HomeMy WebLinkAbout09/08/2021CITY COUNCIL/COUNTY COMMISSION JOINT MINUTES
SEPTEMBER 8, 2021 — 2:00 P.M.
INDIAN RIVER CHARTER HIGH SCHOOL
6055 COLLEGE LANE, VERO BEACH, FLORIDA
1. CALL TO ORDER
Mayor Brackett called today's meeting to order at 2:00 p.m.
A) Pledge of Allegiance
Mayor Brackett led the City Council, the County Commission, and the audience in the Pledge of
Allegiance to the flag.
B) Roil Call
CITY OF VERO BEACH:
PRESENT: Mayor Robbie Brackett, present; Vice Mayor Rey Neville, present; Councilmember
Honey Minuse, present; Councilmember Bob McCabe, present and Councilmember Richard
Winger, present Also Present: Monte Falls, City Manager; John Turner, City Attorney; Tom
Cloud, Outside Counsel and Tammy Bursick, City Clerk
INDIAN RIVER COUNTY:
PRESENT: Chairman Joseph E. Flescher; Vice Chairman Peter O'Bryan; Commissioner Susan
Adams; Commissioner Joseph Earman and Commissioner Laura Moss Also Present: Jason
Brown, County Administrator and Dylan Reingold, County Attorney
2. TOPICS FOR DISCUSSION
A) Statement of the issues by City of Vero Beach Mayor Robbie Brackett and staff
Mayor Brackett stated that he and Chairman Flescher would first make their statements and then
staff would be making a presentation. He started his statements with the question why is the City
asking the County to recognize the permanent of generation of the 1989 Territorial Agreement
(TA). He reported that in the late 1960's the City was asked to provide utilities to the barrier island
areas adjacent to the City and the City supplied those utilities. In the early 1980's the County
made an unsuccessful attempt to provide utilities to the South Beach area. In 1984 the Board of
County Commissioners expressed their appreciation to the City for their cooperation of providing
service to that area. The County then granted the City their first permanent service territory of
South Beach for water in 1984 and sewer in 1985. In 1987 the City let the County collect the
franchise fee. The first year franchise fee for water and sewer were approved. He stated that those
agreements have since expired and the City continued to collect those fees on the County's behalf.
In 1989, after a joint meeting of the City Council and the County Commission, the 1989 Territorial
Agreement (TA) was adopted by the City and by the County. The City is currently working on
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two (2) projects that would not only serve the City's service area, but would benefit the entire
County. They will be constructing a project that will repurpose stormwater from the Main Relief
Canal for irrigation. The second project, which is the most important, is they will be constructing
a new state of the art advanced Waste Water Treatment Plant (WWTP). He said that fighting over
a service area makes no sense. He asked that they work together and serve their community in the
most efficient economical way possible. The City needs the County to recognize the permanent
duration of the 1989 TA so the City can move forward with the new advanced WWTP to the
capacity to serve the entire service area. If the County is unable to recognize perpetuity of the
document now then they can conclude this meeting.
B) County's response and its statement of the issues by Indian River County Chairman
Joseph E. Flescher
Chairman Flescher stated that it was his position that the City continues to serve the Town of
Indian River Shores (IRS) consistent with the terms of the existing Franchise Agreement (FA) and
the City continues to serve the south barrier island under a reasonable FA. It is not his intent or
the Commission's intent for the County to take over any of the City's service areas, nor is it their
intent to have the City and the County engage in litigation. The County's offer to the City would
be the return of the key points that the County staff presented to the City several weeks ago. In
the spirit of cooperation the County would be willing to acknowledge the validity of the Service
Territory Agreement (STA) in exchange for a reasonable FA for the unincorporated areas in Indian
River County that are currently served by the City. That FA would have a phase in to the City
rates. County staff had proposed five (5) years of the continued County rates with the rates then
shifting to City rates, but with a maximum annual increase of 5% per year. After that the rates
would be City rates with no restrictions. It is his understanding that City staff had concerns about
the inability to control the rates during the phase in that period. To resolve that issue, he would
propose that if the County were ever to decrease rates, the City could charge City rates. The City
would also have to not impose any surcharges, which is consistent with the current City billing
practice. Finally, the level of service would be the same for both customers in the City and in the
unincorporated areas served by the City, both with respect to water quality and scheduling of
improvements to the system. He said that he felt that was a very reasonable compromise that
would help them avoid litigation and give the needed certainty to the City. He said that they know
IRS has filed a lawsuit against the City about the STA and any resolution here may end up causing
the County to be a co-defendant. He said that he wants to come to a meaningful resolution between
the City and the County. He stated that it is not his intention to have the County be an active
participant in any such litigation. He said that he is not interested in hearing from staff and outside
attorneys today about litigation positions. They want to hear about resolutions and solutions. It is
his understanding that the intent of the process is to have their two (2) Boards (the City Council
and the County Commission) try to seek an agreement. To find a common ground, understanding,
and commitment to the service of the citizens of Indian River County and any other jurisdiction
involved. He wants to hear from the City Council and his fellow Board members on this proposal.
