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Item K1 BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: 19 November 2003 Division: Growth Management Bulk Item: Yes No ~ Department: Marine Resources AGENDA ITEM WORDING: Update briefing on wastewater management projects and issues. ITEM BACKGROUND: The County Administrator informed the BaeC at its June 20, 2002, regular meeting, that staff will provide briefing updates on the status of wastewater projects and issues to the BaCC on at least a monthly basis. In addition to a oral briefing, the staff will prepare a written update report intended for insertion in the Wastewater Project Book provided to the BaeC at the June meeting. A staff representative from the FKAA has also been asked to attend the meeting and to provide the Commission with further updates on their projects as necessary. PREVIOUS RELEVANT BOCC ACTION: NA CONTRACT/AGREEMENT CHANGES: NA STAFF RECOMMENDATIONS; NA TOTAL COST: NA BUDGETED: Yes No COST TO COUNTY: NA SOURCE OF FUNDS: REVENUE PRODUCING: Yes No ~ AMOUNT Per Month Year APPROVED BY: County Atty NA Risk Management NA. DIVISION DIRECTOR APPROVAL: of Growth Management DOCUMENTATION: Included X Not Required To Follow DISPOSITION: AGENDA ITEM NO.: /1/ BC031140 10/29/034:42 PM Memorandum DeDartment of Marine Resources 2798 Overseas Highway, Suite 420 Marathon, Florida 33050 Voice: (305) 289 2507 FAX: (305) 2892536 Email: garrctt-gcorgciZimonroccountv-ll.com Board of Co un tv Commissioners Mayor Dixie Spehar, Dist I Mayor Pro Tern Murray Nelson, Dist. 5 Commissioner George Neugent, Dist. 2 Commissioner Charles "Sonny" McCoy, Dist. 3 Commissioner David Rice, Dist. 4 DATE: 5 November, 2003 TO: Board of County Commissioners FROM: George Garrett, Director of Marine Resources h~ SUBJECT: Staff Update Report (# 11-03) on Wastewater Master Plan Implementation Issues The following subject matter has now been provided with a brief "background" statement followed by "update" information. The updates will be current to the month since the last BOCC meeting and monthly staff report. Achievements, since they are beginning to add up, have been moved to the end of the staff report as, Attachment 2. The staff of the Florida Keys Aqueduct Authority will be on hand at the November Commission meeting to update the Board on progress to date. The FKAA staff report for November is attached for review (Attachment 1). AVAILABLE FUNDS FOR WASTEWATER Federal Funds - $100 M Congressional Authorization: Background: Public Law 106-554 authorized the Army Corps of Engineers (ACOE) to "provide technical and financial assistance to carry out projects for the planning, design and construction of treatment works to improve water quality in the Florida Keys National Marine Sanctuary. Congress may appropriate up to 100 million dollars through previous authorization language. Update: No update at this time. FEMA Funds: Background: In response to damages and losses which occurred as a result of Hurricane Georges, Congress enacted Public Law 106-31, Emergency Supplemental Appropriations Act for Fiscal Year 1999 to fund long term disaster recovery projects in Florida counties whose needs were unmet through primary disaster relief funds. Monroe County requested that a substantial amount of the funds made available to it, be utilized for wastewater BC03114l.doc 10/29/034:42 PM improvement projects. There are four FEMA wastewater projects in the County, Key Largo Trailer Village, Conch Key, Baypoint, and one project in Islamorada. These projects must be complete by the end of September 2005. Update: All projects are moving forward. The FKAA will hold public forums at the Conch Key and Sugarloaf fire houses in order to meet with property owners of Conch Key and Bay Point respectively. The Conch Key meeting will be held at 6:30 PM on 12 November 2003 at the fire station while the Baypoint meeting will be held at 6:30 PM on 13 November 2003 at the Sugarloaf fire station. The purpose of the meetings is to further inform the constituents of each area about progress on wastewater project efforts. On 20 November 2003 the FKAA will also be opening bids for both the Conch Key and Baypoint projects. FEMA will be holding its final public hearing on Baypoint, tentatively on 4 December 2003. FDEP State funding: Background: Pursuant to Specific Appropriation 1765A of the 2002 - 2003 General Appropriations Act (Chapter 2002-334, Laws of Florida), funding in the amount of $ 11.8 million was provided was broken into three categories and may fund either wastewater or stormwater projects. o First, $1.66 million was provided to qualifying projects in Key Largo, Islamorada, Marathon, and Key West. o Second, $200,000 was provided both Layton and Key Colony Beach. o Third, the remaining funds ($4.76 million) will be provided to qualifying projects in hotspot areas as identified in the Wastewater Master Plan. The County and municipalities have agreed in a joint resolution to the equitable split of these funds. The County's share will be $1.112 million. Then, if there are any funds left over, additional projects will be considered in an additional round of funding. Update: No additional update this month. All state funded projects are underway or complete. Remaining Cesspool Elimination Funds: Background: Under the Cesspool Identification and Elimination Program (CIEA), funds were provided through four contracts to Monroe County to be used as grants to property owners assist in the cost of upgrading cesspools to approved on-site wastewater nutrient reduction systems (OWNRS). Two to the contracts were utilized to completion and have helped to eliminate cesspools in all areas defined as "Coldspots." These contracts provided approximately $1,000,000 in cesspool replacement grant funds. As the CIEA program is complete in the Coldspot areas at this time, it has been the direction of the Commission to shift remaining funds to the Key Largo Wastewater Treatment District projects. The remaining contract funds amount to $1,225,600. Update: No additional update this month. All Key Largo projects are moving forward, with a few fits and starts, as required. 2 Other Grant Oooortunities: Background: Under House Bill 851 (FY 2002), the County developed a wastewater project proposal for the Key Largo area. Similarly, the FKAA submitted several different proposals, one for each of its current wastewater project areas. The Key Largo proposal and other FKAA proposals were submitted in the early part of November. Update: No additional update this month Background: Rick Casey of the Monroe County Housing Authority had been very hopeful of receiving a Community Development Block Grant (CDBG) for approximately $350,000. This request fell through in October but apparently was revitalized in January when one of those agencies awarded funds failed to qualify in the final review. As the County was next in line, apparently the County will be receiving a share of the current grant funds. Staff understands that the amount is substantially more than originally requested, approximately $637,500. Update: The Mayor has requested that the application period to apply for CDBG funds be extended to December to allow property owners more time to apply because of the current confusion surrounding the KWRU project. In addition, the Commission passed a Resolution at its October meeting providing supporting funds for low and very-low income households. These funds will be utilized in each of the County's wastewater projects throughout the Keys to assist property owners with connection costs and in some cases, on-site decommissioning and lateral costs. An application for Knucklehead's Restaurant is being developed, in order to go after the additional CDBG funds noted in the BOCC's June wastewater report. Mark Bell has developed portions of the required application. Additional information must be supplied by both the Count and property owner. We expect this to take place before the end of the year. Issues That Need to be Addressed o None at this time Recommended BOCC Action: o None at this time. Significant Future Milestonesl Actions: o Must hold two public hearings in support of the Knucklehead's CDBG application [Target Date: December 2003/ January 