Local Gas Tax Option 2018-27Local Option Gas Tax
INTERLOCAL AGREEMENT
THIS INTERLOCAL AGREEMENT dated thi& day of September, 2017, ("Agreement")
between Okeechobee County, Florida, political subdivision of the State of Florida ("County") and the City
of Okeechobee, Florida, a municipal corporation of the State of Florida and located in the County ("City").
WHEREAS, Section 336.025, Florida Statutes, as amended and supplemented authorizes the levy
by the County of up to six (6) cents of taxes upon every gallon of motor fuel and special fuel sold in the
County and taxed under the provisions of Chapter 206, Florida Statutes, as amended and supplemented
("Local Option Gas Tax"); and
WHEREAS, Section 336.021, Florida Statutes, as amended and supplemented authorizes the levy
by the County a one (1) cent of local option gas tax upon every gallon of motor fuel sold in the County and
taxed under the provisions of Chapter 206, Florida Statutes, as amended and supplemented ("Ninth" Cent
Local Option Gas Tax"); and
WHEREAS, Section 336.025(1)(b), Florida Statutes, as amended and supplemented authorizes the
levy by the County up to five (5) cents of local option gas tax upon every gallon of motor fuel sold in the
County and taxed under the provisions of Chapter 206, Florida Statutes, as amended and supplemented
("Five (5) Cent Local Option Gas Tax"); and
WHEREAS Okeechobee County Ordinance No. 2017-0002, was enacted July 24, 2017, extending
until December 31, 2027 the levy all twelve (12) cents of the Local Option Gas Tax previously imposed;
and
WHEREAS, Section 336.025(1)(b)2., Florida Statutes, authorizes the establishment and renewal
of an Interlocal Agreement between the County and the City to divide the proceeds of local option gas taxes
between the County and the City; and
WHEREAS, The County and City entered into Interlocal Agreements to address the distribution
of the other local option gas taxes with the current agreement expiring on December 31, 2017; and
WHEREAS, The County and City wish to enter into a renewal Interlocal Agreement for all twelve
(12) cents of the local option gas taxes.
NOW THEREFORE, in consideration of the mutual rights and responsibilities contained herein, the
County and the City agree as follows.
1. That effective for revenue received January 1, 2018 and expiring December 31, 2027, the
proceeds of the 4 -cent Local Option Gas Tax shall be distributed be as follows:
Recipient Share of Proceeds
City of Okeechobee 19.34%
County of Okeechobee 80.66%
7029-321917.WPD
Local Option Gas Tax
2. That effective for revenue received January 1, 2018 and expiring December 31, 2027, the
proceeds of the 2 -cent Local Option Gas Tax shall be distributed be as follows:
Recipient Share of Proceeds
City of Okeechobee 19.34%
County of Okeechobee 80.66%
3. That effective for revenue received January 1, 2018 and expiring December 31, 2027, the
proceeds of the Ninth -cent Local Option Gas Tax shall be distributed be as follows:
Recipient Share of Proceeds
City of Okeechobee 19.34%
County of Okeechobee 80.66%
4. That effective for revenue received January 1, 2018 and expiring December 31, 2027, the
proceeds of the 5 -cent Local Option Gas Tax shall be distributed be as follows:
Recipient Share of Proceeds
City of Okeechobee 19.34%
County of Okeechobee 80.66%
5. That pursuant to section 336.025(1)(d), Florida Statutes, by the use of a percentage
distribution rather than a fixed sum distribution, this Agreement is deemed to automatically adjust on a
yearly basis.
6. This Agreement is effective upon adoption by both the County and City and shall expire upon
receipt and disbursement of the December 31, 2027 gas tax revenue unless amended as provided herein.
7. That both the County and City hereby waive any claim or cause of action that may have
accrued by virtue of any overpayment, underpayment or entitlement to motor fuel tax sharing and agree that
the distribution percentages provided for herein are reasonable and in the best interest ofthe residents ofthe
City and County.
8. That the County shall notify the Florida Department of Revenue ofthis Interlocal Agreement
as provided in Chapter 336, Florida Statutes and shall hold such public hearings as may be necessary to
ensure this Agreement is consistent with existing county ordinances and resolutions.
9. The Agreement may be amended at any time by written instrument duly adopted and executed
by both the County and City. This Agreement may be terminated provided written notice is provide to the
non -terminating party no later than the first day of May of any give year to be effective the first day of
January of the following year.
10. This agreement may be executed in any number of counter parts, each of which shall
7029-321917.WPD
Page 2 of 3
Local Option Gas Tax
constitute an original, altogether one and the same instrument.
IN WITNESS WHEREOF, the County and the City have caused this Agreement to be executed
on the day and date first above written.
ATTEST: BOARD OF COUNTY COMMISSIONERS OF
OKEECHOBEE COUNTY, FLORIDA
IA-, if/ 444 .
