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HomeMy WebLinkAbout11/30/1981Monday, November 30, 1981 The Board of County Commissioners of Indian River County, Florida, met in Special Session at the County Courtroom, County Courthouse, 2145 14th Avenue, Vero Beach, Florida, on Monday, November 30, 1981, at 3:00 o'clock P.M. Present were Patrick B. Lyons Chairman; Dick Bird; Alfred Grover Fletcher; and Don C. Scurlock, Jr. Absent was Vice Chairman William C. Wodtke, Jr. Also present were Neil A. Nelson, County Administrator; George G. Collins, Jr.and R. Stephen Houlihan, Attorney and Assistant Attorney to the Board of County Commissioners; and Virginia Hargreaves, Deputy Clerk. The Chairman called the meeting to order, announcing that it is being held to consider the Pebble Bay sewer plant and customer connections to the City of Vero Beach system. REVIEW OF PEBBLE BAY PROPOSED IMPACT FEES Chairman Lyons commented that at the meeting held November 25th, there was a Motion which indicated that we would charge $15,000 to the project for removal of the Pebble Bay plant and credit the project $40,000 for salvage of the plant. At that time we were talking about setting up an assessment roll that included the customers who were in the Town of Indian River Shores and some who were in the County and would be annexed into Indian River Shores. The Chairman reported that he since has had an opportunity to meet with representatives of Indian River Shores, and it looks as if we might get together on a little bit different arrangement than we had anticipated; in effect, that Indian River Shores would be responsible for a lump sum amount equivalent to the charges we would have to make to recover our capital costs for the improvements in the area that is served in Indian River Shores and that will be served when the annexation goes through. Chairman Lyons continued that on that basis, he met with Utility Director Liner, NOV 3O1981 0 BOOK 48 NOV 3 01991 bm 48 PAP,F Administrator Nelson, and Attorney Houlihan to try to figure out what amount we want to recover since we have had to make certain improvements in order to have the City of Vero Beach accept the connection to their system. The Chairman then reviewed the following memo, explaining that Le Mer paid in advance some $7,560 which included $2,310 to be used to improve the system in order to accept their sewage; Harbor Island Club paid $36,000 to improve the lift station in order to receive its sewage and'that work will be done as a part of this job; this leaves a net to be collected of $155,751.41, to which you add the estimated cost to move the plant and subtract .the estimated value of the plant, arriving at a net figure of $130,751.41: 1 Cred Cost Cost of Pebble Bay Contract Work all inclusive Impact fee for Vero Beach 48,750 ($187.50 X 260) La Mer Impact Fee received 2,310 (7560 - 5250) Harbor Island Club Impact Fee 36,000 Estimated Cost to Move Plant 15,000 Estimated Value of Plant 40,000 = 11/30/81 Cum $242,811.41 194,061.41 191,751.41 155,751.41 170,751.41 130,751.41 There are 265 connections including 40 from Harbour Island Club (who should not be charged again) and County Park, Eckerds, 7-11, Barnett Bank and 8 empty lots in Pebble Bay. Cost of Construction Impact for project - 130,225.41 = 581.12 Note: This does not include the.$187.50 to be paid -to Vero Beach 11/30/81 Connections after Annexation County - Pebble Bay 45 units Harbour Island Club 40 units Vera Cruz 35 units County Park 2 units F.I.T. 1 unit 123 units Indian River Shores - Pebble Beach Villas 72 units Sea Watch 29 units La Mer 28 units Eckerd 1 unit 7-11 Store 1 unit Bank 1 unit 142 units Total 265 units 2 �oo� 48 PAcF 2'1 N O V 3 01981 Nov 3 01981 SVERDRUP & PARCEL AND ASSOCIATES, INC. AND BEINDORF AND ASSOCIATES, INC. (A JOINT.VENTURE) November 25, 1981 I i i Mr. Neil A. Nelson County Administrator Indian River County 2345 - 14th Avenue Lawyer's Title Bldg. Vero Beach, FL 32960 I Subject: Pebble Bay Sewerage Area Wastewater System Improvements Engineer's Project No. 6765 Dear Neil: BOOK 48 FACE 1 Project No. 6765 Please find below, the cost breakdown for the necessary improvements for the subject project. This cost estimate represents obligations of the County to the Town of Indian River Shores and the City of Vero Beach as stated by the -Tri -Party Agreement. ITEM COST 1. Construction Cost $1.14,578.35 2. Engineering 81000.00 3. Resident Inspection 15,000.00 4. Legal .2,000.00 5. Ads 25.00 6. City of Vero Beach Impact, Fee (260 units) 48,750.00 Indian River Shores Reimbursement (Items 7 through 11) 7. 6" Force Main Equivalent ($9.50/Ft.) 15,010.00 B. 57% of pavement replacement 1,609.00 9. 50% of 10" Force Main Connection 800.00 K _I ITEM COST 10. 50% of Meter and Meter Pit $ 1,536.91 11. 1% of Pump Station No. 2 ($50,215) 502.15 12. Contingencies 10,000.00 13. Interest During Construction 25,000.00 TOTAL PROJECT COST ..................... .