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HomeMy WebLinkAboutItem C49BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: October 19, 2011 Division: Public Works and Engineering Bulk Item: Yes X No _ Department: Wastewater Staff Contact Person/Phone #:Elizabeth WoodX8795 AGENDA ITEM WORDING: Approval to repeal Resolution 168-2011 and adopt replacement resolution extending the date to accept capacity fees from 30 September 2011 to 29 February 2012 for those properties in the Big Coppitt and Duck Key Service Areas that developed between adoption of the non -ad valorem tax roll Final Assessment Resolution 302-2007 on 10 September 2007 and adoption of the capacity fee Resolution 168-2011 on 15 June 2011. ITEM BACKGROUND: Resolution 168-2011 established the wastewater capacity fee, adjustment for inflation, and mechanism for collection of fees for properties developed within the Big Coppitt and Duck Key Service Areas after the levy of non -ad valorem wastewater assessments. Wastewater capacity fees for Big Coppitt and Duck Key are now collected by the building department at the time of permit issuance. It was the intent to provide property owners who obtained building permits or certificates of occupancy after the levy of the non -ad valorem tax roll but before the adoption of the capacity fee resolution, the opportunity to pay the capacity fee of $4,500 without inflation adjustment, interest, or administrative fees. The amount of time necessary to develop this list of properties was underestimated. The deadline of 29 February 2012 allows appropriate time to mail capacity fee notices, collect fees, and establish the supplementary non -ad valorem tax roll by adoption of an Initial Assessment Resolution, first class notice mailing and adoption of the Final Assessment Resolution in accordance with the proposed timeline attached. PREVIOUS RELEVANT BOCC ACTION: Approval of Resolution 168-2011 on 15 June 2011. CONTRACT/AGREEMENT CHANGES: Not applicable. STAFF RECOMMENDATIONS: Approval as stated. TOTAL COST: none INDIRECT COST: n/a BUDGETED: Yes No DIFFERENTIAL OF LOCAL PREFERENCE: COST TO COUNTY: n/a SOURCE OF FUNDS: REVENUE PRODUCING: Yes X No AMOUNT PER MONTH Year _varies_ C, APPROVED BY: County Atty OMB/Purchasing Risk Management DOCUMENTATION: Included X Not Required DISPOSITION: AGENDA ITEM # Proposed Timeline for Big Coppitt and Duck Key Supplementary Non -Ad Valorem Wastewater Assessment The supplementary Non -Ad Valorem Wastewater Assessment will collect capacity fees from properties developed in the Big Coppitt and Duck Key Service Areas after adoption of the Final Assessment Resolution 302-2007 on 10 September 2007 and before adoption of Resolution 168-2011 on 15 June 2011 that have not paid capacity fees in full as of 29 February 2011. • 15 June 2011 - Capacity Fees collected for new permits by building department. • 19 October 2011 - Adopt replacement resolution extending date to collect capacity fees for development between 10 September 2007 and 15 June 2011 without CPI adjustment, interest, or administrative fees to 29 February 2011. • 1 January 2012 - Anticipated date by which to send capacity fee letters allowing 2 months for payments. • 15 February 2012 - Discussion and direction for financing terms (length of amortization — 20 year separate roll or initial balloon payment merged with existing rolls in subsequent years; financing rate) • 1 March 2012 - Capacity fees paid after this date subject to CPI adjustment. • 18 April 2012 - Initial Assessment Resolution for Supplementary Non -Ad Valorem Tax Roll • 18 July 2012 - Final Assessment Resolution for Supplementary Non -Ad Valorem Tax Roll RESOLUTION NO. -2011 A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA, ESTABLISHING THE WASTEWATER CAPACITY SERVICE FEE FOR PROPERTIES DEVELOPED WITHIN THE BIG COPPITT AND DUCK KEY CENTRAL SERVICE AREAS AFTER THE LEVY OF THE NON -AD VALOREM WASTEWATER ASSESSMENTS; PROVIDING FOR A METHOD OF ADJUSTING FOR INFLATION; PROVIDING FOR A METHOD OF COLLECTION; PROVIDING A REVISED DATE FOR PAYMENT IN FULL OF WASTEWATER CAPACITY FEE, PROVIDING AN EFFECTIVE DATE; AND REPEALING THE FORMER RESOLUTION NO. 168-2011. WHEREAS, the Big Coppitt and Duck Key Central Wastewater Systems were constructed with additional capacity for future development; and WHEREAS, impact fees are normally exacted for new development of properties but cannot currently be required for wastewater because the capacity for new development for the foreseeable future was