2004} W ASTEW A TER GOVERNANCE 3 FKAA: Background: The FKAA is the County's wastewater authority within unincorporated areas of the County and outside of other wastewater jurisdictions such as the KWRU or KL WTD. The County is working with the FKAA on projects on Conch Key, Baypoint, and Big Coppitt. Update: The FKAA has indicated a guarded and conditional willingness to assist the County in resolving the County's problems with the development of the KWRU project. This relationship between the County and FKAA may develop as part of resolving a number of issues concerning the completion of the Stock Island project. The FKAA offered no guarantee of assistance. Key Largo Wastewater Treatment District: Background: With its creation in June of 2002 and the election of Board member is November of 2002, the Key Largo Wastewater Treatment District (KL WTD) is currently an independent Utility District. They will need County and FKAA assistance in a transition process over the first six months to one year. Update: The KL WTD continues forward with its efforts to construct the Key Largo Trailer Village and Park wastewater projects. They will hold public hearings on December 3, 2003 with FEMA in the final step to receive FEMA phase II construction funds. The transition process between KLWTD, the County, and FKAA will be largely complete when the contract for FEMA phase II construction funds is signed. The District has recently hired a new attorney and for some time now has had two construction firms with their engineers and an oversight engineering firm working on their behalf. Additional funds are still obligated to the District. County funds to intended to match FEMA funds have now been approved as an outright grant to the District in recent BOCC action. In addition, pass through funds from FDCA will be provided when construction actually begins. The County will formally transfer its ownership of the Mile Marker 100.5 site at the December Board meeting. Issues That Need to be Addressed: o None at this time Recommended BOCC Action: o None at this time Significant Future Milestonesl Actions: 4 o Transfer of MM 100.5 treatment plant site [Target Date: December 2004 Commission meeting) Inter-governmental Task Force: Background: The Inter-governmental Task Force provides a mechanism for coordinated activities between the County and its municipalities when seeking state and/or federal grant funding for wastewater or stormwater projects in the Florida Keys. Update: Action of the BOCC at the October 2003 meeting left the funding formula resolution, for the receipt and division of federal funds, in place. PROGRAMMATIC IMPLEMENTATION PLAN Background: Staff has indicated that it will work to provide a long-range implementation program for wastewater projects. To a limited extent this has happened through the capital budget process and through the efforts on-going with the ACOE to develop projects under the congressional $100M authorization. An integration of all of these components remains to be completed. Update: No additional update this month Issues That Need to be Addressed: o Need for realistic programmatic implementation plan that establishes policies on reasonable connection fees and monthly charges; project and financing priorities; and a schedule for programming of wastewater projects based on available identified funding in accordance with the Sanitary Wastewater Master Plan. o Need to revise the Seven Year Work Program in the Monroe County Year 2010 Comprehensive Plan to reflect the results of the adopted programmatic implementation plan. Recommended BOCC Action: o Consideration of recommended draft programmatic implementation plan prepared by County and FKAA staff. Significant Future Milestonesl Actions: o Approval of programmatic implementation plan for the Sanitary Wastewater Master Plan [Target Date: July 2003 Commission meeting) FEMA UNMET NEEDS PROJECTS A. General 5 Background: In response to damages and losses which occurred as a result of Hurricane Georges, Congress enacted Public Law 106-31, Emergency Supplemental Appropriations Act for Fiscal Year 1999 to fund long term disaster recovery projects in Florida counties whose needs were unmet through primary disaster relief funds. Monroe County requested that a substantial amount of the funds made available to it, be utilized for wastewater improvement projects. There are four FEMA wastewater projects in the County, Key Largo Trailer Village, Conch Key, Baypoint, and one project in Islamorada. These projects must be complete by the end of September 2005. Update: No additional update this month Issues That Need to be Addressed: o None at this time Recommended BOCC Action: o None at this time Significant Future Milestonesl Actions: o Complete FEMA Supplemental Environmental Assessment hearings [Target Date: December 2003] B. Key Largo Trailer Village (MM 100 +1-) Background: After reduction in the size of the Key Largo wastewater project, staff returned to the original FEMA project list for Key Largo. Key Largo Trailer Village was selected as a prime site in need of wastewater improvements under the guidelines of the FEMA Unmet Needs congressional appropriation. It is a very low-lying area with a large number of unknown wastewater systems. Update: Supplemental Environmental Assessment will be held on December 3, 2003. This will lead to the award of phase II money for the Key Largo Trailer Village project (construction dollars). The Key Largo Wastewater Treatment District will manage phase II dollars entirely. The FKAA will no longer participate upon receipt of these funds. All construction contracts for this project are now signed and upon completion of the FEMA hearings, construction will begin. Issues That Need to be Addressed: o Complete FEMA Supplemental Environmental Assessment hearings. Recommended BOCC Action: 6 o None at this time Significant Future Milestones! Actions: o Completion ofFEMA hearings [Target Date: December 2003 KLWTD meetings} C. Conch Key (MM 61) Background: Conch Key was selected as a prime site in need of wastewater improvements under the guidelines of the FEMA Unmet Needs congressional appropriation. It is a very low-lying area with a large number of unknown wastewater systems. Update: The FKAA will be holding community workshops to update the local Conch Key Community on December 12,2003. FEMA Supplemental Environmental Assessment hearings have not been scheduled for this FEMA project, but are anticipated in early January 2004. Project bids for the Conch Key wastewater project are due at the FKAA on November 20, 2003 and will be reviewed, assessed, and an award of contract will be made in the late December 2003 or January 2004 time frame. Issues That Need to be Addressed: o Complete Project construction bid process and initiate construction contracts Recommended BOCC Action: o None at this time Significant Future Milestonesl Actions: o Initiation of construction contracts [Target Date: January 2004} D. Baypoint (MM 15) Background: Baypoint was selected as a prime site in need of wastewater improvements under the guidelines of the FEMA Unmet Needs congressional appropriation. It is a very low-lying area with a large number of unknown wastewater systems. Update: The FKAA will be holding community workshops to update the local Baypoint Community on December 13,2003. FEMA Supplemental Environmental Assessment hearings have been scheduled for this FEMA project on December 3,2003. Project bids for the Baypoint wastewater project are due at the FKAA on November 20,2003 and will be reviewed, assessed, and an award of contract will be made in the late December 2003 or January 2004 time frame. Issues That Need to be Addressed: 7 o Complete FEMA Supplemental Environmental Assessment hearings. o Complete Project construction bid process and initiate construction contracts o Complete Knucklehead's CDBG grant application Recommended BOCC Action: o N one at this time Significant Future Milestonesl Actions: o Completion ofFEMA hearings {Target Date: December 2003] o Initiation of construction contracts {Target Date: January 2004] o Completion of Knucklehead's CDBG grant application {Target Date: early January 2004] KEY WEST RESORT UTILITIES (STOCK ISLAND EXPANSION) Background: