Item T05
BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: July 17,2002
Division:County Administrator/Growth Management
Bulk Item: Yes
No X
Department:
N/A
AGENDA ITEM WORDING: Approval of a resolution selecting a wastewater management option for Conch Key.
ITEM BACKGROUND: At its June 20, 2002, regular BaCC meeting, the finn of CH2MHill prepared a written
report and made a presentation to the BaCC on the two wastewater management options for Conch Key. The two
options were either a stand alone wastewater facility at Conch Key or the transmission of effluent from Conch Key to
the existing Hawk's Cay wastewater treatment facility. Both the consultant and County staff recommended and
continue to recommend the latter option as the most cost-effective and reliable of the two options.
After much discussion, the BaCC resolved to move forward on a dual track. The Commission agreed that it would
consider a final recommendation on the option at its July meeting.
Since the June meeting, the County staff has been notified by FEMA that a dual approach would not be acceptable.
Therefore, the BaCC will have to make a final decision at its July meeting on which option to pursue.
The staff and the County's engineering consultant recommend the Combined Conch Key-Hawk's Cay wastewater
management option as the preferred one for the reasons discussed in the staffs memorandum. However, the
preferred option is only viable and more cost effective than the Stand Alone option, if a contract for the transfer of the
Hawk's Cay wastewater treatment plant to the County/FKAA at a nominal cost is satisfactorily and expeditiously
negotiated.
Therefore, the County staff believes it would be prudent to continue to complete all work required by the FEMA
grant to pursue both options until the outcome of the negotiations on this contract are completed. If no satisfactorily
agreement is reached or can be reached in an expeditious manner, the County should then pursue the Stand Alone
option. The proposed resolution calls for the County Attorney and staff in cooperation with the FKAA staff to come
back to the BaCC with a draft contract in August.
PREVIOUS RELEVANT BOCC ACTION: June 20, 2002, the Bacc approved CH2MHill report and directed
staff to pursue dual option track.
CONTRACT/AGREEMENT CHANGES: N/A
STAFF RECOMMENDA nONS: Approval
TOTAL COST:N/A
BUDGETED: Yes: N/A No:
COST TO COUNTY: N/A
REVENUE PRODUCING:
Yes
No X
AMOUNT PER MONTH
Year
APPROVED BY:
County Atty -L
i k Management_
DIVISION DIRECTOR APPROVAL:
DOCUMENTATION: Included X
DISPOSITION:
AGENDA ITEM #
T5
County of Monroe
Growth Management Division
2798 Overseas Highway
Suite 410
~IDhon,norida 33050
Voice: (305) 289 2500
FAX: (305) 289 2536
Board of County Commissioners
Mayor Charles "Sonny" McCoy, Dist. 3
Mayor Pro Tern Dixie M. Spehar, Dist. 1
Comm. Bert Jimenez, District 4
Comm. Murray Nelson, District 5
Comm. George Neugent, District 2
MEMORANDUM
TO: Board of County Commissioners
FROM: Timothy J. McGarry, AICP/:l11
Director of Growth Manag~t
DATE: July 12, 2002
SUBJECT: Recommendation on Preferred Wastewater Option for
Conch Key
Overview
The BOCC is being requested to adopt the attached resolution approving as the preferred
wastewater option for Conch Key the combination of the Conch Key wastewater collection system
with the Hawk's Cay facility. This resolution also recognizes that this preferred option is
contingent upon successful negotiation of a contract for transfer of the Hawk's Cay wastewater
treatment plant to the County/FKAA at a nominal cost; therefore, engineering and other
background work required by the FEMA Unmet Needs grant must continue on both the preferred
option and the "Stand Alone" option until an outcome on the negotiations of this transfer is
obtained.
Background
On June 20, 2002, the BOCC approved a report prepared by the engineering firm of CH2MHill
that evaluated two wastewater options for the Conch Key service area. The report recommended
that the BOCC pursue the option of combining Conch Key wastewater collection system to the
Hawk's Cay wastewater treatment plant. [A copy of a portion of that report is attached.] Based on
the findings of this report, the County staff recommended this option be pursued by the BOCC.
Although the BOCC did accept the report, it directed staff to pursue a dual approach through
design/build and design/bid to better evaluate the cost differential between the two options.