incorporated into the Big Coppitt and Duck Key Central Wastewater Systems; and WHEREAS, Monroe County is obligated to repay the Florida Department of Environmental Protection (FDEP) State Revolving Fund (SRF) debt service associated with this additional capacity; and WHEREAS, Section 2.02 of the 6 September 2005 Interlocal Agreement between Monroe County and the Florida Keys Aqueduct Authority, as amended 19 September 2007, establishes the levy of non -ad valorem special assessments as a County responsibility; and WHEREAS, Monroe County levied non -ad valorem wastewater assessments to collect System Development Fees of $4,500 per Equivalent Dwelling Unit (EDU) from developed properties within in the Big Coppitt and Duck Key Service Areas as described in Resolution 302-2007 adopted on 10 September 2007; and WHEREAS, due to timing of development or changes in use, some properties have not been assessed for any connection or for the extent of connection required for the usage of that property; and WHEREAS, in order to provide equity for all users of central wastewater systems, a mechanism is necessary to collect a wastewater capacity fee from those properties within the Big Coppitt and Duck Key service areas for which initial or additional wastewater service is required; and WHEREAS, a significant capital funding gap exists for the Cudjoe Regional Wastewater Facility; and WHEREAS, these wastewater capacity fees from future development have been determined to be necessary to pay the FDEP SRF so that future sales tax revenue may be de -obligated; and WHEREAS, a mechanism is necessary to collect wastewater capacity fees from those properties within the Big Coppitt and Duck Key service areas for which initial or additional wastewater service is required; and WHEREAS, there have been costs of financing the projects since the debt started to accrue, and the inflationary element would contribute to the financing costs similar to the interest factor which has been paid and will be paid by properties on the initial tax roll; and WHEREAS, Resolution 168-2011 provided that any wastewater capacity fee paid in full prior to 30 September 2011 was not subject to the CPI indexing; and WHEREAS, the intent of the 30 September 2011 date was to provide property owners who developed after adoption of Final Assessment Resolution 302-2007 but prior to adoption of Resolution 168-2011 the opportunity to pay the capacity fee without administrative fees, interest or CPI index adjustment; and WHEREAS, additional time was necessary to identify those properties that developed after adoption of Final Assessment Resolution 302-2007 but prior to adoption of Resolution 168-2011; and WHEREAS, setting the date to apply the CPI index as March 2012 for those properties developed after adoption of Final Assessment Resolution 302-2007 but prior to adoption of Resolution 168-2011 allows sufficient time to send capacity fee letters by the end of 2011; and WHEREAS, the uniform method of collection will be used to collect capacity fees from properties developed after adoption of the Final Assessment Resolution 302-2007 but prior to adoption of Resolution 168- 2011 that have not paid the capacity fee by 29 February 2012; and WHEREAS, it is anticipated that the Initial Assessment Resolution will be adopted in April 2012 and the Final Assessment Resolution will be adopted in July 2012; and WHEREAS, it is desired to replace Resolution 168-2011 to extend the date capacity fees without interest, administrative fees, and/or CPI index adjustment may be collected from property owners who developed after adoption of Final Assessment Resolution 302-2007 but prior to adoption of Resolution 168-2011: NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS, of MONROE COUNTY, FLORIDA, that: Section 1.0 The following fees are hereby established for wastewater system capacity within the Big Coppitt and Duck Key central service areas. These fees apply to new development for which permits are or were issued subsequent to the initial wastewater capacity assessments levied in 2007: Residential Service: The wastewater capacity fee for residential service is $4,500.00 per residential unit (EDU) times an adjustment for inflation based upon the all cities Consumer Price Index for all urban consumers (CPI-U) as published by the Bureau of Labor Statistics of the U.S. Government. December 2007 shall be used as the base index month December 2007 CPI-U = 211.4). Single family residences will be charged $4,500.00 