In July of 2002, the Commission approved a contract to complete wastewater improvements on south Stock Island through the Key West Resort Utility (KWRU). In December the Commission approved a Resolution requesting that the KWRU begin a process to design and construct improvements to their plant to meet A WT nutrient standards. In January, the Commission heard from a number of property owners concerned about the connection requirements and agreements with KWRU. Staff has been working on those issues with KWRU from that time. Update: Update will be made separately Issues That Need to be Addressed: o Determination of process for carrying out the Connection Assessment Ordinance Recommended BOCC Action: o Approval of revisions to the KW Resort Utility Contract Significant Future Milestonesl Actions: o Determination and implementation of process for carrying out the Connection Assessment Ordinance. LOWER KEYS WASTEWATER (MM 7.0 TO Ml\111.0) 8 Background: Big Coppitt has been the focus of the Commission as the next wastewater project to be undertaken. Update: FKAA will provide designlbuild bid documents toward the end of the year or January 2004. Issues That Need to be Addressed: o Need to determine the preferred wastewater management option for Big Coppitt, including preliminary system capital and operating costs. o Need to seek additional funding for the project as the next project in priority from the Sanitary Wastewater Master Plan. o Need to determine whether it is most cost effective for the FKAA to relinquish its wastewater authority on Big Coppitt to potentially allow KW Resort Utility to expand its role into the area. Recommended BOCC Action: o Direct staff to seek funding for the Big Coppitt wastewater project. Significant Future Milestonesl Actions: o Determination of the desired wastewater authority (FKAA or KW Resort Utility) for providing wastewater service on Big Coppitt, Rockland, and Geiger Keys. o Consideration of project proposals for wastewater management options on Big Coppitt to determine the preferred wastewater management option. [Target Date: October-November 2003 ROCe meeting] o Acceptance of grant funds to further develop the Big Coppitt wastewater project. [Target Date: To be determined] OTHER ISSUES Background: From time to time other issues will arise concerning wastewater which do not conform to the format in the rest of the monthly report. They will be placed in this section Update: None since the March 2003130CC meeting. Issues That Need to be Addressed: o None at this time Recommended BOCC Action: 9 o None at this time Significant Future Milestonesl Actions: o None at this time 10 Attachment 1 FKAA November 2003 11 Florida Keys Aqueduct Authority Wastewater Report October - November 2003 Little Venice Wastewater System The contractor continued with the construction of the originally bid wastewater system. . Vacuum Collection System · Pipeline construction along US 1 continued. . Advanced Wastewater Treatment (A WT) Plant · Underground utilities was completed. . Concrete foundation work is ongoing; forming and pouring throughout the month. . Process equipment continues to be delivered, and installed. Construction activities have been held in abeyance on the Little Venice Expanded contract. City of Marathon FKAA continued the preparation of the design build operate RFP for the central system, and conducted the first coordination meeting with the Evaluation Panel. Conch Key The wastewater system was advertised for bid during the month. Bay Point The wastewater system was advertised for bid during the month. Key Largo Trailer Village and Key Largo Park No activity by FKAA. Big Cop pitt FKAA approved an engineering contract to assist in developing the design criteria for the design build RFP. 12 Attachment 2 List of Achievements 13 AVAILABLE FUNDS FOR WASTEWATER Issues Addressed/Actions Taken a Approval by the BOCC to provide funds to the FKAA in the amount of $200,000 to offset costs of preliminary engineering efforts to complete requirements to receive State funds at Key Largo Park. a Approval of staff recommendations for use of remaining FDEP, FDCA, and County funds remaining from cesspit replacement program. a Approval of a Resolution requesting that the State's Congressional delegation assess the feasibility of shifting any federal appropriations funds for wastewater in the Florida for management and dissemination by the Florida Department of Community Affairs. a Approval by the BOCC to provide an additional $156,000 to the FKAA for development of the state funded Key Largo Park wastewater project. a Approval of a revised Resolution to seek a dual path for funding wastewater projects, one through the existing federal authorization and the other through the efforts of the County's State Representative to have appropriations provided to a State Trust Fund administered by FDCA. a Submitted a project proposal for Key Largo under the auspices of House Bull 851. a Attendance or the Board at a meeting with Ileana Ros-Lehtinen's staff to discuss approaches federal wastewater funding. a Meeting held with Ileana Ros-Lehtinen's office regarding the most appropriate mechanism to obtain the $ 100 million appropriation. Indication was that the current approach is the best. a Introduction of House Bill 0101 which would create a wastewater I stormwater trust fund to be administered through FDCA. a Contracts approved and signed to move forward on acquiring state funds for North Key Largo Utility and Key West Resort Utility. a County staff provided appropriations requests to Senator Graham and Nelson's offices. The amount of the requested funds was $3,000,000 to initiate priority projects in the coming year. a The Commission supported a resolution allowing staff to submit a CDBG grant for Baypoint, using Knucklehead's Restaurant as the focus for receiving the grant. a The BOCC approved a wastewater assessment ordinance (placement on tax bill) for all areas served by investor-owned utilities sponsored with funding by the County. WASTEWATER GOVERNANCE Issues Addressed/Actions Taken a MSTUs advertised and adopted for Conch Key, Marathon, Bay Point, and Big Coppitt a A District Manager (Management Firm - GSG/Robert Sheets), a District Engineer (Boyle Engineering) were hired, and number of Key Resolutions (Rates & Fees and Request for MSTU), were passed by the Key Largo Wastewater Utility District. a Transition agreement approved between the County, FKAA, and the Key Largo Wastewater Utility Board. a MSTU advertised and approved in May at the BOCC meeting for the Key Largo Wastewater Treatment District. 14 o MSTUs (Excepting Big Coppitt approved for assessment) - June I July 2003 o Commissioner McCoy made Wastewater Liaison - July 2003 o PROGRAMMATIC IMPLEMENTATION PLAN Issues Addressed/Action Taken: o Approval by BOCC of policies on "reasonable" connection fees and monthly service charges and public financial assistance to wastewater projects and economically disadvantage households. FEMA UNMET NEEDS PROJECTS E. Key Largo Trailer Village (MM 101.5) and Key Largo Park (MM 100.5) Issues Addressed/Addressed Taken: o Approval by the BOCC assigning $1.66 million in available State funds to expand the Key Largo Trailer Village FEMA project to include Key Largo Park. o Approval of a resolution with the FKAA for the use of $1.66 million in FDEP funds to move forward toward constructing the Key Largo Park project and the designation of up to $200,000 in Fund 148 dollars to assist the FKAA in on-going engineering costs for the Key Largo project. o Approval of an additional $156,000 in funding for project development at Key Largo Park. o Approval of a revision to the Inter-local Agreement with FKAA to allow direct payment to Boyle Engineering for engineering services on Key Largo Park. o Approval of a joint transition agreement with the FKAA and the Wastewater District on the Key Largo Trailer Village project. o Transition process between the County, FKAA, KL WTD, and FEMA for project management completed. o Project construction bid process and award/signature of construction contracts complete. F. Conch Key (MM 61) Issues Addressed/Addressed Taken: o Approval by the BOCC of the selection of the stand-alone wastewater