Subsequent to that meeting, the staff was informed by FEMA that it was not supportive of the
County moving forward on a dual approach through the design/bid/build or design/build process.
Therefore, the County will need to make a decision on which option to pursue prior to completing
Phase I (pre-construction) of the grant project, which includes the preparation of all documents
necessary for either a designlbuild or design/bid/build package.
Issue Analysis
The staff supported by the County' s engin~ering consultant still recommends the "Combined
Conch Key-Hawk's Cay" wastewater management option over the "Stand Alone" for several
reasons. The combined system is the less expensive option based on both project construction
costs and monthly user fees, which is borne out by a present worth analysis that shows this option
is overall less costly. Furthermore, even if none of the project construction costs for the "Stand
Alone" project were financed through debt service, monthly service chargers would still be $66 per
month due to the relatively small number of ED Us served.
The connection to a larger system will result in reduced per EDU costs and allow effluent from
Conch Key to be treated ultimately at a higher level of treatment than at a small stand alone
facility. In addition, the combined option presents the very real possibility that the $11.8 million in
State funds recently made available to the Florida Keys could be used to write-down the costs of
the upgrade of the Hawk's Cay facility to A WT standards.
However, although the staff and its consultant believe the combined option is the preferred one, the
implementation of this option is contingent upon the expeditious and successful negotiation of a
contract for transfer of the ownership of the Hawk's Cay wastewater to the County/FKAA at a
nominal cost. The BOCC's indication of support for this option at this time will be of value in
maximizing the ability of the County to satisfactorily negotiate a transfer agreement.
Although the combined alternative is the better option, it is only prudent that necessary engineering
and planning work on both options continue until an outcome on negotiations for the wastewater
treatment plant is reached so that FEMA funds are not jeopardized. This approach requires that
any sites required for both options be secured by the County as soon as possible.
The Land Authority already has the property under contract for the vacuum pump station site
located on the ocean side of U.S. Highway 1 in Conch Key. The FDOT will make available
approximately 12,000 square feet of surplus property on bay side of U.S. Highway 1, which can be
used for the location of a wastewater treatment plant. [See Agenda Item T -7 concerning
conveyance of this property.] An issue concerning the use of this property by local commercial
fishermen by sub-lease from the County or informal agreement will still need to be addressed, but
it does not appear to be an insurmountable obstacle from a legal standpoint.
Recommendations
It is recommended that the BOCC adopt the attached draft resolution that:
o Approves the "Combined Conch Key-Hawk's Cay" wastewater project as the preferred
option.
o Requests the Land Authority to complete its efforts to secure the site for a vacuum/pump
station on Conch Key, which is currently under contract.
o Requests the FKAA to continue to prepare all complete for both options all necessary
plans, studies, and documents to satisfactorily meet FEMA grant requirements.
o Directs the. County Attorney and staff~n cooperation with the FKAA to negotiate a contract
with Hawk's Cay Investors, Ltd., and Duck Key Wastewater Cooperative, Inc., for the
transfer ownership of the Hawk's Cay Wastewater Treatment Plant (WTP) to the
County/FKAA and return to the BOCC with a proposed contract for its consideration at the
BOCC's regularly scheduled August meeting.
o Provides that the BOCC will pursue the "Stand Alone" option if it is unable to
expeditiously negotiate a satisfactory contract on the transfer of ownership of the Hawk's
Cay WTP.
Attachments-
CH2MHILL Report (partial)
Resolution on Preferred Wastewater Option
CH2M HILL
6410 5th Street
--
...
CH2MHILL
Suite 2A
Key West. FL 33040-5835
Tel 305.294.1645
Fax 305.294.4913
June 18, 2002
Monroe County Board of County Commissioners
1100 Simonton Street
Key West, FL 33040
Dear Commissioners:
Subject: Conch Key Community Wastewater System
Introduction
CH2M HILL has been asked to independently evaluate recently developed capital,
operation and maintenance (O&M), renewal and replacement (R&R), and administrative
costs for sufficiency. CH2M HILL has also been asked to evaluate the cost-effectiveness and
practicality of two alternatives to provide a community wastewater system for Conch Key.
The two alternatives are:
. A stand-alone facility on Conch Key, consisting of a wastewater collection and
treatment system to serve Conch Key.
