifications necessary to resolve the problem of inadequate chlorine residuals in portions of the distribution system. • 19, In accordance with the timeframes in the timetable submitted pursuant to paragraph 14b and approved by the Department pursuant to paragraph 16 of this Consent Agreement, Respondent shall submit an application, along with any required application foes, for any construction permit(s) which may be required for construction of the groundwater treatment facility, '20. The Department shall review the applications referenced in paragraphs 9, 10, 18, and 19 of this Consent Agreement, In the event additional information, modifications or specifications are necessary to process the application(s), the Department shall Issue a written request for information (RFI) to Respondent for such information. Respondent shall accordingly submit the requested information in writing to the Department within thirty (30) days of receipt of the request. Respondent shall provide all information requested in any additional RFIs issued by the Department within thirty (30) days of receipt of the request. Z1, 'Within 30 days of issuance of any required permit(s), or within 30 days or receipt of written Department approval of the proposed modifications if no permits are required, .Respondent shall commence the approved tasks. All work shall be completed in'accordance with the time frames contained in the timetables approved by the Department pursuant to paragraph 16 of this Consent Agreement. If permits are required, Respondent shall submit to the Department an engineer's Certification of Completion of Construction and record drawings as verification of completion of the required tasks, and shall receive Department clearance before putting the facilities into service, If no permits are required, Respondent shall provide written verification that all tasks have been completed within the time frames specified in the approved timetable. 22. Respondent shall.submit a status report to the Department, signed and sealed by the engineer -of- record, certifying 250, 50%, and 75% completion of construction of.the groundwater treatment facility. Bach status report shall be due within l0.days of completion of the percentage of construction that is being certified. The status reports shall also contain a general description of the work completed since the last report, and the status of work in progress. • 23, Upon execution of this Consent Agreement, Issuance by the Department of the permit to expand the existing facility, and certification by the engineer -of- record for the subject expansion that the applicable contract has been executed and work under that contract has begun, the Department shall release the first of four equal allocations of the additional connections to be 6Criet1 from the expansion of the existing facility. The second allocation shall OKEECHOBEE COUNTY t, TEL Jun 04 92 14:29 No.003 P.06 ' L) be released by the Department upon receipt of a completed satisfactory • groundwater pilot study, and certification by the engineer -of- record that the expansion of the existing facility is 50% complete, Theett {rd gllecatien. ell beeeploased byyehe Deparim, ens upon ,completion of the expansion and.uprating of the existing facility. The final ocetion eliall ie ffleastrd"by the Dcpartrneiir` upon receipt of tfi'e engineer-of- record's certification of 50% completion of construction of the groundwater facility, provided the expansion and uprating of the existing facility has been completed and that facility has been cleared for service. Notwithstanding this schedule of allocations, if the existing facility exceeds its rated capacity, no connections (new or previously approved) shall be approved and/or activated until the Department releases sufficient additional capacity to meet the exceedance and to allow for further connections, unless the exceedance is due to an abnormal occurrence which has been reported to the Department pursuant to F.A.C. 17.602.360(1)(c). After the fourth allocation, no additional capacity shall be made available until the groundwater facility has boon cicarod for service. 24. Allocation shall be based on maximum daily flows determined as follows: a, For those connections that normally require a Department general permit, maximum daily flows shall be calculated at 350 gpd multiplied by a 1.5 peaking factor per equivalent residential connection (ERC). For lino extensions to serve connections other than single family homes, such as a convenience store, the calculation of maximum daily flows shall be based on an average daily flow estimate provided by the design engineer and multiplied by a 13 peaking factor. This method of determining maximum daily flows is to be used only for purposes of determining compliance with the terms of this Consent Agreement and may not necessarily be applied to this facility under other circumstances or to other facilities. h. For those ccinnectians that normally do not require a Department general permit,. such as infill activities to existing water mains, Respondent shall not be required to obtain Department approval prior to connection, Respondent shall submit to the Department, on a monthly basis, a report listing all new connections, excluding replacement Connections (i.e., like - for -like meter sizes), along with meter size, and length and diameter of the main installed (excluding the service connection). The first report shall be due 30 days from the date of execution of this Consent Agreement. Successive reports shall be due every 30 days for the following 5 months. Thereafter, a. report shall be duo every 90 days, until the groundwater facility has been released for service, unless this schedule is otherwise modified in writing by the Department, 25, Within 30 days of execution of this Consent Agreement, Respondent shall submit to the Department a copy of its current water conservation plan, with specific details on how it shall be implemented and enforced. 26. Within 7 days of determining that the average daily flow at the existing facility, as reported on the monthly operating report, is equal to or eXcecd6 65% of the current.ratcd plant capacity, Respondent shall implement the IS) R -95% RT2 7F4 of "o OKEECHOBEE COUNTY I1 TEL Jun 04 92 14:30 No.003 P.07 0 water conservation measures as set forth in the water conservation plan. For those months that water conservation measures aro in effect, Respondent shall submit a written report to the Department within 7 days of the end of the reporting month, indicating which water use restrictions are in effect, how the restrictions are.bning vnfurc:ed, and a list of violators, if applicable. 27. Respondent shall maintain all applicable records, submit completed Monthly Operating Reports.(MORs), maintain an Operations & Maintenance (0 & M) log up•to•date and an•site, and report any plant disruption to the Department pursuant to F,A.C, Chapters 17555 and 17602, 28. The existing faculty shall be operated In such a manner that the maximum level of efficiency is maintained at all times. The personnel in charge of the facility shall meet all requirements for operation, supervision, and /or maintenance of the treatment facilities pursuant to F.A,C. Chapters 17 -555 and 17 -602. OKEECHOBEE COUNTY • lip TEL: 3-763-9529 Jun 04 9 14:30 No .003 P.08 29. Upon resolution of the problem of inadequate chlorine residuals in the distribution syatem, Department clearance of the modifications to the existing facility, land Department clearance of the groundwater treatment facility, this Consent Agreement shall be deemed satisfied. 30, The Respondent agrees to pay the Department stipulated penalties in the amount of $200,00 for each and every day Respondent falls to timely comply with atr' of the requirements of paragraphs 17 and 20 of this Consent Agreement; anti $400,00 for cacti and every day Respondent fails to comply with any of the requirements of paragraphs 12, 13, 14, 15, 16, 18, 19, 21, 22, 24b, 25, 26, 27, 28, 31, 32, and 36 of this Consent Agreement, including the interim milestone dates contained .lu the timetables submitted to and reviewed by the Department pursuant to paragraphs 14, 15 and 16 of this Consent Agreement, unless the time frames are otherwise extended by the Department. A. separate stipelated penalty shall be asscsscd for each violation of this Agreement. Within 30 days of written demand from the Department, Respondent shall make payment of the appropriate stipulated penalties to "The Department of Environmental Regulation" by cashier's cheek or money order and shall include thereon the OUC number assigned to this Consent Agreement and the notation "Pollution Recovery Fund ", Payment shall be sent to the Department of Environmental Regulation, 1900 South Congress Avehue, West Palm Beach, Florida, 33406, The Department may make demands for . payment at any time after violations occur. Nothing in this paragraph shall prevent the Department from filing suit to specifically enforce any of the terms of this Consent Agreement, 31, If any event occurs which causes delay, or the reasonable likelihood of deley, in complying with the requirements of this Consent Agreement, Respondent shall have the burden of proving that the delay was, or will be, caused by circumstances beyond the reasonable control of Respondent and could not have been, or cannot be, overcome by due diligence. Upon occurrence of an event causing delay or upon becoming aware of a potential for delay, Respondent shall promptly notify the Department orally and shall, within seven (7) days of oral notification to the Department, notify the Department in writing of the anticipated length and cause of the delay, the measures taken, or to be taken, to prevent or minimize the delay, and the timetable by which Respondent intends to implement these measures. If the delay or anticipated delay has been, or will be, caused by circumstances beyond the reasonable control of Respondent, the time for performance hereunder shall be extended for a period equal to the agreed delay resulting from such dreumatanees. Such agreement shall adopt all reasonable measures necessary to avoid or minimize delay, Failure of Respondent to timely comply with the notice requirements of this paragraph shall constitute a waiver of Respondent's right to request an extension of time for compliance with the requirements of this Consent Agreement, 32. Respondent shall publish the following notice in a newspaper of general circulation in Okeechobee County, Florida. The notice shall be published one time only within 10 days after execution of the Consent Agreement by the Department. (7) OKEECHOBEE COUNTY 1. TEL :' 113- 763 -9529 Jun 04 9 14:31 No .003 P.09 STATE OF FLORIDA DEPARTMENT OF ENVIRONMENTAL REGULATION NOTICE OF CONSENT AGRBBMENT The Dcpartmeft•of Environmental Regulation gives notice of agency action of entering into a Consent Agreement with the City of Okeechobee pursuant to Rule >11- 103.110(3), Florida Administrative Code, The Consent Agreement addresses City of Okeechobee public water system deficiencies and the corrective actions that are required to bring the system into complianeo with Department rules and regulations. The Consent Agreement is available for public inspection during normal business hours, 8;00 a.m. to 5 :00 pan., Monday through Friday, except legal holidays, at the Department of Environmental Regulation, 1900 South Congress Avenue, West Palm Bench, Florida. Persons whose substantial interests are affected by this Consent Agreement have a right to.petit[on for an administrative hearing on the Consent Agreement. The petition must contain the information set forth below and must be filed (received) in the Department's Office of qoneral Counsel, 2600 Blair Stone Road, 'Tallahassee, Florida 32399.2400, within 21 days of receipt of this notice. A copy of the Petition must also be mailed at the time of filing to the District Office ntuned above at the address indicated. Failure to file a petition .within the 21 days constitutes a waiver of any right such person has to an administrative hearing pursuant to Section 120.57, P.S. • The petition shall contain the following information: (a) The name, address, and telephone number of each petitioner; the Department's identification number for the Consent Agreement and the county in which the subject matter or activity is located; (b) A statement of how and when each petitioner received notice of the Consent Agreement: (e) A statement of how each petitioner's substantial interests are affected by the Consent Agreement; (d) A statement of the material facts disputed by petitioner, if any; (e) A statement of facts which petitioner contends warrant reversal or modification of the Consent Agreement; (f) A statement of which rules or statutes petitioner contends require reversal or modification of the Consent Agreement; (g) A statement of the relief sought by petitioner, stating precisely the action • petitioner wants the Department to take with respeot to the Consent Agreement. If a petition is filed, the administrative hearing process is designed to formulate agency action. Accordingly, the Department's final action may be different from the position taken by it in this Notice. Persons whose substantial interests will be affected by any decision of the Department with regard to the subject Consent Agreement have the right to petition to become a party to the proceeding. The petition must conform to tho requirements specified above and be filed (received) within 21 days of receipt of this notice in the Office of General Counsel at the above address of the Department. Failure to petition within the allowed time frame constitutes a waiver of any right such person has to request a hearing under Section 120.57, P.S,, and to participate as a party to this proceeding, Any subsequent intervention will only be at the approval of the presiding officer upon motion filed pursuant to Rule 2&5.207, F.A.C. OKEECHOBEE COUNTY. 1, 1, It TEL :1 -Ot3- 763 -9529 Jun 04 92 14:32 No.003 P.10 • ► * * * :r M s M * M 33, Entry of this Consent Agreement does not relieve Respondent of the need to comply with the applicable federal, state or local laws, regulations, or ordinances. 34, The terms and conditions set forth In this Consent Agreement may be enforced in a court of competent jurisdiction pursuant to Sections 120.69 and 403.121, F,S. Failure to comply with the terms of this Consent Agreement shall constitute a violation of Section 403.859, F.S. 35. Respondent Is fully aware that a violation of the terms of this Consent Agreement may result in the Department taking action pursuant to Sections 403.121, 403.859, and 403,860, F,S, In the event it Is necessary for the Department to seek judicial enforcement of this Consent Agreement, Respondent shall pay to the Department all investigative costs, court costs and expenses, as well as a reasonable attorney's fee for obtaining judgment from the Circuit Court. 36. Respondent shall allow all authorized representatives of the Department access to the property at reasonable times for the purpose of determining compliance with the terms of this Consent Agreement and the rules of the Department. 37. Ali plans, applications, and information required by this Consent Agreement to be submitted to the Department should be sent to the Department of Environmental Regulation, 1900 South Congress Avenue, West Palm Beach, Florida, 33406, 38. The Department hereby expressly reserves the right to initiate appropriate legal action to prevent or prohibit any violations of applicable statutes, or the rules promulgated thereunder that are not specifically addressed by the terms of this Consent Agreement. 39. The Department, for and in consideration of the complete and timely performance by Respondent of the obligations agreed to in this Consent Agreement, hereby waives its right to seek judicial imposition of damages or civil penalties for alleged violations outlined in this Consent Agreement. Respondent waivet its right to an administrative hearing pursuant to Section 12056, Florida Statutes, on the terns of this Consent Agreement. Respondent acknowledges its right to appeal the terms of this Consent Agreement pursuant to Section 120,68, F.S., but waives that right upon signing this Consent Agreement. . • 40. The provisions of this Consent Agreement shall apply to and be binding upon the parties, their officers, their director, agents, servants, employees, successor, and assigns and all persons, firms, and corporations acting under, through or for them and upon those persons, firms and corporations in active concert or participation with them, 41, No modifications of the terms of this Consent Agreement shall be effective until reduced to writing and executed by both Respondent and the Department, 42, This Consent Agreement is the final agency action of the Department pursuant to Section 120.69, F.S., and F.A.C. Rule 17.103,110(3), and It is (0) OKEECHOBEE COUNTY • TEL :A„„d13 -763 -9529 Jun 04 S,1, 14 :32 tNo.003 P.11 final and effective on the date filed with the Clerk of the Department unless a Petition for AdininlstriUve Hearing is tiled in accordance with Chapter 120, F.S. Upon the timely filing of a petition, this Consent Agreement will not be effective until further order of the Department, FOR THE R Da DENT; . pr.. : • ')' ayor City of Okeechobee 55 Southeast Third Avenue Okeechobee, Florida 34974 DONE AND ORDERED this day of Reach, Florida. Copies furnished to; STATE OF FLORIDA DEPARTMENT OF ENVIRONMBNTAL R13CfTlLATION A. tobt 14. SCO TT RFNYON, Deputy Assistant Secretary Southeast Florida District 1900 South Congress Avenue, Suite A West Palm Beach, Florida 33406 Telephone; 407/433-2650 John Cook John Drago Susan Groover ,lamps Kirk William Reese William Zvara Office of General Counsel, DEER, Tallahassee Okeechobee County Health Department Potable Water Permitting, DER /WPB West Palm Beach DER Files (10) 1991, in West Palm APPENDIX E DEBT ANALYSIS 6/10/1992 Schedule 1 REGIONAL UTILITY SYSTEM CONSOLIDATION OF CITY WATER AND SEWER SYSTEM - ESCROW OF 1987 AND 1989 BONDS - Sources and Uses of Funds - Sources: Par Amount of Bonds Less Original Issue Discount Existing Sinking Fund Accruals Existing Debt Service Reserve Account 10,375,000.00 438,987.50 Total Sources 10,813,987.50 Uses: Cost of Escrow Underwriter's Discount and Costs of Issuance (2.5X) Insurance Premium .45X total p&i Transfer of Existing Debt Service Reserve Debt Service Reserve Surety for balance of max. d/s (4%) Contingency 10,006,500.00 259,375.00 90,785.00 438,987.50 18,000.00 340.00 Total Uses 10,813,987.50 - Assumptions Used in Financing - (1) The dated and delivery date on the issue is 7/1/92. (2) The 1987 bonds are paid thru an escrow which calls the bonds 1/1/97 a 102% The 1989 bonds are paid thru an escrow which calls the bonds 1/1/2000 a 102 %. (3) The 1992 issue is structured as level annual savings when compared to the existing debt service. (5) The savings are as follows: Total Net Future Value Savings - 163,541.88 Total Net Present Value Savings - 91,665.01 Average Annual Savings - 6,675.18 X Savings to Bonds Refunded - .960% THE CITY OF OKEECHOBEE, FLORIDA WATER AND SEWER REFUNDING AND IMPROVEMENT REVENUE BONDS, SERIES 1987 Schedule of Outstanding Debt Interest Calculation Date: 7/1/92 Period Ending 1/ 1/93 7/ 1/93 1/ 1/94 7/ 1/94 1/ 1/95 7/ 1/95 1/ 1/96 7/ 1/96 1/ 1/97 7/ 1/97 1/ 1/98 7/ 1/98 1/ 1/99 7/ 1/99 1/ 1 /00 7/ 1 /00 1/ 1/01 7/ 1 /01 1/ 1/02 7/ 1/02 1/ 1/03 7/ 1/03 1/ 1/04 7/ 1/04 1/ 1/05 7/ 1/05 1/ 1/06 7/ 1 /06 1/ 1/07 7/ 1/07 1/ 1/08 7/ 1/08 1/ 1/09 7/ 1/09 1/ 1/10 7/ 1/10 1/ 1 /11 7/ 1/11 1/ 1/12 7/ 1/12 1/ 1/13 7/ 1/13 1/ 1/14 7/ 1/14 1/ 1/15 7/ 1/15 1/ 1/16 7/ 1/16 1/ 1/17 Outstanding Principal 75,000.00 75,000.00 80,000.00 85,000.00 95,000.00 100,000.00 105,000.00 115,000.00 120,000.00 130,000.00 140,000.00 150,000.00 165,000.00 175,000.00 190,000.00 205,000.00 220,000.00 240,000.00 255,000.00 275,000.00 300,000.00 320,000.00 350,000.00 375,000.00 405,000.00 Rate 6.000% 6.200% 6.400% 6.600% 6.800% 7.000% 7.200% 7.400% 7.500% 7.600% 7.750% 7.750% 7.750% 7.750% 7.750% 7.875% 7.875% 7.875% 7.875% 7.875% 7.875% 7.875% 7.875% 7.875% 7.875% Interest 181,879.38 179,629.38 179,629.38 177,304.38 177,304.38 174,744.38 174,744.38 171,939.38 171,939.38 168,709.38. 