$242,811.41' If, however, the County should continue to operate the system, improvements will still have to be made to the system with a related cost as follows: ITEMM COST 1. Construction Costs (Other than sewage treatment plant improvements) $114,578.35 2. Sewage Treatment Plant Improvements a. Surge tank pumps & controls b. Miscellaneous piping c. Monitoring wells (4 required) 15,000.00 3. Engineering 8,000.00 4. Resident Inspection 15,000.00 5. Legal 2,000.00 6. Ads 25,00 7. Indian River Shores Reimbursement for 1% of Pump Station No. 2 502.15 8. Interest During Construction 20,000.00 TOTAL PROJECT COST ................ .....$175,105.50 I hope this information is sufficient, but if further clarification is required, please do not hesitate to call. Very truly yours, Guy J. Wills For the Joint Venture Chairman Lyons reported that the Town of Indian River Shores has tentatively indicated that the easiest way to handle this matter would be for them to contract to pay the County for 142 units at $581.12, and the Town then would. take whatever measures they decided were appropriate to collect from the customers who had been annexed into Indian River Shores. The Chairman felt this would be a clean way to handle this problem. Some discussion arose as to particulars regarding the amounts credited to Harbour Island and Le Mer, and Chairman Lyons explained that the $2,310 credited to Le Mer was our standard 'charge for connection because we did not anticipate a major overhaul to the system to be able to collect their 4 BOOK 8 Ptt�Gf.2,g5 N0V3019�1 NOV 3 01981 PAY216 sewage. We had to make a major modification to the lift station, however, to be able to service Harbour Island. The Chairman asked if the Commission would go along with the suggested approach, and Commissioner Scurlock stated that he mainly was interested in seeing that there was not some large subsidization of this program by ad valorem taxes. He felt this is a reasonable approach with possibly a few modification re the number of taps designated for the County park and F.I.T. The source of funding was brought up, and Intergovernmental Coordinator Thomas stated that we had a surplus -with FmHA of close to $70,000 from the Gifford project; these funds are already set aside and we do not have to reapply for them. Commissioner Fletcher questioned a cost of $15,000 to disconnect and move the plant in Pebble Bay since the price quoted for moving the lift station, which is only 1/10 the size of the plant, was quoted at $5,000. It was explained that treatment plants are modular and set up to be moved. Commissioner Bird stated that he agreed with the approach presented by the Chairman, but asked whether we have any provision for some kind of rebate to those being assessed in the event we do not spend as much as budgeted. Chairman Lyons -felt unless there is a big disparity, the money should accrue to the General Fund because of the money spent on this system over the years. Question arose on an allowance of only two units for the park area and one unit for F.I.T. Commissioner Scurlock felt there should be an allowance of four units for the park area. Engineer Robbins reported that, based on 110 parking places multiplied by 12 gallons per parking place per day, they came up with a figure of 3.77 or approximately 4. In regard to F.I.T., they had figured on two units since one person will be living there. It was noted that there 61 - ® M will be three buildings, and F.I.T. should be set up for three units. Fritz Gierhart, Vice Mayor of the Town of Indian River Shores, commented that in two weeks time, some of the parcels the County is planning on assessing will be in Indian River Shores. He stated that the Town would like to be of help in smoothing this transition problem out, and what they would like to do is collect the fees on the east side of S.R. AlA. Mr. Geirhart continued that Indian River Shores wishes to pay their pro rata share of the County's bid price,,but does not feel they should have to participate in the costs associated with such things as interest, contingency, and legal lees, which actually are not a part of the sewer hook-up fee, but just the price of doing business. He reported that the Town felt that including Sea Watch and Le Mer in the County assessment roll is a discrepancy since Indian River Shores paid their cost, and, therefore, they question the number of units on the east side of the road. Discussion continued as to where the impact from the units counted for Sea Watch and Le Mer should be assessed since it appears they actually are on both assessment rolls. Engineer John Robbins stated that Sea Watch has a tie- in both to the Town and the County while Le Mer is totally under the Town; the contract the County has for $114,000 will provide sewer service to 7-11, Eckerd's, Pebble Bay - Villas and Sea Watch on the east side of the road. Although Sea Watch is on Indian River Shore's gravity line, it ultimately will be served by the County's lift station. Mr. Gierhart felt that if we stick to the bid