. Combine the new Conch Key wastewater collection system with the existing Hawk's
Cay wastewater system. In this alternative, a collection system and a transmission
system would be constructed to serve Conch Key, and the wastewater would be
transmitted to the Hawk's Cay secondary WWTP for treatment.
FEMA unmet needs grant funds that are available for this project are proposed to partially
finance the construction of one of these alternatives. Current grant funding is as follows:
FEMA Federal Grant Funds
State Match Grant Funds
$1,398,215
$ 233,035
$ 1,631,250
$ 233,035
$ 1,864,285
Total Grant Funds
Local Match Funds
Total
Cost Estimates
To implement this wastewater project beyond the master planning phase, detailed cost data
and evaluations have been developed recently by the Florida Keys Aqueduct Authority
(FKAA) and by Hawk's Cay Investors, Ltd., (HeI).
These recent cost data were developed in the period December 2001 to February 2002, and
are considered to represent January 2002 dollars (ENRl = 6,462). Cost data developed
during the preparation of the Master Plan (September 1998 dollars, ENR1 = 5,963) will be
used to substantiate these recently developed cost data, or to supplement these data, where
necessary. This analysis will use costs, both capital and O&M, projected to January 2003
1 Engineering News Record Construction Cost Index
Monroe County Board of County Commissioners
Page 2
June 18, 2002
dollars (ENRl = 6,624) by escalating January 2002 costs at the same rate of inflation that
occurred from September 1998 to January 2002 (approximately 2.5% per year).
Cost estimates presented herein are order-of-magnitude estimates, as defined by the
American Association of Cost Engineers. These estimates are believed to be accurate within
the range of 30 percent below to 50 percent above actual costs. Actual costs for any given
system would depend on multiple factors, including, but not limited to, actual labor and
material costs, market conditions, project scope, and implementation schedule.
Analysis
In this analysis, the following must be considered.
. Confirmation of projected Conch Key wastewater flows and EDUs.
. Adequacy of capital costs, annual O&M costs, R&R costs, and administrative costs for
the collection, transmission, and treatment systems for the two alternatives evaluated.
. Capacity of the Hawk's Cay facility to accept Conch Key wastewater.
. Costs to operate and maintain the existing Hawk's Cay facility.
. Cost impacts to existing Hawk's Cay customers.
. Future cost impacts to Conch Key and Hawk's Cay customers (and potentially Duck
Key customers) to upgrade the existing Hawk's Cay secondary facility to an A WT
facility.
The above items are discussed in detail in Appendix A and the cost values determined to be
most appropriate for this analysis are summarized in Exhibit 1. Cost and financing data
were obtained from the sources that are summarized in Appendix B. Pertinent excerpts
from these sources are provided herein as attachments.
EXHIBIT 1
Project Capital and Operating Costs and Other Data used in the Analysis of Conch Key
Wastewater Alternatives
Conch Key Stand-
Alone BAT WWTP
and Collection
System
EDUs Served by Treatment Facility 157
Average Annual Daily Design Flow from
Conch Key 24,000 gpd
Conch Key Vacuum Collection System
Construction Cost $ 1,536,000 $
Transmission System from Conch Key to
Hawk's Cay Construction Cost $ $
Conch Key SAT WWTP Construction Cost $ 500,000 $
Conch Key Vacuum Collection System Annual
O&M I R&R $ 32,600 $
Conch Key
Combined with
Hawk's Cay System
683
24,000 gpd
1,536,000
594,000
32,600
Monroe County Board of County Commissioners
Page 3
June 18, 2002
EXHIBIT 1
Project Capital and Operating Costs and Other Data used in the Analysis of Conch Key
Wastewater Alternatives
Transmission System Annual O&M / R&R
(1)
Conch Key Stand.