168,709.38 165,209.38 165,209.38 161,429.38 161,429.38 157,174.38 157,174.38 152,674.38 152,674.38 147,734.38 147,734.38 142,309.38 142,309.38 136,496.88 136,496.88 130,103.13 130,103.13 123,321.88 123,321.88 115,959.38 115,959.38 107,887.50 107,887.50 99,225.00 99,225.00 89,775.00 89,775.00 79,734.38 79,734.38 68,906.25 68,906.25 57,093.75 57,093.75 44,493.75 44,493.75 30,712.50 30,712.50 15,946.88 15,946.88 Total 4,745,000.00 5,978,908.13 Total 256,879.38 179,629.38 254,629.38 177,304.38 257,304.38 174,744.38 259,744.38 171,939.38 266,939.38 168,709.38 268,709.38 165,209.38 270,209.38 161,429.38 276,429.38 157,174.38 277,174.38 152,474.38 282,674.38 147,734.38 287,734.38 142,309.38 292,309.38 136,496.88 301,496.88 130,103.13 305,103.13 123,321.88 313,321.88 115,959.38 320,959.38 107,887.50 327,887.50 99,225.00 339,225.00 89,775.00 344,775.00 79,734.38 354,734.38 68,906.25 368,906.25 57,093.75 377,093.75 44,493.75 394,493.75 30,712.50 405,712.50 15,946.88 420,946.88 Schedule 2 Annual Total 256,879.38 434,258.75 434,608.75 434,488.75 438,878.75 437,418.75 435,418.75 437,858.75 434,348.75 435,348.75 435,468.75 434,618.75 437,993.75 435,206.25 436,643.75 436,918.75 435,775.00 438,450.00 434,550.00 434,468.75 437,812.50 434,187.50 438,987.50 436,425.00 436,893.75 10,723,908.13 10,723,908.13 THE CITY OFECHOBEE, FLORIDA WATER AND SEWER IMPROVEMENT REVENUE BONDS, SERIES 1989 Schedule of Outstanding Debt Interest Calculation Date: 7/1/92 Schedule 2 -a Period Outstanding Annual Ending Principal Rate interest Total Total 1/ 1/93 95,000.00 6.000% 165,257.50 260,257.50 260,257.50 7/ 1/93 162,407.50 162,407.50 1/ 1/94 100,000.00 6.100% 162,407.50 262,407.50 424,815.00 7/ 1/94 159,357.50 159,357.50 1/ 1/95 105,000.00 6.150% 159,357.50 264,357.50 423,715.00 7/ 1/95 156,128.75 156,128.75 1/ 1/96 115,000.00 6.200% 156,128.75 271,128.75 427,257.50 7/ 1/96 152,563.75 152,563.75 1/ 1/97 120,000.00 6.300% 152,563.75 272,563.75 425,127.50 7/ 1/97 148,783.75 148,783.75 1/ 1/98 130,000.00 6.350X 148,783.75 278,783.75 427,567.50 7/ 1/98 144,656.25 144,656.25 1/ 1/99 135,000.00 6.400% 144,656.25 279,656.25 424,312.50 7/ 1/99 140,336.25 140,336.25 1/ 1 /00 145,000.00 6.500% 140,336.25 285,336.25 425,672.50 7/ 1/00 135,623.75 135,623.75 1/ 1/01 155,000.00 6.550% 135,623.75 290,623.75 426,247.50 7/ 1/01 130,547.50 130,547.50 1/ 1/02 165,000.00 6.650% 130,547.50 295,547.50 426,095.00 7/ 1/02 125,061.25 125,061.25 1/ 1/03 175,000.00 6.700% 125,061.25 300,061.25 425,122.50 7/ 1/03 119,198.75 119,198.75 1/ 1/04 190,000.00 6.750X 119,198.75 309,198.75 428,397.50 7/; 1/04 112,786.25 112,786.25 1/ 1/05 200,000.00 7.100% 112,786.25 312,786.25 425,572.50 7/ 1/05 105,686.25 105,686.25 1/ 1/06 215,000.00 7.100% 105,686.25 320,686.25 426,372.50 7/ 1/06 98,053.75 98,053.75 1/ 1/07 230,000.00 7.100% 98,053.75 328,053.75 426,107.50 7/ 1/07 89,888.75 89,888.75 1/ 1/08 250,000.00 7.100% 89,888.75 339,888.75 429,777.50 7/ 1/08 81,013.75 81,013.75 1/ 1/09 2.65,000.00 7.100% 81,013.75 346,013.75 427,027.50 7/ 1/09 71,606.25 71,606.25 1/ 1/10 285,000.00 7.125% 71,606.25 356,606.25 428,212.50 7/ 1/10 61,453.13 61,453.13 1/ 1/11 305,000.00 7.125% 61,453.13 366,453.13 427,906.25 7/ 1/11 50,587.50 50,587.50 1/ 1/12 325,000.00 7.125% 50,587.50 375,587.50 426,175.00 7/ 1/12 39,009.38 39,009.38 1/ 1/13 350,000.00 7.125% 39,009.38 389,009.38 428,018.75 7/ 1/13 - 26,540.63 26,540.63 1/ 1/14 375,000.00 7.125% 26,540.63 401,540.63 428,081.25 7/ 1/14 13,181.25 13,181.25 1/ 1/15 370,000.00 7.125% 13,181.25 383,181.25 396,362.50 7/ 1/15 1/ 1/16 7/ 1/16 1/ 1/17 Total 4,800,000.00 4,814,201.25 9,614,201.25 9,614,201.25 THE CITY' 1!4✓OKEECNOBEE, FLORIDA Schedule 2-b SCHEDULE OF COMBINED OUTSTANDING DEBT SERVICE Interest Calculation Date: 7/1/92 Outstanding Outstanding Total Annual Total Period 1987 1989 Outstanding Outstanding Ending Tax Debt Debt Debt Service Debt Service 1/ 1/93 256,879.38 260,257.50 517,136.88 7/ 1/93 179,629.38 162,407.50 342,036.88 1/ 1/94 254,629.38 262,407.50 517,036.88 7/ 1/94 177,304.38 159,357.50 336,661.88 1/ 1/95 257,304.38 264,357.50 521,661.88 7/ 1/95 174,744.38 156,128.75 330,873.13 •1/ 1/96 259,744.38 271,128.75 530,873.13 7/ 1/96 171,939.38 152,563.75 324,503.13 1/ 1/97 266,939.38 272,563.75 539,503.13 7/ 1/97 168,709.38 148,783.75 317,493.13 1/ 1/98 268,709.38 278,783.75 547,493.13 7/ 1/98 165,209.38 144,656.25 309,865.63 1/ 1/99 270,209.38 279,656.25 549,865.63 7/ 1/99 161,429.38 140,336.25 301,765.63 1/ 1/00 276,429.38 285,336.25 561,765.63 7/ 1/00 157,174.38 135,623.75 292,798.13 1/ 1/01 277,174.38 290,623.75 567,798.13 7/ 1/01 152,674.38 130,547.50 283,221.88 1/ 1/02 282,674.38 295,547.50 578,221.88 7/ 1/02 147,734.38 125,061.25 272,795.63 1/ 1/03 287,734.38 300,061.25 587,795.63 7/ 1/03 142,309.38 119,198.75 261,508.13 1/ 1/04 292,309.38 309,198.75 601,508.13 , 7/ 1/04 136,496.88 112,786.25 249,283.13 1/ 1/05 301,496.88 312,786.25 614,283.13 7/ 1/05 130,103.13 105,686.25 235,789.38 1/ 1/06 305,103.13 320,686.25 625,789.38 7/ 1/06 123,321.88 98,053.75 221,375.63 1/ 1/07 313,321.88 328,053.75 641,375.63 7/ 1/07 115,959.38 89,888.75 205,848.13 1/ 1/08 320,959.38 339,888.75 660,848.13 7/ 1/08 107,887.50 81,013.75 188,901.25 1/ 1/09 327,887.50 346,013.75 673,901.25 7/ 1/09 99,225.00 71,606.25 170,831.25 1/ 1/10 339,225.00 356,606.25 695,831.25 7/ 1/10 89,775.00 61,453.13 151,228.13 1/ 1/11 344,775.00 366,453.13 711,228.13 7/ 1/11 79,734.38 50,587.50 130,321.88 1/ 1/12 354,734.38 375,587.50 730,321.88 7/ 1/12 68,906.25 39,009.38 107,915.63 1/ 1/13 368,906.25 389,009.38 757,915.63 7/ 1/13 57,093.75 26,540.63 83,634.38 1/ 1/14 377,093.75 401,540.63 778,634.38 7/ 1/14 44,493.75 13,181.25 57,675.00 1/ 1/15 394,493.75 383,181.25 777,675.00 7/ 1/15 3b,712.50 30,712.50 1/ 1/16 405,712.50 405,712.50 7/ 1/16 15,946.88 15,946.88 1/ 1/17 420,946.88 420,946.88 517,136.88 859,073.75 858,323.75 861,746.25 864,006.25 864,986.25 859,731.25 863,531.25 860,596.25 861,443.75 860,591.25 863,016.25 863,566.25 861,578.75 862,751.25 866,696.25 862,802.50 866,662.50 862,456.25 860,643.75 865,831.25 862,268.75 835,350.00 436,425.00 436,893.75 Total 10,723,908.13 9,614,201.25 20,338,109.38 20,338,109.38 '`rr PRO -FORMA - WATER AND SEWER IMPROVEMENT REVENUE BONDS, SERIES 1992 Comparison of 1992 Pro-Forma Debt Service to 1987 and 1989 Debt Service Schedule 4 Present Value Calculation Date: 7/1/92 Present Value Difference Period Outstanding Refunding Annual At Arb. Yield Ending Debt Service Debt Service Difference Difference 6.460% 1/ 1/93 517,136.88 512,750.00 4,386.88 4,386.88 4,249.61 7/ 1/93 342,036.88 314,483.75 27,553.13 25,855.86 1/ 1/94 517,036.88 539,483.75 ( 22,446.88) 5,106.25 ( 20,405.07) 7/ 1/94 336,661.88 309,477.50 27,184.38 23,938.43 1/ 1/95 521,661.88 539,477.50 ( 17,815.63) 9,368.75 ( 15,197.47) 7/ 1/95 330,873.13 304,072.50 26,800.63 22,146.72 1/ 1/96 530,873.13 549,072.50 ( 18,199.38) 8,601.25 ( 14,568.50) 7/ 1/96 324,503.13 298,008.75 26,494.38 20,545.01 1/ 1/97 539,503.13 558,008.75 ( 18,505.63) 7,988.75 ( 13,901.14) 7/ 1/97 317,493.13 291,378.75 26,114.38 .19,002.92 1/ 1/98 547,493.13 566,378.75 ( 18,885.63) 7,228.75 ( 13,312.70) 7/ 1/98 309,865.63 284,091.25 25,774.38 17,600.18 1/ 1/99 549,865.63 569,091.25 ( 19,225.63) 6,548.75 ( 12,717.55) 7/ 1/99 301,765.63 276,253.75 25,511.88 16,347.80 1/ 1/00 561,765.63 581,253.75 ( 19,488.13) 6,023.75 ( 12,097.10) 7/ 1/00 292,798.13 267,561.25 25,236.88 15,175.42 1/ 1/01 567,798.13 587,561.25 ( 19,763.13) 5,473.75 ( 11,512.11) 7/ 1 /01 283,221.88 258,281.25 24,940.63 14,073.45 1/ 1/02 578,221.88 598,281.25 ( 20,059.38) 4,881.25 ( 10,964.90) 7/ 1/02 272,795.63 248,251.25 24,544.38 12,996.71 1/ 1/03 587,795.63 603,251.25 ( 15,455.63) 9,088.75 ( 7,927.97) 7/ 1/03 261,508.13 237,601.25 23,906.88 11,879.34 1/ 1/04 601,508.13 617,601.25 ( 16,093.13) 7,813.75 ( 7,746.47) 761/04 249,283.13 225,916.25 23,366.88 10,895.78 1/ 1/05 614,283.13 630,916.25 ( 16,633.13) 6,733.75 ( 7,513.21) 7/ 1/05 235,789.38 213,260.00 22,529.38 9,858.14 1/ 1/06 625,789.38 643,260.00 ( 17,470.63) 5,058.75 ( 7,405.40) 7/ 1/06 221,375.63 199,715.00 21,660.63 8,894.16 1/ 1 /07 641,375.63 654,715.00 ( 13,339.38) 8,321.25 ( 5,305.96) 7/ 1/07 205,848.13 185,155.00 20,693.13 7,973.49 1/ 1/08 660,848.13 675,155.00 ( 14,306.88) 6,386.25 ( 5,340.24) 7/ 1/08 188,901.25 169,230.00 19,671.25 7,112.83 1/ 1/09 673,901.25 689,230.00 ( 15,328.75) 4,342.50 ( 5,369.22) 7/ 1/09 170,831.25 152,330.00 18,501.25 6,277.69 1/ 1/10 695,831.25 707,330.00 ( 11,498.75) 7,002.50 ( 3,779.58) 7/ 1/10 151,228.13 134,292.50 16,935.63 5,392.47 1/ 1/11 711,228.13 719,292.50 ( 8,064.38) 8,871.25 ( 2,487.43) 7/ 1/11 130,321.88 115,280.00 15,041.88 4,494.45 1/ 1/12 730,321.88 740,280.00 ( 9,958.13) 5,083.75 ( 2,882.35) 7/ 1/12 107,915.63 94,811.25 13,104.38 3,674.34 1/ 1/13 757,915.63 764,811.25 ( 6,895.63) 6,208.75 ( 1,872.97) 7/ 1/13 83,634.38 72,868.75 10,765.63 2,832.63 1/ 1/14 778,634.38 782,868.75 ( 4,234.38) 6,531.25 ( 1,079.28) 7/ 1/14 57,675.00 49,616.25 8,058.75 1,989.79 1/ 1/15 777,675.00 779,616.25 ( 1,941.25) 6,117.50 ( 464.32) 7/ 1/15 30,712.50 25,708.75 5,003.75 1,159.37 1/ 1/16 405,712.50 405,708.75 3.75 5,007.50 .84 7/ 1/16 15,946.88 13,263.75 2,683.13 583.39 1/ 1/17 420,946.88 418,263.75 2,683.13 5,366.25 565.13 Total 20,338,109.38 20,174,567.50 163,541.88 163,541.88 91,665.01 EXAMPLE OF REGIONAL UTILITY SYSTEM DEBT PRO -FORMA WATER AND SEWER IMPROVEMENT REVENUE BONDS, SERIES 1992 Schedule of Acquisition Debt Service Interest Calculation Date: 7/1/92 Period Ending Principal Rate Interest 1/ 1/93 195,000.00 3.350% 317,750.00 7/ 1/93 314,483.75 1/ 1/94 225,000.00 4.450% 314,483.75 7/ 1/94 309,477.50 1/ 1/95 230,000.00 4.700% 309,477.50 7/ 1/95 304,072.50 1/ 1/96 245,000.00 4.950% 304,072.50 7/ 1/96 298,008.75 1/ 1/97 260,000.00 5.100X 298,008.75 7/ 1/97 291,378.75 1/ 1/98 275,000.00 5.300X 291,378.75 7/ 1/98 284,091.25 1/ 1/99 285,000.00 5.500X 284,091.25 7/ 1/99 276,253.75 1/ 1 /00 305,000.00 5.700% 276,253.75 7/ 1/00 267,561.25 1/ 1 /01 320,000.00 5.800% 267,561.25 7/ 1/01 258,281.25 1/ 1/02 340,000.00 5.900% 258,281.25 7/ 1/02 248,251.25 1/ 1/03 355,000.00 6.000% 248,251.25 7/ 1/03 237,601.25 1/ 1/04 380,000.00 6.150X 237,601.25 7/ 1/04 225,916.25 1/ 1/05 405,000.00 6.250% 225,916.25 7/ 1/05 213,260.00 1/ 1/06 430,000.00 6.300% 213,260.00 7/ 1/06 199,715.00 1/ 1 /07 455,000.00 6.400% 199,715.00 7/ 1/07 185,155.00 1/ 1/08 490,000.00 6.500% 185,155.00 7/ 1/08 169,230.00 1/ 1/09 520,000.00 6.500% 169,230.00 7/ 1/09 152,330.00 1/ 1/10 555,000.00 6.500% 152,330.00 7/ 1/10 134,292.50 1/ 1/11 585,000.00 6.500% 134,292.50 7/ 1 /11 115,280.00 1/ 1/12 625,000.00 6.550% 115,280.00 7/ 1/12 94,811.25 1/ 1/13 670,000.00 6.550% 94,811.25 7/ 1/13 72,868.75 1/ 1/14 710,000.00 6.550% 72,868.75 7/ 1/14 49,616.25 1/ 1/15 730,000.00 .6.5507. 49,616.25 7/ 1/15 25,708.75 1/ 1/16 380,000.00 6.550% 25,708.75 7/ 1/16 13,263.75 1/ 1/17 405,000.00 6.550% 13,263.75 Total 512,750.00 314,483.75 539,483.75 309,477.50 539,477.50 304,072.50 549,072.50 298,008.75 558,008.75 291,378.75 566,378.75 284,091.25 569,091.25 276,253.75 581,253.75 267,561.25 587,561.25 258,281.25 598,281.25 248,251.25 603,251.25 237,601.25 617,601.25 225,916.25 630,916.25 213,260.00 643,260.00 199,715.00 654,715.00 185,155.00 675,155.00 169,230.00 689,230.00 152,330.00 707,330.00 134,292.50 719,292.50 115,280.00 740,280.00 94,811.25 764,811.25 72,868.75 782,868.75 49,616.25 779,616.25 25,708.75 405,708.75 13,263.75 418,263.75 Schedule 3 Annual Total 512,750.00 853,967.50 848,955.00 853,145.00 856,017.50 857,757.50 853,182.50 857,507.50 855,122.50 856,562.50 851,502.50 855,202.50 856,832.50 856,520.00 854,430.00 860,310.00 858,460.00 859,660.00 853,585.00 855,560.00 859,622.50 855,737.50 829,232.50 431,417.50 431,527.50 Total 10,375,000.00 9,799,567.50 20,174,567.50 20,174,567.50 APPENDIX F LAWS OF FLORIDA .1992 ,REGULAR SESSION Ch. '.92 -132 Section 18. (1) It is the intent of the Legislature to vigorously protect and restore the environment of this state. However, the Legislature recognizes that in some instances such protection and restoration efforts may adversely affect the local economy in certain, areas and the present and future revenue sources of the local government in such areas. Further, it is the intent of the Legislature to minimize such adverse economic impacts. (2) To the greatest extent practicable, and where 'consistent with criteria otherwise set forth by law, a state agency which awards or recoxnmends any grant, loan, or other. financial aid to municipalities or counties is encouraged'to' give preferential consideration to municipalities or counties which have been adversely affected by an environmental cleanup initiative conducted by a state or regional agency. IN THE CIRCUIT COURT OF THE NINETEENTH JUDICIAL CIRCUIT, IN AND FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. CASE NO.: 93- 555 -CA CITY OF OKEECHOBEE, FLORIDA, and OKEECHOBEE COUNTY, FLORIDA, Defendant. DEFENDANT CITY OF OKEECHOBEE'S RESPONSE TO PLAINTIFF'S REQUEST FOR ADMISSIONS Defendant CITY OF OKEECHOBEE ( "CITY "), by and through its undersigned counsel, hereby responds to Plaintiff OKEECHOBEE BEACH WATER ASSOCIATION, INC.'S ( "OBWA ") Request for Admissions as follows: 1. Admit 2. Admit 3. Admit 4. The City is without knowledge as to the truth and accuracy of the list of members /customers which OBWA is currently supplying with potable water within the Okeechobee 201 Facilities Planning Area as reflected in Exhibit "J" attached to Plaintiff's Amended Complaint for Declaratory Judgment. 5. The City is without knowledge as to the accuracy of Composite Exhibit "K," attached to Plaintiff's Amended Complaint for Declaratory Judgment, which purportedly identifies the parcels of land owned by Plaintiff's members /customers to which Plaintiff is currently supplying potable water within the Okeechobee 201 Facilities Planning Area. 6. The City denies the statement as made. The City admits that OBWA owns a water distribution system through which it delivers water purchased from the City to its members for sale to said members. 7. The City denies the statement as made. The City admits that OBWA owns a water distribution system through which it delivers water purchased from the City to its members for sale to said members. 8. The City denies the statement as made. The City admits that OBWA owns a water distribution system through which it delivers water purchased from the City to its members for sale to said members. 9. Admit 10. Deny 11. Admit 12. The City is without knowledge as to the precise boundaries of the service area which OBWA has proposed to serve in its application for consumptive use permit to the South Florida Water Management District. 13. Admit 14. Admit 15. Admit 16. Admit 17. Deny 18. Deny 19. Deny CERTIFICATE OF SERVICE I HEREBY CERTIFY that a true copy of the foregoing has been forwarded this 5th day of October, 1993 to: Burton C. Connor, Esq., 301 Northwest 5th Street, Okeechobee, FL 34972 via overnight mail; Steve Walker, Esq., Messer, Vicker, Caparello, et al., 2000 Palm Beach Lakes Blvd., Suite 900, West Palm Beach, FL 33409 via overnight mail; and John D. Cassels, Jr., Esq., Attorney for Okeechobee County, 400 N. W. Second St., P. O. Box 968, Okeechobee, FL 34973 -0968 by U.S. Mail. Richard A. Lots LANDERS & PARSO P. O. Box 271 Tallahassee, FL 32302 (904) 681 -0311 and John R. Cook, City Attorney FBN 262951 202 N.W. 5th Avenue Okeechobee, FL 34972 (813) 467 -0297 and Michael Wm. Morell FBN 570280 310 West College Avenue, Room 222 Tallahassee, FL 32301 -1406 (904) 425 -8300 Attorneys for City of Okeechobee AFFIDAVIT STATE OF FLORIDA COUNTY OF OKEECIHOBEE BEFORE ME, the undersigned autho-i,ty, this gay personally appeared JAMES F. T'TRK, who is personally known to me, or who has produced as identification; and who being by me first duly sworn, under oath says: I JAMES E. KIRK, Mayor of the City of Okeechobee, after being first duly sworn, state that the issuance of Water Use Permit no. 921204 -10 by the South Florida Water Management District to the Okeechobee Beach Water Association, Inc, will have the effect of impairing, polluting, or otherwise injuring the water resources of the State of Florida as ;et forth in the preceding request for Leave to Amend Petition for Formal Administrative Hearing. 