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Item Q1* 3:00 p.m. Public Hearing * BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: May 16, 2012 Division: County Attorney Suzanne Hutton #3470 Bulk Item: Yes _ No X Staff Contact Person(s): Wilson(453-8797) - Wastewater AGENDA ITEM WORDING: A public hearing for the adoption of an ordinance extending the infrastructure sales tax beyond its current 31 December 2018 expiration date, scheduling a a referendum as required by statute, and establishing the uses for the revenue stream created. (First of three (3) public hearings: additional hearings scheduled to be held at 3:00 p.m. at the regular BOCC meeting in Marathon on 6/20/12 and in Key West on 7/18/12. ITEM BACKGROUND: The extension of the sales tax is a key component of the funding plan for completion of the Wastewater and Stormwater Master plans and is key to support of the County's road and bridge infrastructure. The first step in extending the sales tax is adoption of an ordinance authorizing a referendum and the parameters of that referendum. PREVIOUS RELEVANT BOCC ACTION: 4/18/12 BOCC approved holding the (3) public hearings 5/16/12 (KL), 6/20/12 (MAR), 7/18/12 (KW) The BOCC adopted Ordinance 013-1989 levying the infrastructure sales tax and the electorate approved the referendum. In January 2000, the BOCC adopted ordinance 01-2000 and in March 2000, the electorate approved the referendum extending the tax until December 31, 2018. CONTRACT/AGREEMENT CHANGES: N/A STAFF RECOMMENDATIONS: Approval following two (2) additional public hearings on 6/20/12 and 7/18/12. TOTAL COST: Advertising costs INDIRECT COST: N/A BUDGETED: Yes X No _ DIFFERENTIAL OF LOCAL PREFERENCE: N/A COST TO COUNTY: Advertising costs SOURCE OF FUNDS: REVENUE PRODUCING: Yes No AMOUNT PER MONTH Year APPROVED BY: County Atty OMB/Purchasing Risk Management DOCUMENTATION: Included X Not Required DISPOSITION: AGENDA ITEM # Revised 7/09 ORDINANCE NO. - 2012 AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA EXTENDING THE ONE CENT INFRASTRUCTURE SALES TAX, OTHERWISE DUE TO EXPIRE IN 2018, THROUGH DECEMBER 31, 2033; PROVIDING LIMITS ON THE USE OF THE FUNDS AFTER 2018 UNLESS WASTEWATER PROJECTS ARE IN PROGRESS AND FULLY FUNDED; PROVIDING THAT SUCH EXTENSION IS ONLY EFFECTIVE IF APPROVED BY THE COUNTY ELECTORATE VOTING IN THE NOVEMBER 6, 2012 GENERAL ELECTION; PROVIDING FOR NOTIFICATION OF THE FLORIDA DEPARTMENT OF REVENUE IF THE TAX IS APPROVED BY THE ELECTORATE; PROVIDING FOR SEVERABILITY; PROVIDING FOR THE REPEAL OF ALL ORDINANCES INCONSISTENT HEREWITH; PROVIDING FOR INCORPORATION INTO THE MONROE COUNTY CODE OF ORDINANCES; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Board of County Commissioners of Monroe County adopted Ordinance No. 13-1989 levying a one -cent infrastructure sales tax, subject to a referendum vote of the electorate, to generate revenue for much needed infrastructure, including a new jail which the County was under federal court order to build; and WHEREAS, Section 212.055(2), Florida Statutes was modified, among other things, to change the number of years of life a capital asset for which the infrastructure surtax could be expended; and WHEREAS, the Board of County Commissioners of Monroe County adopted Ordinance No. 01-2000 to extend the infrastructure surtax from its original expiration date of September 30, 2004, to December 31, 2018, and to modify the permissible uses for include wastewater infrastructure, subject to a referendum vote of the electorate; and WHEREAS, the electorate voted in 1989 for the initial levy of the infrastructure surtax and in 2000 for its extension; and WHEREAS, the County and municipalities continue to have infrastructure needs which cannot be met through the infrastructure surtax expected to be collected through 2018; and WHEREAS, changes in the economy and state legislation have resulted in both legal and policy reasons to limit the levy of ad valorem tax which could be used for infrastructure as well as operations of the local governments; and WHEREAS, meeting wastewater, storm water, and re -use or reclaimed water needs are still paramount issues throughout the Florida Keys which rely on a dwindling supply and greater demand of potable water, and experiences serious near shore water quality problems due to storm water