Alone BAT WWTP Conch Key
and Collection Combined with
System Hawk's Cay System
$ $
$ 62,000 $
$ 2,600 $
$ 16,500 $
Conch Key BAT WWTP Annual O&M / R&R
Conch Key Customer Billings
Conch Key General Utility Administrative Costs
Hawk's Cay Secondary Facilitv
Hawk's Cay Secondary WWTP Annual
O&M/R&R, Conch Key Component
s
$
$
34,000
$
Customer Billings, Conch Key Component
2,600
General Utility Administrative Costs, Conch Key
Component
$
s
6,400
Hawk's Cay AWT Facilitv
Cost to Expand and Upgrade Hawk's Cay
WWTP to 0.30 mgd AWT,
Conch Key component
$
$
96,000
Hawk's Cay AWT WWTP Annual O&M/R&R,
Conch Key Component
$
$
44,000
Customer Billings, Conch Key Component
$
$
$
2,600
General Utility Administrative Costs, Conch Key
Component
(1) Included as part of collection system cost
$
8,000
The above estimates are those that CH2M HILL has determined are appropriate and good
engineering cost estimates for this evaluation of the two Conch Key wastewater system
alternatives.
This evaluation assumes that the designs for the facilities would be completed during the
remainder of this year 2002, bids would be received in January 2003, and construction
would start immediately thereafter, with startup of the systems and wastewater service to
customers beginning in January 2004.
Exhibits 2 and 3 summarize the capital and operating costs for the two alternatives
evaluated. These costs are shown for the base period, January 2002, and for the years in
which it is anticipated these costs will occur, projected either as a one time construction cost
or as a recurring annual cost.
Monroe County Board of County Commissioners
Page 4
June 18, 2002
EXHIBIT 2
Estimated Capital and Annual O&M/R&R and Administrative Costs for a Conch Key Stand-Alone SAT WWTP and
Vacuum Collection System
Construction & Other Project
Costs
WWTP (BAT)
Collection System (Vacuum)
Land
Engineering, Legal &
Administrative
Finance Charges (1)
Total Project Costs
Annual O&M/R&R and
Administrative Costs
WWTP O&M / R&R (BAT)
Collection (Vacuum) System
Customer Service Billings
General Utility Costs
Coverage Requirement (2)
Total Annual O&M/R&R and
Administrative Costs $ 119,700 $
(1 )Includes both bond issuance costs and bond reserve; estimated at 11 % of financed amount.
(2)Estimated at 25% of annual debt service.
January 2002 Costs
$ . 500,000
$ 1,536,000
$ 50,000
Projected Costs
January 2003 January 2004
$ 510,000
$ 1,575,000
$ 51,000
$
$
$
510,000
29,000
2,625,000
$
$
$
523,000
30,000
2,689,000
$
$
$
$
62,000
32,600
2,600
16,500
6,000
$
$
$
$
65,000
34,200
2,700
17,000
6,300
125,200
EXHIBIT 3
Estimated Capital and Annual O&M/R&R and Administrative Costs for Conch Key Combined with Hawk's Cay
System
Construction & Other Project January 2002 Projected Costs
Costs Costs January 2003 January 2004
WWTP Capacity Charge S -O- S -0- -0-
Collection System (Vacuum) $ 1,536,000 $ 1,575,000
Land $ 25,000 $ 26,000
Transmission System S 594,000 $ 609,000
Engineering, Legal & Administrative S 530,000 $ 543,000
Finance Charges (1) S 40,000 $ 41,000
Total Project Costs $ 2,725,000 $ 2,794,000
Annual O&M/R&R and
Administrative Costs
WWTP O&M I R&R, Conch Key
Component $ 34,000 $ 35,700
Collection System O&M I R&R $ 32,600 $ 34,200
Transmission System O&M I R&R $ (2) $ (2)
Customer Service Billings $ 2,600 $ 2,700
General Utility Costs S 6,400 S 6,700
Coverage Requirement (3) 8,200 8,600
Total Annual O&M/R&R and
Administrative Costs S 83,800 $ 87,900
(1) Includes both bond issuance costs and bond reserve; estimated at 11 % of financed amount.
(2) Included as part of collection system cost
(3) Estimated at 25% of annual debt service
Monroe County Board of County Commissioners
Page 5
June 18, 2002
Exhibits 4 and 5 summarize projected costs and revenues and connection fees and monthly
user charges for the two alternatives when the systems are projected to first come on line
and serve customers in January 2004. For each alternative the connection fee is projected to
be $5,OOO/EDU. The Conch Key Stand-Alone alternative is projected to have a monthly user
charge of $79/EDU, while the Conch Key Combined with Hawk's Cay alternative is
projected to have a monthly user charge of $64/EDU, or $15/EDU/Mo less than the Stand-
Alone alternative.