He said if the County agrees to the terms of the TA, the County becomes a defendant in the IRS
lawsuit. If the County takes the position that the TA is invalid, the City could then in turn sue the
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County. Therefore it is a catch-22 so the County has stayed away from that and not committed to
the TA.
C) City' response by City of Vero Beach Mayor Robbie Brackett and staff
Mayor Brackett said the City is not ready to start discussing prices. They have studies that they
need to continue. He said this issue is strictly about the 1989 TA, which is why Chapter 164 was
filed. He said they are not interested in talking about prices at this time so if the County does not
agree to the contract then they don't have much to talk about. He said the City has a presentation
that they would like to give on the history on how this all came about if they would like to see it.
If they don't want to see it or hear from staff then that is their perogative.
Chairman Flescher said they have already heard from staff.
Mrs. Adams said their staff keeps them well aware of what has been going on. She felt at this
point they are in the joint public meeting phase of the Chapter 164 process. She said in reading
from the Statue relating to the joint public meeting phase, this is the time where staff has not been
able to come to a resolution so now it is for both Governing Boards to try to work out a resolution.
She said that Chairman Flescher indicated that he, and she believes the rest of the Commission
members would be more interested in having a dialogue with the City Council versus having a
dialogue with City staff. She said staff is to get together and go over their positions and if that
doesn't work out then the next step is for the Governing Boards to try to work something out and
that is where they and that is where the dialogue should be happening.
Mayor Brackett said that dialogue would happen after staff makes their presentation.
Mrs. Adams said the Commission is aware of what the presentation is about. They are very aware
of the information provided in the binder that was given to them (on file in the City Clerk's office).
They have been given multiple emails on public records requests, etc. She is more interested in
jumping into the dialogue than going over the history of these documents that they have seen
several times.
Chairman Flescher said that he would like to see the "grit" of why they are there. He said the
Mayor stated that they were not proposing rates, which he understands, but they can't expect any
reasonable dialogue without lcnowing some kind of general number or some kind of a guarantee.
He said what he previously stated was not an exact number. It was reasonable rates, consistent
rates, and the transition of a five (5) year ease in with a 5% increase. That is not talking numbers,
it is some general obligation rules so that they could go forward and make some sort of a cohesive
decision together. That is why they are here today.
Mayor Brackett said they have followed Chapter 164 for one (1) document and one (1) document
only and there is no mention of rates anywhere in that document. He said that he is not prepared
to talk rates and making a deal conditioned on rates. He said lets judge the document on its merit.
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Ms. Moss said that she requested documents from staff in preparation for today's meeting and
received one (1) single document. She had all the contracts months ago, but as far as these
documents they have not been reviewed. She felt it always helped to get the history and the context
of a matter in order to make a sound decision. She said that she is amenable to hearing the
presentation.
Chairman Flescher said the presentation is appropriate, but it has already been vetted out by staff
Their conversation today was to bring them together to find out what was really causing them to
be at odds.
Mayor Brackett said what is odd is that the City thinks the document says "permanent" and has no
expiration date, but apparently a Commissioner thinks it does not say that.
Chairman Flescher asked is he correct that it is in litigation with another party.
Mayor Brackett answered yes.
Chairman Flescher said so if they engage in supporting or denying any TA then the County would
then be engaged in the Courtroom for testimony.
Mayor Brackett said that is a possibility. He said they have kicked this down the road for 15 years
and they have to decide if the TA exists or not. He said the City has to know if the TA exists or
not because until they know they cannot move any further. The City can't talk to IRS on prices or
anything to try to work out an agreement with them.
Mrs. Adams questioned why. She said the City already has engaged in conversations with IRS
and does service with them under this existing contract. She felt the discussion point should be
with IRS.
Mayor Brackett said IRS is not mentioned anywhere in the TA. The County and the City is and
they need to find out if this agreement exists between them, no other entities.
Vice Mayor Neville said the people who are watching this meeting have no idea what the
background of this is. He felt it was important to make it clear and understandable on what they
are discussing. Once they understand the tasks and accept them or reject them then they could all
discuss it. He said to lay everything out and have the presentation and then they can have a
discussion.
Ms. Moss agreed.
Chaiiinan Flescher asked Mayor Brackett if that is the way he wanted to proceed.
Mayor Brackett said that is the way they intended to proceed.
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Chairman Flescher said it was their intent that they would all be discussing this because the County
Commission has all been involved in the process.
Mayor Brackett said that he does not have a problem discussing the document, but not the prices.