contract, it does not make any difference how this is split up. One unit will pay a set amount,and if the County wants to add on carrying charges for the west side of the road, that is immaterial to Indian River Shores. They are willing to pay their pro rata share of the big contract; all they are 6 BOOK 4 PArF4.1 E NOV 301981 NOV 3 01991 BOOK pAu d$ objecting to is inclusion of the legal fees, contingency and the interest during construction. John Curtin of Indian River Shores explained that the Town is absorbing their risk for those specific cost elements even though their cost is 2z times as high as the County's. Their financing set up provides for adding 10% for every deferred payment every calendar year. Commissioner Scurlock noted that the Town will have new customers to make up the difference and the County won't. He then questioned the figure of $25,000 for interest during construction, which he felt was excessive. Mr_ Curtin felt that it would be necessary to borrow for only three months.or so, and that a figure of $3,000 or $4,000 should be sufficient. Intergovernmental Coordinator Thomas noted that he was given a cost of $207,000 and a time period of one year, and if the figures have changed on total cost and total length of time, he would have to refigure. In regard to the $10,000 figure for contingency, Engineer John Robbins reported that they took into account that the contract might not be awarded until December 1st, which would increase the price about $5,400, and in addition, there are some buried utilities on which we do not have any records. Mr. Geirhart asked if the legal fees could be recovered from delinquent payers, and it was felt that the legal fees could be deleted since the County now is going to have a full time county attorney. Fred Scowden, local builder and resident of Pebble Bay, disputed the number of hookups estimated by the County, stating that Pebble Bay has 50 lots, not 45, and Vera Cruz has 57 units, if you count the clubhouse, and not 35 as set out in the County's figures. He further noted that a lot of people.in Pebble Bay have already paid a $200 hook up fee. 7 He was informed that charge was what it will cost to improve the system, which is under violation by the D.E.R., so that it will be operable. Mr. Scowden complained that when the County allowed Pebble Beach Villas and Le Mer to hook on, it made the system inoperable, and John Reynolds, also a resident of Pebble Bay, complained that when the developers originally sold the sewer plant to the County, it was paid for with tax dollars, and now the County is asking the residents to pay again to have it dismantled and: -removed at a cost of $242,000. Much discussion ensued about what the $242,000 figure includes, the history of the Pebble Bay system, and why there is so great a difference in costs between the Town and the County. It was explained the the County must pay for the equivalent of a 6" main to the Vero Beach city limits in order for those connected to this system to be able to connect to the City system, and the refurbishment of the existing lift stations to bring them up to standards will be very costly. Mr. Reynolds did not feel the residents should have to pay for someone else's mistakes and stated there should be a public hearing on this matter. He was informed that there will be a public hearing when we have an assessment roll prepared. Discussion continued in re the problem caused by the discrepancy in the number of lots used to figure the impact fee. Mr. Geirhart stated that he could guarantee the County's pro rata share of everything on the east of the road and asked if the Board could not sign with the contractor on that basis rather than delay and have costs increase $5,000. Chairman Lyons noted the proposed agreement is close to incorporating the things discussed today, and he suggested 8 24 RD 4 NOV 3 ®1991 t PA N O V 3 01981 48 PACF 220 that Mr. Gierhart take a copy and revise it to fit Indian River Shores concept. The Board continued to discuss the need for revised figures and also the situation in regard to the County enclave, Le Mer and Sea Watch. Engineer Robbins informed the Board that the enclave shows up as Item 11, and its impact is figured as 1% of the flow to the lift station. He further noted that the formula for the enclave is set out explicitly in the tri -partite agreement, i.e., the enclave will have to use the Town facilities to receive sewer service and the Town will have the right to charge the enclave at a rate consistent with that charged other Town residents. Engineer Robbins then drew a sketch of the location of the pump stations and lift stations, noting that the pump stations, which are in deplorable condition and constitute a health risk, will be taken out of service. All of the LeMer sewage will flow to the north and will be in the Town of Indian River Shores; Sea Watch sewage will flow south to the County pumping station. The cost to connect Sea Watch is borne by the Town of