run-off, and ORD Extend Infrastructure Sales Tax to 2033 Page 1 of 3 CLEAN (KP) WHEREAS, obsolescence and age will periodically require changes and improvements to existing infrastructure throughout the Florida Keys; NOW THEREFORE, BE IT ORDAINED BY THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA: Section 1. Sec. 23-144 Monroe County Code is hereby amended to read as follows: Sec. 23-144. — Duration of surtax. The surtax authorized by this article shall be collected commencing on January 1, 2004 and continuing through December 31, 2033. Section 2. Section 23-145 Monroe County Code is hereby amended to read as follows: Sec. 23-145. — Expenditure of funds. (a) The funds so collected, and interest accrued thereto, shall be expended within the unincorporated areas of the county and the various municipalities for the following capital infrastructure projects all of which have a life expectancy in excess of five years: wastewater, recreation and conservation lands, marinas, courthouses, parking, offices, roads, bridges, airports, libraries, piers, auditoriums, riprap/seawalls, solid waste, jails, policy/fire facilities, land acquisition, and storm water through December 31, 2018. Effective January 1, 2019, the funds so collected and interest accrued thereto shall be used only for wastewater until such time as the governing body of the county or municipality determines that the necessary wastewater projects are completed or in progress and fully funded, after which, use of remaining funds collected pursuant to this article shall be available in that jurisdiction for all purposes allowed under this ordinance at any time. (b) Nothing contained in this section, however, shall be construed to prohibit the hiring of out -of -county or out -of -city contractors or subcontractors or construed to prohibit the purchasing of any necessary material outside of the county or the various municipalities. (c) In addition to the capital infrastructure projects described in the subsection (a) the funds so collected, and interest accrued thereto, may also be expended on any public purpose, including maintenance of recreation and conservation lands, but only if: (1) The debt service obligation for the year is met; and (2) The county's comprehensive plan has been determined to be in compliance with Part II of F.S. ch. 163; and all wastewater projects described in subsection (a) above have been completed or, if not completed, are under construction and are fully funded as determined by a majority vote of the governing body of the county or particular municipality. ORD Extend Infrastructure Sales Tax to 2033 Page 2 of 3 CLF..AN (KP) Section 3. EFFECTIVE DATE. This Ordinance shall take effect upon filing with the Department of State as provided in Section 125.66(2), Florida Statutes, provided that the following referendum is approved by a majority of the electors of the County voting in the November 6, 2012 general election: REFERENDUM ON EXTENDING THE ONE CENT INFRASTRUCTURE SALES TAX THROUGH 2O33. Shall the one cent infrastructure sales tax be extended through 2033 (it otherwise expires in 2018) with the proceeds used for the following projects: wastewater facilities and, only if those wastewater projects are completed or fully funded, recreation and conservation lands, marinas, courthouses, parking, offices, roads, bridges, airports, libraries, piers, auditoriums, riprap/seawalls, solid waste, jails, policy/fire facilities, land acquisition, storm water, and any public purpose authorized by law? For the one cent sales tax extension Against the one cent sales tax extension Section 4. NOTICE TO DOR. If the referendum is approved at the general election on November 6, 2012, then the County Clerk must notify the Florida Department of Revenue within 10 days of the referendum dates as provided in Sec. 212.054(7)(a), Florida Statutes, but no later than November 16, 2012. Section 5. SEVERABILITY. Should any provision of this Ordinance be declared by a court of competent jurisdiction to be invalid, the same shall not affect the validity of this Ordinance as a whole, or any part thereof, other than the part declared to be invalid. If this ordinance or any provision thereof shall be held to be inapplicable to any person, property or circumstances, such holding shall not affect its