management option for Conch Key on June 20, 2002. o Approval of an agreement with FDOT for the proposed wastewater treatment plant site on the north side of the Overseas Highway, Conch Key o Decision not to move forward in acquiring property on the south side of the Overseas Highway, Conch Key. o Held informal workshops with the Conch Key community in early December 2002 o Held additional workshops (FKAA) with the Conch Key Community in May 2003 o Completion of FEMA hearings 15 G. Baypoint (MM 15) Issues Addressed! Addressed Taken: o Selection by the BOCC of a site in Bluewater RV Park for location of a wastewater treatment plant. o Approval to purchase lots 11 and 12 of Baypoint Subdivision o Held informal workshops with the Bay Point community in early December 2002 o Baypoint lots 11 and 12 purchased and in County ownership o Held additional workshops (FKAA) with the Baypoint Community in May 2003 KEY WEST RESORT UTILITIES (STOCK ISLAND EXPANSION) Issues Addressed! Addressed Taken: o Approval by the BOCC on July 31, 2002, of a contract to make available to Key West Resort Utility $4.6 million in Fund 304 Infrastructure money to expand its collection to the remaining portions of south Stock Island. o Acceptance of financial assistance program for economically disadvantaged households presented by staff. o Revision of financial assistance program to include mobile home park owners, allowing multiple payments over a three year period. o Approval of a Resolution for Key West Resort Utility move forward on upgrading its plant to AWT. o Approval of a contract for receipt of state monies to assist in construction on Stock Island. o Funding for contract could not be provided - KWRU could not meet technical requirements under state bid procedure - funds shifted to KL WTD o Connection fees and associated costs through KWRU for connection to the Utility reviewed. o Establishment of a Uniform Wastewater Connection policy for Key West Resort Utilities and the rest of the Keys under FKAA and KL WTD authority - what properties are served to what degree, and at who's expense. o Establishment of a tax assessment ordinance which provides the means to finance connection fees for those interested over a protracted period of time (20 years) oURS - Greiner has begun an effort to complete an independent audit of the KW Resort Utility effort. o KW Resort Utility contract revised for administering the connection fees on those wishing to take advantage of the Assessment process LOWER KEYS WASTEWATER (MM 7.0 TO MM 11.0) Issues Addressed! Addressed Taken: o Requested $2,000,000 from House Bill 851 funding program. o Approved sending out an RFQ for Engineering services to complete surveymg, aerial photography, and engineering design work. o BOCC Agreed to hold off on RFQ pending completion of the Big Coppitt feasibility study 16 o Consideration of recommendations of staff on preferred wastewater management options for Big Coppitt. o FKAA has been requested by the BOCC to complete an RFP for completion of a design I build project on Rockland I Big Coppitt I and Geiger Keys EPA DECENTRALIZED WASTEWATER DEMONSTRATION PROGRAM Issues Addressed/Addressed Taken: o Approval of staff recommendations to move forward with the EP A decentralized grant program. o BOCC agrees to turn down funding and shift match funds to assist in reducing costs as Conch Key and Baypoint OTHER ISSUES Issues Addressed/Addressed Taken: o Revision of ordinance to change Duck Key and Conch Key to "hotspots." Resolutions 39- 2002 and 40-2002. 17 FROM . .. PHONE NO. Dec. 21 2002 10:54RM P2 CH2M HIll 6410 51n SlreSI SUIIp, ~A CH2MHILL Key W"". f'L 33040-5835 Tel 305.294.1845 F.. 305.294.4913 November 11, 2003 Mr. James L. Roberts County Administrator Monroe County 1100 Simonton Street, Room 2-205 Key West, Florida 33040 Subject: KW Resort Utility Vacuum Sewer System Expansion Dear Jim: This letter confirms that none of the different sets of drawings that I have reviewed or am aware of, including the May 21, 2002 drawings (which I reviewed and provided comments) and the May 30,2002 drawings (referred to as the "bid set"), showed KW Resort Utility instaJIing vacuum sewer system infrastructure on private property. All infracture, including vacuum sewer mains, vacuum valve pits, buffer tanks, and vacuum main stubs, were always installed within the public street right-oi-way. Please let me know if you have any questions or need additional information. Sincerely, Kenneth F. Williams, P.E. 1<. I 17/11 2003 10:21 FAX 941 764 8915 Weiler Engineering l4J 0011003 ~~ AT 0 "Excellence in Engineering" 20020 Va",",," 9oul<Vllfd" Sulte 7 POlt CIwlolto. fl. .13954 (941) 7!>4-0447 pb (941) 764.1915 Iilx G6~O Flllal SIICd, Stodr. bland ""r w.... floridA )!o.lO (305) 295.J301 pb (305) 295.11143li1:< November 17, 2003 Monroe County Commissioner Charles "Sonny" McCoy 530 Whitehead Street Key West, Florida 33040 Re: Stock Island Sewer Expansion! Document Comparative Analysis Dear Commissioner McCoy: We were provided the documents late Friday, November 14 used by the County's consultants CH2M Hill and URS to investigate the Stock Island Project. Pmsuant to your request, I have researched the documents and offer the following comparison to the BID SET Documents dated May 30, 2002. It is my understanding that the Draft Contract with the Utility referred to plans dated May 16,2002, yet the documents provided by the County and the County's Consultant are actually dated May 21,2002. Copies of the FDEP submittals were provided to the County in March, 2002 and the BID SET plans dated May 30, 2002 were provided to the County on June 11,2002 and it was confirmed that the County Engineer had the May 30, 2002 plans on June 11, 2002 later that day at the Pre-Bid Meeting for the project. The May 21 drawings were developed to investigate a "what if' scenario just as a multitude of other "what if' scenarios were investigated throughout the design process of the project and did not represent the final bidding or construction documents. They were produced in reduced size and were not signed and sealed, or stamped Bid Set, or in any other way designated as an official set. It is obvious that the May 21 documents are not final construction plans and could not be used for bidding or construction DurDoses since the Quantities and types of tanks required for the protect can not be detennined and there are numerous, obvious inconsistencies throughout the Plan and Profile sections of the drawings. It is unfortunate that neither Weiter Engineering nor the County Engineer were informed that the County's Consultant, CH2M Hill, was reviewing the May 21 documents as the Consultant would have been informed that they were not the correct plans. In fact, it is surprising that the tremendous inconsistencies throughout the May 21 plans were not identified by either of the County's Consultants. Stock blaDd CompaI1l.tive Analysis Page 1 0[3 11117/2003 WEe File 02013 ~) '..".? 17/11 2003 10:21 FAX 941 764 8915 Weiler Engineering l4i 0021003 It is apparent that the May 21 drawings and contract documents were design development documents or just ideas put to paper but, in fact, are substantially identical to the May 30 drawings and contract documents in all respects with the exception of the Plan & Profile sheets. The Master Mainline sheet of the May 21 plans shows the entire project and clearly shows vacuum stubs as the intended means of connection for the trailer parks in question just as the May 30 plans do. The May 21 - Pit Index and the Bid Form Schedule both. clearly show a limited number of buffer tanks nearly identical to the May 30 - BID SET plans and contract documents. Only the Plan & Profile sheets in the May 21 drawings are different than what was designed bid and built. In every other respect, the May 21 plans generally agree with all other sets including those approved by the Florida Department of Environmental Protection for permitting and Operation. Some of the obvious similarities and differences are as follows: May 21, 2002 Documents Item Reviewed Mav 30, 2002 Bid Set 17 Buffer Tanks Bid Form Schedule 19 Buffer Tanks 15 Buffer Tanks and 17 Pit Index (from drawings) 15 Buffer Tanks and 17 Vacuum Stubs (to trailer Vacuum