SHARON ROBERTSON, Jerk dthe
Circuit Court and Comptroller
ATTEST:
LANE GAMIOTEA,
CMC, City Clerk
Approved as to form and
Legal Sufficiency
,13 -DP -J\&
c„„9k
City Attorney
7029-321917.WPD
TEP:1�.Y -( BURRO S
BY: , Chairman
CITY OF OKEECHOBEE, FLORIDA
DOWLING WATFO' i
Approved as to form and
Legal Sufficiency
ayor /0114/01//
Page 3 of 3
23
OCTOBER 17, 2017 - REGULAR MEETING - PAGE 7 OF 9
II AGENDA II COUNCIL ACTION - DISCUSSION - VOTE II
IX. NEW BUSINESS CONTINUED
E. Consider an amendment to the No Smoking Policy within Chapter
Two - Employment of the Personnel Policy and Procedures
continued.
F. Motion to rescind action taken on September 5, 2017, approving an
Inter -local Agreement with the Okeechobee Board of County
Commissioners regarding Local Option Gas Tax revenues, and
approve a revised agreement addressing the revenue proceeds for
the two, four, five, and nine cent Local Option Gas Taxes from
January 1, 2018 through December 31, 2027 - City Attorney (Exhibit
7).
G. Motion to approve the purchase of a Hustler Super Z Hyperdrive
Zero Turn Mower in the amount of $12,150.00 - Public Works
Director (Exhibit 8).
This Smoke -Free initiative applies to all persons present in the areas described above including but not
limited to City elected officials, employees (whether full-time, part-time, temporary and/or volunteer),
contractors, and visitors. Smoking use shall be permitted only in exterior designated smoking areas. All
materials used for smoking in designated smoking areas, including cigarette butts and matches, will be
extinguished and disposed of in appropriate containers. Employees are only allowed to smoke on their
rest and meal breaks. Employees may not take or be allowed any additional breaks to use any tobacco
product. Direct any question, complaint, or dispute about tobacco use in the workplace to the Personnel
Administrator. Employees who want to quit tobacco are encouraged to use Tobacco Free Florida's Quit
Your Way, a set of free services to help tobacco users quit, is provided on the employee bulletin boards."
Mrs. Moyett advised that her organization can provide signage, free of charge, for the City to post at all facilities.
She thanked the Mayor and Council for considering the policy change.
WATFORD — YEA
O'CONNOR — YEA
VOTE:
CHANDLER — YEA
BITTER — YEA
CLARK — YEA
MOTION CARRIED.
Council Member Ritter moved to rescind action taken on September 5, 2017, approving an Inter -local Agreement
with the Okeechobee Board of County Commissioners regarding Local Option Gas Tax revenues, and approve a
revised Agreement addressing the revenue proceeds for the two, four, five, and nine cent Local Option Gas Taxes
from January 1, 2018, through December 31, 2027; seconded by Council Member Clark.
The revised agreed addressed the percentages for the 9-Cent Local Option Gas Tax as well as corrected an
effective date.
WATFORD — YEA
O'CONNOR — YEA
VOTE:
CHANDLER — YEA
RITTER — YEA
CLARK — YEA
MOTION CARRIED.
Motion and second by Council Members Chandler and Clark to approve the purchase of a Hustler Super Z
Hyperdrive Zero Turn Mower in the amount of $12,150.00 (from Gilbert Outdoors of Okeechobee, as recommended
by Staff).
Explained in a memorandum in Exhibit 8, quotes were also obtained from Southern Law Equipment $12,035.21,
Mat Miller Tractors $13,074,00, and Treasure Coast Lawn Equipment $13,100.00.
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SEPTEMBER 5, 2017 - REGULAR MEETING 8L FIRST BUDGET PUBLIC HEARING - PAGE 4 OF 12
20
AGENDA
COUNCIL ACTION - DISCUSSION - VOTE
VII. NEW BUSINESS CONTINUED
B. Motion to approve the Fourth Amendment to Inter -local Agreement
creating the OUA between Okeechobee County and the City continued.
C. Motion to approve an Inter -local Agreement between Okeechobee County
and the City of Okeechobee regarding Gas Tax - City Administrator
(Exhibit 2).
The four (4) members of the Authority Board appointed by the County and City shall then by a simple majority vote,
appoint a fifth member of the Authority Board and one (1) alternate representative who may attend all meetings of the
Authority Board and shall have the authority to vote in the absence of said fifth member; provided however for so long
as the service area encompasses a portion of Glades County, said fifth member and the alternate for that member,
shall be a resident(s) in Glades County service area.
The following paragraphs were added to Article IV:
Paragraph 4.18: The Authority Board shall cause to develop and maintain a rolling three (3) strategic plan which
includes goals and objectives for the following strategies or components: financial, workforce, fleet management
infrastructure asset management and best practices operational excellence and customer service. This plan will be
presented annually to both County and City by their appointed members on the Authority Board.