Chairman Flescher questioned so the City is not going to discuss prices.
Mayor Brackett answered no. He said not until the City completes their rate study they don't have
anything to guarantee to anyone.
Chairman Flescher said that he is amenable to have as many meetings as possible to bring this to
a conclusion, to a common ground so that the citizens can be serviced properly. He said they have
no interest whatsoever in getting into this water business.
Mayor Brackett questioned why was a feasibility study on a recent County Commission agenda.
He asked if they don't want to do it then why would they do a feasibility study.
Mr. O'Bryan said IRS is doing a feasibility study and they asked the County Commission to work
with them by providing them information they need in order for them to do the study. Indian River
County is not doing a feasibility study to provide service to TRS. Also, IRS was looking for a new
water service provider and at that point in time the County was an active participant in that process
and submitted a bid, but never during the entire time did they ever bring up a STA. He said that
he doesn't know why it is a big thing now, but six (8) — eight (8) years ago it was never mentioned.
He said there was an open competition for service to IRS and at no time did anyone from the City
bring up the STA. He said that he is sees two (2) things; whether the agreement is permanent and
more importantly, is the County in violation of the STA. He asked if IRS had sent the County a
public records request asking for the same information that the County currently provided the City
through cooperation, would the City be suing them.
Mayor Brackett said the City is not suing the County right now.
Mr. O'Bryan said that is why they are here.
Mayor Brackett said Chapter 164 is not litigation.
Mr. O'Bryan asked would they be sitting here if IRS asked the County for a public records reques
Mayor Brackett said the County can respond to IRS.
Mr. O'Bryan said that is what the County is doing, but they are doing it in a cooperative manner.
They haven't laid any pipe, built any more capacity, or done anything that would indicate they
were moving forward to provide service to IRS. He said that he didn't think they violated the
STA.
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Mayor Brackett said the City is not saying that they did.
Mr. O'Bryan asked then why are they here.
Mayor Brackett explained that they are trying to find out if the STA exists or not.
Mr. O'Bryan felt that was irrelevant. He said the County has not tried to provide service.
Mayor Brackett questioned then the County's intention is to walk IRS down the aisle and walk
away at the last minute. He asked what happens if it is feasible.
Mr. O'Bryan said IRS would have to settle the issue with the City on if they could get out ofthe
City's service territory.
Chairman Flescher said it is IRS's lawsuit and when the County discussed this with IRS he
cautioned them to be careful what they wish for because they might not be happy with the result.
It is either going to be for them to support their study if it is feasible and if it is not feasible it is
not feasible. He said the County is not interested in the water business. He felt this was about
feasibility on IRS's end. He said the Mayor stated that he was not prepared to discuss pricing, but
he (Chairman Flescher) was not talking about "dollars per gallon."
Mayor Bracket said to understand this, if the County is stating that if it becomes feasible it is IRS's
responsibility to come to the City to be released and the County is stating that this contract isn't
enforced.
Chairman Flescher thought so.
Mr. O'Bryan said if IRS decides they think it is feasible to have the County provide service it is
their responsibility to figure out how to get out of the STA.
Mayor Brackett said the City needs to know if the 1989 TA is permanent or not because the City
has to build a new facility and if they have to worry about anyone taking their customers they
cannot build an appropriate facility.
Mr. Winger said that he was the Mayor at the time when the City tried to have a franchise
agreement with the County and the sticky point of why they didn't come to terms at that time was
the fact that there was no acknowledgement of the permanency of the 1989 TA. He said they
should have resolved what they are trying to resolve today at that time. Ile said that was a historical
mistake and what the Mayor is trying to do is fix it.
Mr. Flescher said the number one (1) reason why there is a lawsuit is because of fear of rates.
They want to know what they are going to be paying.
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Mayor Brackett said they have done that to the best of their ability without the rate study, which
they stated was about $17.77 over a 10 -year period of time. He said this has been communicated
to IRS and to the people of South Beach. He said they have done the most they can based on the
information they currently have and without a rate study. He said they believe the $17.17 is a
worst case scenario.
Mrs. Adams said the Chairman stated earlier in today's meeting that they would be willing to take
no position on the TA provided that they receive something on the rates for South Beach residents.
Mayor Brackett said the City needs a position to be taken.
Mrs. Adams said regardless of what position the County takes related to the TA today, the TA is
going to be litigated. Either the City is going to sue them or IRS is going to sue them when really
this is between the City and IRS. What they can resolve is the South Beach issue.
Mayor Brackett felt the City had a solid plan in place that IRS would be happy with if the City
gets a chance to speak with them.
Mrs. Adams said that she is struggling to understand why they are here when the issue is between
the City and IRS. She felt that the County was being sucked into this.
