04-02-1990 - Regular
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CITY COUNCIL OF EDGEWATER
SPECIAL MEETING
MARCH 26, 1990
MINUTES
Mayor Mitchum called the meeting to order at 7:00 p.m. in the Community Center.
He stated the purpose for the meeting was for discussion and possible action on
the following: 1) Recommendation of financial advisor and consulting engineers
with regard to financing of utilities CIP and completion of State Revolving Fund
loan application and agreement and issuance of revenue bonds, and 2) Committee
report and possible action on referendum.
ROLL CALL
Mayor David Mitchum
Councilman Dan Hatfield
Councilmember Gigi Bennington
Councilman Russell Gold
Councilman Thomas Fish
City Attorney Jose' Alvarez
City Manager Elly Johnson
City Clerk Susan Wadsworth
Chief Lawrence Schumaker
Present
Excused
Present
Present
Present
Present
Present
Present
Present
Reconmendation of financial advisor and consulting engineers with regard to
financing of utilities CIP and completion of State Revolving Fund loan
application and agreement and issuance of revenue bonds -
Mr. Stan Livengood, Vice President, Raymond James & Associates, reviewed the 4-
page report he'd submitted to Council. He stated at the March 19th meeting
Council was notified there was to be a meeting this past Thursday in the
consulting engineers offices in Orlando and the DER representative was present.
He said the primary purpose was to determine exactly what requirements would have
to be met in order to insure the low interest rate SRF loans were still made
available to support the financing of the CIP in light of the fact they had a
substantial delay with the referendum. He pointed out it was immediately
determined if the loan agreements were to be secured and the revenues pledged
to support the agreements were to be special assessment revenues, we wouldn't
be able to meet the deadlines established under the SRF program. He stated if
the decision to hold a referendum is made, it will be approximately 60 days for
results to be known and upon referendum completion, the City would be in the
position to instruct the consulting engineers as to the type of sewer system
and the engineers would then start the design process for plans and specifi-
cations, which would be another 90 to 100 days. Councilmember Bennington asked
if that's in addition to the 60 days. Mr. Livengood replied yes, because it has
to be done sequentially, they have to determine what kind of system, then the
engineers must design it, and upon completion of the design and cost estimate,
the City can proceed to start the special assessment process which, based on bond
counsel Dan Livermore's memo, is an additional 60 days process. He pointed out
they're looking at 220 days before an equalization hearing could be held and
from that hear i ng and the spec i a 1 assessment process they I d f i na 1 i ze estab 1 ish i ng
the assessment liens within Florida Shores for the benefit of all Florida Shores
properties. He said then there would be assurance that the special assessment
revenues would repay the loan and that's too late. He pointed out there1s no
way anyone can guarantee the funds to fund this loan after the Federal fiscal
year ends September 30th, and this process takes them past that date.
Mr. Livengood stated their conclusion is if the City is going to enter into a
1990 loan agreement with the State to assure the first of the two loans, they'd
have to use special assessment revenues in order for the City to enter into the
agreement in a timely fashion. He added the DER representative agreed in concept
that what he felt DER could live with is an interim basis where the City would
pledge high quality non ad valorem revenue sources to initially provide the
pledged revenues needed in order to enable the State to enter into the agreement
with the City. He explained then there could be a substitution or exchange of
the pledged revenues but those pledges would be released and extinguished upon
the completion of the special assessment process within Florida Shores and the
assurance of that source of revenue.
Mr. Livengood recommended the only way the City can assure retaining the use of
these low interest loans is to agree to, on an interim basis, pledge non ad
valorem revenues in order to get the loan agreement completed in the June-July
time frame.
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Mr. Livengood pointed out they'd emphasized the City had previously agreed to
meet all conditions necessary by May 1st and if the City were unable to meet that
deadline, they'd be at risk of losing this loan commitment. He stated his
opinion is the risk of losing this loan commitment after May 1st is small if they
can meet the requirements in the June-July time frame, but there is a risk. He
explained it's a further risk to agree to pledge non ad valorem revenues and it's
not expected these revenues that would be pledged would ever have to be used to
repay the loan and expectations are the special assessment process will proceed
and those revenues will come into existence and there will be an exchange of
the two revenues. He pointed out there are a lot of hearings and notices and
equalization hearings for special assessments and it's possible this process
cannot be completed prior to the November Council elections and there's a possi-
bility this special assessment process will not be completed as everyone would
expect, and in that event these pledged non ad valorem revenues that currently
are being used for other functions of City government would be pledged and
committed to repay this loan. He stated the only way they can retain this low
interest loan is to go ahead and pledge these non ad valorem revenues and they
recommend Council accept this risk because of the critical nature of these low
interest rates to the overall financial feasibility to keep the program within
reason and to enter into the 1990 loan agreement in the June-July time frame.
Councilmember Bennington asked if that's with the assumption there's a refer-
endum. Mr. Livengood agreed.
Mr. Livengood stated there's another requirement the City must meet before the
City can enter into the DER 1990 loan agreement. He pointed out the City has
three debts outstanding that have liens on the water and sewer utility revenues
and other resources and those three must be discharged before the City's in a
position to enter into the loan agreements with DER. He stated on March 7th they
presented to Council a financing plan for a 12-1/4 million revenue bond issue
to be issued in the May-June time frame and they would refund these three debt
obligations and raise in excess of 8 million new construction money necessary
to complete all the water system improvements.
