8/18/1982 - Laserfiche WebLink

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not economically feasible with the County's current rate structure. The Attorney felt he could not proceed when he knew it was not economically feasible; therefore, he asked the Judge for a postponement, which was granted indefinitely. He explained that if the County charged standard rates to all of its customers, the County would still be $60,000 short, annually, of meeting its bond covenants. Commissioner Lyons commented that the water usage has not been kept at what was previously estimated. The Chairman wondered how we got to the eleventh hour only to find ourselves faced with this question, and also wondered why it was not discussed earlier. The Chairman stated that there had never been any in-depth analysis done in this regard. John Robbins, Engineer, approached the Board with the explanation to the various questions. The original concepts for the County utility system became effective in 1978; funds came from FmHA and the rate structure of $7.10 for Gifford water system was developed. He continued that the South County water system had a rate of $8.00. Later, the County adopted a uniform rate structure, which was different from the Gifford and the South County water rates. The lower rate structure was adopted and the idea was to come back to FmHA prior to closing and, if at all possible, go with the lower rate. Mr. Robbins then elaborated on the Treasure Coast and Ixora Utilities; the loan with FmHA; and the Letter of Conditions that was entered into on February 7, 1982, utilizing the $7.10 rate in an effort to satisfy FmHA. Mr. Robbins explained that the mandate St. Johns River Water Management District had last year was very effective concerning the number of living units per month. It was necessary to take into consideration the entire utility system and a 5 year projected revenue and expense AUG 181992 80 So ,51 PAGE 99 4