Stubs (to trailer parks) parks) 15 Buffer Tanks and 16 Master Mainline Sheet 15 Buffer Tanks and 16 Vacuum Stubs (to trailer (from drawings) Vacuum Stubs (to trailer parks) parks) 14 Buffer Tanks and 16 Mainline Plan Sheets 14 Buffer Tanks and 16 Vacuum Stubs (to trailer (from drawings) Vacuum Stubs (to trailer ~arks) parks) 35 Single Buffer Tanks, 14 Plan & Prof11e Sheets 14 Single Buffer Tanks, No Dual Buffer Tanks and 2 (from drawings) Dual Buffer Tanks and 16 Vacuum Stubs Vacuum Stubs Not designated as BID SET Designation as BID SET Designated as BID SET, on Bid Documents binder stamped in red ink on cover Not designated as BID SET, Designation as BID SET Designated as BID SET, but also not designated as on Drawings stamped in red ink on cover Preliminary or Draft sheet Reduced size, 11" X 17" Size of Documents Full size, 24" X 36" Not signed Signature of Engineer Signed, dated and sealed by the Engineer Although a great deal of effort was expended on how the trailer parks and RV parks would be serviced, it was never the intent of this project to actually construct the infrastructure or abandon the existing wastewater disposal systems within the private properties just as it was never the intent to construct the service laterals onto the private property of individual users or to abandon the individual cesspits and/or septic systems. Earlier this year, the County and their Consultant, CH2M Hill, investigated the design Stock Island Comparative Analysis Page 2 of3 11/17/2003 WEe File 02013 17/11 2003 10:22 FAX 941 764 8915 Weiler Engineering @003/003 process and design as constructed and determined that it was consistent with the County Ordinances and fair and equitable to all users. Also of note: · At the October 15,2003 presentation, Mike Condrin ofURS stated at 6:43 PM that the May 21,2003 drawings were signed by the Engineer. At 7:37 PM, again referring to the May 21,2003 drawings, he emphatically stated that it was "not a simple date stamp" and that the drawings Were "signed by an individual at the engineering finn". Copies of the drawings reviewed by URS were transmitted to WEC by Monroe County Engineering, Barry Rikard. An examination of these plans showed only the simple date stamp of May 21,2002. There is no signature on the set provided to WEC by Monroe County Engineering or on the set provided to WEe by Ken Williams of CH2M Hill. · At the October 15,2003 presentation at 8:30 PM, in response to a question by Commissioner Neugent, Danny Kohlage stated that "the plans have a date stamp that says May 2] st, but in the body of the block at the right hand bottom comer of the plans it says May 16th, so May 16th is synonymous with May 21 st". A thorough review of the May 21 st sets provided to WEC shows that the date of May 16th does not appear anywhere in the plans. · The Utility has contracted to allow three private developments to connect via a vacuum system and one via a gravity system in recent months and, based on the construction estimates provided by the customers, the gravity system was considerably more expensive to install per EDU than the vacuum systems just as we had predicted. Also; I contend that the cost per resident (EDU) to Connect to the KWRU is consistently more reasonable than. the grant funded Little Venice project even in the mobile home parks and campgrounds. Please feel free to contact me at any time at (941)764- 6447 or on my cell phone at (941 )628-4732. Sincerely, ~/ tJ~g President The Weiler Engineering Corporation ~-~- Ed R. Castle, P .E. Project Manager The Weiler Engineering Corporation Cc; David Koppel, P .E. - Monroe County Engineer WEe File No. 02013 Stock Island Compantivc AnalysisePage 3 0(3 Ill] 712003 WEe File 020 13 "0 = =: - 'IJ .... ~ ~ fI) Q ~.... .- 00 ...... .- .c >.... ; = c.JQf'f") <00= .= c..QM 0_ ... ~GJ= ~,..... .: .~ . _ ..... GJ ........c = ~ e O.GJ ~ GJ > ~ :t: ZQ fI) GJ 000 - o Q '- = ~Q o.c GJ - Q.. e Q U _ c.... Cl) fI} Cl) Q,) Cl) -. 0'" . "'0 Q,) ::::;.:: 0 = ... .... 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U o .- :g p.. ~ - c:: ;:3 o U .~ ::0 ;:3 p.. ~ 1: ;:3 o U .~ ::0 ::s p.. >; - c:: ::s o U .~ ::0 ;:3 p.. ~ 1: ;:3 o U ~ 1: ;:3 o ""'~ U ..: ""'~ Q,) ^ Q,) Q,) --~~~~ <~u~~ ""'~ ..: ""'~ ..: .2 ..2 ..2 ........ Q,)_ .... ..... ..... Q,) Q,) Q,) Q,) ~ ~ ~ ~ <12 c:: o 'f.~ Q,) c:: c:: o U e Q,) ~ >. tI) "'0 1a c:: o '13 2 ... <12 c:: o U "'0 Q,) ::s <12 <12 - --. <12 '-" t) Q,) c:: c:: o U o ... Q,) o '':: o Z ~ ~ o M ta 7d c:: c:: i.t:: i.t:: <12 c:: o '13 Q,) c:: c:: o U "'" Q,) ~ tI) c..... o c:: o .~ o t+:: .- "'" Q,) :> Q. ;:3 I ~ o - (5 ~ <CQUQ~~~ M C"'l C"'l C"'l M C"'l C"'l <..fI'o\ '~".. Nov 17 03 02:09p James L Roberts Co Admin 305-292-4544 p. 1 IFAX I Date 11/17/03 I Number of pages including cover sheet 5 TO: BOCC RICHARD COLLINS TIM MCGARRY JIM REYNOLDS JIM QUINN HAL CANARY DANNY KOLHAGE Phone Fax Phone FROM: The Office of James L. Roberts Monroe County Administrator The Historic Gato Cigar Factory 1100 Simonton Street Suite 2-205 Key West, FL 33040 Phone 305-292-4441 I CC: REMARKS: o Urgent o For your review 0 Reply ASAP 0 Please Comment A COpy WITH THE ENCLOSURE IS BEING MAILED TO YOU. Debbie Frederick Aide to the County Administrator Nov 17 03 02:09p James L Roberts Co Admin 305-292-4544 p.2 MEMORANDUM TO: Board of County Commissioners FRONt JmnesL.Ro~ County Administrator DATE: November 17,2003 SUBJECT: Recommendation for Wastewater Funding ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ On November 10,2003, the Secretary of the Department of Community Affairs sent the County COnmllssion a recommendation for dealing with issues pertaining to the implementation of the Comprehensive Plan and Work Program. On November 14, I sent to you a review by Mr. McGarry concerning cet1ain aspects of that proposal. I also indicated to the County Commission that we would look at issues pettaining to the proposal for a $200 million bond issue for wastewater facilities. One of the County's major goals, and certainly of great importance to the Department of Community Affairs, is implementation of a successful wastewater program. The County has been wrestling with the question of how to implement the program and fund it. If we look at the monies that have been committed, spent, and programmed for a variety of projects around the Keys (excluding Key West), it appears as though approximately $200 million falls into one of those categories. That, of course, does not mean that all those projects are implemented but rather that they are eithet" implemented, planned or have specific funding reserved. The list includes the public participation with the privately owned Stock Island system, the north Key Largo utility, Conch Key, Bay Point, Big Coppitt ($6 million programmed in the infrastructure sales tax fund), the Key Largo Wastewater District, Layton, Key Colony Beach and the two very large projects in Islamorada and Marathon. The State and federal governments have provided significant contributions to those numbers through State appropriations, FEMA grants and a $4.3 million grant for the Little Venice project. What is it that remains to be done in unincorporated Monroe County? A staff review of the Monroe County Wastewater Mastet" Plan, with some inflation factor added, suggests that there is slightly under $300 million left to program and implement in unincorporated Monroe County. When the two categories are added together, the numbers are approximately the $500,000,000 that was originally discussed when Congress passed the authorization of $100 million. Through a referendum, the voters of Monroe County approved the extension of the one cent infrastructure sales tax. Some of those funds were to be utilized for wastewater facilities. In fact, there is a category called "Physical Environment" which has a total from FY Nov 17 03 02:09p James L Roberts Co Admin 305-292-4544 p.3 2005 through FY 2019 of $64 million. In addition, funding in FY 2003 and FY 2004 shows another $6 million which is identified for the proposed Big Coppitt system Therefore, the County has already made a connnitment of approximately $70 million over the next 16 years. If the State follows through on its proposal to purchase environmentally sensitive lands, then this sum of