Mr. Livengood stated their second recommendation regarding the refunding issue
is that the City delay borrowing the money to construct the water system improve-
ments until after the special assessment process is completed and proceed
immediately with as small a revenue bond as possible to defease the three
outstanding obligations.
Mr. Livengood summarized their recommendations: 1) City Council authorize the
preparation of legal documents by bond counsel to secure the revenue bonds and
1990 loan agreement with the State such that on a temporary basis those obli-
gations of the City would be secured by non ad valorem revenues as well as water
and sewer revenues and the special assessment revenues when they come into being.
He added they'll be exchanged later for special assessment revenues. 2) That
they approve what he earlier indicated for a delay in the issuance of bonds to
construct the improvements to the water system until after the special assess-
ment is completed. 3) Authorize the Finance Advisor to contact Sun Bank, owner
of the outstanding Bond Anticipation Notes, with a little flexibility to
negotiate a 30 to 90 day extension of maturity before repayment of that
obligation.
Councilman Fish stated they have a 60-day process because of the pending refer-
endum. He asked if they didn't have the 60 day delay for referendum, how tight
will it be. Mr. Livengood replied it will be very tight without a referendum
and the one thing emphasized by DER is to look at May 1st and if you cannot sign
then, you are at risk because the original loan commitment was the agreement to
meet all the conditions by May 1st and they longer you delay, the more the risk.
He stated there's a process similar to other State processes where funds have
been appropriated for various projects and when people don't get the funds they
put the money into the pool. He added they'll be well into August without the
referendum process and it's his opinion they're very much at risk if they adopt
a course of action that indicates it would be early August. Councilman Fish
stated if they don't meet the time frame but enter into the interim financing
for non ad valorem revenues, they'll lose money this year, but what about in the
future? Mr. Livengood replied the consulting engineers could reply to that and
2 Council Special Meeting Minutes
March 26, 1990
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he understands they get back into it and the project is re-evaluated and youlre
back into the pool of over a billion dollars of loans requested by DER.
Ron Ferland, Dyer, Riddle, Mills & Precourt, replied if they don't access the
funds, you're treated like everyone else next year and you have no status or
standing except for priority points but you do lose for a year the amount of
money they1ve allocated to you for this fiscal year which is approximately 6.975
million for the wastewater treatment plant improvements and next year they1re
on the planning portion for 6.6 million and are trying to increase that amount
with the re-use system and the outfall to the Indian River and they'll probably
allocate it at 9 million. He added the major problem in not accessing what
they've been allocated this year is that it was on a fundable list and next year
is planning and they may not get on the fundable list. He pointed out because
they1re discharging to the Class II waters and alleviating a public health
hazard, they were told the points will put them higher on the list.
Councilmember Bennington asked what criteria was used to get the loan to begin
with. Mr. Ferland replied the loan program is similar to the former construction
grants and they looked at existing need, if they have to do it to come into
compliance with any consent orders, and do they have documented health hazard,
which is by the Health Department, the City, and DER, plus discharging to the
Indian River which is State protected Class II water, that this program will
eliminate. He noted they got about 200 points for that and have a total of 850.
Councilmember Bennington asked if it wasn't just design of the sewer system
itself but the criteria. Mr. Ferland replied no, itls central sewer in a septic
tank community to alleviate discharge to drainage ditches.
Councilman Fish asked how they rank on the list. Mr. Ferland replied they're
number 2 on the small communities list and that's why they got everything they
asked for the wastewater plant and they funded 4 or 5 communities. He said he's
talked to people who put the list together for next year and next year weill be
competing in the master list behind Tampa and another big community for the
fundable portion because we have enough points.
Councilman Gold asked if the prospect of getting the loan depends on the type
of system. Mr. Ferland replied no, but by adopting the resolution for the 201
Plan which recommends low pressure is most cost effective and you go to a higher
priced system, there's a possibility you'll have to pay the incremental price
for the higher priced. He suggested they could approach the State with refer-
endum or Council action that because of the inability of the public to accept
the cost effective system, they're having to go to a different collection system
and request they fund that incremental amount. He added that doesn1t guarantee
they will but it would be the first step.
Counci lmember Bennington asked if they go with gravity instead of the low
pressure they adopted with the 201, they may have to pay the difference, or what
does he base it on. Mr. Ferland replied the 201 Plan states it would be low
pressure which is the most cost effective to meet the needs and their guidelines
say you have to use the most cost effective method. He added when they talked
to them about the treatment plant and waste load allocation, they said they would
do advanced treatment which is the right thing and then one of the men said if
the waste load allocation says the limit is 1.5 and you're providing 1.0, they
may not fund that portion to get it from 1.5 to 1.0 as they say anything above
is the City's responsibility to pay.
Councilmember Bennington stated because they passed the 201 Plan that called for
the low pressure as most cost effective, that would be the thing that would
jeopardize whether they pay the difference between low pressure and gravity.
Mr. Ferland agreed.
Councilmember Bennington stated she has a lot of questions but hasn't had enough
time to go over them. Mr. Livengood apologized for the late submittal, adding
they're on a pressing time schedule and there are large risks either way.