EXHIBIT 4
Costs, Revenue Sources and Projected Rates, Fees and Charges for Conch Key Stand-
Alone SAT WWTP and Vacuum Collection System
Revenues
Total Project Costs(1)
FEMA and State Grant Funds
Balance After Grants
Connection Fees (157EDUs @ $5.000/EDU)
Balance to be Funded from Monthly User Charge
$2.689.000
$1.631.250
$1.057.750
$785.000
$272.750
Monthly User Charge
Debt Service on Capital Balance (6%. 20 yrs)
Annual O&M and Administrative Costs(1)
Total Wastewater System Annual Cost
Total Wastewater System EDUs
Monthly User Charge
1 From Exhibit 2
$23.800
$125.200
$149,000
157
$79/EDU/Mo
EXHIBIT 5
Costs, Revenue Sources and Projected Rates, Fees and Charges for Conch Key
Combined with Hawk's Cay System
Revenues
Total Project CostS(1)
FEMA and State Grant Funds
Balance After Grants
Connection Fees (157EDUs @ $5,000/EDU)
Balance to be Funded from Monthly User Charge
$2,794.000
$1,631.250
$1,162,750
$785.000
$377.750
Monthly User Charge
Debt Service on Capital Balance (6%. 20 yrs)
Annual O&M and Administrative Costs(1)
Total Wastewater System Annual Cost
Total Wastewater System EDUs
Monthly User Charge
1From Exhibit 3
$32,900
$87,900
$120,800
157
$64/EDU/Mo
Monroe County Board of County Commissioners
Page 6
June 18, 2002
The Conch Key Stand Alone alternative would have a treatment facility that would be
providing advanced wastewater treatment (BAT) from the very beginning and would
require no further upgrades under the current regulations. On the other hand, the Conch
Key Combined alternative would have a facility that is providing secondary treatment, and
would require future costs to upgrade to an A WT facility. For this analysis, it is assumed
that the Hawk's Cay facility would be upgraded to an A WT facility in 2009 and would
begin providing A WT treatment in 2010: The Conch Key component of this A WT upgrade
is estimated to be $96,000 (January 2002 dollars), which is equivalent to an additional
monthly charge of $4.44jEDU. There would also be an incremental increase in operating
cost for A WT treatment. The Conch Key component is estimated to be $11,600 (January 2002
dollars), which is equivalent to an additional monthly charge of $6.16jEDU. Thus, the total
increase projected for this A WT upgrade for Conch Key is $10.60jEDU jMo in January 2002
dollars, or $11.14jEDU jMo in January 2004 dollars. This combined alternative is therefore
approximately $4.00jEDU jMo less than the Stand-Alone alternative.
To assist in the evaluation of the two alternatives, a present worth analysis was performed;
the results are presented in Exhibits 6 and 7. This analysis assumes an annual inflation rate
of 2.5% and a discount rate of 6.0%. The analysis shows that the present value of the
projected expenditures for the stand alone system is $4,380,009, while the present value of
the costs for the system in which Conch Key is combined with the Hawk's Cay System is
$4,094,573. Based on the results of this analysis, combining the Conch Key collection system
with the Hawk's Cay System would be a more cost-effective solution to providing
wastewater service to Conch Key.