money could be totally dedicated to wastewater facilities in unincorporated Monroe County. Presently, the County anticipates approximately $10,500,000 per year of revenue. There are some special categories for which revenue should be set aside with the great majority of the money going for specific projects. In FY 2003, the Board of County COnmllssioners adopted a $21 million bond which is to be utilized primarily for public safety facilities (fire stations, EMS facilities, courthouses, medical examiner facility, Upper Keys government center). Payment on those bonds ranges from $1.8 million per year to up to $2 million per year by the end of2019. The balance of the infrastructure sales tax fund has been identified for projects. How then can the County anticipate the funding of wastewater projects in unincorporated Monroe COWlty? First, it must be recognized that the wastewater authority for unincorporated Monroe COWlty is the Florida Keys Aqueduct Authority, with the exception of Stock Island and the Key Largo Wastewater District. The FKAA has significant borrowing capacity based on the revenue flows paid by the users of wastewater systems. Already, the FKAA has proceeded through a court validation process pertaining to the Marathon project and should have the ability to do so for other projects as required. At this time, their borrowing limits are not known and would have to be detennined. However, there is an Interlocal Agreement in place between Monroe County and the FKAA in reference to cooperating on development of wastewater systems. That Agreement is that the County will provide or work with the FKAA in locating and purchasing property for wastewater plants and in assisting with some of the up front costs leading to the FKAA's implementation of systeIm. If the Board of County Conunissioners wishes to pursue a connnitment to funding a specific amount by the County, there should be research and an agreement with the Florida Keys Aqueduct Authority concerning mutual responsibilities and financial obligations. One question for the County would be whether the currently allocated amount of infi:astructure sales tax funds for wastewater projects is sufficient and available according to a reasonable timetable, even though it will not all be available prior to 2010. If the answer is that funding must be accelerated, then the County Conunission can move toward a debt obligation using the infrastructure sales tax funds as support. In August of 2003, Public Financial Management presented to the County a debt capacity report which was geared toward providing funding for the purchase of environmentally sensitive lands. If the State proposal is to take on most of that responsibility, the debt capacity report can be viewed as a potential resource for the development of wastewater treatment facilities. Once again, the County should consider the mutual and relative participation of the FKAA. 2 Nov 17 03 02:09p James L Roberts Co Admin 305-292-4544 p.4 PFM analyzed a wide variety of potential funding sources. After review and consideration of the use of those sources and the difficulties associated especially with utilization of ad valorem millage, it seemed that the best source of funding remains the infrastructure sales tax. PFM concluded that for any meaningful amount to be bonded Ii-om this source there would have to be a readjustment of other projects within the program. Depending upon interest rates and further analytical work to be done, it is possible that there could be a total of $50 to $60 million of debt, at lease two-thirds of which would be available for wastewater facilities. Therefore, after consultation and analysis with the FKAA, the County would be in a position to live up to its obligation as a partner with the FKAA in implementing a wide ranging wastewater program. One of the questions is how rapidly an overall program can be implemented in conjunction with the State's mandate of2010 requirements. Therefore, on a continuing basis over the next 15 years, the County has approximately $70 million worth of infrastructure sales tax funds. If there is a need to accelerate the availability of those funds, the County can use that revenue flow to support a bond issue. In addition, the County has additional capacity within the local infrastructure sales tax fund over the next 15 years to make additional funds available should it be necessary to do so. It is the Administrator's feeling that the $200 million bond issue discussed in the Secretary's letter of November 10,2003, is an attempt to have a commitment for most, ifnot all, of the actual cost for wastewater facilities. It basically suggests that Monroe County should be the Pl1mary funding agent for all such facilities in unincorporated Monroe County. The County has made substantial policy decisions in reference to the utilization of its funding and has supported a wide variety of projects. It is reasonable to assume that the County will continue such a level of support in conjunction with its partners in the state and federal governments and in the Florida Keys. In an effort to assure that there not be an onerous burden placed upon the users of new wastewater facilities, the County's policy is to continue to strive to reduce those impacts wherever possible. Therefore, the Administration's reconnnendation m reference to this ISsue IS as follows: 1. Work with the Florida Keys Aqueduct Authority to detennine relative financing abilities and a cooperative way to accelerate and implement the overall wastewater program for the County; 2. Continue to use the infi'astructure sales tax revenue stream to support wastewater treatment efforts throughout unincorporated Monroe County; 3. Utilize that revenue stream as support for bonding obligations should it be necessary or prudent to accelerate the availability of funding; 3 Nov 17 03 02:10p James L Roberts Co Admin 305-292-4544 p.5 4. If requested by the State, pass a resolution that incorporates these steps and any others determined appropriate by the Board of County Commissioners to accent the County's continuing commitment to completing its wastewater treatment program. .J~~ James L. Roberts County Administrator JLR: dlf Ene. Cc: Richard Collins Tim McGarry Jim Reynolds, FKAA Jim Quinn, DCA Hal Canary, PFM 4 No'v 18 03 09:57a Jam@s L Rob@rts Co Admin 305-292-4544 p.4 MEMORANDUM TO: Board of County Commissioners FROM: James L. Roberts County Administrator DATE: November 17,2003 SUBJECT: Recommendation for Wastewater Funding ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ On November 10,2003. the Secretary of the Department ofConmmity Affairs sent the County Connnission a recommendation for dP.st1illg with issues pertaining to the implementation of the Comprehensive Plan and Work. Program. On November 14, I sent to you a review by Mr. McGany concerning certain aspects of that proposal I also indicated to the County Commission that we would look at issues pertaining to the proposal for a $200 million bond issue for wastewater facilities. One of the County's major goals, and certainly of great importance to the Dcpartm.cnt of Conmunity Affairs. is implementation of a successful wastewater program. The County has been wrestling with the question of how to implement the program and fund it. If we look at the monies that have been connnitted, spent, and programmed for a variety of projects around the Keys (excluding Key West), it appears as though approximately $200 million falls into one of those categories. That, of course, does not mean that all those projects are implemented but rather that they arc either implemented, planned or have specific funding reserved. The list includes the public participation with the privately owned Stock Island system. the north Key Largo utility, Conch Key, Bay Point, Big Coppitt ($6 nulIion programmed in the inftastructure sales tax fund), the Key Largo Wastewater District, Layton, Key Colony Beach and the two very large projects in IsJamorada and Marathon. The State and federal governments have provided significant contributions to those numbers through State appropriations, FEMA grants and a $4.3 million grant for the Little Venice project. What is it that remains to be done in unincorporated