Paragraph 4.19: The Authority Board shall ensure all construction of new or the maintenance of existing Water and
Wastewater System are coordinated with County of City Public Works Departments ensuring roads and drainage right
of ways are fully restored after the completion of work.
Paragraph 4.20: The Authority Board may utilize the Okeechobee Board of County Commissioners chamber to
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website for the public providing the necessary means of transparency. The County will provide the Commissioner
Chambers and associated technical support at no cost to the Authority Board.
Paragraph 4.21: Both the County and City reserve the right to remove and promptly replace any one of their appointed
Authority Board member(s) and/or their appointed Alternate. Should a member of the Authority Board be removed, as
provided herein the applicable Alternate shall serve until that Authority Board member has been replaced. The
replacement of an Authority Board member(s) and/or an apDointed Alternate will proceed as Drescribed in Paragraph
4.2, Paragraph 4.3 or 4.4, as applicable.
VOTE:
WATFORD — YEA CHANDLER — YEA CLARK — YEA
O'CONNOR — YEA RITTER — YEA MOTION CARRIED.
Motion and second by Council Members Clark and Ritter to approve an Inter -local Agreement with Okeechobee
County regarding the Local Option Gas Tax (share of revenue proceeds for the 2-Cent, 4-Cent, 5-Cent, and 9-Cent).
SEPTEMBER 5. 2017 - REGULAR MEETING & FIRST BUDGET PUBLIC HEARING - PAGE 5 OF 12
203
AGENDA
VII. NEW BUSINESS CONTINUED
C. Motion to approve an Inter -local Agreement between Okeechobee County
and the City of Okeechobee regarding Gas Tax continued.
D. Motion to approve transferring all dollars in the General Fund, Capital
Fund, and Public Facility Fund to the Florida Prime, "Local Government
Investment Pool", excluding 120 days of budgeted expenses in each
identified fund, based on each fiscal year's budget in the month of
October - City Administrator and Finance Director.
E. Motion to approve renewal of Property and Casualty Insurance coverages
with the Public Risk Management (PRM) of Florida and continuation of a
two-year coverage agreement with an effective date of October 1, 2017 -
Finance Director (Exhibit 3).
COUNCIL ACTION - DISCUSSION - VOTE
Every ten years the City and County are required to address the percentage shares of the revenues from these
specific local option gas taxes. The percentage shares are the same as approved in 2008. This agreement provides
that from January 1, 2018, through December 31, 2027, the 2-cent, 4-cent, and 5-cent Local Option Gas Tax
proceeds shall be distributed with 19.34 percent to the City and 80.66 percent to the County. However, 100 percent
of the ninth -cent Local Option Gas Tax proceeds will be distributed to the County. The Board of County Commission
will also be required to address these local option gas taxes by County ordinance.
VOTE:
WATFORD — YEA CHANDLER —YEA CLARK — YEA
O'CONNOR — YEA RITTER — YEA MOTION CARRIED.
Council Member O'Connor moved to approve transferring all dollars in the General Fund, Capital Improvement
Projects Fund, and the Public Facility Improvements Fund to the Florida Prime "Local Government Investment
Pool", excluding 120-days of budgeted expenses in each identified fund, based on each fiscal year's budget in the
month of October; seconded by Council Member Chandler.
A memorandum from Administrator MontesDeOca and Finance Director Riedel was distributed at the meeting
offering excerpts of literature as background information of the Florida Prime (Local Government Investment Pool).
City Staff is recommending the change as the current rate of return the City is receiving on mutual funds is less than
one percent and the Florida Prime fund has a higher rate, as well as extensive oversight protection. Finance
Director confirmed approximately $7,000,000.00 would be invested in this plan.
VOTE:
WATFORD — YEA CHANDLER — YEA CLARK — YEA
O'CONNOR — YEA RITTER — YEA MOTION CARRIED.
Motion and second by Council Members Clark and Ritter to approve a two-year renewal of the Property and
Casualty Insurance with Public Risk Management of Florida, Inc., with an effective date of October 1, 2017.
Differences in premium rates from 2016-17 FY were provided. The Property and Crime premium portion of the
policy decreased 5 percent from $54,866.00 to $52,123.00. The General Liability, Automobile Liability, Errors and
Omission, Law Enforcement Liability, Excess Liability premium increased 4 percent, from $88,619.00 to $92,163.00.
Workers Compensation increased 8.8 percent, from $122,374.00 to $133,147,00. The Member Participation Credit
decreased from $10,255.00 to $5,440.00. Cyber Liability is included at no charge. The overall premium for the
2017-18 FY is $271,994.00 (a 6.4 percent increase), mostly due to recent legislative action. A two-year contract is
being requested to lock in policy premiums, excluding workers compensation as it is based on payroll figures.