EXHIBIT 6
Monroe County
Conch Key Wastewater System
Conch Key Stand Alone SAT WWTP and Collection System
Present Worth Analysis
Capital
Outlay
$2,659,000
Year
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
Operating
Cost
$124,700
$127,800
$131,000
$134,300
$137,700
$141 , 1 00
$144,600
$148,200
$151,900
$155,700
$159,600
$163,600
$167,700
$171,900
$176,200
$180,600
$185,100
Present Worth
Factor
1.000
0.940
0.884
0.831
0.781
0.734
0.690
0.648
0.610
0.573
0.539
0.506
0.476
0.447
0.421
0.395
0.372
0.349
Present Worth
Cost
$2,659,000
$117,218
$112,924
$108,807
$104,855
$101,059
$97,341
$93,770
$90,338
$87,038
$83,862
$80,805
$77,861
$75,023
$72,288
$69,650
$67,106
$64,652
Monroe County Board of County Commissioners
Page 7
June 18, 2002
EXHIBIT 6
Monroe County
Conch Key Wastewater System
Conch Key Stand Alone SAT WWTP and Collection System
Present Worth Analysis
Capital
Outlay
Year
2021
2022
2023
Operating
.cost
$189,700
$194,400
$199,300
Present Worth
Factor
0.328
0.309
0.290
0.273
Salvage
Net Present Worth
Inflation
Discount Rate
2.5%
6.0%
EXHIBIT 7
Monroe County
Conch Key Wastewater System
Conch Key Combined With Hawk's Cay System
Hawk's Cay Expansion & AWT in 2009
Present Worth Analysis
Capital
Outlay
$2,753,000
Present Worth
Factor
1.000
0.940
0.884
0.831
0.781
0.734
0.690
0.648
0.610
0.573
0.539
0.506
0.476
0.447
0.421
0.395
0.372
0.349
0.328
0.309
0.290
0.273
Year
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
Salvage
Net Present Worth
Inflation
Discount Rate
Operating
Cost
$102.200
$81,500
$83,500
$85,600
$87,700
$89,900
$92,100
$106,700
$109,400
$112,100
$114,900
$117,800
$120,700
$123,700
$126,800
$130,000
$133,300
$136,600
$140,000
$143,500
$147, 1 00
2.5%
6.0%
Present Worth
Cost
$62,283
$59,996
$57,818
$0
$4,380,009
Present Worth
Cost
$2,753,000
$76,610
$73,781
$71,098
$68,472
$65,978
$134,042
$69,193
$66,687
$64,233
$61,887
$59,642
$57,444
$55,339
$53,322
$51,388
$49,531
$47,712
$45,965
$44,287
$42,675
$0
$4,094,573
Momoe County Board of County Commissioners
Page 8
June 18, 2002
The evaluations performed for this report indicate that the most cost-effective alternative is
to combine the new Conch Key wastewater collection system with the existing Hawk's Cay
wastewater system. CH2M HILL, therefore, recommends the combined system alternative
for the following reasons:
. The analyses performed herein show this to be the most cost-effective alternative.
. This alternative takes advantage of the economy of scale for operation of the utility, and
provides the opportunity to distribute the relatively fixed costs over 683 EDUs, rather
than 157 EDUs. For example, when the Hawk's WWTP is upgraded to AWT, the Conch
Key component of O&MjR&R for the combined alternative is $44,000 (January 2002),
whereas, the cost of O&MjR&R for the stand alone alternative is $62,000 (January 2002),
a savings of $18,000 for the combined alternative. Also, the Conch Key share of the
general utility administrative cost is $8,000 (January 2002), whereas, the general utility
administrative cost for the stand-alone Conch Key utility is $16,500, a savings of 50
percent for the combined alternative.
Sincerely,
CH2M HILL
~n~
Kenneth F. Williams, P.E.