1993. /JAMES E. KIRK .cif f_ i ant SWORN TO AND SUFSCRIBED before me this day of October, i NOTARY PUBLIC State of Florida My Commission Expires: Printed notary name 1` r c» t. Coot STAIR CIF L tom 4MM eFPT 24, 1994 STATE OF FLORIDA DIVISION OF ADMINISTRATIVE HEARINGS CITY OF OKEECHOBEE, Petitioner, vs. DOAH CASE NO.: 93 -5505 SOUTH FLORIDA WATER MANAGEMENT DISTRICT and OKEECHOBEE BEACH WATER ASSOCIATION, INC., Respondents. CITY OF OKEECHOBEE'S MOTION TO STRIKE THE SOUTH FLORIDA WATER MANAGEMENT DIS'TRICT'S MOTION TO DISMISS FOR LACK OF STANDING Petitioner, CITY OF OKEECHOBEE ( "City "), by and through its undersigned counsel and pursuant to Rule 60Q- 2.016, Florida Administrative Code ( "F.A.C. "), hereby moves this tribunal to strike the Motion to Dismiss for Lack of Standing which was filed by the Respondent South Florida Water Management District ( "SFWMD" or "District ") on October 12, 1993 on the grounds that the motion was untimely filed. In support of its motion the City states: 1. On September 14, 1993, the City initiated this administrative proceeding by serving and filing a Petition for Formal Administrative Hearing ("Petition") with the SFWMD which challenged the issuance of a water use permit by the District to the Okeechobee Beach Water Association, Inc. (A copy of the first and last page of the City's Petition including the date stamp and signature of the District's Deputy Clerk verifying that the City's Petition was filed with the Clerk of the District on September 14, 1993 is attached as Exhibit "A" and is incorporated by reference herein.) 2. On September 23, 1993, the Division of Administrative Hearings ('DOAH" or 'Division ") received duplicate copies of the City's Petition which the District had referred to DOAH to conduct a formal proceeding pursuant to Section 120.57, Florida Statutes. The cover letter of transmittal which accompanied the District's referral of the City's Petition to DOAH states that the petition was filed by the City on September 14, 1993. (A copy of the District's cover letter of transmittal is attached as Exhibit 'B" and is incorporated by reference herein.) 3. On September 29, 1993, DOAH issued its Initial Order and Notice in which the Division informed the parties that the proceeding would be governed by Chapter 120, Florida Statutes, and Chapters 60Q and 28 -5, Florida Administrative Code. (A copy of the DOAH Initial Order and Notice is attached as Exhibit "C ".) 4. On October 12, 1993, the District filed a Motion to Dismiss for Lack of Standing and a Request for Oral Argument with the DOAH Clerk's Office. (Copies of DOAH's dated stamped copy of the cover letter of transmittal, the first page of the District's Motion to Dismiss and the first page of the District's Request for Oral Argument are attached as Exhibits 'D ", 'E" and "F ", respectively, and are incorporated by reference herein.) 5.. The District's Motion to Dismiss for Lack of Standing should be stricken as untimely filed. See, e.g., South Broward Citizens for a Better Environment, Inc. v. South Broward County Resource Recovery Project. Inc., 502 So. 2nd 9 (Fla. 1st DCA 1986)(A copy of the South Broward County Resource Recovery Project, Inc. case is attached as Exhibit "G ".) DOAH Rule 60Q- 2.004(5), F.A.C., provides: "A respondent...may file motions 2 in opposition to a petition, but shall do so within twenty (20) days of the filing of the petition. (Emphasis supplied.) Model Rule 28- 5.205, F.A.C., provides: "Motions in opposition to a petition, which may be filed by any party, include motions to dismiss...and shall be filed within twenty (20) days of service of the petition." (Emphasis supplied.) Twenty days from September 14, 1993 (the date of filing and service of the City's Petition) was October 4, 1993. The District's Motion to Dismiss was filed on October 12, 1993, eight (8) days after the deadline by which it was required to have been filed under both the DOAH and Model Rules. WHEREFORE, the City of Okeechobee requests that the hearing officer enter an order which grants this motion to strike and strikes the Motion to Dismiss for Lack of Standing which was filed by the South Florida Water Management District in this administrative proceeding on October 12, 1993 on the grounds that the motion was untimely filed under DOAH Rule 60Q- 2.004(5) and Model Rule 28- 5.205, Florida Administrative Code. Respectfully submitted this 19th day of October, 1993. Richard A. Lots Fred McCormac LANDERS & PARSONS P. O. Box 271 Tallahassee, FL 32302 (904) 681 -0311 3 and Michael Wm. Morell 310 W. College Ave., Room 222 Tallahassee, FL 32301 -1406 (904) 425 -8300 Counsel for Petitioner City of Okeechobee CERTIFICATE OF SERVICE I HEREBY CERTIFY that the original and one copy of the foregoing City of Okeechobee's Motion to Strike the South Florida Water Management District's Motion to Dismiss for Lack of Standing has been forwarded by hand delivery to the Clerk, Division of Administrative Hearings, DeSoto Building, 1230 Apalachee Parkway, Tallahassee, FL 32399; and by U. S. Mail to Cecile I. Ross, Esq., South Florida Water Management District, P. O. Box 24680, West Palm Beach, FL 33416 -4680; and Stephen A. Walker, Esq., Messer, Vickers, Caparello, et al., 2000 Palm Beach Lakes Boulevard, Suite 900, West Palm Beach, FL 33409, and Burton C. Conner, Esq., 301 N. W. 5th Street, Okeechobee, FL 34972 -2564 this 19th day of October, 1993. Richard A. Lotspei 4 STATE OF FLORIDA SOUTH FLORIDA WATER MANAGEMENT DISTRICT CITY OF OKEECHOBEE, Petitioner, vs. SOUTH FLORIDA WATER MANAGEMENT DISTRICT and OKEECHOBEE BEACH WATER ASSOCIATION, INC., Respondents. CASE NO.: 93- Permit Application No. 921204 -10 PETITION FOR FORMAL ADMINISTRATIVE HEARING Petitioner, CITY OF OKEECHOBEE, through its undersigned counsel, pursuant to Section 120.57(1), Fla. Stat., and Florida Administrative Code Rule 40E- 1.521, hereby requests a formal administrative hearing and in support thereof states: PARTIES 1. The agency affected by this cause is the South Florida Water Management District ( "District "), 3301 Gun Club Road, West Palm Beach, Florida 33416 -4680. The District's file number for this matter is Application No. 921204 -10, Wellfield for Okeechobee Beach Water Association, Inc., Okeechobee County. 2. The Okeechobee Beach Water Association, Inc. ( "OBWA" or "Association "), a not - for - profit association, is the applicant to the District for a water use permit ( "Permit ") under the above - referenced application number. The address of OBWA is 8840 Highway 78 West, Okeechobee, FL 34974. 3. Petitioner is the City of Okeechobee ( "City "), a municipality and local government as defined by Section 180.01, and Exhibit "A" T Cecile I. Ross Attorney at Law South Florida Water Management District P. 0. Box 24680 West Palm Beach, FL 33416 -4680 Stephen A. Walker, Esq. Messer, Vickers, Caparello, Madsen, Lewis, Goldman & Metz 2000 Palm Beach Lakes Boulevard Suite 900 West Palm Beach, FL 33409 r'ILEU WITH THE CLERK OF THE SOUTH FLORIDA WATER MANAGEMENT DISTRICT ON .s:'`C ( Lf 14 DEP ; CLERK South Florida Water Management District 3301 Gun Club Road • P.O. Box 24680 • West Palm Beach, FL 53416-4680 • (407) 686 -8800 • FL WATS 1-800-432-2045 MGT 10 -04 -12 September 21, 1993 Sharyn L. Smith, Director Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, FI 32399-1550 Dear Ms. Smith: 'G7 LI+ 1 G fi •/'. ? t— Subject: Petition for formal administrative hearing filed by the City of Okeechobee, objecting to proposed agency action regarding intent to issue Water Use Permit Application No. 921204 -10 to Okeechobee Beach Water Association, Inc. The above - referenced permitting natter is being referred to your Division to conduct a formal proceeding pursuant to Section 120.57(1), Florida Statutes. On September 9, 1993, the Governing Board of the South Florida Water Management District (District) accepted the petition filed by the City of Okeechobee. Without relinquishing the right to file responsive pleadings and without admitting the validity of the allegations set forth in the petition, the Board determined that the allegations within the petition are sufficient to comply with the requirements of Rule 40E- 1.521, Florida Administrative Code. Enclosed in duplicate are: 1. Proposed Agency Action: Water Use Staff Review Summary regarding Water Use Permit Application No. 921204 -10. 2. Petition for Administrative Hearing filed by the City of Okeechobee on September 14, 1993. Governing Board. Valerie Boyd, Chairman Frank Williamson, Jr., Vice Chairman Annie Betancourt William Hammond Betsy Krant Allan Milledge EXHIBIT "B" Eugene K. Pettis Nathaniel P. Reed Leah G. Schad Tiliord C. Creel, Executive Director Thomas K. MacVicar, Deputy Executive Director Sharyn L. Smith September 21, 1993 Page 2 The District estimates that the length of time necessary to conduct final hearing in this proceeding to be approximately two (2) days, and no more than three (3) days. To date, the parties and their representatives are: 1. Representatives for City of Okeechobee Richard A. Lotspeich Landers and Parsons P.O. Box 271 Tallahassee, FL. 32302 (904) 681 -0311 and Michael Wm. Morell 310 W. College Ave. Tallahassee, FL 32302 (904) 425 -8300 2. Counsel for Okeechobee Beach Water Association Stephen A. Walker, Esq. Messer, Vickers, Caparello, Madsen, Lewis, Goldman, and Metz 2000 Palm Beach Lakes Boulevard Suite 900 West Palm Beach, FL 33409 3. Counsel for South Florida Water Management District Cecile I. Ross, Esquire 3301 Gun Club Road West Palm Beach, Florida 33406 Sharyn L. Smith September 21, 1993 Page 3 ESTIMATION OF HEARING OFFICER'S SERVICE TIME The District's budget process, as well as its contract policy, requires the contract project manager to monitor expenditures to avoid spending in excess of the budgeted amount. The District estimates that preparation for, and officiating at, the final hearing in this matter will require approximately thirty -six (36) hours of the Hearing Officer's time. While the District recognizes that it is difficult at the initial stages of an administrative hearing process to estimate the amount of time it will take to review pleadings, conduct research, etc., the District must necessarily make an effort to estimate the total amount of the Hearing Officer's time allocated for each, natter assigned to the Division of Administrative Hearings. The above -noted estimation, however, is not binding. It is done solely for fiscal management purposes. It will be appropriate to schedule a hearing in Okeechobee County, Florida, since the subject property is located therein. Please let me know if you require any further information at this time. Since John J. Fumero Senior Supervising Attorney Office of Counsel South Florida Water Management District CIR/ts Enclosures cc: Richard A. Lotspeich /without attachments Michael Wm. Morell /without attachments Stephen Walker /without attachments D • `�' 0 = w • N N � D m v �. Dr- 2 o a-= a- -: 1 x r� y r m•D m 3 y. w — cn m2. . m <G= y o y w. �m cc:) w m � y_ m o Osa m - --i I>C m- 1oyN�mm zca (D o ` 0 10 °� n -CI r'...- u n v 1,,:j -n33 aD m O 0 cD D 0" D w C° :n co: : r w o w or: rn n n ? .< 33 Z m ma co pi m *� -. v rte- 5 y o o CD �� 0 0 0. r m r D .� ° w p O :it t, �,1 , D* co 5= 3' o. 3 m w m" 0 -, r m -i o ow ? 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(D (D cu no ., cp p) 7 c (D (D a 0 (.0 11 .. o 7 0 CL 3 0 �+ ufDi� w 0 m a o co o ac '� v;a)m 1 (D V) 0 `C o (D m co y. c a- w 6:3(D= m 0 05. `< <• as CD a 0 5 a C a1 (D 'a D. _ m CI CD (D �o w' (Dn O0 m, CD 23< M N o 3 3. St 7� �) co 0 CD CD w A) t=D S -aa ua O (Da a) 0 0 (D n c 0 •m N'w 3 co m m a) a O 0 a 7 y co l a (D 0 o o a A N.•. 7 - < in v)' -o (D 7' (D CD a) 0 O 7 O0 O* v, 3n w 7 7 (D c (D o < 0 c_m m a m O. 7 ca m 7' a a� - � c u) U) r (D 0 A) a) 0v aa)) c m v a co — O -. m � oo� 0D) 3 �3. 7 0 a 3 CD (SD O O N N 7 0. ,Z. 33 CL CD w 5c s � o ( � -, ( (n 7.4 THE PARTIES SHALL TAKE NOTICE THAT: s 5!) 0 �co aw U) v (D (D CO. rn 0 oa 0 5 w 5 am N CO 0 CTl N. m0 0 ao w D a3 3 3. 3. z. (D O cD 0. �_'. (D y Z o 0 o - 7 C) a m 0 a) 0 3 a) w 0 a ca co FY, ca (D • co 3 m a v 0 -n a) 0 m O 0 a m South Florida Water Management DD'e'ft C 3301 Gun Club Road • P.O. Box 24680 • West Palm Beach, FL 33416-4680 • (407) 686-8800 • FL ` T 1 -432 -2045 1933 t�L1 12 ' i 6: MGT 10 -04 -12 October 10, 1993 The Honorable Linda Rigot Hearing Officer Division of Administrative Hearings The DeSoto Building 1230 Apalachee Parkway Tallahassee, FL 32399 -1550 Dear Ms. Rigot: 01\i1S101.1.OF Rp�1i 11S1RtY►,� +r HEARNGS Subject: City of Okeechobee v. South Florida Water Management District and Okeechobee Beachwater Association, Inc. DOAH Case No. 93- 005505 -CA Please find enclosed in duplicate South Florida Water Management District's "Motion to Dismiss" for filing in the above styled case. Thank you for your assistance in this matter. Sincerely, Cecile I. Ross Attorney Office of Counsel CIR/ta Attachments Governing Board: Valerie Boyd, Chairman Frank Williamson, Jr., Vice Chairman Annie Betancourt EXHIBIT "D" William Hammond Betsy Krant Allan Milledge Eugene K. Pettis Nathaniel P. Reed Leah G. Schad Tilford C. Creel, Executive Director Thomas K. MacVicar, Deputy Executive Director STATE OF FLORIDA DIVISION OF ADMINISTRATIVE IVES PM 31E44 RECE V D CITY OF OKEECHOBEE, Petitioner, AGMIHISTRAI i'Vt HEARIr lGS v. DOAH Case No. 93- 005505 SOUTH FLORIDA WATER MANAGEMENT DISTRICT and OKEECHOBEE BEACH WATER ASSOCIATION, INC., Respondents. MOTION TO DISMISS FOR LACK OF STANDING Respondent, SOUTH FLORIDA WATER MANAGEMENT DISTRICT, by and through the undersigned counsel, files this MOTION TO DISMISS FOR LACK OF STANDING, pursuant to Rule 60Q- 2.016, Fla. Admin. Code, and in support thereof states the following: 1. On September 14, 1993, the City of Okeechobee (the "City ") filed a Petition for Formal Administrative Hearing ( "Petition ") challenging the proposed issuance of a water use permit to Okeechobee Beach Water Association ( "OBWA ") pursuant to Permit Application # 921204 -10. 2. With regard to the substantial interests affected by the proposed agency action, the Petition states: The City has a substantial interest in the quality, quantity and availability of its water supply. This interest will be adversely affected by the issuance of the Permit to OBWA. The issuance of the Permit by the District to OBWA will affect the substantial interests of the City 'because it will result in a significant reduction in the allocation of water to the City under its water use permit, and, as such, will interfere with the existing legal use of water by the City. City's Petition, paragraph 9. 3. The Petition further stresses the economic interest that is at the heart of the requested permit challenge, stating that: EXHIBIT "E" STATE OF FLORIDA h RECEIVED DIVISION OF ADMINISTRATIVE HEAL ( i 12 4)1); 3' S4 CITY OF OKEECHOBEE, petitioner, vs. OKEECHOBEE BEACH WATERASSOCIATION, INC., and SOUTH FLORIDA WATER MANAGEMENTDISTRICT, respondents. O \V1.;1ON C� • K A SGS DOAH case No.# 93- 005505 REQUEST FOR ORAL ARGUMENT Respondent, South Florida Water Management District (District), by and through its undersigned counsel, pursuant to Rule 60Q- 2.016(4), Fla. Admin. Code, hereby respectfully requests oral argument regarding the Motion to Dismiss for Lack of Standing filed by the District and the Motion to Dismiss filed by Respondent, Okeechobee Beach Water Association, and states in support thereof that oral argument will be beneficial to the Hearing Officer proceeding. in reaching a sound decision regarding the matters at issue in the Respectfully submitted, SOUTH FLORIDA WATER MANAGEMENT DISTRICT 3310 Gun Club Road P.O. Box 24680 West Palm Beach, Fl 33416 -4680 BY: Cecile I. Ross EXHIBIT "F" SOUTH BROWARD CITIZENS v. SOUTH BROWARD COUNTY Fla. 9 Cite as 302 So.2d 9 (Fla.App. 1 Dist. 1986) dence that reasonable fee would be $16,- 000, considering rate of $200 per hour based on approximation of 80 hours of at- torney's time. Terrence P. O'Connor, of Morgan, Car - ratt & O'Connor, P.A., Fort Lauderdale, for appellant. Donald R. Spadaro, of Roderman, Spada - ro & Karmin, Fort Lauderdale, for appel- lee. ON MOTION FOR REHEARING DOWNEY, Judge. Appellant's petition for rehearing is granted and our opinion of June 11, 1986 is withdrawn and the following opinion is sub- stituted in its place. This is a timely appeal from two non -fi- nal orders entered by the lower court re- storing appellee /husband as the occupant of the marital home and awarding ap- pellant /wife temporary support, attorney's fees, and suit money. [1] These parties had been married for only six months, though they had Lived together periodically over a period of three years. The husband is wealthy by most standards and the wife has neither assets nor income. He was allowed to remain in the marital home upon finding comparable housing for the wife, and was also required to pay her $3,000 a month for rent and temporary support. The wife contends the amount of temporary alimony is inadequate particularly in view of the standard of liv- ing enjoyed by the parties during the mar- riage. The factors to be used in determin- ing the appropriate award of temporary alimony are the standard of living enjoyed by the parties during the marriage togeth- er with the wife's needs and husband's ability to pay. Belcher v. Belcher, 271 So.2d 7 (Fla.1972). We are unable to deter- mine whether the trial court considered these factors in arriving at the award of temporary alimony. Thus further consider- ation thereof appears indicated. [2] The wife also complains that the court erred in its award of temporary attor- ney's fees of $4,000 and $2,000 costs. The uncontradicted evidence in the record is that a reasonable temporary fee would be $16,000, considering a rate of $200 per hour; that thirty hours had already been consumed by counsel; and the witness opined another fifty hours would probably be required to conclude the case. The ex- pert also testified that discovery of the husband's estate would be difficult and a C.P.A. testified it would take forty to sev- enty -five hours of his time to properly dem- onstrate the husband's financial picture. While the court is not bound by expert testimony regarding attorney's fees, nei- ther can it be totally ignored. Thus, on the record, we hold that the allowance of only $4,000 temporary fees was an abuse of discretion. Accordingly, the order awarding attor- ney's fees is reversed and remanded for further consideration. On remand the trial court is also requested to further consider the evidence in the light of the factors mentioned in Belcher and make sufficient findings of fact to support his conclusion regarding the appropriate award of tempo- rary alimony. DELL and GUNTHER, JJ., concur. SOUTH BROWARD CITIZENS FOR A BETTER ENVIRONMENT, INC., Appellant, v. SOUTH BROWARD COUNTY RE- SOURCE RECOVERY PROJECT, INC., Appellee. No. BO-61. District Court of Appeal of Florida, First District. Oct. 13, 1986. Rehearing Denied March 2, 1987. Citizens organization brought motion to dismiss application of corporation for 4 EXHIBIT "G" r 10 Fla. 502 SOUTHERN REPORTER, 2d SERIES electric power plant site certification, filed with Department of Environmental Regula- tion on the basis that corporation was not proper applicant. The Electrical Power Plant Siting Board adopted hearing offi- cer's denial of citizen's motion to dismiss and citizens appealed. The District Court of Appeal, Shivers, J., held that citizens' motion to dismiss application for electric power plant site certification filed with De- partment of Environmental Regulation was untimely. Affirmed. 