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Resolution 389-1996 Planning Department RESOLUTlO1\T NO. 389-96 . A RESOLUTION BY THE MONROE COUNTY BOARD OF COUNTY COMMISSIONERS APPROVING THE MONROE COUNTY 1996 IMPACT FEE REPORT. WHEREAS, the Director of Planning must submit an annual report on impact fees to the Planning Commission and the Board of County Commissioners prior to the adoption of the annual budget and capital improvements program pursuant to Section 9.5-490.2 of the Monroe County Code; and WHEREAS, the Planning Commission reviewed the annual impact fee report dated July 30, 1996, and comments by the Director of Planning, Timothy McGarry and recommended approval; and WHEREAS, the Board of County Commissioners had no changes to the annual impact fee report. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA: THAT Section 1. This Board specifically adopts the findings of fact and recommendations reached in the Monroe County 1996 Impact Fee Report as its own; and therefore Section 2. The Monroe County 1996 Impact Fee Report is approved. PASSED AND ADOPTED by the Board of County Commissioners of Monroe County, Florida, at a regular meeting of the Board held on the 19th day of SeptemlreID., 1996." ~ ,:! yes yes aosent a C":I ---l f"T1 CJ o .,., C) :::0 :;.a rrJ C") a :::0 a yes yes -0 N BOARD OF COUNTY COMMISSIONERS o MONROE C~TY, FLORIDA B~. -::r~ MAYO CHAIRMAN (SEAL) A TTEST: DANNY L. KOHLAGE, CLERK ~~C. o.,)c1~ , Deputy Clerk 0M0e I ' PC RESOLUTION NO. P52-96 , A RESOLUTION BY THE MONROE COUNTY PLANNING COMMISSION RECOMMENDING APPROV AI. TO THE BOARD OF COUNTY COMMISSIONERS OF THE MONROE COUNTY 1996 IMPACT FEE REPORT. WHEREAS, the Director of Planning must submit an annual report on impact fees to the Planning Commission and the Board of County Commissioners prior to the adoption of the annual budget and capital improvements program pursuant to Section 9.5-490.2 of the Monroe County Code; and WHEREAS, the Planning Commission reviewed the annual impact fee report dated July 30, 1996, and comments by the Director of Planning, Timothy McGarry; and WHEREAS, the Planning Commission had no changes to the annual impact fee report. NOW, THEREFORE, BE IT RESOL YED BY THE PLANNING COMMISSION OF MONROE COUNTY, FLORIDA, to recommend approval to the Board of County Commissioners of the Monroe County 1996 Impact Fee Report. PASSED AND ADOPTED by the Planning Commission of Monroe County, Florida, at a regular meeting held on the 23rd day of August, 1996. Chair Haskell Vice-Chair Hansley Commissioner Chaplin Commissioner Mannillo Commissioner Nugent YES YES YES ABSENT YES BY PLANNING CO MONROECOUN By Monica Haskell, Chair Signed this day of , 1996. I ' MONROE COUNTY 1996 IMPACT FEE REPORT July 30, 1996 I ' Monroe County 1996 Impact Fee Report Prepared for the Monroe County Planning Commission and Board of County Commissioners by the Monroe County Planning Department July 30, 1996 1996 IMPACT FEE REPORT Introduction Purpose: Pursuant to Monroe County Code Section 9.5-490.2(b), the Planning Director is required to prepare this annual report, prior to the adoption of the annual budget. This document represents the first report complying with the County Code. It is intended to provide recommendations to the Board of County Commissioners on appropriate amendments to the code affecting the impact fee system, to identify capital improvements projects anticipated to be funded wholly or partially with impact fees, and to identify any other recommended changes or improvements to the impact fee system. Background on Impact Fees: Under Section 9.5-940 of the Monroe County Code, impact fees are imposed on new development to ensure that such development pays for its fair share towards the costs of capital improvements reasonably necessitated by such growth. [Non-capital projects and maintenance costs can not be funded through impact fees.] The new development must reasonably benefit from capital improvements made with proceeds of impact fees. Except in certain situations, if these impact fees are not spent within six years they must be returned to the property-owner. Auditors Report: On April 10, 1996, the County Clerk's Internal Audit Department presented an audit report on the County's impact fee expenditures to the County Administrator. The report, entitled Audit Report Review of Monroe County Impact Fee Expenditures, outlined findings and recommendations to resolve problems with the current impact fee system. The auditor concluded that the Planning Director has not prepared the required annual impact fee report and that the report should be prepared "in order to ensure that the proper amount of fees is collected and spent as intended." Additional findings in the audit reveal that no financial plans, from which the annual report may be prepared, had been