Attachments
DFB31003696147.docj 021680020
Marine Resources
RESOLUTION NO. 2002
A RESOLUTION OF THE MONROE COUNTY BOARD OF
COMMISSIONERS APPROVING THE COMBINED HAWK'S CAY
RESORT-CONCH KEY WASTEWATER SYSTEM AS THE PREFERRED
OPTION FOR CONCH KEY AND DIRECTING THE COUNTY STAFF IN
COORDINATION WITH THE FKAA STAFF TO INITIATE
NEGOTIATIONS ON THE TRANSFER OF THE HAWK'S CAY
WASTEWATER TREATMENT PLANT TO THE COUNTYIFKAA AND
TO COMPLETE ALL NECESSARY TASKS TO MEET FEMA UNMET
NEEDS GRANT OBLIGATIONS
WHEREAS, the Board or County Commissioners (BOCC) at its May 15, 2002, meeting
approved having the engineering firm of CH2MHill complete a feasibility assessment of two
wastewater management options for the FEMA Unmet Needs Wastewater Project at Conch Key;
and
WHEREAS, the two project options were to:
. construct a stand-alone wastewater treatment plant, collection, and disposal system on
Conch Key, or to
. construct a collection and transmission system on Conch Key and utilize the existing
Hawk's Cay facility for wastewater treatment and disposal; and
WHEREAS, CH2MHill provided its assessment of project costs and feasibility at the
BOCC's June 20,2002, meeting; and
WHEREAS, the CH2MHill assessment indicated that for the same connection fee, the
monthly costs would be approximately $79 per month for the stand alone project and $64 per
month for the combined project with Hawk's Cay; and
WHEREAS, a present worth analysis of both project options was also completed by
CH2MHill which indicated that over the lifecycle of either option, the combined project
approach was the more cost effective; and
WHEREAS, the BOCC requested that bids on both options be drafted; and
WHEREAS, the FEMA staff has indicated that this would not be an acceptable approach
and may jeopardize the funding of the grant; and,
WHEREAS, the County staff and engineer recommend the combined wastewater as the
preferred option; and
WHEREAS, the County staff has also identified that this option is only viable and the
more cost-effective option, if the County and FKAA are able to successfully negotiate a transfer
of the ownership of the Hawk's Cay wastewater facility to the County/FKAA at a nominal cost;
and,
SWMP-ConchWWTPFEMASiteO I 0
July 11,20029:17 AM
Page 1 of3
Marine Resources
WHEREAS, although an option agreement for such a transfer has been executed, the
contract for such a transfer has yet to be negotiated; and,
WHEREAS, the outcome of these negotiations are critical to any final decision by the
BOCC on the wastewater option to serve Conch Key; and,
WHEREAS, the County should therefore still pursue both wastewater options at this
time until the outcome of these negotiations is determined to eliminate possible further delays
that may jeopardize the grant funds authorized for this project; and now therefore
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS,
MONROE COUNTY, FLORIDA THAT:
Section 1. The BOCC endorses the recommendations of County staff and its engineering
consultant that the combined Conch KeylHawk's Cay wastewater project is the preferred
wastewater option to serve Conch Key.
Section 2. The BOCC requests the Monroe County Land Authority to complete its efforts to
secure property, currently under contract, on the ocean side of U.S. I on Conch Key designated
for the location of a vacuum/pump station.
Section 3. The BOCC directs the County Attorney and staff in cooperation with the FKAA
to negotiate a draft contact for the transfer of the ownership of the Hawk's Cay wastewater
treatment facility to the County/FKAA for consideration by the BOCC at the BOCC's next
regularly scheduled meeting in August.
Section 4. The BOCC requests the FKAA to continue to complete all plans, studies and
documentation requirements for both the "Stand Alone Project" and the "Combined Hawk's
Cay-Conch Key Project" options necessary to meet the requirements of the FEMA Unmet Needs
grant.
Section 5. The BOCC agrees that it shall make its final determination on the appropriate
wastewater project option for Conch Key upon the outcome of contract negotiations for transfer
of the ownership of the Hawk's Cay wastewater treatment facility. Should the County be unable
to reach an expeditious and satisfactory agreement on such transfer with the Duck Key
Wastewater Cooperative, Inc., and Hawk's Cay Investors, Ltd., the BOCC will then proceed to
request the FKAA to pursue the "Stand Alone" option for Conch Key.
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JU~-l~-~~ ~~:~q ~~UM:MUN~U~ ~VUNAI ~.~~ ~~~-.~~ ,~.~~_~~~~~.o
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Marine Resources
PASSED AND ADOFfED by the Board of County Commissioners, Monroe Co\Dlty,
Florida at a regular meeting ohaid Board held on the ~ day of July, A.D., 2002.
BOARD OF COUNTY COMMISSIONERS
MONROE COUNTY, FLORIDA
Mayor Charles "Sonny' McCoy
Mayor Pro Tern Dixie Spehar
Commissioner George Neugent
Commissioner Bert Jimenez
Commissioner Mwray Nelson
BY:
MA VOR/CHAIR PERSON
(SEAL)
ATTEST:
DANNY 1. KOLHAGE, CLERK
BY:
DEPUTY CLERK
DATE
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Page 3 of 3
PROPOSAL
To ~~t Florida Keys Aqueduct Authority
to request proposals for a stand-alone
wastewater treatment plant on the bay side
~ ~ .-'.---
of Conch Key ug.ing~Fe8troom's u~
· on existing
FDOT property