times a CPI-U adjustment factor. Wastewater capacity fee = $4,500 x CPI-U Adjustment factor (see Section 2.0 below) 1.11 Multi -family residences will be charged $4,500.00 for each dwelling unit times the CPI-U adjustment factor. The CPI-U adjustment factor is calculated as described above in section 2.0: Wastewater capacity fee = $4,500 x Adjustment factor (see Section 2.0 below) 1.2 Non -Residential Service: The wastewater capacity fee for non-residential properties shall be calculated based on an estimated EDU allocation provided by the Florida Keys Aqueduct Authority. The EDU allocation will the based on the anticipated volume (in gallons) of wastewater anticipated to be generated by the property divided by a volume to EDU conversion of 167 gallons/EDU. The wastewater capacity fee will be adjusted for inflation in the same manner described in sections 1.1 and 1.11 for residential properties. The anticipated volume shall be calculated based on the State of Florida Department of Health System Size Determinations found in Florida Administrative Code 2 (Chapter 64E-6.008 as of the date of this resolution). Wastewater capacity fee = $4,500 x number of EDUs x CPI-U Adjustment factor (see Section 2.0 below) Section 2.0 The CPI-U adjustment factor is calculated each year by dividing the most recent year's December CPI- U (not seasonally adjusted) by the CPI-U (not seasonally adjusted) for December 2007. The CPI-U (not seasonally adjusted) in December 2007 was 210.0. Section 3.0 The wastewater capacity fee shall be collected by the Monroe County Building Department upon issuance of a permit, or if a permit has already been issued but no certificate of occupancy has been issued, the fee shall be collected by the Monroe County Building Department prior to the issuance of the certificate of occupancy. If a building permit or certificate of occupancy has already been issued but the wastewater capacity fee has not been paid in full before 29 February 2012 and the wastewater capacity fee is not being collected as a non -ad valorem assessment as a part of the annual property tax bill, the wastewater capacity fee, as calculated using Section 1.0 of this resolution, will be incorporated into a special non ad valorem assessment on the properties so situated. Wastewater capacity fees paid in full by 29 February 2012 for permits or certificates of occupancy issued after adoption of Final Assessment Resolution 302-2007 on 10 September 2007 but prior to adoption of Resolution 168- 2011 on 15 June 2011 are not subject to the CPI indexing in Section 1.0 of this resolution. Section 4.0 These fees shall apply to all permits and certificates of occupancy issued after the effective date of this resolution. Section 5.0 This Resolution repeals Resolution 168-2011. Section 6.0 This resolution shall become effective immediately upon its adoption by the Monroe County Board of County Commissioners. PASSED AND ADOPTED by the Board of County Commissioners of Monroe County, Florida, at a meeting of said Board held on the 19`s day of October. Mayor Heather Carruthers Mayor Pro Tern David Rice Commissioner Kim Wigington Commissioner George Neugent Commissioner Sylvia Murphy BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA By: (Seal) Attest Danny L. Kolhage, Clerk Deputy Clerk Big Coppitt & Duck Key Assessments New Devpt. P. 2 Mayor . NROE COUNTY ATTORNEY APPROVED AS TO FORM: NATILEENE-W. CASSEL aSSISTANT COUNTY ATTORNEY /0 " Resolution 168-2011 with Proposed Changes (additions highlighted/underlined and deletions highlighted/struck through) RESOLUTION NO. -2011 A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA, ESTABLISHING THE WASTEWATER CAPACITY SERVICE FEE FOR PROPERTIES DEVELOPED WITHIN THE BIG COPPITT AND DUCK KEY CENTRAL SERVICE AREAS AFTER THE LEVY OF THE NON -AD VALOREM WASTEWATER ASSESSMENTS: PROVIDING FOR A METHOD OF ADJUSTING FOR INFLATION: PROVIDING FOR A METHOD OF COLLECTION: PROVIDING A REVISED DATE FOR PAYMENT IN FULL OF WASTEWATER CAPACITY FEE, PROVIDING AN EFFECTIVE DATE: AND REPEALING THE FORMER RESOLUTION NO. 168-2011. WHEREAS, the Big Coppitt and Duck Key Central Wastewater Systems were constructed with additional capacity for future development: and WHEREAS, impact fees are normally exacted for new development of properties but cannot currently be required for wastewater because the capacity for new development for the foreseeable, future was incorporated into the Big Coppitt and Duck Key Central Wastewater Systems; and WHEREAS, Monroe