Item I1
I.1
BOARD OF COUNTY COMMISSIONERS
C ounty of M onroe
Mayor Sylvia Murphy, District 5
Mayor Pro Tem Danny Kolhage, District 1
TheFloridaKeys
Michelle Coldiron, District 2
Heather Carruthers, District 3
David Rice, District 5
County Commission Meeting
January 23, 2019
Agenda Item Number: I.1
Agenda Item Summary #5046
BULK ITEM: No DEPARTMENT: Planning/Environmental Resources
TIME APPROXIMATE: STAFF CONTACT: Rich Jones (305) 289-2805
10:30 A.M.
AGENDA ITEM WORDING: Discussion and direction regarding potential Legislative funding
for the Keys-Wide Mobile Vessel Pumpout Service in the next State fiscal year, and consideration of
a request from Pumpout USA to increase the monthly quota and cost per pumpout in the next
Agreement amendment which would begin July 1, 2019.
ITEM BACKGROUND: Staff wishes to discuss with the Monroe County Board of County
Commissioners (BOCC or Board) potential Legislative funding in the upcoming State fiscal year for
the -Wide Mobile Vessel Pumpout Service (Service), and a request by Pumpout USA
to increase the monthly quota and cost per pumpout for the Service.
Pumpout Program Background:
At its January 19, 2011, BOCC meeting the Board discussed the creation of a mobile pumpout
service to serve (primarily) anchored vessels throughout the Keys, in order to reduce the illegal
discharge of vessel sewage. The Board directed staff to develop a Request for Proposals to solicit
responses for a vessel pumpout service, with funding to be provided by both the County Boating
Improvement Fund (BIF) and the Department of Environmental Resources Clean Vessel Act (CVA)
grant program. At its October 19, 2011, BOCC meeting the Board selected Pumpout USA as its
pumpout service provider. At its December 12, 2012, BOCC meeting, the Board approved an
Agreement with Pumpout USA (Contractor) at a cost to the County of $340,200.85 in the first year
of Service, based on: 1) a quota of 1,300 pumpouts/month at a cost of $21.81 per pumpout, and 2)
sufficient funding from CVA directly to the Contractor to help provide for the total Service costs.
The Contractor subsequently initiated the Service in early 2013.
The Service Agreement was amended (Amendment No. 2) on July 17, 2013, to eliminate the quota
and cost per pumpout to allow for quarterly pumpouts to be made, while the pumpout service was
developing and the customer base was growing. The Agreement was subsequently amended several
more times (No. 3 and No. 4) to ensure compliance with CVA Program regulations and toprovide
unding agreements. At its
September 17, 2014, BOCC meeting, the Board heard a report from staff describing the increase in
usership in the second year of Service with the monthly pumpout numbers exceeding 1,300
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throughout most of 2014. Subsequently, at its March 18, 2015, BOCC meeting, the Board approved
Amendment No. 5, reinstating the quota, and increasing it to 1,500 pumpouts per month. At its
November 17, 2015, meeting, the Board approved Amendment No. 6, providing for the DEP grants
to go directly to the County, based upon a request by the CVA Program.
At its August 17, 2016, BOCC meeting, the Board approved Amendment No. 7, extending the
Agreement and providing for the Agreement terms to align with the Legislative and CVA grant
funding cycles (i.e., State fiscal year). Amendments No. 8 and No. 9 provided for annual extensions
of the Agreement.
Funding from the DEP to both the Contractor (2013-2015), and then to the County (late 2015-
present), has varied over the years. The attached Pumpout Service Funding table indicates funding
levels since the service began, as well as the cost-per-pumpout and increases in the quota. While the
quota has steadily increased with the expansion of service, the cost-per-pumpout has remained level
at $40.54 since 2016. In September 2018, the quota was increased to 1,800/month, with a total
annual cost of $875,760.
Current Funding Scenario and Upcoming Pumpout Program Costs:
The Contractor is consistently performing more pumpouts each month than the current quota of
1,800 per month, and has pumped out an average of 2,249 boats per month over the past year (see
attached Pumpout Service Report). The Contractor is not compensated by the County for any
pumpouts performed over and above the quota. In early December 2018, the Contractor
regarding the need for the Florida Legislature to grant additional funding to the County to help
support expansion of the Service (i.e. number of pumpouts), and to offset the cost to the County.
The Contractor is requesting an increase in both the monthly quota and the cost per pumpout (see
attached letter from PO USA to Marine Resources staff). The letter cites the need for increased
compensation in order to upgrade existing pumpout vessels, engines, and equipment.
Staff would like to discuss with the Board this request to increase both the volume and rate for the
Service. Lisa Tennyson, County Director of Legislative Affairs, suggests seeking additional
appropriation from State legislature (from $500,000 to $750,000), and based on preliminary
Based on potential
additional funding by the Legislature, staff would support increasing the quota to 2,200 pumpouts
per month and a nominal increase in cost-per-pumpout. Based on a quota of 2,200 pumpouts per
month and a 10% increase in cost-per-pumpout to $44.60, the total annual cost of Service would be
$1,177,440. Based on Legislative funding of approximately $750,000 and CVA grant funding of
approximately $180,000, the remaining cost to the County would be approximately $247,440. The
cost to the County in the current State fiscal year is $418,110.