provided by the departments with the authority to utilize such funds and impact fee funds were not being fully utilized. Scope and Study Process: The Planning Director has prepared the 1996 Impact Fee Report in response to some of significant findings of the audit report and in accordance with Section 9.5-490.2(b) of the Monroe County Code. It is not the intent or design of this report to address all the concerns raised in the audit report. In preparing this report, the Planning Department requested information from the Sheriff s Department, Division of Community Services, Division of Environmental Management, Division of Public Works, Division of Public Safety and the Planning Department's Parks and Recreation Planner. This information was intended to be used to identify proposed projects eligible for the expenditure of impact fees and to recommend appropriate changes to the current impact fee system. The Planning Department staff worked closely with representatives from the Office of Management and Budget and other County agencies to address changes in the impact fee project budgeting and tracking process. In addition, the Department is currently working with the Division of Public Works to investigate the expansion of road projects that could be eligible for impact fee funding. The Planning Department has also retained the consulting firm Barton-Aschman to evaluate the existing transportation impact fee schedule and methodology. The results of this investigation were unavailable in time for inclusion in this year's report. Report Organization: The report's contents are organized into sections, which are consistent with the provisions of Section 9.5-490. Significant findings and recommendations are presented in bold. Proposed Changes to Impact Fee Categories Current regulations on the application of impact fees are found in Ordinance 33-1992. This ordinance amends the language found in Monroe County Code Section 9.5-490. A series of Board of County Commissioners' resolutions establishes fees for each of the five categories: Transportation (#497-1992), Police and Fire Protection (#089-1993, #492-1992), Libraries (#493-1992), Solid Waste (#496-1992) and Community Parks (#494-1992). The audit report recommended that the Monroe County Land Development Regulations be amended to incorporate the aforementioned ordinances as well as correct conflicting language in the code concerning refunds oJ impact fees. The Planning Department received from the County Engineer a recommendation to amend the current transportation impact fee regulations (LDRs) to include using funds for local road improvements. The Planning Department staff, its transportation consultant, and the County Attorney's office are currently evaluating this request. Any recommendations resulting from this investigation will be submitted to the Board of County Commissioners in next year's report and/or in proposed revisions to Monroe County Land Development Regulations. 2 Proposed Capital Projects and Funding Only the Division of Public Works, Sheriff's Department and the Parks and Recreation Planner provided the Planning Department with information on anticipated FY97 impact fee expenditures and projects. The Division of Solid Waste Management reported that no projects are anticipated to utilize impact fees in FY97. A list of proposed projects to be funded by impact fees is presented in the following subsections. This list is not entirely consistent with those projects identified for impact fee funding in the County's tentative capital budget; this inconsistency is addressed in the recommendations concerning the County's impact fee project budgeting and expenditure process presented in the last section of this report. Proposed Transportation Projects: As shown .in Table 1, approximately $3.6 million of impact fees are forecast to be available for county-wide projects in FY 97; $718,000 for District 1; $771,000 for District 2; and $1.525 million for District 3. The county-wide account is for projects that benefit the entire county, such as Card Sound Road. The impact fees for this account generally come from transfers from the three district accounts or directly from collection of impact fees. No specific funding or set-aside formula is followed for the disbursements into the county-wide account. A proposed list of road improvements using impact fee funds for FY 1997 was provided by the Division of Public Works and is presented in Attachment A. Collector road projects are proposed for 24.2% funding by impact fees. Bikeways and paths are proposed for 100% funding. Specific project information and costs will not be available until later in the engineering and design phase. The following summarizes the Division of Public Works' request by district: District 1 (Lower Keys): District 2 (Middle Keys): District 3 (Upper Keys): $740,689.49 0.00 $321.133.36 Total $1,061,822.85 Proposed Park and Recreation Projects: The Division of Public Works plans to utilize $64, 654 in impact fee funds for the Marr Property or Settlers Park improvements in District 3. However, specific expenditures for facilities will be earmarked only after public input has been received. No funds from District 1 or 2 accounts were proposed for use in FY97. 