2013-R-18 RESOLUTION NO. 2013-R-18
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF EDGEWATER, FLORIDA; RELATING TO PAYMENTS
IN LIEU OF FRANCHISE FEES (PILOFF) BY THE CITY
OF EDGEWATER UTILITIES SYSTEM;
INCORPORATING RECITALS; PROVIDING
AUTHORITY; REQUIRING THE CITY OF EDGEWATER
UTILITIES SYSTEM TO PAY THE CITY OF
EDGEWATER GENERAL FUND AS PAYMENTS IN LIEU
OF FRANCHISE FEES AN AMOUNT EQUAL TO 5.9
PERCENT OF THE REVENUES COLLECTED BY THE
WATER AND SEWER SYSTEM OPERATING FUND,
REFUSE AND RECYCLING OPERATING FUND AND THE
STORMWATER OPERATING FUND BEGINNING
OCTOBER 1, 2013; REQUIRING PAYMENTS IN LIEU OF
FRANCHISE FEES EACH MONTH OR AT OTHER
PERIODIC INTERVALS UNTIL AMENDMENT, REPEAL
OR RESCISSION OF THIS RESOLUTION; SPECIFYING
FUNDS FOR PAYMENTS IN LIEU OF FRANCHISE FEES;
PROVIDING ADDITIONAL AUTHORIZATION TO
IMPLEMENT AND CARRY OUT THIS RESOLUTION;
REPEALING RESOLUTIONS IN CONFLICT HEREWITH
AND ESTABLISHING AN EFFECTIVE DATE.
WHEREAS, the City of Edgewater, Florida, desires to implement payments in lieu of
franchise fees as authorized by City Council; and
WHEREAS, Resolution #2013-R-17 of the City of Edgewater Code of Ordinances
authorizes the City of Edgewater to require the utilities system to make payments to the City's
general fund in lieu of franchise fees which a privately owned utility would be required to pay;
and
WHEREAS, this Resolution defines the term "Operating Expenses" of the utilities
system to include payments-in-lieu-of-franchise fees; and
WHEREAS, as used in this resolution, the City of Edgewater utilities system means the
water and sewer system, refuse and recycling collection and stormwater system; and
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WHEREAS, the City of Edgewater has constructed, acquired, improved and owns,
maintains and operates a utilities system pursuant to Chapter 19 (Utilities and Services) of the
City of Edgewater Code of Ordinances; and
WHEREAS, the City of Edgewater public utilities system uses and occupies rights of
way, easements, lands under water, and other similar property rights throughout the City in
connection with the acquisition or construction of additions, extensions and improvements or the
operation or maintenance of such utilities system; and
WHEREAS, the City of Edgewater has made substantial investments and expenditures
in the acquisition, construction, improvement, operation and maintenance of such utilities
system; and
WHEREAS, the utilities system constitutes a significant asset of the City of Edgewater;
and
WHEREAS, a privately owned utility providing a water and sewer system, solid waste
and stormwater system services would be required to obtain franchises and pay franchise fees to
the City of Edgewater for the acquisition, construction, improvement, operation and maintenance
of such system; and
WHEREAS, the payments required by this resolution represent a return on the
investment of the City of Edgewater in the utilities system and approximate the value of a
franchise fee that would be paid to the City of Edgewater by a privately owned utility.
NOW, THEREFORE, be it resolved by the City Council of Edgewater, Florida:
Section 1. The recitals set forth above are true and correct and are hereby incorporated
into this resolution as though specifically stated herein. Any capitalized term used in this
resolution and not otherwise defined shall have the meaning ascribed to such term in the
Resolution.
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Section 2. Beginning October 1, 2013, the City of Edgewater utilities system shall pay
to the City of Edgewater general fund as payments in lieu of franchise fees an amount equal to
5.9 percent of the revenues collected by the water and sewer system, solid waste and stormwater
system funds during each fiscal year, and (hereinafter referred to as the "Revenues"). Such
Revenues shall not include Impact Fees and interest income in the systems capital project funds.
The payments shall be made no later than thirty (30) days after the end of each month during the
fiscal year or at such other periodic intervals as determined by the Finance Department.
Section 3. The payments in lieu of franchise fees in the amount of 5.9 percent of the
Revenues from the City of Edgewater utilities system to the general fund shall continue to be
paid each month or at such other periodic intervals as determined by the Finance Department
until amendment, repeal or rescission of this resolution by the City Council.
Section 4. The payments in lieu of franchise fees shall be paid as Operating Expenses of
the City of Edgewater utilities system from monies available in the Funds established pursuant to
the applicable budget resolution.
Section 5. The City Council and other appropriate officials of the City of Edgewater are
hereby authorized and directed to take appropriate action to implement and carry out the intent of
this resolution.
Section 6. All resolutions or parts of resolutions in conflict herewith are hereby repealed.
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Section 7. This resolution shall take effect upon adoption.
After a motion by ciurcjjry with Second by C'punr,:iu rnn 12,- , the
vote on this resolution held on September 9, 2013 was as follows:
AYE NAY
Mayor Mike Thomas �(
Councilwoman Christine Power X
Councilwoman Gigi Bennington X
Councilman Mike Ignasiak X
Councilman Gene Emter k
PASSED AND DULY ADOPTED this 9th day of September, 2013.
ATTEST: CITY COUNCIL OF THE
t-anif■cal jaccetL____ :CITY OF EDG_ iii_T R, 1 RIDA
c---)ti )
•
Bonnie Wenzel ike T.1.as
City Clerk ayor
Robin L. Matusick
Paralegal
I
For the use and reliance only by the City of Edgewater, Approved by the City Council of the City of Edgewater
Florida. Approved as to form and legality by: at a meeting held on this 9th day of September,2013
Aaron R.Wolfe,Esquire under Agenda Item No 8 h
City Attorney
Doran, Sims,Wolfe&Kundid
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