1. Administrative Law and Procedure €456, 467 Electricity €8.4 Corporation's application for electrical power plant site certification, filed with Department of Environmental Regulation, constituted petition so that motion to dis- miss application on basis that corporation was not proper applicant was filed more than seven months after the petition was served and was thus untimely. 2. Administrative Law and Procedure €467 Electricity €8.4 Even assuming 20-day deadline within which motions in opposition to petition must be filed had run from the date corpo- ration became party to certification pro- ceedings, motion to dismiss corporation as applicant was untimely, despite contention that motion to dismiss went to subject -mat- ter jurisdiction of Electric Power Plant Sit- ing Board and thus could be filed at any time. Frank A. Kreidler, Lake Worth, for ap- pellant. Susan F. Delegal, Broward Co. Gen. Counsel, Ft. Lauderdale, Clifford A. Schul- man, Timothy A. Smith, and Kerri L. Barsh, of Greenberg, Traurig, Askew, Hoffman, Lipoff, Rosen & Quentel, P.A., Sp. Counsel for Broward Co., Miami, C. Lawrence Keesey, Dept. of Community Af- fairs, Tallahassee, and Elizabeth D. Ross, West Palm Beach, for appellee. SHIVERS, Judge. Appellant, South Broward Citizens for a Better Environment, Inc., brings this ap- peal from a final order of the Electrical Power Plant Siting Board implicitly adopt- ing the Hearing Officer's denial of appel- lant's motion to dismiss. We affirm. The administrative proceedings which led to the filing of appellant's motion to dis- miss began on April 8, 1985, when appellee, South Broward County Resource Recovery Project, Inc., filed an application with the Department of Environmental Regulation for electrical power plant site certification, pursuant to Chapter 403, Florida Statutes. Appellant became a party to the certifica- tion proceedings by filing, on May 10, 1985, a notice of intent to participate as a party under section 403.508(4)(b)3. On Novem- ber 21, 1985, the next to last day of a certification hearing lasting several days, Citizens filed a motion to dismiss the appli- cation on the basis that appellee was not a proper applicant. The Hearing Officer en- tered an order denying the motion to dis- miss on November 21, 1985, and an order recommending the granting of appellee's certificate on April 8, 1986. In June 1986, the siting board entered its final order adopting the recommended order, with clar- ifications. [1, 21 Since we find Citizens' motion to dismiss to have been untimely filed, we need not address the merits of the motion. According to Rule 28- 5.205, F.A.C., mo- tions in opposition to a petition (including motions to dismiss) "shall be filed within 20 days of service of the petition." (em- phasis supplied) The corporation's applica- tion, which was filed on April 8, 1985, meets the definition of "petition" found in Rule 28- 5.201, F.A.C., which includes "any application or other document which ex- presses a request for formal proceedings." The motion to dismiss in this case was filed more than seven months after the petition was served. Even assuming the 20-day deadline to have run from the date appel- ARVIDA CO Cite as 502 so.2d 11 lant became a party to the certification proceedings (May 10, 1985), the motion was untimely by several months. Appellant's argument that the motion to dismiss went to the Board's subject matter jurisdiction and, therefore, could be filed at any time, is without merit. The issue raised in the mo- tion did not involve the Board's authority to approve or deny certification for electrical power plants, but instead clearly involved the propriety of the corporation as an appli- cant. Further, we note that appellant failed to identify the corporation's standing to apply for site certification as an issue in the joint prehearing stipulation, entered into on October 31, 1985. Accordingly, the final order of the siting board, implicitly approving the Hearing Of- ficer's denial of appellant's motion to dis- miss, is hereby affirmed. RP. v. BARNETT Fla. 11 SMITH and ZEHMER, JJ., concur. ARVIDA CORPORATION, Appellant, v. Scott BARNETT and Sabrina Barnett, Appellees. Nos. 85 -2860, 86 -473. District Court of Appeal of Florida, Third District. Nov. 18, 1986. Rehearing Denied Feb. 25, 1987. The Circuit Court, Dade County, Leon- ard Rivkind, J., granted purchasers re- scission of agreement to purchase home and ordered refund of their deposits, and vendor appealed. The District Court of Appeal, Hendry, J., held that contract for purchase did not contain unconditional com- mitment by vendor to complete home with- in two years, and therefore vendor was not (Fla.App. 3 Dist. 1986) exempt from disclosure requirements of In- terstate Land Sales Full Disclosure Act. Affirmed. 1. Consumer Protection ez,8 Seller is "obligated" within meaning of Interstate Land Sales Full Disclosure Act exemption for sale or -lease of land "under a contract obligating the seller or lessor to erect such a building thereon within a peri- od of two years" only if contract contains unconditional commitment by seller to com- plete construction within two years. Inter- state Land Sales Full Disclosure Act, § 1403(a), 15 U.S.C.A. § 1702(a). 2. Consumer Protection €=,8 Vendor was not obligated to finish con- struction of residence within meaning of Interstate Land Sales Full Disclosure Act exemption for sale or lease of land "under a contract obligating the seller or lessor to erect such a building thereon within a peri- od of two years," even if purchase agree- ment gave purchasers remedy of specific performance to enforce contract, as remedy of specific performance was made available solely in order for vendor to evade disclo- sure requirements, and purchasers were barred by agreement from seeking dam- ages in event of default. Interstate Land Sales Full Disclosure Act, §§ 1402 -1422, 1403(a)(2), 1404(c), 15 U.S.C.A. §§ 1701- 1720, 1702(a)(2), 1703(c). Beasley, 011e, Downs & Keihner and Pamela A. Chamberlin and James W. Beas- ley, Jr., Robert M. Rhodes, Miami, for ap- pellant. Hall, O'Brien & Cohen and Lewis Cohen, Miami, for appellees. Before BARKDULL, HENDRY and JORGENSON, JJ. HENDRY, Judge. Arvida Corporation (Arvida), a developer, appeals the entry of a final summary judg- ment for plaintiffs /appellees Scott and Sa- IN THE CIRCUIT COURT OF THE NINETEENTH JUDICIAL CIRCUIT IN AND FOR OKEECHOBEE COUNTY, FLORIDA. CASE NO: 93- 555 -CA JUDGE: JOHN E. FENNELLY OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA and OKEECHOBEE COUNTY, FLORIDA, Defendants. / CITY OF OKEECHOBEE, FLORIDA, Defendant /Counter- Plaintiff vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff /Counter- Defendant. / CITY OF OKEECHOBEE, FLORIDA, Defendant /Cross - Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, CLIF BETTS, JR., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the Commissioners of Okeechobee County, CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County. Defendant /Cross- Defendants. DEFENDANT'S (OKEECHOBEE COUNTY) ANSWER AND AFFIRMATIVE DEFENSES TO PLAINTIFF'S (OKEECHOBEE BEACH WATER ASSOCIATION) AMENDED COMPLAINT 7239 -7033 COME NOW, the Defendant, OKEECHOBEE COUNTY, FLORIDA, by and through their undersigned attorney and answers the Amended Complaint filed in this cause and would show as follows: 1. THAT said Defendant would admit paragraph 1 of the Amended Complaint. 2. THAT said Defendant would admit paragraph 2 of the Amended Complaint. 3. THAT said Defendant would admit paragraph 3 of the Amended Complaint. 4. THAT said Defendant would admit paragraph 4 of the Amended Complaint. 5. THAT said Defendant would admit paragraph 5 of the Amended Complaint. 6. THAT said Defendant is without knowledge or information sufficient to form a belief as to the allegations contained in paragraph 6 of the Amended Complaint. 7. THAT said Defendant is without knowledge or information sufficient to form a belief as to the allegations contained in paragraph 7 of the Amended Complaint. 8. THAT said Defendant is without knowledge or information sufficient to form a belief as to the allegations contained in paragraph 8 of the Amended Complaint. 9. THAT said Defendant would admit paragraph 9 of the Amended Complaint. 10. THAT said Defendant would admit to all allegations contained in the first sentence of paragraph 10, but as to that remaining portion of paragraph 10 of the Amended Complaint said Defendant is without knowledge or information sufficient to form a belief as to the allegations contained. 11. THAT said Defendant would deny paragraph 11 of the Amended Complaint. 12. THAT said Defendant is without knowledge or information sufficient to form a belief as to the allegations contained in paragraph 12 of the Amended Complaint. 13. THAT said Defendant would admit paragraph 13 of the Amended Complaint. 14. THAT said Defendant would admit to all allegations contained in that portion of paragraph 14 of the Amended Complaint except the last sentence of said paragraph. As to that portion of paragraph 14, said Defendant is without knowledge or information sufficient to form a belief as to the allegations contained in this sentence. 15. THAT said Defendant would admit paragraph 15 of the Amended Complaint. 16. THAT said Defendant is without knowledge or information sufficient to form a belief as to the allegations contained in paragraph 16 of the Amended Complaint. 7239 -7033 17. THAT said Defendant would admit paragraph 17 of the Amended Complaint. 18. THAT said Defendant is without knowledge or information sufficient to form a belief as to the allegations contained in paragraph 18 of the Amended Complaint. 19. THAT said Defendant would admit paragraph 19 of the Amended Complaint. AFFIRMATIVE DEFENSES As further Answer to the Amended Complaint, the Defendant would alledge the following Affirmative Defenses: 20. THAT Defendant OKEECHOBEE COUNTY, is nominal party, in that the outcome of the cause of action will be of indirect impact to said Defendant. By: 7239 -7033 Law Office of CASSELS & MCCALL JOHN D. CASSELS, JR. County Attorney Post Office Box 968 Okeechobee, Florida 34973 (813) 467 -6900 Florida Bar Number: 261521 and MARK G. LAWSON, Esquire GREG STEWART, Esquire C/O NABORS, GIBLIN & NICKERSON, P.A. Co- Counsel for Defendant /Cross- Defendant OKEECHOBEE COUNTY, FLORIDA Barnett Bank Building, Suite 800 315 South Calhoun Street Tallahassee, Florida 32301 CERTIFICATE OF SERVICE I HEREBY CERTIFY that a true and correct copy of the foregoing instrument on this day of , 1993, by U.S. Mail Delivery, to all persons on the attached Service List. JOHN D. CASSELS, JR. 7239 -7033 CASE NUMBER: 93- 555 -CA SERVICE LIST BURTON C. CONNER, Esquire Attorney for Plaintiff /Counter- Defendant OKEECHOBEE BEACH WATER ASSOCIATION, INCORPORATED 301 N.W. 5th Street Okeechobee, Florida 34972 STEVE WALKER, Esquire C/O MESSER, VICKERS, CAPARELLO, LEWIS, GOLDMAN, & METZ Co- Counsel for Plaintiff /Counter- Defendant OKEECHOBEE BEACH WATER ASSOCIATION, INCORPORATED 2000 Palm Beach Lakes Boulevard, Suite 900 West Palm Beach, Florida 33409 JOHN R. COOK, Esquire Attorney for Defendant / Counter - Plaintiff /Cross - Plaintiff CITY OF OKEECHOBEE, FLORIDA 202 N.W. 5th Avenue Okeechobee, Florida 34972 RICHARD A. LOTSPEICH, Esquire FRED McCORMACK, Esquire C/O LANDERS & PARSONS Co- Counsel for Defendant/ Counter - Plaintiff /Cross - Plaintiff CITY OF OKEECHOBEE, FLORIDA Post Office Box 271 Tallahassee, Florida 32302 MICHAEL WILLIAM MORELL, Esquire Co- Counsel for Defendant / Counter- Plaintiff /Cross- Plaintiff CITY OF OKEECHOBEE, FLORIDA 310 West College Avenue Room 222 Tallahassee, Florida 32301 -1406 7239 -7033 IN THE CIRCUIT COURT OF THE NINETEENTH JUDICIAL CIRCUIT IN AND FOR OKEECHOBEE COUNTY, FLORIDA. CASE NO: 93- 555 -CA JUDGE: JOHN E. FENNELLY OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA and OKEECHOBEE COUNTY, FLORIDA, Defendants. CITY OF OKEECHOBEE, FLORIDA, Defendant /Counter - Plaintiff vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff /Counter- Defendant. CITY OF OKEECHOBEE, FLORIDA, Defendant /Cross - Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, CLIF BETTS, JR., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the Commissioners of Okeechobee County, CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County. Defendant /Cross- Defendants. CROSS DEFENDANTS' MOTION TO DISMISS CITY OF OKEECHOBEE'S CROSS -CLAIM 7239 -7066 COME NOW, the Cross - Defendants, OKEECHOBEE COUNTY, FLORIDA, CLIF BETTS, JR., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the commissioners of Okeechobee County, and CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County, by and through their undersigned attorney and file this Motion to Dismiss the City of Okeechobee's Cross -Claim and would show as follows: 1. THAT pursuant to Section 125.15, Florida Statutes, the County Commissioners "shall sue and be sued in the name of the county ..." 2. THAT Okeechobee County, Florida is the only proper party- Defendant to the CITY's Cross - Claim. Accordingly, this action should be dismissed as to CLIF BETTS, JR., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, and CHRISTOPHER W. CHINAULT. 3. THAT CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County, should be dismissed as a Defendant as no well pled statement of ultimate fact alledges his violation of Florida Statutes and no affirmative relief is sought against said Defendant. 4. THAT Count II of the CITY's Cross -Claim should be dismissed for failure to state a cause of action as pled. Under the facts as alleged, said Count is insufficient as a matter of law to state a cause of action for a violation of Section 286.011, Florida Statutes, (the "Sunshine Law "). 5. THAT Count II of the CITY's Cross -Claim violates Rule 1.110, F.R.C.P., in that paragraphs 57 and 58 do not contain "a short and plain statement of the ultimate facts showing that the pleader is entitled to relief," but rather, contain conclusions of law and allegations based upon the CITY's speculations and beliefs. WHEREFORE, the Cross - Defendants, OKEECHOBEE COUNTY, FLORIDA, CLIF BETTS, JR., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the commissioners of Okeechobee County, and CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County, pray that this Honorable Court will dismiss this cause, with costs at the prejudice of the Cross - Claimant, CITY OF OKEECHOBEE, FLORIDA. 7239 -7066 By: Law Office of CASSELS & MCCALL JOHN D. CASSELS, JR. County Attorney Post Office Box 968 Okeechobee, Florida 34973 (813) 763 -3131 Fla Bar No: 261521 and MARK G. LAWSON, Esquire GREG STEWART, Esquire C/O NABORS, GIBLIN & NICKERSON, P.A. Co- Counsel for Defendant /Cross- Defendant OKEECHOBEE COUNTY, FLORIDA Barnett Bank Building, Suite 800 315 Calhoun Street Tallahassee, Florida 32301 CERTIFICATE OF SERVICE I HEREBY CERTIFY that a true and correct copy of the foregoing has been furnished on this day of October, 1993, by U.S. Mail Delivery, to all persons on the attached Service List. JOHN D. CASSELS, JR. 7239 -7066 CASE NUMBER: 93- 555 -CA SERVICE LIST BURTON C. CONNER, Esquire Attorney for Plaintiff /Counter- Defendant OKEECHOBEE BEACH WATER ASSOCIATION, INCORPORATED 301 N.W. 5th Street Okeechobee, Florida 34972 STEVE WALKER, Esquire C/O MESSER, VICKERS, CAPARELLO, LEWIS, GOLDMAN, & METZ Co- Counsel for Plaintiff /Counter- Defendant OKEECHOBEE BEACH WATER ASSOCIATION, INCORPORATED 2000 Palm Beach Lakes Boulevard, Suite 900 West Palm Beach, Florida 33409 JOHN R. COOK, Esquire Attorney for Defendant /Counter - Plaintiff /Cross - Plaintiff CITY OF OKEECHOBEE, FLORIDA 202 N.W. 5th Avenue Okeechobee, Florida 34972 RICHARD A. LOTSPEICH, Esquire FRED McCORMACK, Esquire C/O LANDERS & PARSONS Co- Counsel for Defendant / Counter - Plaintiff /Cross - Plaintiff CITY OF OKEECHOBEE, FLORIDA Post Office Box 271 Tallahassee, Florida 32302 MICHAEL WILLIAM MORELL, Esquire Co- Counsel for Defendant /Counter - Plaintiff /Cross - Plaintiff CITY OF OKEECHOBEE, FLORIDA 310 West College Avenue Room 222 Tallahassee, Florida 32301 -1406 7239 -7066 BURTON C. CONNER, P. A. ATTORNEY AT LAW John R. Cook, Esq. 202 Northwest Fifth Avenue Okeechobee, FL 34972 VIA REGULAR MAIL Re: OBWA vs. CITY et al. Dear John: 301 NORTHWEST FIFTH STREET OKEE('HOBEE, FLORIDA 34972 January 17, 1994 TELEPHONE 181 R1 467 -8800 FA( SIYIII,F, 181 :3) 467- 6316 As requested, enclosed please find a supplement to Exhibit C of L.C.'s affidavit, which is the March 29, 1993 Letter of Conditions referred to in the Farmer's Home notice. Please advise who is the lead counsel for the City in this action. I do not intend to copy both of you with lengthy documents that may be filed in this action (such as the motion for partial summary judgment). Likewise, I do not expect the City to copy lengthy documents on both myself and Steve Walker on behalf of Beach Water. I am the lead counsel in this action for Beach Water, and you need only copy me with lengthy documents. I am agreeable to copying both you and Rick on the smaller documents that are filed. I received a copy of a motion for a default against Beach Water signed by Rick. My file reflects that on October 25 I served you and John Cassels with my answer to your affirmative defenses and counterclaim. Again, I understood that Rick was a co- counsel, but that you were the lead attorney, so you were sent the copy for the City. Please advise if I am mistaken. Since urton C. Conner BCC/bcc cc: John D. Cassels, Jr. IN THE CIRCUIT COURT FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WA'T'ER ASSOCIATION, INC., CASE NO: 93 -555 CA Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, Defendant. SUPPLEMENT TO EXHIBIT C ATTACHED TO AFFIDAVIT OF L.C. FORTNER IN SUPPORT OF PLAINTIFF'S MOTION FOR PARTIAL SUMMARY JUDGMENT Attached hereto as a supplement to Exhibit C of the Affidavit of L. C. Fortner in support of Plaintiff's Motion For Partial Summary Judgment is a copy of the Letter of Conditions dated March 29, 1993 referred to in Exhibit C. The undersigned certifies that a copy of the foregoing was furnished to John R. Cook, Attorney for Defendant CITY, Richard A. Lotspeich, Co- counsel for Defendant CITY, John D. Cassels, Attorney for Defendant COUNTY, and Mark G. Lawson, Co- counsel for Defendant COUNTY, by mail on January 18, 1994. BURTON C. CONNER, P.A. and Burton C. Conner Attorney for Plaintiff Florida Bar No. 0254551 301 Northwest Fifth Street Okeechobee, FL 34972 813- 467 -8800 5 \013 \CITY\M -PA R- SM.JMT Stephen A. Walker MESSER, VICKERS, CAPARELLO, LEWIS GOLDMAN & METZ Co- counsel for Plaintiff 2000 Palm Beach Lakes Boulevard, Suite 900 West Palm Beach, FL 33409 407 - 640 -0820 1 STATE OF FLORIDA DIVISION OF ADMINISTRATIVE HEARINGS CITY)OF OKEECHOBEE, Petitioner, -vs- DOAH CASE NO. 93- 007151 OGC FILE NO. 93 -4034 OKEECHOBEE BEACH WATER ASSOCIATION, INC., Respondents. NOTICE OF VOLUNTARY WITHDRAWAL Petitioner, CITY OF OKEECHOBEE, ( "CITY "), by and through its undersigned counsel, pursuant to Florida Administrative Code Rule 22I- 6.036, hereby withdraws its Petition for Formal Administrative Hearing and states: 1. On February 15, 1994, the CITY and OKEECHOBEE BEACH WATER ASSOCIATION, INC. entered into a Settlement Agreement resolving all disputed issues with regard to the CITY's challenge to the issuance of Permit Number WC -47- 227728. A copy of the Settlement Agreement is attached hereto. 