3 Category Transportation Parks and Recreation Solid Waste Library Police Fire Source: Notes: . TABLE 1 IMPACT FEES AVAILABILITY FORECASTS FOR FY 1997 County-wide 3,659,700 District 1 717,588 District 2 770,565 District 3 1,524,716 NA 155,876 258,369 681,250 NA 159,414 NA NA NA 91,150 183,492 NA NA NA 32,750 555,465 NA NA NA 110,850 FY 1997 Tentative Monroe County Budget, Appropriation Summary By Fund, Office of Management and Budget, July 1, 1996. 1. The amount of impact fees availability by category and district include carry-over funds from FY 1996, interest income, and forecast FY 97 impact fees less administrative expenses. It also includes proposed appropriations for refunds. 2. District 1 = Lower Keys; District 2= Middle Keys; and District 3= Upper Keys 4 Table 1 provides a breakdown of project impact fee funds available by district in FY97. A total' of almost $900,000 is forecast to be available for park projects throughout the County. Although not recognized in the County's Tentative Budget for FY97, some or all of these monies have been previously earmarked for specific projects. Furthermore, the actual amount of funds available by district may be less than shown in Table 1, since the Tentative FY 97 Budget does not account for expenditures for some park projects during the current fiscal year. Proposed Sheriff Facilities Projects: Sheriff facilities impact fees are allocated on a county-wide basis and are not distributed to subdistrict accounts. The following list describes how the Sheriff s Department plans to utilize impact fees in FY97, which is almost all of the project impact funds available for FY97 (see Table One): $350,000.00 Plantation Key Detention Center Addition 55,000.00 Air Conditioning System for the Stock Island Jail 95,000.00 Construction of an Impound Yard on Stock Island 150,000.00 Construction of a Firing Range on Crawl Key $650,000.00 Proposed Fire and EMS Projects: Public Safety provided no list of projects to be funded with impact fees. Table 1 provides a breakdown of the amount of impact fees available by district for FY 97. A sum of approximately $243,750 will be available for all three districts. Proposed Library Projects: The Division of Community Services did not provide any information on proposed capital projects for utilization of impact fees to the Planning Department. However a review of the Tentative FY 97 Budget indicates that approximately $28,000 in impact fees has been set- aside for buildings. Table 1 shows that approximately $258,000 will be available in impact fee funds for library facilities next fiscal year. Proposed Solid Waste Projects: The Division of Solid Waste Management has not identified to the Planning Department or OMB any projects for funding with impact fees. Table 1 shows that approximately $155,000 is anticipated to be available in impact fees next fiscal year. Proposed Changes in Impact Fee Districts No findings or recommendations. 5 Proposed Changes in Impact Fee Schedules No findings or recommendations. Proposed Changes in Levels of Service No findings or recommendations Proposed Changes in Calculation Methodology No findings or recommendations. Proposed Changes to Budgeting and Expenditure Process The Director of Planning and the Director of OMB worked with the appropriate agencies that utilize impact fees to evaluate procedures for the budgeting and expenditure of impact fee funds to identify deficiencies and recommend changes. The following are the findings and recommendations of this effort: Findings: 1. Impact fees are not being fully utilized by the County agencies, which may be attributed to any or all of the following reasons: o Lack of general knowledge about availability of funds and the criteria for use of these funds; o Real or perceived difficulties in meeting criteria for use of impact fees; and, o Lack of effective process for integrating impact fees funding into the capital budgeting process. 2. The existing budgeting and expenditure process for use of impact fees requires improvements to the following: o County agencies need to be better informed about the use and availability of impact fee funds; o Capital projects should go through a budgeting process that fully considers all funding sources, including impact fees; and, 6 o All projects to be funded by impact fees should be identified and approved in the ado.pted current fiscal year budget, similar to projects using other funding sources. 