Councilmember Bennington stated it bothers her to pledge non ad valorem sources.
She asked if they might have to do it regardless of which system is selected.
Mr. Livengood explained that Councilman Fish had asked him about doing away with
the referendum and cutting 60 days time and if that would solve the problem to
get into a position to have the special assessment revenue in place and not do
the interim that would then be exchanged, and held indicated the longer after
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March 26, 1990
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May 1st it takes for the City to get into position, the more at risk they are
at losing this year's loan commitment. He added the special assessment process
is a very equitable process and you end up with the owners of the property who
will benefit paying for it. He pointed out the end result is an enforceable lien
on real property and the process provides for safeguards of the public with
advertising requirements and public hearings and public notices. He added it
always takes longer than the minimum time and bond counsel allowed 8 weeks or
60 days and he's not highly confident that from the time the consulting engineers
give them a cost estimate and plans and specifications, that 60 days later
they'll have finalized special assessment rates and revenues to use for this loan
agreement.
Councilmember Bennington asked if his estimate is August. Mr. Livengood replied
that would be the earliest. Councilmember Bennington stated no matter what they
do, they're in jeopardy. Mr. Livengood agreed because they're not going to make
May 1st but they judge that to be a small risk and there probably won't be an
opportunity for the State to say they're taking it away until a hearing is held
perhaps the first week of June. He pointed out DER doesn't want to do this and
they want to make the loan but a lot of peop 1 e a 1 so want th i s money and if
Edgewater can't meet the requirements in a timely fashion, it will go elsewhere.
Councilmember Bennington asked if they1d have to wait for next year if they lose
it, or if there's an alternative. Mr. Livengood replied the difference in
capital cost between low pressure and gravity is more than 8 million and a second
number is 10 million, the value today of a 3% low interest rate on about 15
million financed over 20 years and the value today of 4-1/4% versus 7-1/2%. He
added there's about 18 million at risk and if the more expensive system is
se 1 ected and not funded at the lower cost, it's an add i t i ona 1 8 mi 11 i on and
there will be an additional interest expense on that borrowing that has a value
of 10 million over the life.
Councilman Fish asked why it would be difficult to finance at public market.
Mr. Livengood rep 1 i ed the major secur i ty prov i s ion is the rat i 0 between the
market value of the property being assessed versus the assessment and they'd be
getting into a range for unimproved lots of 30 to 40% of the market value for
the assessment. He added a financial analyst looking at secured bonds will ask
if someone wants to pay the bill on that assessment or will he let the property
go for tax certificates, and if so, will there be a buyer for that certificate.
Councilmember Bennington asked if it can be paid at one time if they go with
special assessments. Mr. Livengood replied yes, if they want. Councilmember
Bennington stated they're assuming financing over 20 years. Mr. Livengood said
they'll be given the opportunity to finance it and the assessment will be levied
against the property as a special assessment and the property owner can repay
the amount in 20 annual payments at 1% greater than the borrowing cost or they
could prepay in cash immediately or any time in the future the unpaid principal
amount. Councilmember Bennington asked if the more people who pay up front, the
better financially off we would be. Mr. Livengood replied the City is neutral
from that standpoint and the question is getting the financing in place and
getting the capital secured. He added the City does not make money.
Committee report and possible action on referendum - Councilmember Bennington
stated she and the City Clerk had several telephone conversations with Katherine
Odham and she's provided an information sheet which shows the earliest possible
date for referendum would be May 22nd or May 29th. She added the registration
books would close April 23rd for May 22nd and April 30th for May 29th. She
stated they'd use the old voting machines. She also stated it would cost
approximately $9,500 to $10,000 for this referendum. She noted the last
referendum in February of 1988 cost $6,000 approximately and the County bore
$1,200 of that. She said Katherine Odham will not certify this referendum other
than to say it was held in accordance with State Statutes and won't certify the
voters are legitimate or whatever and that's their problem. She said they
contacted the City auditors to get some kind of certificate to see if they'd
certify our work done. City Clerk Wadsworth said they have approximately 2,814
people that have sewer and four of the five precincts are involved in the sewer
referendum. She added they'd have a list from Katherine Odham and would cross
reference it with the utility billing list to come up with names. She said
they'd invited John Vodenicker to speak tonight on what their firm could do.
Councilmember Bennington explained they wanted a way to get the referendum
validated in case there's a court challenge so it would be more legal.
4 Council Special Meeting Minutes
March 26, 1990
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John Voden;cker, partner with Ernst & Young auditors, said he and Tom Cox have
been discussing this process and they considered using a computer to load it in
but feel that would take too much time and they weren't sure they could accomp-
lish that as they'd have to load Katherine Odham's list and then cross reference
it and decided it would probably be best on a manual basis. He recommended they
hire temporaries or use City staff and do the process of verifying voter regis-
tration to water customers. He said it would probably take about two weeks to
go through approximately 3,000 customers and the first pass would be to try to
get who resides at these homes and then go to voter registrations because they're
in alphabetical order and use the utility listing as the source to try to
identify each of the 3,000 customers and see if they're legitimate voters or no.