Indian River shores even though the sewage will wind up in a lift station the county is paving for. Mr. Curtin noted that Indian River Shores does pay a proportionate share of pumping station #1, which takes care of the Sea Watch situation, and it was agreed this was covered and prorated. The Commission continued to review figures and possible costs, and it was felt that a Motion could not be made until staff can come up with a correct number of taps. Chairman Lyons pointed out that we have the statement of Mr. Gierhart that they are willing to accept our proposal based on cost of the contractor's bid, and he asked whether the Board could take some steps to move ahead now with this understanding. � � r _I The point was brought up that this still leaves us far short of the actual dollars for the project because it does not take into consideration engineering and inspection costs. Mr. Gierhart believed that Indian River Shores would agree to add in the cost of engineering and inspection. Chairman Lyons asked if the Board would be willing based on Mr. Gierhart's assurance to move forward on approving the contract bid with the understanding that the rest of the cost, with the exception of $40,000 to $60,000 will be borne by the assessment roll. Commissioner Bird felt that all we can do today is approve the award of -the contract with the understanding that we expect Indian River shores to carry its part of the load as indicated by Mr. Gierhart. The question of identifying the source of funding arose, and Coordinator Thomas suggested that the Board just authorize the principle of interim financing in the event we have to pay any bills before collection of impact fees. Discussion continued re setting a value on the plant and determining whether there are grant funds available. Commissioner Scurlock stated he still had a problem because of all the misinformation on the figures and asked about delaying the signing of the contract until tomorrow by which time new information could be obtained as to an accurate number of units. Motion was made by Commissioner Fletcher to recess and reconvene at 3:00 P.M. tomorrow. The Motion died for lack of a second. Chairman Lyons pointed out that this project has to be done because we are under mandate by the D.E.R. and all we are trying to do is determine how to split the cost. Administrator Nelson noted that if the Board would authorize the assessment procedure as outlined in Ordinance 10 pooK 48 NOV 3 01981 P��FZZ . N O V 3 01991 am 48 PAcF 22 81-27, then his staff would have to make up a list of the parcels to be assessed. On Motion by Commissioner Bird, seconded by Commissioner Scurlock, Commissioner Wodtke being absent and Commissioner Fletcher voting in opposition, the Board by a vote of 3 to 1, awarded the bid for wastewater system improvements for the Pebble Bay Sewerage Area to Bain Underground Utilities in the amount of $114,578.35; authorized the Chairman to sign the necessary documents; and authorized the Administrator to arrange for the necessary financing, all based on the assurance given by the Town of Indian River Shores and with the understanding that we will receive accurate figures. Notice of Award is as follows: SECTION 1 NOTICE OF AWARD TO: Bain Underground Utilities 1008 Dixie Highway Post Office Box 447 Vero Beach, Florida 32960 PROJECT Description: Wastewater System Improvements for the Pebble Bay -Saweraae Area The OWNER has considered the BID submitted by you for the above described WORK in response to its Advertisement for BIDS dated September 1 19 81 and Information for Bidders. You are hereby notified that yourBID has been accepted for items in the amount of $ 114,578.35 You are required by the Information for Bidders to execute the Agreement and furnish the required CONTRACTOR's Performance BOND, Payment BOND and cer- tificates of insurance within ten (10) calendar days from the date of this Notice to you. If you fail to execute said Agreement and to furnish said BONDS within ten (10) days from the date of this Notice, said OWNER will be entitled to consider all your rights arising out of the OWNER's acceptance of your BID as abandoned and as a forfeiture of your BID BOND. The OWNER will be entitled to such other rights as may be -granted by law. You are required to return an acknowledged copy of this NOTICE OF AWARD to the OWNER.' Dated this 1st day of December 19 31 BY: 2Z AZ4-t tel' jitfe: Chairma r ian/Riv Commissioner Bird asked about figures for contingency and interest during construction, noting that legal fees have been deleted. It was noted interest would be necessary if we have to have interim financing, and felt the interest penalty should be put on the assessment roll. The figure of $5,000 was agreed on for interest during construction with a contingency of $5,000. There being no further business to come before the meeting, on Motion made, seconded and carried, the Board adjourned at 5:40 o'clock P.M. Attest: Clerk 12 RUOK 3 e6�;F �`3 NOV 3 01981