The proposed Legislative funding level for the Service should be known by May 2019. Pursuant to
the direction at this January 2019 BOCC meeting, Lisa Tennyson and Robert Reyes will
work closely with Rep. Raschein and the State Legislature to secure additional funding, and staff
will be prepared to accordingly draft Amendment No. 10 with Pumpout USA (to be effective July 1,
2019). This early discussion of funding for the pumpout service will allow staff and the Board to
prepare informed pumpout service contractual terms as the Legislative budget develops and is
ultimately adopted.
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PREVIOUS RELEVANT BOCC ACTION:
January 2011 - Direction to develop an RFP for Keys-wide mobile vessel pumpout service.
October 2011 - Selection of Pumpout USA as the pumpout service provider, and direction to
negotiate a contract.
June 2012 - Approval of preliminary, estimated annual cost of $329,600 to the County for pumpout
service.
December 2012 - Approval of Agreement with Pumpout USA and providing for funding assistance
from the State to go directly to the Contractor.
March 2013 - Approval of Amendment No. 1 to the Agreement, providing for minor Contract
revisions to ensure compliance with requirements of the DEP.
July 2013 - Approval of Amendment No. 2 to the Agreement, eliminating the quota.
December 2014 - Approval of Amendment No. 3 to the Agreement, providing an extension.
January 2015 - Approval of Amendment No. 4 to the Agreement, providing an extension.
March 2015 - Approval of Amendment No. 5 to the Agreement, providing an extension and re-
establishing a quota and cost per pumpout.
November 2015 - Approval of Amendment No. 6 to the Agreement, providing an extension and
providing for state grant funding to go directly to the County.
August 2016 - Approval of Amendment No. 7 to the Agreement, providing for an extension and
ensuring that associated grant agreements cycle together with the pumpout service agreement.
September 2017 - Approval of Amendment No. 8 to the Agreement, providing for an extension.
July 2018 - Approval of Amendment No. 9 to the Agreement, providing for an extension.
CONTRACT/AGREEMENT CHANGES:
n/a
STAFF RECOMMENDATION: Approval of Legislative funding request (seeking additional
appropriation from the Legislature, from $500,000 to $750,000), and direction regarding tentative
preliminary contractual terms with Pumpout USA (such as increasing the quota to 2,200 pumpouts
per month and a nominal increase in the cost per pumpout).
DOCUMENTATION:
Pumpout Service Funding Table
Pumpout Service Report
Letter from PO USA
FINANCIAL IMPACT:
Effective Date: n/a
Expiration Date:
Total Dollar Value of Contract: n/a
Total Cost to County:
Current Year Portion:
Budgeted:
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Source of Funds:
CPI:
Indirect Costs:
Estimated Ongoing Costs Not Included in above dollar amounts:
Revenue Producing: If yes, amount:
Grant:
County Match:
Insurance Required:
Additional Details:
REVIEWED BY:
Emily Schemper Completed 01/04/2019 10:54 AM
Peter Morris Completed 01/07/2019 12:43 PM
Lisa Tennyson Completed 01/08/2019 9:03 AM
Assistant County Administrator Christine Hurley Skipped
01/08/2019 11:41 AM
Budget and Finance Completed 01/08/2019 11:47 AM
Maria Slavik Completed 01/08/2019 1:00 PM
Kathy Peters Completed 01/08/2019 1:10 PM
Board of County Commissioners Pending 01/23/2019 9:00 AM
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Pumpout Service Funding
FundingPumpout QuotaAvg. Annual Cost
YearFunding Level
Source(per month)Per Pumpout
CVA funding going directly to Contractor
$21.80
County:$340,200
20131300
$34.60
$494,802(began Feb)
CVA Award:
$835,002
Total:
$56.40
County:$329,223$21.10
$34.60
2014 CVA Award:$539,825 1300
Total:$869,048$55.70
County:$367,156
$21.10
State Funding:$16,666
1300 (Jan-Mar)$18.34
2015
(combined state)
1500 (Apr-Dec)
CVA Award:$302,514
Total:$686,336
$39.44
All State/CVA funding going directly to County
County:$138,125
State Funding:$300,000
20161500
CVA Award:$291,675
Total:$729,800
$40.54
All contracts now cycling together: July 1- June 30 each year
County:$57,450
State Funding:$500,000
2017
1500
(State FY)
CVA Award:$172,350
Total:$729,800
$40.54
County:
$195,760
State Funding:
$500,000
2018
1800
CVA Award:
$180,000
(State FY)
Total:$875,760$40.54
County:
$418,110
State Funding:
$277,650
2019
1800
CVA Award:
$180,000
(State FY)
Total:$875,760$40.54
Proposed Funding/Costs for State FY '20
County:
$247,440
State Funding:
2020$750,000
2200
CVA Award:
(State FY)$180,000
Total:$1,177,440$44.60
Attachment: Pumpout Service Funding Table (Discussion of pumpout program cost and legislative funding)
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Attachment: Pumpout Service Funding Table (Discussion of pumpout program cost and legislative funding)
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Attachment: Pumpout Service Funding Table (Discussion of pumpout program cost and legislative funding)
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Pumpout Service Report
December 2017 through November 2018
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Attachment: Letter from PO USA (Discussion of pumpout program cost and legislative funding)
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Attachment: Letter from PO USA (Discussion of pumpout program cost and legislative funding)
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