2. Pursuant to the terms of the Settlement Agreement, the CITY has agreed to withdraw its Petition in this proceeding. WHEREFORE, Petitioner, CITY OF OKEECHOBEE hereby withdraws its Petition for Formal Administrative Hearing in DOAH Case Number 93- 4034. 1 Respectfully submitted this 76 day of February, 1994. RICHARD A. LOT ICH, ESQUIRE Landers & Parsons P. O. Box 271 Tallahassee, FL 32302 (904) 681 -0311 and MICHAEL WM. MORELL, ESQUIRE 310 W. College Ave. Tallahassee, FL 32302 (904) 425 -8300 CERTIFICATE OF SERVICE WE HEREBY CERTIFY that the original and one copy of the tW foregoing has been forwarded this /G day of February, 1994 by hand delivery to the Clerk, Division of Administrative Hearings, DeSoto Building, 1230 Apalachee Parkway, Tallahassee, Florida 32399 -1550; and copies via hand delivery to LORI KILLINGER, ESQUIRE, Office of General Counsel, Florida Department of Environmental Protection, 2600 Blair Stone Road, Room 654, Tallahassee, Florida 32399 -2400 (904)- 488 -9730; STEPHEN A. WALKER, ESQUIRE and ROBERT P. DIFFENDERFER, ESQUIRE, Messer, Vickers, Caparello, et al., 2000 Palm Beach Lakes Boulevard, Suite 900, West Palm Beach, Florida 33409 (407)- 640 -0820 (Co- counsel to Respondent OKEECHOBEE BEACH WATER ASSOCIATION, INC.) and BURTON C. CONNOR, ESQUIRE, 301 N. W. 5th Street, Okeechobee, Florida 34972 (813) -467- 8800 (Co- counsel to Respondent OKEECHOBEE BEACH WATER ASSOCIATION, INC.) . RICHARD A. LOTSPE , ESQUIRE Florida Bar #593'60 - 2 - STATE OF FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION CITY OF OKEECHOBEE, Petitioner, vs. FLORIDA DEPARTMENT OF ENVIORNMENTAL PROTECTION and OKEECHOBEE BEACH WATER ASSOCIATION, INC., Respondents, / SETTLEMENT AGREEMENT Case No.: 93- Permit Application No. WC 47- 227728 This Settlement Agreement made and entered into by and between the City of Okeechobee, a political subdivision of the State of Florida (hereinafter referred to as the "City ") and Okeechobee Beach Water Association, Inc., a Florida not - for - profit corporation (hereinafter referred to as "OBWA "). RECITALS 1. On March 12, 1993, OBWA filed an application with the Department of Environmental Regulation, hereinafter "Department ", (n /k /a Department of Environmental Protection) for a permit to construct a public potable water treatment facility in Okeechobee County. 2. On October 1, 1993, the City received notice of the Department's Notice of Intent to issue Permit No. WC-47- 227728 to OBWA for construction of the public potable water treatment facility. 3. On October 14, 1993, the City filed an objection to the intent to issue and requested a formal administrative hearing in order to resolve alleged disputed factual issues. 4. The City has previously challenged the issuance of a water use permit (SFWMD permit application 921204 -10) to OBWA for the water supply source to supply the facility permitted by Permit No. WC-47- 227728, which challenge is currently pending in DOAH Case No. 93 -5505. 5. The parties desire to settle and compromise their differences on the bases set forth in this agreement. STATEMENT OF AGREEMENT NOW, THEREFORE, in accordance with the mutual covenants hereinafter contained and other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties agree as follows: 1. Recitals. The recitals set forth above are true and correct and hereby incorporated herein. 2. No Construction. OBWA agrees not to commence construction of the water treatment plant facilities permitted under Permit No. WC-47- 227728 until it has obtained from the South Florida Water Management District the water use permit for the withdrawal of the source water from the supply wells which will supply water to the permitted water treatment plant. 3. Withdrawal of Petition. The City agrees to file, within two days of the date of its execution of this agreement, a voluntary dismissal of the City's Petition for a Formal Administrative Hearing which was filed in response to the Department's Notice of Intent to Issue Permit No. WC-47- 227728. 4. No Admission. The parties agree that they are entering into this agreement in order to compromise and settle litigated matters. No party, by entering into or carrying out the terms and conditions of this agreement, shall be deemed to have admitted any claim or contention of any opposing party in such litigation. 5. Entire Agreement. This agreement constitutes the entire agreement of the parties as to the matters set forth herein and there are no representations, promises, warranties or undertakings of any party with respect to the matter set forth in this agreement except as stated in writing in this agreement. 6. Counterparts. This agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of them together, respectively, shall constitute one and the same instrument. IN WITNESS WHEREOF, the parties have made and executed this agreement on the date(s) indicated below. COUNSEL FOR CITY OF OKEECHOBEE By: RICHARD A. LOT ICH, ESQ. FRED MCCORMACK, ESQ. Landers & Parsons P.O. Box 271 Tallahassee, Florida 32302 and MICHAEL WM. MORELL, ESQ. COUNSEL FOR OKEECHOBEE BEACH WATER ASSOCIATION By: S 'PHEN A. WALKER, ESQ. Florida Bar No. 195298 ROBERT P. DIFFENDERFER, ESQ. Florida Bar No. 434906 Messer, Vickers, Caparello, Madsen, Lewis, Goldman & Metz, P.A. 2000 Palm Beach Lakes Boulevard West Palm Beach, Florida 33409 To a. Office of JOHN R COOK 202 ,w 5th Ave. OKE_ ` OBEE_, 71 349. Sl f ) $t7.-7 "B ,9 ^. p • }? ,.x 1 7 , 479)7. FOLLOW -UP DATE 19 Date Subject LAW OFFICES JOHN R. COOK 202 NW 5TH AVENUE OKEECHOBEE, FLORIDA 34972 TELEPHONE (813) 467 -0297 FAX (813) 467 -4798 Attn. Lola Re: OBWA vs City 1/4/94 letter to Rick .2 1/4/94 call form Draco .3 1/5/94 call to Rick /Mike .5 1/10/94 call to Rick .4 1/11/94 call form Rick .3 1/11/94 call from Mike .2 1/12/94 call from Mike .5 1/12/94 conf. /Draco .5 1/12/94 call to Rick .2 1/13/94 review ct. file .4 1/13/94 letter to Burton .2 1/19/94 call from Mike .8 1/19/94 call to Rick(3) .6 1/20/94 call to Mike (2) .5 1/24/94 call from Rick .3 1/25/04 call from rick .5 1/25/94 call to Cassels .2 1/25/94 call to Burton .2 1/25/94 call to Monica .2 1/26/94 review draft 1.6 OBWA agreement /w /letters 1/26/94 C7all to Mike .5 1/26/94 meet w /Monica .3 1/26/94 call to Burton(2) .4 1/26/94 call to Draco .2 1/27/94 attend BOCC .8 1/27/94 meet w /Draco .5 1/29/94 call from Mike .4 1/31/94 call from Mike .2 2/1/94 call from Rick(2) .4 2/1794 review pleadings .4 file in court 2/1/94 call to Burton .2 2/10/94 conf. /Burton re:abate .5 2/14/94 calls :Draco,Rick,Burton.6 2/15/94 call to John .2 14.20 hrs. @ 75.00 = $1065.00 IN THE CIRCUIT COURT IN AND FOR OKEECHOBEE COUNTY, FLORIDA CASE NO:93- 555 -CA OKEECHOBEE BEACH WA I'ER ASSOCIATION, INC., Plaintiff vs. CITY OF OKEECHOBEE, FLORIDA, Defendant. NOTICE OF HEARING TO: CITY OF OKEECHOBEE c/o John R. Cook, Esq. 202 NW 5th Avenue Okeechobee, Florida 34972 COUNTY OF OKEECHOBEE c/o John D. Cassels, Jr. Esq. 400 NW 2nd Street Okeechobee, Florida 34972 PLEASE TAKE NOTICE that 4April 28, 1994, at 9:00 a.m. Or as soon thereafter as counsel may be heard, the undersigned will-call up to be heard before the Honorable William L. Hendry, a judge of the above Court, at the Okeechobee County Courthouse, Okeechobee, Florida, the following: MOTION FOR PARTIAL SUMMARY JUDGEMENT and MOTION TO APPOINT MEDIATOR TIME RESERVED: 1 and 1/2 hours PLEASE GOVERN YOURSELF ACCORDINGLY. I HEREBY CERTIFY that a true copy of the foregoing was served on the above - named person(s) by U.S. Mail this iI a day of . . X994. 2 \ob \city \noticc.hcr 1 BURTON f. CONNER, P.A. urton C. Conner Fla. Bar No. 0254551 301 Northwest Fifth Street Okeechobee, Florida 34972 (813)467 -8800 IN THE CIRCUIT COURT FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WATER ASSOCIATION, INC., CASE NO: 93 -555 CA Plaintiff, VS. CITY OF OKEECHOBEE, FLORIDA, Defendant. SECOND AMENDED NOTICE OF HEARING TO: CITY OF OKEECHOBEE c/o John R. Cook, Esq. 202 Northwest 5th Ave. Okeechobee, FL 34972 COUNTY OF OKEECHOBEE c/o John D. Cassels, Jr., Esq. 400 Northwest 2nd St. Okeechobee, FL 34972 PLEASE TAKE NOTICE that on July 15, 1994, at 3:30 p.m. or as soon thereafter as counsel may be heard, the undersigned will call up to be heard before the Honorable William L. Hendry, a judge of the above Court, at the Okeechobee County Courthouse, Okeechobee, Florida, the following: MOTION FOR PARTIAL SUMMARY JUDGEMENT. TIME RESERVED: 1.5 hours PLEASE GOVERN YOURSELF ACCORDINGLY. I HEREBY CERTIFY that a true copy of the foregoing was served on the above - named person(s) by mail on April 26, 1994. cc: Okeechobee Court Reporters Judge William L. Hendry Stephen A. Walker, Esq. 1\ob\city\n-hcar-3.psj BURTON C. CONNER BURTON C. CONNER, P.A. Florida Bar No. 0254551 301 Northwest Fifth Street Okeechobee, Florida 34972 813- 467 -8800 Richard Lotspeich, Esq. Mark Lawson, Esq. Michael Wm. Morell, Esq. STATE OF FLORIDA DIVISION OF ADMINISTRATIVE HEARINGS CITY OF OKEECHOBEE, Petitioner, vs. DOAH CASE NO.: 93 -5505 SOUTH FLORIDA WATER MANAGEMENT DISTRICT and OKEECHOBEE BEACH WATER ASSOCIATION, INC., Respondents. REQUEST FOR LEAVE TO AMEND PETITION FOR FORMAL ADMINISTRATIVE HEARING Petitioner, City of Okeechobee ( "City "), through its undersigned counsel, hereby requests leave to amend its original Petition for Formal Administrative Hearing pursuant to Rule 60Q- 2.004(4). The City requests leave to add the following paragraphs to the Petition: 1. The action by the South Florida Water Management District ( "District ") in proposing to issue the subject water use permit to the Okeechobee Beach Water Company, Inc. ( "OBWA ") under Section 373.223, Florida Statutes, is a licensing proceeding authorized by law for the protection of water resources from impairment or destruction. 2. The issuance of the subject permit to OBWA will allow OBWA to provide drinking water service to homes and businesses in areas of Okeechobee County along the north shore of Lake Okeechobee not currently being served. Providing drinking water to these areas will result in increased growth and development of these areas. However, unlike the City, OBWA does not have the ability to provide corresponding wastewater collection, service to the homes and businesses. central wastewater service to these treatment, and disposal Since there will be no areas, there will be a proliferation of septic tanks in these same areas. This proliferation of septic tanks will result in increased nutrient loading to groundwaters and to Lake Okeechobee and its tributaries. This nutrient loading will result in the impairment and pollution of waters of the state. 3. Attached is a verified pleading asserting that the issuance of the permit to OBWA will have the effect of impairing, polluting or otherwise injuring the water resources of the state. 4. Accordingly, pursuant to Section 403.412(5), Florida Statutes, the City as a municipality of the State, has standing to participate as a petitioner in this proceeding. st Respectfully submitted this &J day of October 1993. Richard A. Lotspe ' Fred McCormack LANDERS & PARSONS P. 0. Box 271 Tallahassee, FL 32302 (904) 681 -0311 and Michael Wm. Morell 310 W. College Ave. Tallahassee, FL 32302 (904) 425 -8300 Counsel for City of Okeechobee 2 AFFIDAVIT STATE OF FLORIDA COUNTY OF OKEECHOBEE BEFORE ME, the undersigned author y, this day personally appeared JAMES E. KIRK, who is personally known to me, or who has produced as identification; and who being by me first duly sworn, under oath says: I JAMES E. KIRK, Mayor of the City of Okeechobee, after being first duly sworn, state that the issuance of Water Use Permit no. 921204 -10 by the South Florida Water Management District to the Okeechobee Beach Water Association, Inc. will have the effect of impairing, polluting, or otherwise injuring the water resources of the State of Florida as set forth in the preceding request for Leave to Amend Petition for Formal Administrative Hearing. 1993. . JAMES E. KIRK Affiant SWORN TO AND SUBSCRIBED before me this ICJ day of October, NOTARY PUBLIC State of Florida My Commission Expires: Printed notary name .Os R. taut STATi OF FLO1ORA OMM rYrwFr ''f PT 24, 1994 CERTIFICATE OF SERVICE I HEREBY CERTIFY that the original and one copy of the foregoing Request for Leave to Amend Petition for Formal Administrative Hearing has been forwarded by hand delivery to the Clerk, Division of Administrative Hearings, DeSoto Building, 1230 Apalachee Parkway, Tallahassee, FL 32399; and by U. S. Mail to Cecile I. Ross, Esq., South Florida Water Management District, P. O. Box 24680, West Palm Beach, FL 33416 -4680; and Stephen A. Walker, Esq., Messer, Vickers, Caparello, et al., 2000 Palm Beach Lakes Boulevard, Suite 900, West Palm Beach, FL 33409 and Burton C. Conner, Esq., 301 N. W. 5th Street, Okeechobee, FL 34972 this 2/ day of October, 1993. Richard A. Lotsp 3 IN THE CIRCUIT COURT OF THE NINETEENTH JUDICIAL CIRCUIT IN AND FOR OKEECHOBEE COUNTY, FLORIDA CIVIL DIVISION OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. Case No. 93- 555 -CA CITY OF OKEECHOBEE, FLORIDA, and OKEECHOBEE COUNTY, FLORIDA Defendants. CITY OF OKEECHOBEE, FLORIDA Defendant, vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff. CITY OF OKEECHOBEE, FLORIDA, Defendant and Cross - Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, CLIFF BETTS, Jr., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the commissioners of Okeechobee County, CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County. Defendant and Cross - Defendants, DEFENDANT CITY OF OKEECHOBEE'S FIRST INTERROGATORIES TO PLAINTIFF OKEECHOBEE BEACH WATER ASSOCIATION, INC. TO: Burton C. Conner Burton C. Conner, P.A. 301 Northwest 5th Ave. Okeechobee, FL 34972 Defendant, City of Okeechobee ( "City "), hereby propounds the following Interrogatories upon Plaintiff, Okeechobee Beach Water Association, Inc. (OBWA). The completed interrogatories are to be returned to Defendant's counsel within thirty (30) days after service. INSTRUCTIONS As used in these interrogatories, the terms "identify" and "identification," when used in reference to data or documents, means the date, the author or compiler, the type of document or record including the computer or electronically stored information, and any other means of identifying with sufficient particularity to meet the requirements for its inclusion in a Request for Production of Documents pursuant to Rule 1.350, Florida Rules of Civil Procedure. If any such document was in Plaintiff's, or in its agents' or employees' possession or subject to its control, but no longer is, please state what disposition was made of it and the reason for that disposition. If any document or data is in any other person or party's control, please state the loca -tion and control of the document as known to Plaintiff's, their agents or employees. In lieu of identifying any document, a complete copy may be attached to the answers to these interrogatories. In order to simplify the issues and resolve as many matters of fact as possible, Defendant further requests that, if any of these interrogatories or portions of them cannot be answered fully, they be answered to the extent possible, with reasons for not answering more fully. Defendant requests Plaintiff to answer in writing, under oath, the following interrogatories, as provided by Florida Rules of Civil Procedure 1.280 and 1.340. Defendant further requests Plaintiff to supplement the answers to these interrogatories to reflect additional information, including expert witnesses and witness lists, subsequent to the date of service upon Defendant so that any supplemental answers will be received by Defendant no later than thirty (30) days prior to the date of final hearing in this proceeding. I N T E R R O G A T O R I E S 1. Please identify the person answering these interrogatories. 3 2. Please state whether the answers to each of these interrogato- ries include not only the information which is known to you, but also that which is known to your attorney, to any agent or officer or any representative of you and list the names and addresses of individuals who have information or knowledge regarding the subject matter of these interrogatories or this proceeding. 4 3. Please state the name, address, and official title of all persons who prepared or assisted in the preparation of the answers to these interrogatories and state which of the answers each person assisted in preparing. 4. With reference to paragraph 2 of the Motion for Partial Summary Judgment, please state the number of "active service agreements" that were entered into by OBWA members between August 3, 1993 and November 1, 1993. 5. Please list all "existing OBWA members" who entered into active service agreements between August 3, 1993 and November 1, 1993. 