applicability to any other person, property or circumstances. Section 6. CONFLICT WITH OTHER ORDINANCES. All ordinances or parts of ordinances in conflict with this ordinance are hereby repealed to the extent of said conflict. Section 7. INCLUSION IN THE CODE OF ORDINANCES. The provisions of this ordinance shall be included and incorporated in the Code of Ordinances of the County of Monroe, Florida, as an addition or amendment thereto, and shall be appropriately renumbered to conform to the uniform numbering system of the Code. PASSED AND ADOPTED by the Board of County Commissioners of Monroe County, Florida, at a regular meeting of said Board held on the day of , 2012. Mayor David Rice Mayor Pro Tem Kim Wigington Commissioner Heather Carruthers Commissioner George Neugent Commissioner Sylvia Murphy (SEAL) Attest: DANNY L. KOLHAGE, Clerk By Deputy Clerk ORD Extend Infrastructure Sales Tax to 2033 CLEAN (KP) BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA By Mayor/Chairperson Page 3 of 3 NOTICE OF INTENTION TO CONSIDER ADOPTION OF COUNTY ORDINANCE NOTICE IS HEREBY GIVEN TO WHOM IT MAY CONCERN that the Board of County Commissioners of Monroe County, Florida, at 3:00 P.M., or as soon thereafter as may be heard, on: MAY 16, 2012 at the Murray E. Nelson Government Center, 102050 Overseas Highway, Mile Marker 102, Key Largo, Monroe County, Florida; JUNE 20, 2012 at the Marathon Government Center, 2798 Overseas Highway, Marathon, Monroe County, Florida; and JULY 18, 2012 at the Harvey Government Center,1200 Truman Avenue, Key West, Monroe County, Florida; intends to consider the adoption of the following County ordinance: AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA EXTENDING THE ONE CENT INFRASTRUCTURE SALES TAX, OTHERWISE DUE TO EXPIRE IN 2018, THROUGH DECEM 3ER 31, 2033; PROVIDING LIMITS ON THE USE OF THE FUNDS AFTER 2018 UNLESS WASTEWATER PROJECTS ARE IN PROGRESS AND FULLY FUNDED; PROVIDING THAT SUCH EXTENSION IS ONLY EFFECTIVE IF APPROVED BY THE COUNTY ELECTORATE VOTING IN THE NOVEMBER 6, 2012 GENERAL ELECTION; PROVIDING FOR NOTIFICATION OF THE FLORDIA DEPARTMENT OF REVENUE IF THE TAX IS APPROVED BY THE ELECTORATE; PROVIDING FOR SEVERABILITY; PROVIDING FOR THE REPEAL OF ALL ORDINANCES INCONSISTENT HEREWITH; PROVIDING FOR INCORPORATION INTO THE MONROE COUNTY CODE OF ORDINANCES; PROVIDING FOR AN EFFECTIVE DATE. Pursuant to Section 286.0105, Florida Statutes, notice is given that if a person decides to appeal any decision made by the Board with respect to any matter considered at such hearings or meetings, he will need a record of the proceedings, and that, for such purpose, he may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. ADA ASSISTANCE. If you are a person with a disability who needs special accommodations in order to participate in this proceeding, please contact the County Administrator's Office, by phoning (305) 292-4441, between the hours of 8:30 a.m. - 5:00 p.m., no later than five (5) calendar days prior to the scheduled meeting, if you are hearing or voice impaired, call "711 ". Dated at Key West, Florida, this 181h day of April, 2012. DANNY L. KOLHAGE, Clerk of the Circuit Court (SEAL) and ex officio Clerk of the Board of County Commissioners of Monroe County, Florida Publication dates: KW Citizen (Su) 4/22/12 AND (Su) 6/24/12 Keynoter (Wed) 4/25/12 AND (Wed) 6/27/12 Reporter (Fr) 4/27/12 AND (Fr) 6/29/12 ADDITIONAL BACK-UP BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: April 18, 2012 Division: Public Works & Engineering Bulk Item: Yes _ No X Department: Wastewater Staff Contact Person/Phone #: Wilson(453-8797) AGENDA ITEM WORDING: Approval to advertise public hearings for the adoption of an ordinance extending the infrastructure sales tax beyond its current 31 December 2018 expiration date, scheduling a referendum for November 6 general election as required by statute, and establishing the uses for the revenue stream created. The hearings are to be held at regular BOCC meetings in Key Largo, Marathon, and Key West on 16 May 2012, 20 June 2012, and 18 July, respectively. ITEM BACKGROUND: The extension of the sales tax is a key component of the funding plan for completion of the Wastewater and Storm water Master plans and is key to support of the County's road, bridge, and general infrastructure. The first step in extending