Mayor Brackett said that is not it. He said the County is only brought into this because the
agreement is between the City and the County. He explained that the City needs to be sure that
the County has the same viewpoint as the City has on the agreement. He said what that means is
what if the County 10 -years from now recruits IRS. He said then the City would be stuck with a
facility that they overbuilt. The City needs to make sure that they have an agreement and that is
all they are asking of the County. If they don't then the City can move on from there.
Mrs. Adams said based on that argument, nothing they decide would prevent that from happening
anyway because they can't bind a future Commission or Council.
Mayor Brackett said that is correct, but this would give the City more of a sense of security with
an honorable agreement. He said the City has a current contract with IRS and does not have a
contract with South Beach.
Chairman Flescher asked how can they move forward today if they don't know a reasonable price
and if they don't know if the agreement is in concrete, changeable, etc. He felt that once they find
out where the court case goes and the City feasibility study is done as to the cost factor, they would
be able to hold a one-stop shop meeting and get this done. Until then the ratepayers do not feel
that they have a safety zone as far as the rates go.
Mr. Winger said that he did not think IRS was part of this conversation. He said the City Council
and the County Commission makes policy, budget, and laws, but he thinks it is staffs
responsibility to work out negotiations and to run the day to day business.
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Chairman Flescher said it is going to take time for the rates to be established and this court case is
going to take time. He said the County cannot get involved in the discussion of the TA because
they have to wait for the court case to be resolved.
Vice Mayor Neville asked does the County have the capacity to serve IRS.
Chairman Flescher said they are not interested in getting into the water business. He said the
question of if they have the capacity is inappropriate because it is irrelevant to the discussion.
Mayor Brackett asked in an effort to continue the conversation, would the County Attorney allow
them to speak to each other (Mayor Brackett and Chairman Flescher).
Chairman Flescher felt that they should be able to speak with each other. He said the challenge is
that they need to bring the information back to the table.
Mr. Dylan Reingold, Indian River County Attorney, said this is designed to be a joint public
meeting and he has always taken the position that this is to be a Sunshine Law style and he has
concerns of violating the intent of the Statute.
Mr. John Turner, City Attorney, said there is nothing in the Statute as to Chapter 164 that prohibits
discussion between the perspective Governing bodies in individual meetings. The Sunshine Law
does not apply.
Mr. Tom Cloud, City's Outside Attorney, said a City Councilmember meeting with a County
Commissioner is not a violation of the Sunshine Law and he doesn't think it was a violation of
Chapter 164.
Mr. Reingold said if -the Chapter 164 proceeding was to stop or put in abeyance then the dialogue
could continue.
Chairman Flescher asked is there a way to put Chapter 164 in abeyance.
Mr. Reingold read Section 164.1055 (1)(c) of the Florida Statute, "Schedule additional meetings
of the entities in conflict or of their designees, to continue to seek resolution of the conflict" His
suggestions would be that the Board of County Commissioner and the City Council could push
this back to staff to see if they can come to a resolution, they could stop the Chapter 164 process
and go back to having open dialogue and if that doesn't progress they could start the Chapter 164
process back up. His strongest recommendation so that they don't have any concerns about the
challenge that they didn't properly follow the Chapter 164 process would be that the two (2) sides
agree that the Chapter 164 process would cease and/or that they delegate the issue back to staff
under the Chapter 164 process.
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Mrs. Adams said her concern with multiple Councilmembers and Commissioners having sidebar
conversations is that it might be allowable, but the perception of the public that they were having
a backdoor deal or they were not operating in the public eye. She would be more comfortable if
each Board selected a designee to try to negotiate something rather than everyone having sidebar
conversations.
After discussion, the City Council and the County Commission agreed to bring this back to staff
to try to reach a resolution and then hold another joint City Council/County Commission meeting.
The City Council would appoint one (1) member from the Council to work with the City Attorney
and the City Manager and the County Commission would appoint one (1) member from the County
Commission to work with the County Attorney and the County Administrator.
The City Council appointed Mayor Robbie Bracket as their designee.
The County Commission appointed Chairman Joseph E. Fletcher as their designee.
It was noted that there would be an agenda and the meetings would be open to the public.
3. CITY COUNCIL/COUNTY COMMISSION DISCUSSION
A) Discussion by City Council
B) Discussion by Board of County Commissioners
*Please note that items 3-A) and 3-B) were discussed under item 2-C) on today's agenda.
4. AGREEMENT
A) Action on request seeking an agreement
B) If no agreement, consider scheduling additional meetings on the entities, or their
designees, to continue to seek resolution of the conflict
*Please note that items 4-A) and 4-B) were discussed under item 2-C) on today's agenda.
5. PUBLIC COMMENT
Mayor Brackett opened and closed public comment at 3:36 p.m., with no one wishing to be heard.
6. ADJOURNMENT
Today's meeting adjourned at 3:36 p.m.
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