County is obligated to repay the Florida Department of Environmental Protection (FDEP) State Revolving Fund (SRF) debt service associated with this additional capacity: and WHEREAS, Section 2.02 of the September 6, 2005 Interlocal Agreement between Monroe County and the Florida Keys Aqueduct Authority, as amended September 19, 2007, establishes the levy of non -ad valorem special assessments as a County responsibility: and WHEREAS, Monroe County levied non -ad valorem wastewater assessments to collect System Development Fees of $4,500 per Equivalent Dwelling Unit (EDU) from developed properties within in the Big Coppitt and Duck Key Service Areas as described in Resolution 302-2007 adopted on September 10, 2007: and WHEREAS, due to tinning of development or changes in use, some properties have not been assessed for any comrection or for the extent of connection required for the usage of that property; and WHEREAS, in order to;provide equity for all users of central wastewater systems, a mechanism is necessary to collect a wastewater capacity fee from those properties within the Big Coppitt and Duck Key service areas for which initial or additional wastewater service is required: and funding gap exists for the Cudjoe Regional Wastewater Facility; and WHEREAS, these wastewater capacity fees from future development have been determined to be necessary to pay the FDEP SRF so that future sales tax revenue may be de -obligated; and WHEREAS, a mechanism is necessary to collect wastewater capacity fees from those properties within the Big Coppitt and Duck Key service areas for which initial or additional wastewater service is required: and WHEREAS, there have been costs of financing the projects since the debt started to accrue, and the inflationary element would contribute to the financing costs similar to the interest factor which has been paid and will be paid by properties on the initial tax roll: and WHEREAS, Resolution 168-2011 provided that any wastewater capacity fee paid in full prior to 30 September 2011 was not subject to the CPI indexing: and WHEREAS, the intent of the 30 September 2011 date was to provide property owners who developed after adoption of Final Assessment Resolution 302-2007 but prior to adoption of Resolution 168-2011 the opportunity to may the capacity fee without administrative fees, interest or CPI index adjustment: and WHEREAS, additional time was necessary to identify those properties that developed after adoption of Final Assessment Resolution 302-2007 but prior to adoption of Resolution 168-2011: and WHEREAS, setting the date to apply the CPI index ash March 2012 for those properties developed after adoption of Final Assessment Resolution 302-2007 but prior to adoption of Resolution 168-2011 allows sufficient time to send capacity fee letters by the end of 2011, and WHEREAS, the uniform method of collection will be used to collect capacity fees from properties in ADri12012 in July 2012: WHEREAS, it is desired to replace Resolution 168-2011 to extend the date capacity fees without interest, administrative fees, and/or CPI index adjustment may be collected from property owners who developed NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS, of MONROE COUNTY, FLORIDA, that: Section 1.0 The following fees are hereby established for wastewater system capacity within the Big Coppitt and Duck Key central service areas. These fees apply to new development for which permits are or were issued subsequent to the initial wastewater capacity assessments levied in 2007 Residential Seivice: The wastewater capacity fee for residential service is $4,500.00 per residential unit (EDU) times an adjustment for inflation based upon the all cities Consumer Price hndex for all urban consumers (CPI-U) as published by the Bureau of Labor Statistics of the U.S. Government. December 2007 shall be used as the base index month December 2007 CPI-U = 211.4). Single family; residences will be charged $4,500.00 times a CPI-U adjustment factor. Wastewater capacity fee = $4,500 x CPI-U Adjustment factor (see Section 2.0 below) 1.11 Multi -family residences will be charged $4,500.00 for each dwelling unit times the CPI-U adjustment factor. The CPI-U adjustment factor is calculated as described above in section 2.0: Wastewater capacity fee = $4,500 x Adjustment factor (see Section 2.0 below) 1.2 Non -Residential Service: The ivasteivater capacity fee for non-residential properties shall be calculated based on an estimated EDU allocation