He added they can assist the City to initially establish the control to be sure
you have a good list of voters that are water customers and they'd perform some
test of the listing and go behind the clerical people to be sure on a test basis
the utility water only customers are legitimate voters. He proposed they give
a letter of agreement upon procedures and they would do their testing on a
sampling basis and results should give them an indication of whether they have
a good list. Councilmember Bennington asked the cost for their services. Mr.
Vodenicker clarified it would be about 250 hours and they estimate about 32 to
42 hours on their part so it will range about $2,000 to $2,500 for theirs.
Councilmember Bennington said it's not staff or temporary help. Mr. Vodenicker
agreed that's right.
Councilman Fish stated it seems an expensive and painful process to go through.
Councilmember Bennington explained she took the figures given to them and broke
it down and figured it will cost $9,500 to $10,000 for this referendum with the
cost of the auditors and temporary help. Mr. Vodenicker suggested they could
do a door to door survey but he's concerned they'd miss people not at home. He
said if someone lives there and is a tenant and is the voter, they'll vote on
this property and perhaps they could get owners of the property from the listing.
Councilmember Bennington said the City Clerk compared the list on survey cards
and she read the numbers: 5,950 cards sent out, total returned were 3,346; low
pressure 2,323 and gravity 1,023; 1,283 people with Edgewater mailing address
want low pressure; 713 with Edgewater mailing address want gravity, or a
difference of 570. She added there were 1,040 mailing addresses outside
Edgewater that wanted low pressure and 310 outside Edgewater wanted gravity.
She said several people didn't get cards and they didn't realize if you owned
5 pieces of property, you could vote 5 times and if you1re a property owner but
don't live there you cannot vote. She pointed out the way the referendum is set
up, the tenant will get the vote.
Councilman Fish stated this has been a difficult issue for all of them and every
time they turn around there's another problem and they're in a quandary with
major decisions to be made very soon because if they wait too long, they may lose
the low interest money and 10 million over 20 years is a substantial amount.
He said survey cards went out but they had problems and inequities, but if they
pledge non ad valorem revenues that fund day to day operations of the City and
something goes wrong with this process because they took too much time, they
could be in serious trouble. He pointed out with November elections there's a
possibility some things may not get done if there's an entirely new Council.
Councilman Fish moved they not go to referendum but that instead this Council
elect to install the gravity sewer system as it seems as though in the long
run it will probably be more cost effective and less costly over a long period
of time. Councilman Gold agreed with Councilman Fish, adding the longer they
delay this, the more costly it has become and Council should live up to their
responsibilities and they should determine it, and he seconded the motion.
Councilmember Bennington stated she has a problem with a major reverse decision
without the entire Council and they've held off board appointments for a full
Council and this issue is too important not to have a full Council. She added
she'd like to have the time before she votes and she tends to agree with
Councilman Fish but wants to read the financial advisor's recommendation and
study it and ask questions. She asked the estimated cost of the gravity system
to the individual homeowner that will not be special assessed to bring it to the
City line. Mr. Ferland replied the cost to run the lateral from the home to the
street is approximately $375-$400 and another $250 for abandonment of the septic
tank. He explained that's pumping it out, crushing the bottom, and filling it
with clean sand, which is required by the Health Department. He added front
5 Council Special Meeting Minutes
March 26, 1990
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footage cost for gravity was $31 a month as a pro rated special assessment which
included that lateral cost, and it's about $26 a foot in front of the home. He
pointed out that many people can do it themselves which is a cost savings and
the City shouldn't have any problems with that because they wouldn't be
responsible if that lateral clogged.
Councilmember Bennington asked about the dewatering cost with gravity and what
problems they'll have and where the water will go. Mr. Ferland explained they'll
be well pointing with 211 pipes in the ground with 50 to 60 along the route they
will be excavating for the gravity sewer line and they'd stay on 24 hours a day
with big diesel engines and the water that's removed will be discharged into the
drainage systems and canals located throughout Florida Shores to bring the water
table down. He said it's usually 2 to 3 nights before, and then during the
excavation possibly, to prevent water from coming back in and once it's laid,
theylll pick up the well points and move that along to where they're working on
the next area. Councilmember Bennington asked if St. Johns River Management
has to permit this well point. Mr. Ferland replied he's never needed a
consumptive use permit from them for well pointing for dewatering for that sort
of excavation.
Councilmember Bennington again stated she'd like a full Council for this vote
because of the complexity and how important it is. She said if they don't want
to do that, she'd like to amend it to go with gravity system and paid for by the
Florida Shores property owners and not the City as a whole. Councilman Fish did
not agree to amend his motion. Mayor Mitchum stated he'll vote no because he
listened all these weeks to the reason for a referendum because they needed a
choice and he's had just as many calls from people who want low pressure as
gravity and this would deny them their choice.
Councilman Fish restated his motion to forego the referendum and install the
gravity system. (Councilman Gold had seconded his original motion.) Motion
DID NOT CARRY 2-2. Mayor Mitchum and Councilmember Bennington voted NO.
Councilmember Bennington moved they delay any further action until the next
Council meeting when they have a full Council. Councilman Fish seconded the
motion. Motion CARRIED 4-0.
Mayor Mitchum suggested a motion to adjourn. Councilman Fish so moved.
Councilman Gold seconded the motion. Meeting was adjourned at 8:12 p.m.