6. Please state the number of "existing OBWA members" who have entered into service agreements but to whom water is not actually provided to their property. 6 7. Please list the "existing OBWA members" who have entered into service agreements but to whom water is not actually provided to their property. 8. Please list the "existing OBWA members" who have had water meters installed at their property but who do not actually consume water through the meter for use on the property. 7 9. Please explain the terms of OBWA's standard service agreement. 10. Please explain the purpose of choosing November 1, 1993 as the date for determining OBWA's "existing members." 8 11. Please explain the status of the financing through the Farmers Home Administration ( "FmHA ") for the construction and opera- tion of the water wells and water treatment facility which are proposed to be built to provide water to OBWA's existing members. 12. Please explain the extent to which OBWA has complied with the terms of the Letter of Conditions dated March 29, 1993 from Gregory L. Caruthers, District Director V, U.S. Department of Agriculture, Farmers Home Administration to Leland Pearce. 9 13. Please explain the extent to which OBWA has reported to FmHA "any changes in project cost, source of funds, scope of services or any other significant changes in the project" as required by the Letter of Conditions dated March 29, 1993. 14. Please state the extent to which FmHA has approved "any changes in project cost, source of funds, scope of services or any other significant changes in the project." 10 15. Please state whether OBWA has received from the FmHA Form 1940 -1 "Request for Obligation of Funds." 16. Please state whether OBWA has completed and returned to the FmHA Form 1942 -46 "Letter of Intent to Meet Conditions." 11 17. Please state whether the FmHA has discontinued the processing of OBWA's application. 18. Pursuant to the provisions of paragraph 21 of the Motion for Partial Summary Judgment, OBWA has 2,043 water meters in- stalled and issued to its members. The terms of the Letter of Conditions require OBWA prior to closing the FmHA loan to "furnish evidence that 3,029 residential water users and 177 commercial users are or have agreed to pay monthly charges" for water service from the facility being financed. Please explain how OBWA intends to comply with this condition of the Letter of Conditions. 12 19. Please state whether OBWA has obtained a franchise agreement from Glades County defining the area to be served and to be served at a future date. 20. Please state whether OBWA's attorney has provided to the FmHA an opinion that the OBWA "has the authority to carry out the planned method of construction, operation and maintenance and repayment in connection with the proposed facility," as required by the Letter of Conditions. 13 21. Please explain the status of any interim financing for the construction of the proposed facilities to be financed through the FmHA. 22. Please state whether FmHA has issued a commitment letter to a lender for interim financing of the construction of the pro- posed facilities. 14 STATE OF FLORIDA ) ) SS: COUNTY OF The foregoing instrument was acknowledged before me this day of 1992, by who is personally known to me or who has produced as identification and who did /did not take an oath. 15 (Type or Print Name) NOTARY PUBLIC, State of Florida at Large My Commission Expires: IN THE CIRCUIT COURT IN AND FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WA I "ER ASSOCIATION, INC., Plaintiff VS. CITY OF OKEECHOBEE, FLORIDA, Defendant. CASE NO: 93 -555 CA NOTICE OF HEARING TO: John R. Cook, Attorney for Defendant CITY and John D. Cassels, Attorney for Defendant COUNTY PLEASE TAKE NOTICE that on February 1, 1994, at 11:00 a.m. or as soon thereafter as counsel may be heard, the undersigned will call up to be heard before the Honorable William L. Hendry, a judge of the above Court, at the Okeechobee County Courthouse, Okeechobee, Florida, the following: MOTION FOR APPOINTMENT OF MEDIATOR. TIME RESERVED: 15 MINUTES PLEASE GOVERN YOURSELF ACCORDINGLY. I HEREBY CERTIFY that a true copy of the foregoing was served on the above -named person(s) by U.S. Mail this ■.3.R., day of January, 1994. BUR 'ON �J CONNER, P.A. Burton C. Conner Fla. Bar No. 0254551 301 Northwest Fifth Street Okeechobee, Florida 34972 (813)467 -8800 cc: John R. Cook, Esq. Richard A. Lotspeich, Esq. Michael Morrel, Esq. John D. Cassels, Esq. Mark G. Lawson, Esq. Stephen A. Walker, Esq. L.C. Fortner IN THE CIRCUIT COURT FOR OKEECHOBEE COUNTY, FLORIDA OKEECHOBEE BEACH WATER ASSOCIATION, INC., CASE NO: 93 -555 CA Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, Defendant. MOTION FOR APPOINTMENT OF MEDIATOR Plaintiff moves the Court to appoint a mediator for this case and says: 1. The past discussions and negotiations between the parties have established a pattern that the parties can agree on very little. Plaintiff truly believes that the parties will never agree on who the Court should appoint as a mediator. 2. All of the parties have expressed a desire to settle their differences without extensive litigation. Early mediation in this case would benefit all of the parties. Wherefore, Plaintiff requests an order appointing a mediator and directing the parties to make appropriate arrangements for a mediation conference. The undersigned certifies that a copy of the foregoing was furnished to John R. Cook, Attorney for Defendant CITY, Richard A. Lotspeich, Co- counsel for Defendant CITY, Michael Morrel, Co- counsel for Defendant CITY, John D. Cassels, Attorney for Defendant COUNTY, and Mark G. Lawson, Co- counsel for Defendant COUNTY, by mail on January /3 , 1994. BURTON C. CONNER, P.A. and urton C. Conner Attorney for Plaintiff Florida Bar No. 0254551 301 Northwest Fifth Street Okeechobee, FL 34972 813 - 467 -8800 Stephen A. Walker MESSER, VICKERS, CAPARELLO, LEWIS GOLDMAN & METZ Co- counsel for Plaintiff 2000 Palm Beach Lakes Boulevard, Suite 900 West Palm Beach, FL 33409 407 -640 -0820 5\013 \CITY\M- APPMT.MED 1 ADMINISTRATIVE AND GOVERNMENTAL LAW ENVIRONMENTAL AND LAND USE LAW Via Overnight Courier Mr. John R. Cook City Attorney 202 N.W. 5th Avenue Okeechobee, FL 34972 MICHAEL WM. MORELL ATTORNEY AT LAW 310 WEST COLLEGE AVENUE TALLAHASSEE, FLORIDA 32301-1406 (904) 425- 8300 (904) 425 -8301 FACSIMILE January 28, 1994 Attorney Work Product Privileged & Confidential ALSO ADMITTED IN THE DISTRICT OF COLUMBIA Re: OBWA v. City of Okeechobee, Florida and Okeechobee County, Florida, Case No. 93- 555 -CA Dear John: Enclosed for filing and service in the above - referenced case on Monday, January 31, 1994 are the originals of the following two pleadings: (1) Notice of Voluntary Dismissal; and (2) City of Okeechobee's Reply to Okeechobee Beach Water Association Inc.'s Affirmative Defenses I have not received a copy of the tape from Okeechobee County from which the minutes of the Board of County Commissioners February 11, 1993 were produced. I assume that you will have obtained the tape, listened to it, and verified the delegation from the Commission to the staff, prior to filing the notice of voluntary dismissal of the Sunshine Count against the County and the named individuals. Please call if I may be of any further assistance. Sincerely, Michael Wm. Morell MWM: mm cc.: Rick Lotspeich, Landers & Parsons 77.77F'77T 377177" ::ZOUSS SETTL1LN7 7:7.7,7; • 7,27' 01{777C0E717/C07777 7777777.777 ch Nater coeae ..„...007viin a .ton-.717.......-ht eet: 1i rv'.ce foe t}te TN7 777ERET1",7 the partiez eth-1,neved in a eff7' fol the,7..,e services tor- 311 ' • A: 7= V777,E7,: , . . ' . . • NO THERF7(7)77 ' a-nd jdanning te tho 017,eechchee .31:oa; _ .1 ageed. by the pc.:::-tt,7,1s thE. head dUring perio as deLinocl ro ne,ay lege: ,d.icovry and IL any. ITiotions to tol.J. a and to ons•end any en...1 for the purpose of providing new watol... eerei the are,- nIndel • e . . • . . , . . . . . . . . e . suspended inclde, hut fun7ding, and this suspension of activity is the City's well watel: tLeatl-net under eontr,atmen, iirriuding such. IbEt.....1dr...-..e.tuo. line is tn this systeo,t oh line with tbe existing etny ongoing project WI'' n the 0±toy for ,wnirh esicn or conztit:nt.in,.... J7 7HE PTEZ spocifie7'ey - in adr:rnn do hereby oking grceup ta onitee, fa!: Lhe :"= t": ' ' me,7--tina3 thel en:t r 4 1. 4 F'1 i��� A F k� L ! 1. �� .; 1-:r r � OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, and OKEECHOBEE COUNTY, FLORIDA Defendants. / CITY OF OKEECHOBEE, FLORIDA Defendant, vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff. CITY OF OKEECHOBEE, FLORIDA, Defendant and Cross- Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, CLIFF' BETTS, Jr., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the commisuioncro of Okeechobee County, CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County. Defendant and Cross - Defendants, n � 01 3674 F 02/005 IN THE CIRCUIT COURT OF THE NINETEENTH JUDICIAL CIRCUIT • IN AND FOR OKEECIOBEE COUNTY, FLORIDA CIVIL DIVISION Case No. 93- 555 -CA I- S -94 01:41PM FROM L ,HEP.S I: PARSONS i0 181316747':1_ =003%005 AFFIDAVIT OF WILLIAM REESE IN SUPPORT OF DEFENDANT'S MOTION FOR CONTINUANCE `A 62e4,- 4.A STATE OF FLORIDA: COUNTY OF OKEECHOBEE: BEFORE ME this day personally appeared, WILLIAM REESE (Affiant), who being duly sworn, deposes and says as follows: 1. Affiant is over 18 years of age and is competent to affirm statements. 2. Affiant has personal knowledge of the facts stated herein. 3. Affiant is and has been employed by and as such is the engineer for the City of Okeechobee responsible for the planning and design of the City's water treatment system. 4. As the engineer for the City, Affiant is familiar with the areas within and adjacent to the City that are served by the city's water system. Affiant is also familiar with some of the properties which have been purported by the Okeechobee Beach Water be served by its system. 5. Affiant has learned from Association, Inc. ("OBWA ") to the Superintendent of O]3WA that at least three of the properties listed by OBWA as "existing members" are, in fact, not receiving water from OBWA for either residential, commercial or any other type of use at the property. 6. Specifically, one of the properties listed as an existing member is the Coker Tract located in Sections 27 and 34, Township 37S, Range 35E. This tract of over 800( ?) acres is served by one inch line with a single meter that runs water into a horse watering trough. Such a line would be inadequate to provide water service to any residential or commercial use at this property. 7. A second property is the Roland Trust Parcel. This parcel consists of over — acres of land with a single mobile home on it which is served by a inch water line installed by OBWA. Such a water line would be inadequate to provide water service for any other residential or commercial uses for this property. 8. A third property is the Oasis Village mobile home park. This property has a master meter in place which was installed by OBWA; however, Oasis Village does not consume water through this meter. Instead, Oasis Village receives its water from its own well and package water treatment system. 9. These properties represent only three of the 2,043 meters represented by OBWA to have been installed for its existing members as of November 1, 1993. These three examples raise the distinct possibility that Uiere are other properties which, while they may have meters and active service agreements with O3WA, do not, in fact, receive water service from OBWA. Additional investi- gation is required to determine whether there are other instances where "existing OBWA members" do not receive _ 1 111171 111 L ;1', �. water service from OBWA. FURTHER AFFIANT SAYETH NOT. William Reese SWORN TO and SUBSCRIBED before me this day of Tanuary, 1994, by WILLIAM REESE, who produced a Florida Drivers License as identification and did not take an oath. NOTARY PU2LIC, State of Florida My commission expires: LAW OFFICES JOHN R. COOK 202 NW 5T14 AVENUE OKEECHOBEE, FLORIDA 34972 TELEPHONE (813) 467-0297 FAX (813) 467-4798 TO: FAX REQUEST FROM: JOHN R. COOK ATTORNEY AT LAW OUR FAX NUMBER: (813) 467-4798 NUMBER OF DOCUMENTS TO FOLLOW: SHOULD YOU HAVE ANY QUESTIONS, PLEASE CONTACT THE UNDERSIGNED. SENDER: 4 A)(,-;v1 d? ii\(,f bk) r-- / OKE E- ,,0F '. ,A .0 % I R• p � CltyofOkeechobee - � s 65 S.E. Third Avenue • Okeechobee, Florida 34974 - 2932 .813 /763 -3372 January 26, 1994 John Cassels County Attorney 400 N.W. 2nd St. Okeechobee, F1. Furton Conner C'WA 701 N.W. 5th St. ;eechobee, F1. Modica Clark Buiness Cuunci 1 30i N. Parrot _echobee, F1. Greetings: Attached please !=ind abate this action for the agreement between + } sixty gays, which I understand ?must be signed by all parties repr=_sentai ves by Friday, order to cancel the hearing set for Februaryu�ilua y 27, 199:x' in I believe this dueu:nel 'L is designed to reflet efforts by all parties to a. '.tempt to s the sincere s not drafted by the re e settle this isues, and was imagine, would prefer o ct pick ve attorneys. Each a +.:i.oiney, ,ou'd and try to figure ou`. ;ghat nefarious apart, schemead the °til:n the tc , depending where �he ot:, p on a particular comma r is have t,`, a couple of wording changes, is located, etc. I have ;;,arl; further would be suspended during at�ieninterim, with the goal utility T any advantage, or alter the , g����'� to not gain I arrived at this not by consulting fouts de drafter of the counsel, but by talking to the City engineer, Bill Reese. He states there are several projects for which the contracts have already been awarded, that we are not able to halt at this time. I do not have a list of those, but can easily obtain it if you desire. The other changes are designed to give greater clarity, and should not be objectionable. Please review and get with me no later than 3:00 for your input, as I would like this to go before the BO CC day on Thursday. I have authority from the Council for the Mayor to execute the document without further meeting. Kindest Regard John R. 00 City Attorney JRC /jc IN THE CIRCUIT COURT OF THE NINETEENTH JUDICIAL CIRCUIT IN AND FOR OKEECHOBEE COUNTY, FLORIDA CIVIL DIVISION OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, VS. Case No. 93- 555 -CA CITY OF OKEECHOBEE, FLORIDA, and OKEECHOBEE COUNTY, FLORIDA Defendants. CITY OF OKEECHOBEE, FLORIDA Defendant, vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff. CITY OF OKEECHOBEE, FLORIDA, Defendant and Cross - Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, CLIFF BETTS, Jr., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the commissioners of Okeechobee County, CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County. Defendant and Cross- Defendants, MOTION FOR CONTINUANCE Defendant, CITY OF OKEECHOBEE, through its undersigned counsel hereby requests a continuance of the hearing which has been scheduled to hear Plaintiff OKEECHOBEE BEACH WATER ASSOCIATION, INC.'S (OBWA) Motion for Partial Summary Judgment and in support thereof states: 1. A hearing has been scheduled for 11:00 a.m. on February 1, 1994 to hear the Motion for Partial Summary Judgment filed by Okeechobee Beach Water Association, Inc. 2. In its Motion for Partial Summary Judgment, OBWA raises certain factual issues which the City has insufficient information to admit or deny. The Motion and Affidavits attached thereto also raise new issues related to OBWA's ability to provide water service to existing and future water users. 3. On January 25, 1994, the City served upon OBWA the City's First Request for Production of Documents and the City's First Interrogatories. 4. The granting of a motion for partial summary judgment requires the absence of any disputed issues of material fact as to the relevant issues in that motion. However, as stated above, the Motion for Partial Summary Judgment filed by OBWA raises certain factual issues which may in fact be disputed pending OBWA's response to the Request for Production of Documents and the Interrogatories. WHEREFORE, the City of Okeechobee moves that the hearing scheduled for February 1, 1994 on Okeechobee Beach Water Associa- tion's Motion for Partial Summary Judgment be continued until at least 30 days after OBWA has responded to the City's Request for Production of Documents and the City's First Interrogatories to OBWA. Respectfully submitted this day of January, 1994. John R. Cook, City Attorney FBN 262951 202 N.W. 5th Avenue Okeechobee, FL 34972 (813) 467 -0297 Richard A. Lotspeich LANDERS & PARSONS P. 0. Box 271 Tallahassee, FL 32302 (904) 681 -0311 and Michael Wm. Morell FBN 570280 310 West College Avenue, Room 222 Tallahassee, FL 32301 -1406 (904) 425 -8300 Attorneys for City of Okeechobee 3 CERTIFICATE OF SERVICE I HEREBY CERTIFY that a true copy of the foregoing Motion for Continuance has been forwarded this day of January, 1994 by hand delivery to: Burton C. Conner, Esq., 301 Northwest 5th Street, Okeechobee, FL 34972; and John D. Cassels, Jr., Esq., Attorney for Okeechobee County, 400 N. W. Second St., P. O. Box 968, Okeechobee, FL 34973 -0968 and via U. S. Mail to Steve Walker, Esq., and Bob Diffenderfer, Esq., Messer, Vickers, Caparello, et al., 2000 Palm Beach Lakes Blvd., Suite 900, West Palm Beach, FL 33409. John R. Cook 4 12/30/93 SUGGESTED AGREEMENT WORDING: CITY, COUNTY, BEACH WATER. WHEREAS, the City of Okeechobee, the County of Okeechobee and Okeechobee Beach Water Association, Inc., (the Parties) recognize the great public interest in providing a comprehensive water and sewer utility service for the entire area, AND WHEREAS, the Parties recognize the great benefits to be achieved in a unified effort to plan together for these services for all of the citizens of the area, AND WHEREAS, to avoid further disagreement and litigation, all the parties wish to enter into settlement and planning discussions in good faith, and to seek consensus on the best alternatives for the delivery of water and sewer services to the Okeechobee area; NOW THEREFORE, believing that their interests in this case may benefit from mediated settlement discussions, it is hereby stipulated and agreed by and between the Parties, through their respective counsel, during the period as defined herein, to stay any legal action and discovery and to join in any necessary motions to toll any trial or hearing, and to suspend any and all unilateral activities which are for the purpose of providing new water and sewer utility service in the area (see addendum). Such activities to be suspended include, but are not limited to, planning, permitting, funding, and acquisition activity or construction (except for the City's water treatment facility construction now in progress). ALL OF THE PARTIES to this agreement specifically recognize and agree that all statements, discussions and communications, whether written or oral, made pursuant to this discussion process, are deemed to be settlement negotiations and as such are not admissible as evidence in any lawsuit or administrative hearing or proceeding. THE PARTIES do hereby authorize and create a utilities mediation working group to explore, on their behalf, all relevant information and alternatives with the intent to establish the most cost efficient and equitable means for providing area wide utility service for the entire community, and to report their findings to the Parties respective boards at least as often as their regular meetings or as requested by the respective boards. THE PARTIES agree that the membership of the working group will be five members, and that within ten days they will appoint their respective members as follows: The Okeechobee City Council -- one council member and one citizen of their choosing The Okeechobee County Commissioners -- one commissioner and one citizen of their choosing. Okeechobee Beach Water Association -- one citizen of their choosing. RECOGNIZING the need for specialized professional assistance, the Parties instruct the working group to engage assistance in this effort, and to prepare and present for approval a schedule of any funding needs prior to any expenditures being made. THE PARTIES AGREE that the City must have assurance from the Florida Department of Environmental Protection that any delays caused by this effort will not jeopardize their good standing with that agency, and agree and accept that, though this assurance must be acquired, it will not delay the formation and proceeding of the working group. THE PARTIES AGREE that Okeechobee Beach Water must have assurance from the City that, as a result of their participation in this agreement, their supply of potable water for their customers will not be jeopardized and that the City hereby renews their previous offer to supply water. (See addendum) AND LASTLY, THE PARTIES AGREE to abide by the terms of this agreement for a period of ninety days, and to use their best faith and efforts to reach agreement together on the most beneficial plan for supplying water and sewer services to the people of the area. SIGNATURES: Addendum: The City and Beach Water agree that during the term of this mediation no allocation of water for users in the disputed service areas will be made without mutual agreement between them. The City agrees that any requests for new water allocations within Beach Water's "ued (t ckE service area will be considered and granted with the same priority and at the same rate as they would give for other requests in the county provided, however, that any new allocations or service so granted will not be considered to be an addition to their contracted amount. Y1,0 IN THE CIRCUIT COURT OF THE NINETEENTH JUDICIAL CIRCUIT IN AND FOR OKEECHOBEE COUNTY, FLORIDA CIVIL DIVISION OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. Case No. 93- 555 -CA CITY OF OKEECHOBEE, FLORIDA, and OKEECHOBEE COUNTY, FLORIDA Defendants. CITY OF OKEECHOBEE, FLORIDA Defendant, vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff. CITY OF OKEECHOBEE, FLORIDA, Defendant and Cross - Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, CLIFF BETTS, Jr., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, no€ individually, but in their capacities as the commissioners of Okeechobee County, CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County. Defendant and Cross - Defendants, DEFENDANT CITY OF OKEECHOBEE'S NOTICE OF SERVICE OF INTERROGATORIES ON PLAINTIFF OKEECHOBEE BEACH WATER ASSOCIATION, INC. NOTICE IS HEREBY GIVEN that the original and one copy of the Interrogatories, consisting of 22 Interrogatories, propounded by Defendant CITY OF OKEECHOBEE, by and through undersigned counsel, have been furnished to the Plaintiff Okeechobee Beach Water Association, Inc. by hand delivery on this ..% �) day of January, 1994 in accordance with Rule 1.340, Florida Rules of Civil Procedure. John R. Cook, City Attorney FBN 262951 202 N.W. 5th Avenue Okeechobee, FL 34972 (813) 467 -0297 Richard A. Lotspeich LANDERS & PARSONS P. 0. Box 271 Tallahassee, FL 32302 (904) 681 -0311 and Michael Wm. Morell FBN 570280 310 West College Avenue, Room 222 Tallahassee, FL 32301 -1406 (904) 425 -8300 Attorneys for City of Okeechobee CERTIFICATE OF SERVICE I HEREBY CERTIFY that a true copy of the foregoing Notice of Service of Interrogatories has been forwarded this &- day of January, 1994 by hand delivery to: Burton C. Conner, Esq., 301 Northwest 5th Street, Okeechobee, FL 34972; and John D. Cassels, Jr., Esq., Attorney for Okeechobee County, 400 N. W. Second St., P. O. Box 968, Okeechobee, FL 34973 -0968 and by U. S. Mail to Steve Walker, Esq., Messer, Vickers, Caparello, et al., 2000 Palm Beach Lakes Blvd., Suite 900, West Palm Beach, FL 33409. John R. Cook 3 IN THE CIRCUIT COURT OF THE NINETEENTH JUDICIAL CIRCUIT IN AND FOR OKEECHOBEE COUNTY, FLORIDA-- CIVIL DIVISION OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. Case No. 93- 555 -CA CITY OF OKEECHOBEE, FLORIDA, and OKEECHOBEE COUNTY, FLORIDA Defendants. CITY OF OKEECHOBEE, FLORIDA Defendant, vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff. CITY OF OKEECHOBEE, FLORIDA Defendant and Cross - Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, CLIFF BETTS, Jr., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the commissioners of Okeechobee County, CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County. Defendant and Cross - Defendants. DEFENDANT CITY (')F OKEECHOBEE'S FIRST REQUEST FOR PRODUCTION OF DOCUMENTS TO PLAINTIFF OKEECHOBEE BEACH WATER ASSOCIATION, INC. Defendant, CITY OF OKEECHOBEE ( "CITY_ "), by and through its undersigned attorneys and pursuant to Rule 1.350, Florida Rules of Civil Procedure, hereby requests Plaintiff, OKEECHOBEE BEACH WATER ASSOCIATION, INC. ( "OBWA" or "Association "), to produce the following documents at the office of the City Administrator, City of Okeechobee, 55 S.E. Third Avenue, Okeechobee, Florida 34974, on Monday, February 28, 1994, for the purpose of inspection, copying, testing, or sampling: I. Definition of Terms As used in the Request for Production, the following terms have the meaning indicated: A. Reference to any corporate or business entity shall include all successors, subsidiaries, divisions, parents, affiliates, and merged or acquired predecessors of them. Reference further includes all officers, directors, other employees, attorneys, engineers, accountants, consultants, agents or other representative of any nature. B. "Documents" refer to all written or graphic material and all copies that are not identical in all respects with the original, however produced or reproduced, of any kind and description, in the actual or constructive possession, custody or control of the OBWA which are further described below, including but not limited to, originals and non - identical copies of correspondence, paper, books, pamphlets, periodicals, accounts, letters, microfilm, telegrams, notes or sound recordings or other memorials of any type of personal or telephone conversations or meetings or conferences (including, but not by way of limitation, telephone bills and long distance telephone call charge slips), minutes of directors, shareholders, or committee meetings, 2 memoranda, photographs; objects, interoffice communications, records, reports, studies, written forecasts, projections, analyses, estimates, designs, plans, group prints, drawings, schematic and other diagrams, specifications, contracts, options, licenses, agreements, purchase orders, acknowledgment forms, quotation files, including requests and receipts therefor and acknowledgments, reports, account reports, drafts, charts, graphs, indexes, statistical records, cross - sheets, abstracts of bids, stenographers' notebooks, calendars, appointment books, diaries, or transaction files, data sheets, data processing cards and tape and computer printouts. C. "Communications" refers to the act or fact of communicating in any way including, but not limited to, correspondence, telephone, facsimile, telex, meeting or any occasion of joint or mutual presence, as well as the transfer of any document from one person to another. D. The phrase "care, custody, control or possession" specifically includes documents held by you or any of your representatives, howsoever designated, including your attorneys. E. The terms "you" or "yours" refers to the OBWA, together with its agents, employees, other representatives and attorneys. F. The terms "related to" or "relating to" shall mean directly or indirectly mentioning or describing, pertaining to, being connected with, or reflecting upon a stated subject matter. II. Documents Upon Which Privilege is Claimed For each document requested herein which is sought to be withheld under a claim of privilege, provide the following information: A. The place, approximate date, and manner of recording or otherwise preparing the document; 3 B. The name and title of sender, and the name and title of the person who received the document; C. The name and corporate position, if any, of each person to whom the contents of the documents have heretofore been communicated by copy, exhibition, reading or substantial summarization; D. A statement of the basis on which privilege is claimed and whether or not the subject matter of the contents of documents is limited to legal advice or information provided for the purpose of securing legal advice; E. The name of the request to which the document is responsive; F. The entity and corporate position, if any, of the person or persons supplying the attorney with the information requested in (a) through (e) above. III. Identification of Documents In an effort to promote an orderly presentation of documentary evidence in this case, and to insure full compliance with this process, OBWA should identify each document produced in response to this Request with identifying initials and consecutively number the same. IV. In Construing this Request: A. The singular shall include the plural and the plural shall include the singular. B. A masculine, feminine or neuter pronoun shall not exclude the other gender. C. If a Request for Production is silent as to the time span for which production is desired, production shall be made of all documents requested regardless of their time of creation. D. Each request shall extend to all documents which are, or have been, in the possession or subject to the control of the OBWA, its 4 representatives, agents or attorneys at any time during the period of time covered by this Request. V. DOCUMENTS TO BE PRODUCED: 1. All documents identified or referred to in OBWA's Motion for Partial Summary Judgment and Exhibits "A ", "B ", "C" and "D" attached to the motion. 2. All documents identified or referred to in the Affidavit of Leland Pearce in Support of Plaintiff's Motion for Partial Summary Judgment and Exhibits "A" and "B" attached to the affidavit. 3. All documents identified or referred to in the Affidavit of L.C. Fortner, Jr. in Support of Plaintiff's Motion for Partial Summary Judgment and Exhibits "A" through "L" attached to the affidavit. 4. All minutes of all meetings of the OBWA Board of Directors at which the subject of OBWA's contract negotiations with the CITY for the bulk purchase of water was discussed. 5. All minutes of all meetings of the OBWA Board of Directors at which the subject of the planning, financing, design, construction, permitting and operation of a water treatment plant was discussed. 6. All minutes of all meetings of the OBWA Board of Directors at which the subject of OBWA's litigation with the CITY was discussed, including but not limited to, discussions by the OBWA Board of Directors regarding settlement of the above- referenced litigation. 7. Any and all reports or studies generated by OBWA's consultants relative to the economic feasibility of OBWA's planning, design, financing, constructing, permitting and operating of its own water treatment plant as compared with OBWA continuing to contract to purchase bulk water from the CITY or any other producer of potable water. 5 8. All documents and correspondence regarding OBWA's efforts to obtain interim and permanent financing for the purpose of planning, designing, constructing, permitting and operating a water treatment plant. 9. All documents, correspondence and communications between OBWA and the United States Department of Agriculture Farmers Home Administration ( "FmHA ") or United States Rural Development Administration ( "RDA "), including but not limited to: (a) OBWA's application for a loan for the purpose of planning, financing, designing, constructing and operating a water treatment plant; (b) the FmHA's or RDA's processing, modification, acceptance, approval or denial of OBWA's loan application, plans, designs, specifications, contract documents and permits as required by any FmHA or RDA letter of conditions; and (c) any revisions, submission or supplementation made by OBWA to its application either before, or subsequent to, FmHA's May 3, 1993 approval of OBWA's request for loan. 10. All active service agreements entered into between OBWA and its members prior to August 3, 1993, the day OBWA filed its complaint against the CITY. 11. All active service agreements entered into between OBWA and its members between August 8, 1993 and November 1, 1993. 12. All active service agreements entered into between OBWA and its members since November 1, 1993. 13. All documents which indicate which OBWA members with active service agreements with the Association have meters installed to serve potable water to their parcel and to whom OBWA is currently providing 6 water service for domstic, residential or commercial consumption. 14. All documents which indicate which OBWA members with active service agreements with the Association have meters installed to serve potable water to their parcel but to whom OBWA is not currently providing water service for domestic, residential or commercial consumption. 15. All documents pertaining to the location, size, material, age and condition of OBWA's water distribution system, including but not limited to pipes, tanks, valves, meters, storage reservoirs and fire hydrants through which OBWA supplies its members with potable water. John R. Cook, City Attorney FBN 262951 202 N.W. 5th Avenue Okeechobee, FL 34972 (813) 467 -0297 Richard A. Lotspeich FBN 593060 LANDERS & PARSONS P.O. Box 271 Tallahassee, FL 32302 (904) 681 -0311 and Michael Wm. Morell Attorney at Law FBN 570280 310 West College Avenue Suite 222 Tallahassee, FL 32301 -1406 (904) 425 -8300 Attorneys for City of Okeechobee 7 CERTIFICATE OF SERVICE I HEREBY CERTIFY that a true copy of the foregoing has been forwarded this -1\- day of January, 1994 by hand delivery to: Burton C. Connor, Esq., 361 Northwest 5th Steet, Okeechobee, FL 34972 and John D. Cassels, Jr., Esq., Attorney for Okeechobee County, 400 N.W. Second Street., P.O. Box 968, Okeechobee, FL 34973 -0968; and by U.S. Mail to Steve Walker, Esq., Messer, Vicers, Caparello, et al., 2000 Palm Beach Lakes Blvd., Suite 900 West Palm Beach, FL 33409. John R. Cook 8 01- 25 -94 04:14PM FROM LANDERS & PARSONS TO 181346747 8///0943 PO02/004 IN THE CIRCUIT COURT OF THE NINETEENTH JUDICIAL CIRCUIT IN AND FOR OKEECHOBEE COUNTY, FLORIDA CIVIL DIVISION OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. Case No. 93- 555 -CA CITY OF OKEECHOBEE, FLORIDA, and OKEECHOBEE COUNTY, FLORIDA_ Defendants. CITY OF OKEECHOBEE, FLORIDA Defendant, vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff. CITY OF OKEECHOBEE, FLORIDA, Defendant and Cross - Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, CLIFF BETTS, Jr., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the commissioners of Okeechobee County, CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County. Defendant and Cross - Defendants, 01-20 -94 04:14PM FROM LANDERS & PARSONS TO 181348 98// r, i NOTICE ■0 HEARING TO: Burton C. Conner, Esq. 301 Northwest Fifth St. Okeechobee, FL 34972 Steve Walker, Esq. Bob Diffenderfer, Esq. Messer, Vickers, Cparello, et al. 2000 Palm Beach Lakes Blvd. Suite 900 West Palm Beach, FL 33409 3 P003/004 John D. Cassels, Jr., Esq. 400 N. W. Second Street Okeechobee, FL 34973 PLEASE TAKE NOTICE that on February 1, 1994, at 10:30 a.m. or as soon thereafter as counsel may be heard, the undersigned will call up to be heard before the Honorable William L. Hendry, a judge of the above Court, at the Okeechobee County Courthouse, Okeechobee, Florida, the following: CITY OF OKEECHOBEE'S MOTION FOR CONTINUANCE TIME RESERVED: 30 Minutes PLEASE GOVERN YOURSELF ACCORDINGLY. I HEREBY CERTIFY that a true copy of the foregoing was served on Burton C. Conner, Esq. and John D. Cassels, Jr., Esq. by hand delivery, and on Steve Walker, Esq. and Bob Diffenderfer, Esq. by U. S. Mail this day of January, 1994. John R. Cook, City Attorney FBN 262951 202 N.W. 5th Avenue Okeechobee, FL 34972 (813) 467 -0297 Richard A. Lotspeich LANDERS & PARSONS P. 0. Box 271 Tallahassee, FL 32302 (904) 681 -0311 01 -25 -94 O4:14PM FROM LANDERS & PARSONS TO 18134674798;/'0943 P004/004 and Michael Wm. Morell FBN 570280 310 West College Avenue, Room 222 Tallahassee, FL 32301 -1406 (904) 425 -8300 Attorneys for City of oxeechobee .LJ1 FROM LA17J)U.S t PAESONS CINDY L. BARTH., JOSEPH W, LANDERS, ,,,JQHN 1. LAVIA, RICHARD A. LOYSPEICH FRED A. McCORMACK P4-1 I I R A HOWELL L. reRt:u5ON QF C,OUNEEL VICTORIA J. TSCHimitEt. 