3. Any enhancements and improvements to the existing budgeting and tracking process for use of impact fees must consider the manpower limitations of County staff. Recommendations: 1. It is recommended that revised budgeting process for projects using impact fees be implemented in FY 97, as shown in Table 2. 2. It is recommended that impact fee expenditure process follow the existing procedures (with slight enhancements) as outlined in Table 3. 7 TABLE 2 REVISED BUDGET PROCESS FOR IMPACT FEE FUNDED PROJECTS 1. Action: Lead Agency: Time Frame: 2. Action: Lead Agency: Time Frame: 3. Action: Lead Agencies: Time Frame: 4. Action: Lead Agency: Time Frame: 5. Action: Lead Agency: Time Frame: 6. Action: Lead Agency: Time Frame: Send forecast impact fee revenues by category and district for next fiscal year to the Planning Department for review and comment and make necessary revisions based on this review. OMB Middle of December Send next fiscal year revenue forecasts on impact fees to appropriate departments, including revised capital project request forms (project description, costs, ranking, and justification), new instruction sheet for completing the forms, and request for any suggested changes in impact fee districts, fee calculation methodology, fee schedule, level of service, etc. Planning Department First week in January Brief departments on availability and use of impact fees. OMB and Planning Department First week in February Submit completed capital project forms for all capital projects over $5,000 [actual threshold amount to be determined] in cost to the Planning Department. All appropriate departments First week in March Review completed forms for each proposed capital project to determine the level of eligibilty for funding with impact fees and send completed forms and information on projects eligible for impact fee funding to the County Attorney's Office. [Note: The capital project forms for projects not identified for impact fee funding will be sent directly to OMB.] Planning Department First week in April Review proposed projects for utilization of impact fees for legal sufficiency and send reviewed projects to OMB. County Attorney's Office Last week in April 8 9. 11. TABLE 2 (Continued) REVISED BUDGET PROCESS FOR IMPACT FEE FUNDED PROJECTS 7. Action: Lead Agency: Time Frame: 8. Action: Lead Agency: Time Frame: Action: Lead Agency: Time Frame: 10. Action: Lead Agency: Time Frame: Action: Lead Agency: Time Frame: Incorporate proposed capital projects including those utilizing impact fees, into the capital improvements element of next fiscal year's proposed county budget. [Note: Project numbers will be assigned to capital projects for tracking and financial purposes.] OMB May through July Prepare annual impact fee report, including the list of capital projects being funded in proposed county budget with impact fees. Planning Department End of July Submit annual impact fee report through Planning Commission to the Board of County Commissioners prior to adoptton of the county's annual budget. Planning Department August through September Approve annual impact fee report. Board of County Commissioners September [prior to adoption of annual budget] Adopt annual county budget, including capital budget. Board of County Commissioners Prior to October 1 9 TABLE 3 IMPACT FEE EXPENDITURE PROCESS 1. Action: Lead Agency: Time Frame: 2. Action: Lead Agency: Time Frame: 3. Action: Lead Agency: Time Frame: 4. Action: Lead Agency: Time Frame: 5. Action: Lead Agency: Time Frame: 6. Action: Lead Agency: Time Frame: I , Submit project expenditure request form for utilization of impact fees to Planning Department. Appropriate departments As required Review project expenditure request forms [to be revised] for use of impacts to confirm or determine eligibility and send to County Attorney's Office. (Note: Projects for which funds are requested should be in adopted budget and therefore will require little or no review, unless significant changes have occurred in project costs or description or the proposed project is not defined in the adopted budget.] Planning Department As required Review project expenditure request forms for legal sufficiency and submit to OMB. [Review should be limited; see note for Action 2.] County Attorney's Office As required Review request and submit to the Board of County Commissioners for authorization to transfer of funds for expenditure on project. OMB As required Approve transfer of funds for project. Board of County Commissioners As required. Send copy of Board's authorizing resolution to Planning Department, Finance Department, and appropriate department. OMB As required. 10 ClUJ ~~ ~t5 1::"( en ~~ ~ en 0 >- (.) -JCl W Cl)UJ :;:)Cl W OC! u. 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