the sales tax is adoption of an ordinance authorizing a referendum and the parameters of that referendum. The tax revenues are split between the municipalities, some of which have completed or have almost completed their wastewater projects and can use the revenue for other infrastructure. PREVIOUS RELEVANT BOCC ACTION: The BOCC adopted ordinance 013-1989 levying the infrastructure sales tax and the electorate approved the referendum. In January 2000, the BOCC adopted ordinance 01-2000 and in March 2000, the electorate approved the referendum extending the tax until December 31, 2018. CONTRACT/AGREEMENT CHANGES: N/A STAFF RECOMMENDATIONS: Approval TOTAL COST:Advertising costs INDIRECT COST: N/A BUDGETED: Yes X No DIFFERENTIAL OF LOCAL PREFERENCE: N/A COST TO COUNTY: Advertising costs SOURCE OF FUNDS: REVENUE PRODUCING: Yes _ No X AMOUNT PER MONTH Year APPROVED BY: County Atty OMB/Purchasing Risk Management DOCUMENTATION: Included Not Required X DISPOSITION: AGENDA ITEM # N &�- Revised 7/09 fd ORDINANCE NO. -2012 AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA, EXTENDING THE ONE CENT INFRASTRUCTURE SALES TAX, OTHERWISE DUE TO EXPIRE IN 2018, THROUGH DECEMBER 31, 2033; PROVIDING LIMITS ON THE USE OF THE FUNDS AFTER 2018 UNLESS WASTEWATER PROJECTS ARE IN PROGRESS AND FULLY FUNDED; PROVIDING THAT SUCH EXTENSION IS ONLY EFFECTIVE IF APPROVED BY THE COUNTY ELECTORATE VOTING IN THE NOVEMBER 6, 2012 GENERAL ELECTION; PROVIDING FOR NOTIFICATION OF THE FLORIDA DEPARTMENT OF REVENUE IF THE TAX IS APPROVED BY THE ELECTORATE; PROVIDING FOR SEVERABILITY; PROVIDING FOR THE REPEAL OF ALL ORDINANCES INCONSISTENT HEREWITH; PROVIDING FOR INCORPORATION INTO THE MONROE COUNTY CODE OF ORDINANCES; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Board of County Commissioners of Monroe County adopted ordinance no. 13-1989 levying a one -cent infrastructure sales tax, subject to a referendum vote of the electorate, to generate revenue for much needed infrastructure, including a new jail which the county was under federal court order to build; and WHEREAS, section 212.055(2), Florida statutes was modified, among other things, to change the number of years of life of a capital asset for which the infrastructure surtax could be expended; and WHEREAS, the Board of County Commissioners of Monroe County adopted Ordinance No. 01-2000 to extend the infrastructure surtax from its original expiration date of September 30, 2004, to December 31, 2018, and to modify the permissible uses to include wastewater infrastructure, subject to a referendum vote of the electorate; and WHEREAS, the electorate voted in 1989 for the initial levy of the infrastructure surtax and in 2000 for its extension; and WHEREAS, the county and municipalities continue to have infrastructure needs which cannot be met through the infrastructure surtax expected to be collected through 2018; and WHEREAS, changes in the economy and state legislation have resulted in both legal and policy reasons to limit the levy of ad valorem tax which could be used for infrastructure as well as operations of the local governments; and Extend Infrastructure Sales Tax to 2033 1 WHEREAS, meeting wastewater, storm water, and re -use or reclaimed water needs are still paramount issues throughout the Florida Keys which rely on a dwindling supply and greater demand of potable water, and experiences serious near shore water quality problems due to storm water run-off; and WHEREAS, obsolescence and age will periodically require changes and improvements to existing infrastructure throughout the Florida Keys; NOW THEREFORE BE IT ORDAINED BY THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA: Section 1. Section 23-144 Monroe County Code is hereby amended to read as follows: Sec. 23-144. — Duration of surtax The surtax authorized by this article shall be collected commencing on January 1, 2004 and continuing through December 31, 28I-8 2033. Section 2. Section 23-145 Monroe County Code is hereby amended to read as follows: Sec. 23-145. - Expenditure of funds. (a) The funds so collected, and interest accrued thereto, shall be expended within the unincorporated areas of the county and the various municipalities for the following capital infrastructure projects all of which have a life expectancy in excess of five years: wastewater, recreation and conservation lands, marinas, courthouses, parking, offices, roads, bridges, airports, libraries, piers, auditoriums, riprap/seawalls, solid waste, jails, police/fire facilities, land acquisition, and storm water through December 31, 2018. Effective January 1. 