5ENICP COtt.t.c/LTANI 0407 A 14140CR Ot YAD FLORIDA MR) LANDERS & PARSONS ATTORNEYS AT LAW TELECOPY TRANSMITTAL NUMBER OF PACES (INCLUDING COVER PACE): TO: 417 z,1 4 FROM: DATE: P1 P1 310 WEST COLLEGE AVENUE POST OFFICE BON 271 TALLAHASSEE. FLORIDA 32302 TELEPHONE (904) 991-0311 TELECOPY (904) 2E4-70-7■Wo" LANDERS & PARSONS lvIESSAGE; TIME: IF ANY PROBLEMS, CALL (904) 681-0311 //:-. J `ti -;4 11:4=r "'.M FROM LA PEk:'. & RSONS TO 181340 74 PO02/005 IN THE CIRCUIT COURT OP THE NINETEENTH JUDICIAL CIRCUIT IN AND FOR OKEECHOBEE COUNTY, FLORIDA CIVIL DIVISION OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. Case No. 93- 555 -CA CITY OF OKEECHOBEE, FLORIDA, and OKEECHOBEE COUNTY, FLORIDA Defendants. CITY OF OKEECHOBEE, FLORIDA Defendant, vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff. CITY Off' OKEECHOBEE, FLORIDA, Defendant and Cross - Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, CLIFF BETTS, Jr., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the commissioners of Okeechobee County, CHRISTOPHER W. CHTNAULT, not individually, but in his capacity as County Administrator for Okeechobee County. Defendant and Cross - Defendants, CT 1-12-94 11 4'a ".1'I FROM 1 AN DERS PARSONS TO 18134677-,, PO03i005 DEPENDANT CITY OP OKEECHOBEE'S MOTION FOR DEFAULT BY THE COURT Defendant, CITY OF OKEECHOBEE ( "City "), through its under- signed counsel, pursuant to Rule 1.500(b), Florida Rules of Civil Procedure, hereby moves for entry of a default by the Court against Plaintiff OKEECHOBEE BEACH WATER ASSOCIATION, INC. ( "OBWA ") for failure to serve an answer and defenses to the City's counterclaim on the undersigned as required by Rulc 1.140(a)(1). In support thereof, the City states: 1. This action was initiated by the filing by OBWA of its Amended Complaint for Declaratory Judgment on September 17, 1993 (attached hereto as Exhibit 1). 2. On October 6, 1993, the City filed in a single document its Answer and Affirmative Defenses to the OBWA Amended Complaint, as well as its Counterclaim against OBWA and a Crossclaim against co- defendant Okeechobee county (attached hereto as Exhibit 2). 3. To date, OBWA has failed to serve its answer and de- fenses to the City's Counterclaim. WHEREFORE, the City of Okeechobee requests the entry of a default by the Court on the City's Counterclaim Against Okeecho- bee Beach Water Association, Inc. as required by law. The undersigned certifies that a copy hereof has been furnished to Burton c. Conner, Attorney for Okeechobee Beach Water Association, Inc. on January , 1994. —a H ii�,i H .i C.) 4 Ji lL :4 1.`iJ�1'a. 1':lvi Ltii,.:if.. c; 1.�.�:�'���,:� 1 1V1J0 i UU4i UUU Richard A. Lotspeich LANDERS & PARSONS P. O. Bo};. 271 Tallahassee, FL 32302 (904) 681 -0311 John R. Cook, City Attorney FEN 262951 202 N.W. 5th Avenue Okeechobee, FL 34972 (813) 467 -0297 and Michael Wm. Morell FBN 570280 310 West College Avenue, Room 222 Tallahassee, FL 32301 -1406 (904) 425 -8300 Attorneys for City of Okeechobee • bM 1 U 1 t 1 J 4 (J 14 _ fULJ UUb CERTIFICATE OF SERVICE I HEREBY CERTIFY that a true copy of the foregoing has been forwarded this day of January, 1994 by U. S. Mail to Burton C. Conner, Esq., 301 Northwest 5th Street, Okeechobee, Ft 34972; Steve Walker, Esq., Messer, Vickers, Caparel:io, et al., 2000 Palm Beach Lakes Blvd., Suite 900, West Palm Beach, FL 33409; and John D. Cassels, Jr., Esq., Attorney for Okeechobee County, 400 N. W. Second St., P. 0. Box 968, Okeechobee, FL 34973 -0968. Richard A. Lotspeich `,"roMM Si,,y, Board of County Commissioners . 12 .14. Okeechobee County -°,{ 1917 e January 10, 1994 Ms. Monica Clark Economic Council of Okeechobee County, Inc. P.O. Box 718 Okeechobee, FL 34972 Re: Draft #5 - City /County /Beachwater Dear Monica: County Attorney Cassels & McCall Post Office Box 968 209 NW 4th Avenue OKEECHOBEE, FLORIDA 34972 (813)467 -6900 • Fax 1763 -1031 I have been asked to comment upon the above - referenced document. Although my imagination runs wild with what may have been in drafts #1 through 4, I will contain my curiosity! Seriously, although every lawyer has a compulsion to edit documents, I will refrain from doing so in this case and can recommend this language to my Board. After all, if the parties do not genuinely wish to cooperate, all the letter agreements in the world will not make them do so. I hope this moratorium will not simply give other parties an opportunity to consolidate their positions behind the scenes. Finally, I would suggest that if the City wishes to offer an olive branch to Beachwater so that their participation is encouraged, it would agree to extend the existing water supply agreement by a corresponding ninety days at the curtent rate. In this way, Beachwater cannot be said to be prejudiced by the delay. With kindest regards, I am cc: '1 ohn Cook, Esquire Burton Conner, Esquire Mr. Christopher Chinault Susan B. i 1195 Tommy Close Clif 13etts, Jr. Stephen Porter Charles W. Harvey Christopher W. Chinault District 1 District 2 District 3 District 4 District 5 County Administrator DRAFT #5 12/30/93 SUGGESTED AGREEMENT WORDING: CITY, COUNTY, BEACH WATER. WHEREAS, the City of Okeechobee, the County of Okeechobee and Okeechobee Beach Water Association, Inc., (the Parties) recognize the great public interest in providing a comprehensive water and sewer utility service for the entire area, AND WHEREAS, the Parties recognize the great benefits to be achieved in a unified effort to plan together for these services for all of the citizens of the area, AND WHEREAS, to avoid further disagreement and litigation, all the parties wish to enter into settlement and planning discussions in good faith, and to seek consensus on the best alternatives for the delivery of water and sewer services to the Okeechobee area; NOW THEREFORE, believing that their interests in this case may benefit from mediated settlement discussions, it is hereby stipulated and agreed by and between the Parties, through their respective counsel, during the period as defined herein, to stay any legal action and discovery and to join in any necessary motions to toll any trial or hearing, and to suspend any and all unilateral activities which are for the purpose of providing new water and sewer utility service in the area. Such activities to be suspended include, but are not limited to, planning, permitting, funding, and acquisition activity or construction (except for the City's water treatment facility construction now in progress). ALL OF THE PARTIES to this agreement specifically recognize and agree that all statements, discussions and communications, whether written or oral, made pursuant to this discussion process, are deemed to be settlement negotiations and as such are not admissible as evidence in any lawsuit or administrative hearing or proceeding. THE PARTIES do hereby authorize and create a utilities mediation working group to explore, on their behalf, all relevant information and alternatives with the intent to establish the most cost efficient and equitable means for providing area wide utility service for the entire community, and to report their findings to the Parties respective boards at least as often as their regular meetings or as requested by the respective boards. THE PARTIES agree that the membership of the working group will be five members, and that within ten days they will appoint their respective members as follows: The Okeechobee City Council -- one council member and one citizen of their choosing The Okeechobee County Commissioners one commissioner and one citizen of their choosing. Okeechobee Beach, Water Association -- one citizen of their choosing. RECOGNIZING the need for specialized professional assistance, the Parties instruct the working group to engage assistance in this effort, and to prepare and present for approval a schedule of any funding needs prior to any expenditures being made. THE PARTIES AGREE that the City must have assurance from the Florida Department of Environmental Protection that any delays caused by this effort will not jeopardize their good standing with that agency, and agree and accept that, though this assurance must be acquired, it will not delay the formation and proceeding of the working group. THE PARTIES AGREE that Okeechobee Beach Water must have assurance from the City that, as a result of their participation in this agreement, their supply of potable water for their customers will not be jeopardized and that the City hereby renews their previous offer to supply water. AND LASTLY, THE PARTIES AGREE to abide by the terms of this agreement for a period of ninety days, and to use their best faith and efforts to reach agreement together on the most beneficial plan for supplying water and sewer services to the people of the area. SIGNATURES: AMENDMENT NUMBER ONE TO AGREEMENT BETWEEN PARTIES TO DISCUSS SETTLEMENT OF OKEECHOBEE WATER ASSOCIATION, INC. VS. CITY OF OKEECHOBEE /COUNTY OF OKEECHOBEE LAWSUIT Pursuant to the terms and conditions of the Agreement between Parties to discuss Settlement of Okeechobee Beach Water Agreement vs. City of Okeechobee /County of Okeechobee Lawsuit ( "Agreement "), the Parties thereto do hereby consent to an extension of the Agreement until June 30, 1994 and the terms and conditions of the Agreement will remain in effect and binding upon the Parties until June 30, 1994 unless further extended by the Parties upon mutual consent. AGREED this 25 day of April 1994 by the City of Okeechobee. Mater; "City of Okeechobee AGREED this 25 day of April 1994 by the Okeechobee County, Florida. Chairman, Okeechobee County AGREED this 25 day of April 1994 by Okeechobee Beach Water Association, Inc. • President, Okeechobee each Water Association, Inc. City. cf O]eechobee 55 S.E. Third Avenue o Okeechobee, Florida 34974 -2932 e 813/763 -3372 April 19, 1994 Burton C. Conner 301 N.W. 5th St. Okeechobee, Florida 34972 re: OBWA vs. City of Okee <hobee Dear Burton: In light of present circumstances, I have met with co- counsel in preparation for the April 28 hearing, and note that with the agreed sixty day abatement.. of the action, you have apparently not responded to our rEques!:. to produce, filed just before the abatement. One of our concern:;, frankly, is the accuracy of your supporting affidavits with your motion for summary judgment. It is imperative that we posse:3s the information sought in order to properly prepare for thin hearing, and to timely file our own affidavits in opposition. Please advise Ly April 22 as to your progress on this information, so that if it is not to be available, we may proceed accordingly. KindeS Regards i JohnCoo ✓ JRC /rb xc; Richard Lotspiech 11.11 :TON C. CONN1 +.1:, .I_'. A. ATTORNEY AT LAW :101 ::( )IL'PHVVENT )+`III"1'11 ST IZ P.ET OI R,C1 IOIREE. FJ OI 11)A :54972 '1'J J J;1'I IONE 18131 4(i7 -8800 PA( 'SIMILE' I k 1 :1l 4674;316 April 6, 1994 John R. Cook, Esq. 202 N.W. 5th Avenue Okeechobee, FL 34972 HAND DELIVERY AND FACSIMILE: 467-4798 Re: Beach Water vs. City Dear John: As you know, the moratorium expired on April 1. I had discussed with you before the moratorium went into effect. that Beach Water intends to proceed with the partial summary judgment hearing on April 23, unless the moratorium is extended in writing by mutual agreement of all the parties. Beach Water has maintain all along its willingness to enter into a utility authority. In fact, Beach Water stands ready to sign a1 letter of intent with the City and the County to form a utility authority. It is Beach Water's understanding that the City will have the benefit of an appraisal and a rate study to consider at its next regular meeting on April 19. Beach Water does not intend to enter into a further extension of the moratorium unless the City Council gives satisfactory assurances at the April 19 meeting that it is moving in the iirection of entering into a utility authority. So that there is no misunderstanding, Beach Water intends to go forward with the hearing on.April 28, and will oppose any motion for continuance by the City. Sincer urton C. Conner cc: Board of Directors John D. Cassels, Jr., Esq. Richard A. Lotspeich, Esq. John W Abney Stephen A. Walker, Esq. Mark G. Lawson, Esq. Chris Chinault Michael Wm. Morell, Esq. IN THE CIRCUIT COURT OF THE NINETEENTH JUDICIAL CIRCUIT IN AND FOR OKEECHOBEE COUNTY, FLORIDA -- OKEECHOBEE BEACH WATER CIVIL DIVISION ASSOCIATION, INC., Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, and OKEECHOBEE COUNTY, FLORIDA Defendants. CITY OF OKEECHOBEE, FLORIDA Defendant, vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff. CITY OF OKEECHOBEE, FLORIDA Defendant and Cross - Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, CLIFF BETTS, Jr., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the commissioners of Okeechobee County, CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County. Defendant and Cross - Defendants. Case No. 93- 555 -CA TO: John D. Cassels, Jr., Esq. 400 N.W. Second Street Okeechobee, FL 34973 -0968 Steve Walker, Esq. Bob Diffenderfer, Esq. Messer, Vickers, Caparello, et al. 2000 Palm Beach Lakes Blvd., Suite 900 West Palm Beach, FL 33409 Burton C. Connor, Esq. 301 Northwest 5th Street Okeechobee, FL 34972 NOTICE OF VOLUNTARY DISMISSAL YOU ARE NOTIFIED that, the cross - plaintiff CITY OF OKEECHOBEE, pursuant to Rule 1.420(a)(1), Florida Rules of Civil Procedure, dismisses without prejudice the following specific counts of its crossclaim as to the following specific cross - defendants and defendant: Count I (Unconstitutionality of Franchise Ordinance) and Count II (Violations of Government -in- the - Sunshine) are voluntarily dismissed as to cross - defendants CLIFF BETTS, Jr., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, STEPHEN PORTER and CHRISTOPHER W. CHINAULT; Count II (Violations of Government-in-the - Sunshine) is the only count voluntarily dismissed as to defendant OKEECHOBEE COUNTY. The undersigned certifies that a copy of this notice has been furnished to the above named attorneys by mail on this3/ day of a-.}'`G''`- , 1994. 2 John R. Cook, City Attorney FBN 262951 202 N.W. 5th Avenue Okeechobee, FL 34972 (813) 681 -0311 and Richard A. Lotspeich FBN 593060 LANDERS & PARSONS P.O. Box 271 Tallahassee, FL 32302 (904) 681 -0311 and Michael Wm. Morell FBN 570280 Attorney at Law 310 West College Ave Suite 222 Tallahassee, FL 32301 -1406 (904) 425-8300 Attorneys for the City of Okeechobee 3 OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff, vs. CITY OF OKEECHOBEE, FLORIDA, and OKEECHOBEE COUNTY, FLORIDA Defendants. IN THE CIRCUIT COURT OF THE NINETEENTH JUDICIAL CIRCUIT IN AND FOR OKEECHOBEE COUNTY, FLORIDA __ CIVIL DIVISION Case No. 93- 555 -CA CITY OF OKEECHOBEE, FLORIDA Defendant, vs. OKEECHOBEE BEACH WATER ASSOCIATION, INC., Plaintiff. CITY OF OKEECHOBEE, FLORIDA Defendant and Cross - Plaintiff, vs. OKEECHOBEE COUNTY, FLORIDA, CLIFF BETTS, Jr., TOMMY CLOSE, CHARLES W. HARVEY, SUSAN B. HUGHES, and STEPHEN PORTER, not individually, but in their capacities as the commissioners of Okeechobee County, CHRISTOPHER W. CHINAULT, not individually, but in his capacity as County Administrator for Okeechobee County. Defendant and Cross - Defendants. CITY OF OKEECIIOBEE's REPLY TO OKEECHOBEE BEACH WATER ASSOCIATION INC's AFFIRMATIVE DEFENSES Defendant, CITY OF OKEECHOBEE ( "CITY "), replies to each affirmative defense raised by Plaintiff, OKEECHOBEE BEACH WATER ASSOCIATION, INC. ( "OBWA" or "Association "), and alleges: REPLY TO OBWA's FIRST AFFIRMATIVE DEFENSE 1. Both Chapter 180, Florida Statutes, and City of Okeechobee Ordinance No. 488 were enacted in pursuance of the same subject upon which the parties contracts were made. Both the statute and the ordinance were in full force and effect in August of 1985 when OBWA and the CITY entered into their existing agreement. Therefore, any rights which the the CITY enjoys under the statute and the ordinance, became a part of the 1985 contact as if the statute and ordinance had been expressly referred to or incorporated into the contract's terms. Furthermore, in addition to the implied term which exists in all contracts that they are subject to the paramount power of the state to govern, the express term agreed to by the parties in their 1977 agreement which recognizes the CITY's right to serve new water users south of the agreed upon boundary, effected a novation in the parties' earlier agreements. As carried forward in the 1985 agreement, this term further establishes OBWA's acquiescence in and ratification of the CITY's legitimate exercise of the police power in enacting Ordinance No. 488, and therefore cannot constitute an impairment of contract. Finally, OBWA's notification to the CITY that it will no longer seek to purchase water from the CITY afier its agreement expires on September 30, 1994, signifies the imminent termination of the contract beyond which none of OBWA's contract rights will survive. 2 REPLY TO OBWA's SECOND AFFIRMATIVE DEFENSE 2. The CITY denies OBWA's second affirmative defense. Section 180.06(3), Florida Statutes, authorizes any municipality organized for the purposes contained in Chapter 180 "To provide a water supply for domestic, municipal or industrial uses." REPLY TO OBWA's THIRD AFFIRMATIVE DEFENSE 3. OBWA may not, by virtue of having sought its purported franchise from Okeechobee County, abrogate its responsibility under Chapter 180 to obtain the CITY's consent prior to entering into such a franchise which allows the Association to construct, operate or maintain public works within the CITY's Chapter 180 service area. Similarly, Okeechobee County may not exercise its non - charter county homerule authority to grant OBWA a franchise fee in a manner which conflicts with Chapter 180, Florida Statutes. REPLY TO OBWA's FOURTH AFFIRMATIVE DEFENSE 4. Ordinance No. 93 -5 enacted by Okeechobee County is unconstitutional to the extent that it impairs the contractual rights of the CITY under the series of agreements the CITY has had with OBWA since 1970. Okeechobee County may not exercise its non - charter county homerule authority to grant OBWA a non- exclusive franchise fee in a manner which conflicts with Chapter \ L L: ,L _ MI R. Cook, City Attorney FBN 262951 202 N.W. 5th Avenue Okeechobee, FL 34972 (813) 681 -0311 180, Florida Statutes. 3 and Richard A. Lotspeich FBN 593060 LANDERS & PARSONS P.O. Box 271 Tallahassee, FL 32302 (904) 681 -0311 and Michael Wm. Morell FBN 570280 310 West College Avenue Suite 222 Tallahassee, FL 32301 -1406 (904) 425 -8300 Attorneys for City of Okeechobee CERTIFICATE OF SERVICE I HEREBY CERTIFY that a copy of the foregoing CITY OF OKEECHOBEE's REPLY TO OKEECHOBEE BEACH WATER ASSOCIATION, INC.'S AFFIRMATIVE DEFENSES has been furnished to the following by U.S. Mail on this :9/ day of , 1994: Burton C. Connor, Esq. 301 Northwest 5th Street Okeechobee, FL 34972 Steve Walker, Esq. Bob Diffenderfer, Esq. Messer, Vickers, Caparello, et al. 2000 Palm Beach Lakes Blvd., Suite 900 West Palm Beach, FL 33409 4 John D. Cassels, Jr., Esq. 400 N.W. Second Street Okeechobee, FL 34973 -0968 John R. Cook, City Attorney