Minutes submitted by:
Lura Sue Koser
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ATTEST:
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6 Council Special Meeting Minutes
March 26, 1990
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CITY COUNCIL OF EDGEWATER
REGULAR MEETING
APRIL 2, 1990
MINUTES
CALL TO ORDER
Vice Mayor Russell Gold called the meeting to order at 7:00 p.m. in the Community
Center.
ROLL CALL
Mayor David Mitchum
Councilman Dan Hatfield
Councilmember Gigi Bennington
Vice Mayor Russell Gold
Councilman Thomas Fish
City Attorney Jose' Alvarez
City Manager Elly Johnson
City Clerk Susan Wadsworth
Chief Lawrence Schumaker
Excused
Present
Present
Present
Present
Present
Present
Excused
Present
INVOCATION. PLEDGE OF ALLEGIANCE
Reverend Campagnone, retired Roman Catholic Priest, delivered the invocation.
There was a pledge of allegiance to the Flag.
PRESENTATION OF APRIL BEAUTIFICATION AWARD TO LEO URBAN. 3043 NEEDLE PALM DRIVE
Vice Mayor Gold presented the award to Mr. Urban for the month of April.
APPROVAL OF MINUTES
Workshop of March 7. 1990 - Councilman Hatfield moved they accept the minutes
of March 7, 1990. Councilman Fish seconded the motion. Motion CARRIED 3-l.
Councilmember Bennington voted NO as she was excused from that meeting.
Workshop/Special Meeting of March 14. 1990 - Councilman Fish moved they accept
the minutes as true and correct. Councilmember Bennington seconded the motion.
Motion CARRIED 4-0.
Regular Meeting of March 19. 1990 - Councilmember Bennington moved for approval.
Councilman Hatfield seconded the motion. Motion CARRIED 3-0. Vice Mayor Gold
ABSTAINED due to being excused from that meeting.
Vice Mayor Gold suggested they moved item B.A., Unfinished Business, re; the
sewer selection up to this point on the agenda. No Council member expressed an
objection.
UNFINISHED BUSINESS
Discussion and possible action regarding selection of a sewer system for Florida
Shores - Councilman Fish stated they could have a motion to forego the referendum
as it appears the only controversy is with the low pressure system and he has
heard none on the traditional gravity system. He moved they take action to
implement the gravity sewer system and that the Florida Shores collection system
be paid for by special assessment. Councilman Hatfield seconded the motion.
Councilmember Bennington questioned if they have to repeal the resolution calling
for the referendum. City Attorney Alvarez replied yes. Councilman Fish included
in his motion they repeal the resolution calling for the referendum, 90-R-23.
Councilman Hatfield seconded the amendment. Councilmember Bennington stated
she'd asked this be postponed because she wanted a full Council to vote on it
but since the Mayor can1t be here, she doesn1t think they can wait any longer
and need to take action tonight. Original motion CARRIED 4-0. Amended motion
CARRIED 4-0.
Vice Mayor Gold called a 5-minute recess at 7:09 p.m. He called the meeting back
to order at 7:14 p.m.
CITIZEN COMMENTS
Richard Hitchcock, 3313 Woodland, thanked the people who caused the vote. He
stated he's a former Council member and was undefeated. He referred to the
absences of Council members from various meetings.
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CITIZEN COMMENTS (Continued)
James M. Keogh, Florida Shores, suggested they pay for it in municipal bonds over
30 years. He said the State loan would be taken out year after year and they'd
always be paying for it but with bonds they could put the utilities in and then
make four feet walkways for the people. He asked about the $185,000 in equipment
that's rusting. Councilman Fish replied the paving equipment is in the City barn
but it's not the type for typical black top surfacing as they're doing on
Riverside Drive. Mr. Keogh asked if the sewers are collapsing and they paved
over it instead of putting in new sewer pipe. Mr. Johnson replied the pipes were
repaired along Riverside Drive. Mr. Keogh again asked Council to consider going
with 30 year bonds and lose the State money. Mr. Johnson disagreed, noting they
can't issue the full amount of the bonds and the cost of bonds compared to the
loan is $10 million over the life and it won't slow the project down. He added
since Council has made the decision, they can now file for it and shouldn't have
any problems. He pointed out it's less money the people will have to pay in the
long run. Mr. Keogh asked if everyone will pay for it. Mr. Johnson replied no,
they're guaranteed by the special assessment.
John S;burn, Connecticut Avenue, stated they've asked for improvements to the
sound system for years. He asked everyone to speak into the mikes.
M;ke Hays, 2319 Umbrella, stated on March 5th Attorney Ossinsky, attorney for
the United Taxpayers of Edgewater, presented a petition to Council with approxi-
mately 700 signatures asking for a referendum vote on the proposed entire capital
improvement program. He added they requested a general bond to fund the program
to be paid by ad valorem taxes, and he cannot accept a lien placed on private
property. He stated the only decision was to allow all of Edgewater the same
equal quality of sewer system. He asked Council to decide to make the entire
CIP by ad valorem taxes.
Harry Jones, 3035 Tamarind, read the oath of office Council had taken and thanked
them for living up to it tonight. He then read a paragraph from the Declaration
of Independence regarding all men being treated equally.