Momoe County? A staff review of the Momoe County Wastewater Master Plan, with some inflation factor added, suggests that there is slightly under $300 nnllion left to program and implement in unincorporated Monroe County. When the two categories are added together. the numbers are approximately the $500,000,000 that was originally discussed when Congress passed the authorization of $1 00 million. Through a referendum, the voters of Momoe County approved the ext~on of the one cent infrastructure sales tax. Some of those funds were to be utl1ized for wastewater fdcllitieS. In fact. there is a category called "Physical Environment" which bas a total from FY No'v 18 03 09: 57a James L Roberts Co Admin 305-292-4544 p.5 2005 through FY 2019 of$64 miJIion. In addition, ftmdiDg in FY 2003 and FY 2004 shows . another $6 million whid1 is identified for the proposed Big Coppitt system. Therefore, the .: County bas already made a commitment of approximately $70 million over the next 16 years. If the State follows through on its proposal to purcliase enviromnental1y sensitive lands, then this smn of money could be totally dedicated to wastewater facilities in mrincorporated Monroe County. Presently, the County anticipates approximately $10,500,000 per year of revenue. There are some special categories for which revenue should be set aside with the great majority of the money going for specific projects. In FY 2003, the Board of County Commissioners adopted a $21 million bond which is to be utilized pdmmily for public safety facilities (fire stations, BMS facilities, courthouses, medical examiner facility, Upper Keys govemmentcenter). Payment on those bonds ranges from $1.8 million per year to up to $2 nullion per year by the end of 2019. The balance of the infrastructure sales tax fund has been identified for projects. How then can the County anticipate the funding of wastewater projects in unincorporated Monroe County? First, it must be recognized that the wastewater authority for unincorporated Momoe County is the Florida Keys Aqueduct Authority, with the exception of Stock Island and the Key Largo Wastewater District. The FKAA has significant borrowing capacity based on the revenue flows paid by the users of wastewater systems. Already, the FKAA bas proceeded through a court validation process pertaining to the Marathon project and should have the ability to do so for other projects as required. At this time, their borrowing limits are not known and would have to be determined. However, there is an Interlocal Agreement in place between Monroe County and the FKAA in reference to cooperating on development of wastewater systctm. That Agreement is that the County will provide or work with the FKAA in locating and purchasing property for wastewater plants and in assisting with some of the up front costs leading to the FKAA's implementation of systems. If the Board of County Commissioners wishes to pursue a COUllnitment to funding a specific amount by the County, there should be research and an agreement with the Florida Keys Aqueduct Authority concerning mutual responsibilities and financial obligations. One question for the County would be whether the currently allocated amount of infrastructure sales tax funds for wastewater projects is sufficient and available according to a reasonable timetable, even though it will not all be available prior to 2010. If the answer is that funding nmst be accelerated, then the County Commission can move toward a debt obligation using the infrastructure sales tax funds as support. In August of 2003, Public rmancial Management presented to the County a debt capacity report which was geared toward providing funding for the purchase of .__ environmcntaDy sensitive lands. If the State proposal is to take on most of that responsibility, the debt capacity report can be viewed as a potential resource for the development of wastewater trelJtmfI!nt facilities. Once again, the County should consider the mutual and relative participation of the FKAA. . 2 Ndv 18 03 09:57a James L Roberts Co Admin 305-292-4544 p.6 PFM analyzed a wide variety of potential funding sources. After review and . consideration of the use of those sources and the difficulties associated especially with .: utilization of ad valorem n:u1lage, it seemed that the best source of fimdiDg remains the infrastructure sales tax. PFM concluded that for any meaningful amount to be bonded from this source there would have to be a readjustment of other projects within the program. Depending upon interest rates and further ana1ytical work to be done, it is possible that there could be a total of $50 to $60 million of debt, at lease two-thirds of which would be available for wastewater facilities. Therefore, after consultation and analysis with the FKAA, the County would be in a position to live up to its obligation as a partner with the FKAA in implementing a wide ranging wasteWater program. One of the questions is how rapidly an overall program can be implemented in conjunction with the State's mandate of2010 requirements. Therefore, on a continuing basis over the next 15 years, the County bas approximately $70 million worth of infrastructure sales tax funds. If there is a need to accelerate the availability of those funds, the County can use that revenue flow to support a bond issue. In addition, the County has additional capacity within the local infrastructure sales tax fund over the next 15 years to make additional funds available should it be necessary to do so. It is the Administrator's feeling that the $200 million bond issue discussed in the Secretary's letter of November 10,2003, is an attempt to have a COlnmitmcnt for most, ifnot all, of the actual cost for wastewater facilities. It basically suggests that Monroe County should be the primary funding agent for all such facilities in unincorporated Monroe County. The County has made substantial policy decisions in reference to the utilization of its funding and has supported a wide variety of projects. It is reasonable to assume that the County will continue such a level of support in conjunction with its partners in the state and federal governments and in the Florida Keys. In an effort to assure that there not be an onerous burden placed upon the users of new wastewater facilities, the County's policy is to continue to strive to reduce those impacts wherever possible. Therefore, the Administration's recommendation in reference to this issue is as follows: 1. Work with the Florida Keys Aqueduct Authority to dctennine relative financing abilities and a cooperative way to accelerate and implement the overall wastewater program for the COWlty; 2. Continue to use the infrastructure sales tax revenue stream to support wastewater treatment efforts throughout unincorporated Monroe County; 3. Utilize that revenue stream as support for bonding obligations should it be necessary or prudent to accelerate the availability of funding; 3 Nciv 18 03 09:58a James L Roberts Co Admin 305-292-4544 p.? 4. If requested by the State, pass a resolution that incorporates these steps and any . others detennined appropriate by the Board of County Commissioners to ". accent the County's continuing conmritment to completing its wastewater treatment program. .J~~ James L. Roberts County Administrator JLR: d1f Ene. Cc: Richard Collins Tim McGarry Jim Reynolds, FKAA Jim Quinn. DCA Hal Canary, PFM 4 Nov 18 03 09:58a James L Roberts Co Admin 305-292-4544 p.8 Roberts-Jim From: Sent: To: Cc: Hanson-Donna Monday, November 17, 20033:55 PM Roberts-Jim 'Gary Bauman'; 'Cris Beaty'; 'Charles Brooks'; 'Andy Tobin'; 'Jerry Wilkinson'; Spehar-Dixie; Neugent-George; McCoy-Sonny; Rice-David; McGarry-Tim; 'Danny Kolhage'; 'Ken SORENSEN' Mr. Roberts Having just read your letter to the BOCC regarding wastewater funding, I am shocked by your suggestion that all of the 70 million dollars from the infrastructure fund be spent in areas controlled by the FKAA. Bonding infrastructures money for wastewater should be based on the number of EDU's to be connected and the rank of the Hot Spot by the Master Wastewater Plan. The county is not only in partnership with the FKAA but also the KWRU, KLWWD and Ocean Reef wastewater. Your recommendations to only work with FKAA is not only short sighted, but raises the question of equal distribution of County funds. Your response to this letter prior to the meeting of the BOCC on 11-19-03 would be greatly appreciated. Murray Nelson Donna Hanson Executive Assistant to Mayor Pro Tern Murray Nelson Phone..