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INDIAN RIVER COUNTY, FLORIDA DEPARTMENT OF UTILITY SERVICES IQ61 Date: May 10, 2017 To: Jason E. Brown, County Administrator From: Vincent Burke, P.E., Director of Utility Services Prepared By: Arjuna Weragoda, P.E., Capital Projects Manager Subject: North Sebastian Septic to Sewer (S2S) Phase 1- Bid Status of Bid No. 2017-046 DESCRIPTIONS AND CONDITIONS: - On December 20, 2016, the Indian River County Board of County Commissioners (BCC) approved the following: 1. Approve the County's Funding Mechanism -to allocate the necessary dollars to reduce the construction and connection costs as much as possible for property owners: (a) Construction Cost Funding (Utility Assessment Fund 473 at 20%, Optional Sales Tax Contribution at 20%, and Property Owner Assessment at 27%); and (b) Impact Fee Funding with the Optional Sales Tax Contribution of 100%, with a 5 -year sliding benefit for existing septic and not to apply to new construction; 2. Begin implementation of a Phase 1 Septic to Sewer Assessment Project for the construction costs for all properties, both inside the City of Sebastian and unincorporated County by: (a) Directing staff to follow assessment procedures for notifying benefitting property owners, preparation of assessment roll, and the necessary resolutions, and (b) Holding necessary public meetings for property owners and interested parties; 3. Approve the special 2% APR interest rate for the Commercial Phase 1 S2S project area; 4. Direct staff to finalize the bid package and go out for competitive bids; 5. Formalize a connection policy for existing structures within the North County Phase 1 S2S area, with a 5 - year timeline for mandatory hook-up; and 6. Direct staff to conduct an updated rate study to include looking at recouping any cost of the construction and the future removal and replacement (R&R) costs. Staff moved forward with item No. 4 and advertised the North Sebastian Septic to Sewer Phase I on March 9, 2017. The bids were opened April 12, 2017. The purpose of the subject agenda is to outline possible financing options with actual construction prices that will enable benefitting property owners to connect to a central sewer system in a way that encourages maximum participation. P172