Art Lloyd, 3130 Victory Palm, on behalf of the United Taxpayers, sincerely
commended the action taken. He equated Edgewater to the Civil War with north
against the south. He expressed hope this is a beginning of a solid unit that
wi 11 work together for a 11. He thanked the peop 1 e who'd jo i ned the Un ited
Taxpayers, stating without them he doesn't think it would have corne off the way
it did tonight.
John S;burn asked if there's a State law that improvements, such as sewers in
a certain area, cannot be on ad valorem taxes. City Attorney Alvarez replied
they can.
Wyatt H;nes, 1404 S. Ridgewood, stated there's a provision that if you aren't
dumping water into the sewer, the City can waive the bills. He asked for relief
from his sewer bill of $4,067.31 for December through March. Mr. Johnson
explained the man talked with him and the City staff can't waive the sewer bill.
He added that when a construct i on meter is i nsta 11 ed on the property be i ng
developed, there's no sewer charge but when a permanent meter is placed there,
then the sewer charge starts. He further explained the man is asking for relief
from Counc il for that part of the bill re 1 ated to the sewer. He sa i d the
landscaper left the water on overnight and he hasn't put any water into the sewer
system because it's not hooked up yet. Councilmember Bennington asked the total.
Mr. Hines replied $4,067.31 with penalties for sewer, with water $2,806.55.
Councilmember Bennington moved they waive the sewer bill with penalties.
Councilman Fish seconded the motion. Mr. Johnson requested they include in the
motion it's if the sewer has not been connected at this point. Councilmember
Bennington included that in her motion. Councilman Fish agreed to include it
as the second to the motion. Motion CARRIED 4-0.
Jan Hobbs, 1325 Travelers Palm, asked how the special assessment will work with
gravity. Mr. Johnson explained the cost of the project will be determined and
will be so much for front foot in front of your house. Ms. Hobbs asked if
everyone will be the same. Mr. Johnson replied it depends on the size of front
footage of the property and they'll go through the hearing process and determine
a cost and they'll be told how much it is for the different size lots.
Council Regular Meeting Minutes
2 April 2, 1990
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CONSENT AGENDA
Finance Director's recommendation to sell obsolete computer equipment for $1.900
to Fiscal Information. Inc.. the sole bidder: Public Works Director's
recommendation to purchase 15 vard tandem dump truck from Tom Nehl GMC Truck Co.
for $50.656 with 5 year financing: Uti 1 ities Director's recommendation to
purchase sludQe truck for Wastewater Department from Boebinger International
Truck Sales. Inc. for $45.940: Planning and Zoning Director's recommendation
to amend contract with Over. Riddle. Mills & Precourt. Inc. for $3.629 for their
response to DCA review of our Comprehensive Plan: Parks and Recreation Board's
reconmendation to support the "Big Whee1s" Bike Path Committee and to waive fees
for peddling and soliciting for their fund raising activities with all donations
to be deposited to the Parks and Recreation budget and used only for bike
paths/bikeways - Vice Mayor Gold asked if they want to remove anything from the
consent agenda. There were no requests. He suggested a motion to accept and
close the consent agenda. Councilman Hatfield so moved. Councilmember
Bennington seconded the motion. Motion CARRIED 4-0.
NEW BUSINESS
Ratification of Police Benevolent Association Labor Agreement - Councilman Fish
moved they ratify the labor agreement. Councilmember Bennington seconded for
discussion. Councilmember Bennington stated they just got this tonight. She
asked if it had been read to make sure the proposed changes are in this
agreement. Mr. Johnson replied they spent about 4 days last week with this and
they rewrote the original agreement but to the best of their knowledge it's what
they agreed to and it's recommended it be approved. He added they'll be starting
contract negotiations in the near future. Councilmember Bennington stated she
hates to get something the night of the meeting but will vote based on what the
City Manager told them. Mr. Johnson pointed out if it weren't for the employees
getting their back pay, he'd ask them to delay it. Councilmember Bennington
stated she understood. Motion CARRIED 4-0.
Counci lman Fish stated the recommendation from LDRA is a step in the right
direction and he's convinced they should try to enforce what they've had on the
books rather than implement new legislation and he moved they repeal Ordinance
89-0-11. Councilmember Bennington seconded the motion, and said the business
community responded after they passed it before and if they'd been involved prior
to doing it, they wouldn't have to be doing this now. She pointed out it was
in the works for two years before it got to Council, and she's glad the citizens
have been on the ball. Motion CARRIED 4-0.
Councilmember Bennington moved to direct the City Attorney to draw up the
ord i nance to repea 1 89-0-11. Counc il man Fish seconded the mot i on. Mot i on
CARRIED 4-0.
ORDINANCES. PUBLIC HEARINGS. AND RESOLUTIONS
First Reading:
Ord. 90-0-13 Amending Chapter 16. Taxation. by adding fuel oil as a taxable item
and establishing a flat ten per cent (10%) uti1itv tax - Vice Mayor Gold read
the Ordinance. Ord. 90-0-13 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
EDGEWATER, FLORIDA, AMENDING CHAPTER 16, TAXATION, OF THE CODE OF ORDINANCES OF
THE CITY OF EDGEWATER, FLORIDA, BY ADDING FUEL OIL AS A TAXABLE ITEM AND BY
ESTABLISHING A TEN PERCENT (10%) UTILITY TAX, CONTAINING A REPEALER PROVISION,
A SEVERABILITY CLAUSE, AND PROVIDING FOR AN EFFECTIVE DATE. Councilmember
Bennington moved they adopt 90-0-13. Councilman Hatfield seconded the motion.