(305) 852-7175 Fax......(305) 852-7162 Email: boccdis5@monroecounty-fl.gov Nov 18 03 09:58a James L Roberts Co Admin p.9 O~~T,Y ~o~~E (305) 294-4641 Mayor Pro Tern Murray E. Nelson District Five Damaron Building, Suite 2 99198 Overseas Highway Key Largo, FL 33037 PHONE (305) 852-7175 FAX (305) 852-7162 EMAIL boccdis5@monroecounty-fl.gov Dear Mr. Roberts, 305-292-4544 (~ . '.,-"",-" BOARD OF COUNTY COMMISSIONERS Mayor Dixie M. Spehar, District 1 Mayor Pro Tern Murray E. Nelson, District 5 George Neugent, District 2 Charles "Sonny" McCoy, District 3 David P. Rice, District 4 November 17, 2003 Having just read your letter to the BOCC regarding wastewater funding, I am shocked by your suggestion that all of the 790 million dollars from the infrastructure fund be spent in areas controlled by the FKAA. Bonding infrastructure money for wastewater should be based on the number ofEDU's to be connected and the rank of the Hot Spot by the Master Wastewater Plan. The County is not only in partnership with the FKAA but also the KWRU, KL WWD and Ocean Reef wastewater. Your recommendations to only work with FKAA is not only short sited, but also raises the question of equal distribution of County codes. Your response to this letter prior to the meeting of the BOCC on 11-19-03 would be greatly appreciated. Sincerely, Murray E. Nelson Mayor Pro Tern Nov 18 03 09:59a James L Roberts Co Admin 305-292-4544 p.10 O!;'.~"': ~~~~E (305) 294-4641 Mayor Pro Tem Murray E. Nelson District Five Damaron Building, Suite 2 99198 Overseas Highway Key Largo, FL 33037 PHONE (305) 852- 7175 FAX (305) 852-7162 EMAlL boccdis5@monroecounty-fl.gov Dear Mr. Roberts, (..'......- BOARD OF COUNTY COMMISSIONERS Mayor Dixie M. Spehar, District 1 Mayor Pro Tern Murray E. Nelson, District 5 George Neugent, District 2 Charles "Sonny" McCoy, District 3 David p, Rice, District 4 November 17,2003 Having just read your letter to the BOCC regarding wastewater funding, I am shocked by your suggestion that all of the 70 million dollars from the infrastructure fund be spent in areas controlled by the FKAA. Bonding infrastructure money for wastewater should be based on the number ofEDU's to be connected and the rank of the Hot Spot by the Master Wastewater Plan. The County is not only in partnership with the FKAA but also the KWRU, KLWWD and Ocean Reef wastewater. Your recommendations to only work with FKAA is not only short sited, but also raises the question of equal distribution of County funds. Your response to this letter prior to the meeting of the BOCC on 11-19-03 would be greatly appreciated. Sincerely, Murray E. Nelson Mayor Pro Tem Nov 18 03 09:5Sa James L Roberts Co Admin 305-292-4544 p. 1 /FAX L Date 11/18/03 I Number of pages including cover sheet 10 TO: BOCC DANNY KOlHAGE RICHARD COLLINS TIM MCGARRY REP. SORENSEN JIM REYNOLDS Phone Fax Phone FROM: The Office of James L. Roberts Monroe County Administrator The Historic Gato Cigar Factory 1100 Simonton Street Suite 2-205 Key West, FL 33040 I CC: Fax # 305-292-4544 REMARKS: o Urgent ~ For your review 0 Reply ASAP o Please Comment Nov 18 03 09:56a James L Roberts Co Admin 305-292-4544 p.2 MEMORANDUM TO: Corrunissioner Murray Nelson FROM: James L. Roberts County Administrator DATE: November 17,2003 SUBJECT: My Memorandum of November 17, 2003 ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ When I received your response to my November 17, 2003 memorandwn, I was in awe that you were "shocked" by what was contained therein. I believe that there is a major misinterpretation of the purpose of my memorandum and the infonnation contained therein. I am also concerned that copies of your memorandum were immediately provided to members of the Key Largo Wastewater Treatment District Board, the County Commission, the County Clerk, the Director of Growth Management and the State Representative. A simple phone call would have cleared up any misunderstanding and might have resulted in additional. explanation that would have prevented the possibility of creating a controversy where none actually exists. Apparently, you were in your office and I was in my office and such a discussion would have been easy to have. In your email response to my memorandum you concluded that I had a "suggestion that all the $70 million in the infrastructure fund be spent in areas controlled by the FKAA." Nowhere in my document is that the case. Although I do cormnent specifically on the relationship with the FKAA, I do not do so at the exclusion of commenting on other entities who have been and may be our partners in the future. In fact, there are connnents in reference to the privately owned system on Stock Island, the north Key Largo utility and the Key Largo Wastewater District. In my report, there is also a reference to the fact that there is somewhere near $300 million of work left to be done. Although that is generalized, it clearly includes the work that has to be done in the Key Largo area as in many other areas throughout the Keys. The Key Largo Wastewater District is clearly identified on page two as the wastewater authority for that part of unincorporated Monroe County. References to the Aqueduct reflect the fact that the Aqueduct has already undertaken the possibility of long term financing by going through a cowt validation process. There is also a formal Interlocal Agreement in place between Monroe County and the Aqueduct in reference to cooperating on future wastewater systems. In fact, on page three, there is the statement that the discussion of a bond issue with the Secretary "basically suggests that Monroe County should be the primary funding agent for all such facilities in unincorporated Monroe County (emphasis added). I refer to the reference that the County "will continue such a level of support in conjunction with its partners in the state and federal govemments and in the Florida Keys" (emphasis added). Nov 18 03 09:57a James L Roberts Co Admin 305-292-4544 p.3 In tenns of the four reconnnendations, number two is "continue to use the infrastructure sales tax revenue stream to SUPP0l1 wastewater treatment efforts throughout Wlincorporated Monroe County." Recommendation number four refers to steps appropriate to accent "the County's continuing commitment to completing its wastewater treatment program." That program is COWlty wide and pertains to aU of Wlincorporated Monroe COWlty, as detennined by the Monroe COWlty Wastewater Master Plan. I have difficulty Wlderstanding your concern since I utilized the FKAA as an example. However, as clearly identified, they were not intended to be the sole partner in reference to wastewater projects in Wlincorporated Monroe COWlty. There are major issues still outstanding in reference to Stock Island. The COWlty has not yet developed a fonnal understanding with the Key Largo Wastewater Treatment District as it has with the Aqueduct. However, there is no attempt to deal with only one partner but rather to point out that the Aqueduct has a clearly defined legal and financial ability to be a major contributor to the long term financing of wastewater facilities. As you will note, the memorandum talks about a BOCC decision concerning whether to utilize the infrastructure sales tax as it comes to the County each year or to utilize it to support a larger bond issue up front. I hope this will serve to assuage your "shock" at having read my memorandum. There is clearly no suggestion to exclude any eligible partner. Since you have taken the liberty to copy members of the Key Largo Wastewater Treatment DistIict Board, I request that you forward my comments to them also. I shall copy the Board of COWlty Commissioners and others. =:7~cU James L. Roberts COWlty Administrator JLR: dlf Cc: Board of County Corrunissioners Danny Kolhage, County Clerk Richard Collins, COWlty Attorney Representative Ken Sorensen Tim McGarry, Director of Growth Management Jim Reynolds, Director of FKAA Jim Quinn, DCA Hal Canary, PFM 2