2019 the funds so collected and interest accrued thereto shall be used only for wastewater until such time as the governing body of the county or municipality determines that the necessary wastewater projects are completed or in progress and fully funded. after which use of remaining funds collected pursuant to this article shall be available in that jurisdiction for all purposes allowed under this ordinance at any time (b) Nothing contained in this section, however, shall be construed to prohibit the hiring of out -of -county or out -of -city contractors or subcontractors or construed to prohibit the purchasing of any necessary material outside of the county or the various municipalities. (c) In addition to the capital infrastructure projects described in subsection (a) the funds so collected, and interest accrued thereto, may also be expended on any public purpose, including maintenance of recreation and conservation lands, but only if- (1) The debt service obligation for the year is met; and (2) The county's comprehensive plan has been determined to be in compliance with Part II of F.S. ch. 163., and all wastewater projects described in subsection (a) above have been completed or, if not completed are under Extend Infrastructure Sales Tax to 2033 construction and are fully funded as determined by a majority vote of the izoverning body of the county or particular municipality. Section 3. EFFECTIVE DATE. This Ordinance shall take effect upon filing with the Department of State as provided in Section 125.66(2), Florida Statutes, provided that the following referendum is approved by a majority of the electors of the County voting in the November 6, 2012 general election: REFERENDUM ON EXTENDING THE ONE CENT INFRASTRUCTURE SALES TAX THROUGH 2O33. Shall the one cent infrastructure sales tax be extended through 2033 (it otherwise expires in 2018) with the proceeds used for the following projects: wastewater facilities and, only if those wastewater projects are completed or fully funded, recreation and conservation lands, marinas courthouses, parking, offices, roads, bridges, airports, libraries, piers, auditoriums, riprap/seawalls, solid waste, jails, police/fire facilities, land acquisition, storm water, and any public purpose authorized by law? For the one cent sales tax Against the one cent sales tax Section 4. NOTICE TO DOR. If the referendum is approved at the general election of November 6, 2012, then the County Clerk must notify the Florida Department of Revenue within 10 days of the referendum dates as provided in Sec 212.054(7)(a), Florida Statutes, but no later than . 2012. Section 5. SEVERABILITY. Should any provision of this Ordinance be declared by a court of competent jurisdiction to be invalid, the same shall not affect the validity of this Ordinance as whole, or any part thereof, other than the part declared to be invalid. If this ordinance or any provision thereof shall be held to be inapplicable to any person, property or circumstances, such holding shall not affect its applicability to any other person, property or circumstances. Section 6. CONFLICT WITH OTHER ORDINANCES. All ordinances or parts of ordinances in conflict with this ordinance are hereby repealed to the extent of said conflict. Section 7. INCLUSION IN THE CODE OF ORDINANCES. The provisions of this ordinance shall be included and incorporated in the Code of Ordinances of the County of Monroe, Florida, as an addition or amendment thereto, and shall be appropriately renumbered to conform to the uniform numbering system of the Code. Extend Infrastructure Sales Tax to 2033 3 PASSED AND ADOPTED by the Board of County Commissioners of Monroe County, Florida, at a regular meeting of said Board held on the day of .2012. Mayor David Rice Commissioner Heather Carruthers Commissioner George Neugent Commissioner Kim Wigington Commissioner Sylvia Murphy (SEAL) Attest: DANNY L. KOLHAGE, Clerk Deputy Clerk BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA By Mayor / Chairperson W12— Extend Infrastructure Sales Tax to 2033 4