provided by the Florida Keys Aqueduct Authority. The EDU allocation will the based on the anticipated volume (in gallons) of ivasteivater anticipated to be generated by the property divided by a volume to EDU conversion of 167 gallons/EDU. The ivasteivater capacity fee will be adjusted for inflation in the same manner described in sections 1.1 and 1.11 for residential properties. The anticipated volume shall be calculated based on the State of Florida Department of Health System Size Determinations found in Florida Administrative Code (Chapter 64E-6.008 as of the date of this resolution). Wastewater capacity fee = $4,500 x number of EDUs x CPI-U Adjustment factor (see Section 2.0 below) Section 2.0 The CPI-U adjustment factor is calculated each year by dividing the most recent year's December CPI- U (not seasonally adjusted) by the CPI-U (not seasonally adjusted) for December 2007. The CPI-U (not seasonally adjusted) in December 2007 was 210.0. Section 3.0 The wastewater capacity fee shall be collected by the Monroe County Building Department upon issuance of a permit, or if a permit has already been issued but no certificate of occupancy has been issued, the fee shall be collected by the Monroe County Building Department prior to the issuance of the certificate of occupancy. If a building permit or certificate of occupancy has already been issued but the wastewater capacity fee has not been paid in full before ' Oeta ef- 20 ' 29 February 2012 and the wastewater capacity fee is not being collected as a non - ad valorem assessment as a part of the annual property tax bill, the wastewater capacity fee, as calculated using Section 1.0 of this resolution, will be incorporated into a special non ad valorem assessment on the properties so situated. A4w Wastewater capacity fees paid in full by 29 February 2012 for permits or certificates of occupancy Resolution 168-2011 on June 15, 2011 2011 s are not subject to the CPI indexing in Section 1.0 of this resolution. Section 4.0 These fees shall apply to all permits and cc resolution. Section 6.0 This resolution shall become effective immediately upon its County Commissioners. issued after the effective date of this the Monroe County Board of PASSED AND ADOPTED by the Board of County Commissioners of Monroe County, Florida, at a meeting of said Board held on the 19t' day of October.' BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA By: (Seal) Attest Danny L. Kolhage, Clerk Deputy Clerk Big Coppitt & Duck Key Assessments New Devpt. P. 2 Mayor Agenda Item Summary 15 JUNE 2011 Resolution 168-2011 BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: June 15, 2011 Division: Administration Bulk Item: Yes — No X Department: Wastewater Staff Contact Person/Phone #: Wilsonx8797 / Wood x4525 AGENDA ITEM WORDING: Approval of a resolution establishing the wastewater capacity fee for properties developed within the Big Coppitt and Duck Key central service areas after the levy of the non -ad valorem wastewater assessments; providing for a method of adjusting for inflation; providing for a method of collection, and providing for an effective date. ITEM BACKGROUND: When the non -ad valorem assessment was levied in 2007, undeveloped properties were excluded from the assessment. All properties located within the central service are a are required to connect to the central wastewater system, when available. Properties in the Big Coppitt and Duck Key service areas which have been or will be developed after initial assessment should pay their share of the cost of establishing the system. This resolution provides the mechanism to collect that share. PREVIOUS RELEVANT BOCC ACTION: On 10 September 2007 the BOCC adopted resolution 302-2007 levying a non -ad valorem assessment on developed properties within the Big Coppitt and Duck Key service areas. Properties that were not developed at the time of the assessment were not included in the assessment tax roll. On 15 July 2003, the BOCC adopted Monroe County Ordinance 027-2003 authorizing the imposition and collection of assessments on property for wastewater services. CONTRACT/AGREEMENT CHANGES: NIA STAFF RECOMMENDATIONS: Staff recommends adoption of the resolution. TOTAL COST: NIA INDIRECT COST: DIFFERENTIAL OF LOCAL PREFERENCE: NIA COST TO COUNTY: BUDGETED: Yes No SOURCE OF FUNDS: REVENUE PRODUCING: Yes X No MOUNT PER MONTH YEAR varies APPROVED BY: County Atty /Pur as Risk Managemet DOCUMENTATION: Included Not Required DISPOSITION: AGENDA ITEM # Revised 7/09