Motion CARRIED 3-1. Councilman Fish voted NO.
Res. 90-R-25 Appointing two members to Building Trades Regulatorv & Appeals Board
due to expiration of terms of current members - Vice Mayor Gold read the
Resolution. RES. 90-R-25 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
EDGEWATER, FLORIDA, APPOINTING TWO MEMBERS TO THE BUILDING TRADES REGULATORY AND
APPEALS BOARD OF THE CITY OF EDGEWATER, FLORIDA; PROVIDING FOR TERMS OF OFFICE;
PROVIDING FOR RIGHTS, PRIVILEGES AND RESPONSIBILITIES; REPEALING ALL RESOLUTIONS
IN CONFLICT HEREWITH AND PROVIDING FOR AN EFFECTIVE DATE. Councilman Fish
nominated John Ciaffoni. It was noted Mr. Ciaffoni is not a registered voter
as they'd discussed previously would be desired. Councilmember Bennington
Council Regular Meeting Minutes
3 April 2, 1990
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ORDINANCES. PUBLIC HEARINGS. AND RESOLUTIONS (Continued)
First Reading:
Res. 90-R-25 Appointing two members to Building Trades Regulatory & Appeals Board
due to expiration of terms of current members (Continued) nominated Gary Butt.
Councilman Hatfield nominated James Norris. Vice Mayor Gold pointed out Mr.
Norris had refused appointment previously. Councilman Hatfield explained he's
interested in being on another board and his prior experience would make him a
good member. Roll call on John Ciaffoni DID NOT CARRY 3-1. Councilman Fish
voted YES. Roll call on Gary Butt CARRIED 4-0. Councilmember Bennington asked
if they're sure Mr. Norris is interested in this board and that's why he resigned
before. Mr. Johnson replied he was contacted March 5th and was still interested.
Roll call on James Norris CARRIED 3-1. Councilman Fish voted NO. Councilmember
Bennington moved they adopt 90-R-25 with the names of Gary Butt and James Norris.
Councilman Hatfield seconded the motion. Motion CARRIED 4-0.
Second Reading:(Public Hearing)
Vice Mayor Gold requested a motion to go from regular meeting to public hearing.
Councilman Fish so moved. Councilmember Bennington seconded the motion. Motion
CARRIED 4-0.
Ord. 90-0-9 Repealing App. B.. Subdivisions. Art. IX. B(ll) re: public site and
open spaces and creating Sec. 12-5.14. park and open space impact fees - Vice
Mayor Gold read this Ordinance. Ordinance 90-0-9 - AN ORDINANCE OF THE CITY
COUNCIL OF THE CITY OF EDGEWATER, FLORIDA, AMENDING THE CODE OF ORDINANCES OF
THE CITY OF EDGEWATER, BY REPEALING APPENDIX B, SUBDIVISIONS, ARTICLE IX, DESIGN
STANDARDS, B (11) AND BY AMENDING CHAPTER 12.5, PARKS AND RECREATION BY CREATING
ARTICLE III, SECTION 12.5-14, "PARK AND OPEN SPACE IMPACT FEES" BY PROVIDING FOR
PARK AND OPEN SPACE IMPACT FEES; PROVIDING FOR DEFINITIONS; PROVIDING FOR A FEE
SCHEDULE; PROVIDING FOR OPTIONAL SPECIAL STUDIES; PROVIDING FOR PAYMENT PROCED-
URES; PROVIDING FOR CREDIT PROCEDURES; ESTABLISHING A PARK AND OPEN SPACE TRUST
FUND; PROVIDING FOR REFUNDS; ESTABLISHING FEES AS LIEN ON PROPERTY; PROVIDING
FOR LIBERAL CONSTRUCTION; CONTAINING A REPEALER PROVISION, A SEVERABILITY CLAUSE;
AND PROV ID I NG FOR AN EFFECTI VE DATE. He requested aud i ence comments. There were
none.
Ord. 90-0-10 Late night business (Replacing Ord. 90-0-1 re: convenience store
robbery prevention) - Vice Mayor Gold read this Ordinance. Ord. 90-0-10 - AN
ORDINANCE OF THE CITY COUNCIL OF THE CITY OF EDGEWATER, FLORIDA, AMENDING CHAPTER
12, "0FFENSES AND MISCELLANEOUS PROVISIONS" OF THE CODE OF ORDINANCES OF THE CITY
OF EDGEWATER, FLORIDA, BY CREATING ARTICLE I II, SECTION 12.6 ENTITLED "LATE NIGHT
BUSINESSES II BY ESTABLISHING SECURITY MEASURES INCLUDING TRAINING, AND LIGHTING
REQUIREMENTS; ESTABLISHING A RIGHT OF ENTRY FOR INSPECTION; ESTABLISHING PENAL-
TIES; CONTAINING A REPEALER PROVISION, A SEVERABILITY CLAUSE AND PROVIDING FOR
AN EFFECTIVE DATE. He requested audience comments. There were none.
Ord. 90-0-11 Amending Sec. 11-7. Certificate of Competency. by increasing
competency card fees by $2.00 as of September 1. 1990 - Vice Mayor Gold read the
Ordinance. Ord. 90-0-11 - AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF EDGE-
WATER, FLORIDA, AMENDING SECTION 11-7 "CERTIFICATES OF COMPETENCY; REQUIRED FOR
CERTAIN OCCUPATIONS, FEES" OF THE CODE OF ORDINANCES OF THE CITY OF EDGEWATER,
FLORIDA, BY PROVIDING FOR AN INCREASE OF TWO ($2.00) DOLLARS FOR ALL COMPETENCY
CARD FEES EFFECTIVE SEPTEMBER 1, 1990; CONTAINING A REPEALER PROVISION, A
SEVERABILITY CLAUSE AND PROVIDING FOR AN EFFECTIVE DATE. He requested audience
comments. There were none.
Vice Mayor Gold requested a motion to go from public hearing back to the regular
meeting. Councilman Hatfield so moved. Councilman Fish seconded the motion.
Motion CARRIED 4-0.
Ord. 90-0-9 - Counci lmember Bennington moved they adopt 90-0-9. Counci lman
Hatfield seconded the motion. Motion CARRIED 4-0.
Ord. 90-0-10 - Councilman Hatfield moved they accept Ordinance 90-0-10. Council-
member Bennington seconded the motion. Motion CARRIED 3-1. Councilman Fish
voted NO.
Ord. 90-0-11 - Councilman Fish moved they accept Ordinance 90-0-11. Council-
member Bennington seconded the motion. Motion CARRIED 4-0.
Council Regular Meeting Minutes
4 Apr i 1 2, 1990
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UNFINISHED BUSINESS
Discussion and possible action reqardinq selection of a sewer system for Florida
Shores - This item was handled earlier on the agenda. See page 1 of the minutes.
COUNCIL/OFFICERS REPORTS
City Attorney - City Attorney Alvarez had no report at this time.
City Manaqer - Mr. Johnson had no report at this time.
City Council - Councilmember Bennington stated she'd talked with Ron Ferland and
he'll be getting information on the bike path for Roberts Road soon.
QUESTIONS FROM PRESS
None
CITIZEN COMMENTS
Norm Billups, 1860 Pine Tree, asked the progress on getting a certified
registered civil engineer. Mr. Johnson replied he hopes to have one on board
within the next 30 days and they'd advertised in the national Public Works
magazine and got quite a few applications. He noted they'd advertised in the
Florida Specifier and the American Engineering Society had publication problems.
Mr. Billups asked if they'd considered aeration as held recommended to avoid
another fish kill in the lake. Mr. Johnson replied they don't feel it's
practical because they plan to do a lot of renovation on the entire stormwater
system and will go through the master plan and see if it's addressed. He added
the problem is with the flow and because of cost and the plan not being completed
yet is why theylre not looking at aeration. Mr. Billups asked if the recreation
fees could be used because of the young people and senior citizens that use the
area. Mr. Johnson explained it doesn't qualify for the park impact fees and
they're looking at how to correct the flow. Mr. Billups suggested they could
have the Fish and Wildlife restock it. Mr. Johnson agreed they'd look at that.
Nora Jane Gillespie, 1719 Willow Oak, thanked Council for approving her request
on the bike path. She stated her co-sponsor is Donna Walls Wagner and they have
several volunteers. She said she'd give Parks and Recreation and Council copies
and work with the city Manager on their projects. Mr. Johnson expressed
appreciation for the work she's doing with this project.
Dom Fazzone, 302 Paradise Lane, commended the Police and Fire Departments for
their professionalism and fast response to the accident that occurred on
Riverside Drive last week when the paving truck ran over one of the workers.
Cliff Clark, 1814 Evergreen, stated he owns property on Riverside Drive that's
been vacant for over 5 years and has paid the utility bills. He questioned if
refuse is a requirement like water and sewer is because of the commitment that
was made. Mr. Johnson explained they require an availability of services and
it's a uniform fee for refuse and stormwater and sewer. He added it's a utility
bill and not just for water and sewer.
Jan Hobbs, 1325 Travelers Palm, asked about the fuel oil tax (Ord. 90-0-13).
Mr. Johnson explained they have a utility tax for electricity, telephone and all
utilities, and the State says the City had to be a flat percentage and that was
why it was changed. He added they pay it now on the utility bill. Ms. Hobbs
asked if it will be 10% now. Mr. Johnson replied yes, the State said we cannot
do it like we did before and it's a flat rate and a back up for the money that's
outstanding now.
Ms. Hobbs asked about scraping 12th Street. Mr. Johnson explained 12th Street
is probably scraped more than any other street in the City. Ms. Hobbs stated
it only gets scraped when it rains. Mr. Johnson pointed out it was scraped a
couple of weeks ago and Carl Overstreet can let her know when it will be scraped
next time. Ms. Hobbs agreed she'd like to know.
ADJOURN
Vice Mayor Gold suggested a motion to adjourn. Councilman Hatfield so moved.
Councilman Fish seconded the motion. Meeting was adjourned at 8:01 p.m.
Minutes submitted by:
Lura Sue Koser
Council Regular Meeting Minutes
5 April 2, 1990
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Council Regular Meeting Minutes
6 Apr i 1 2, 1990