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Home My WebLink About1985-027RESOLUTION NO. 85-27 40 A RFSOLUTION OF THE HOARD OF COUNTY COMMISSIONERS OF ® IRIDIAN RIVER COUNTY AUTHORIZING A TRANSFER OF OWNERSHIP, AND A CHANGE OF FRANCHISE NAME GRANTED IN RESOLUTION NO. 75-20, AND PROVIDING FOR CERTAIN MODIFICATION 7th THE FRANCHISE AGFMWNT GRANTED TO GULF & WESTERN FOOD PRODUCTS, A DIVISION OF GJLF & WESTERN INDUSTRIES, INC., ShV3R & WATER FRANCHISE. •® 1. Section I of Resolution 75-20 is hereby amenued to read as follows: SECTION I WfIEREAS Indian River County granted GULF & WESTERN FOOD PRODUCTS a non-exclusive franchise on February 3, 1975. This utility has sold its system and premises to FMMMERE MANAGEMENT COMPANY and has - requested the transfer of this franchise. Transferee accepts the terms of Resolution No. 75-20 as amended herein and agrees to perform all. of the conditions thereof. Transferee also has requested the name of this franchise be changed to FELLSMERE MANAGEMENT COMPANY WATER & SEWER FRANCHISE. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIOENRS OF INDIAN RIVER COUNTY that Resolution No. 75-20 be amended as follows: 2. Section VII of Resolution 75-20 is hereby amended by adding the following paragraph; SECTION VII The Company shall supply the County with copies of its Department of Environmental Regulation monthly operating reports and trouble reports, if any. The Company shall supply the County with an annual report of operations and maintenance certified by the Company's engineer who must be registered in the State of Florida. 3. Section IX(b) clauses 1, 2, and 3 of Resolution 75-20 is hereby amended to read as follows: SECTION IX (b) At all thies herein where discretionary power is left with the Ob m Board of County Cc dssicners, the Ccnpany, before discretionary action is taken tsy the Board of County Commissioners, can request said Board that a group of arbitrators be appointed, and such group shall consist 40 of: 1. County Utility Services Director 2. Conpany Engineer 3. one person selected by the above two persons • and this Board of Arbitrators shall make recommendations to the Board of County Ccamissicners, but such reconmendations are not mandatory. Any final decision the arbitrators or board may have, with respect to this franchise, can be appealed to the circuit court of Indian River County by either party. 4. Section XV of Resolution 75-20 is hereby amended by adding the following paragraphs: SECTION XV FRANCHISE FEE 1. The Utility hereby agrees to pay to the County a franchise fee in the amount of six percent (6%) of the Utility's annual gross receipts or operating costs (which includes the rate of return) in the event Utility does not have a rate schedule (or the sum of five hundred dollars ($500), whichever is greater), derived from monthly service charges to defray the cost of regulation and for use of. County rights -o£ -way and public places. The Utility shall pay the 6% franchise fee quarterly. Said fee shall be shown as a separate additional charge on utility bills. 2. The Utility shall supply the County with a copy of the Utility's annual report and financial statements. All records and all accounting of Utility shall be in accordance with the Uniform System of Accounts of the National Association of Regulatory Utilities Commissioners and general accepted accounting principles. Within ninety (90) days after close of fiscal year, the Utility shall submit financial statements prepared by a CPA and in accordance with general accepting accounting standards and NARUC. Upon demand by the Board the Utility will submit audited financial statements certified by a CPA. Also, a letter from a CPA certifying that the six percent (6%) franchise fee and the two and one-half percent (2W renewal and replacemrent account has been collected and disbursed in accordance with the terms of this Agreement. 2 .w� IaZflm,L & F�� ACCOUNT Two and one half percent (2W of the operating cost of the Utility shall be placed in an interest bearing renewal and replacement account for purposes of renewal and/or replacement of the capital assets of the ® water and/or wastewater system of the Utility. Additionally, the Utility shall initially fund said account with five hundred dollars ($500) which will also be reserved for capital maintenance items. Interest shall accumulate in said account until the account reaches five thousand dollars ($5,000); thereafter interest shall be paid to the Utility annually. Said funds shall be used as a sinking fund and • applied only for renewal and/or replacement of the water and/or wastewater system by the Utility as the need arises; the percentage required to be placed in the renewal and replacement account may be amended after review by the County as necessary to maintain a sufficient account balance taking into account the general condition of the system. The County is granted the right to make necessary repairs using said funds in the event of default on the part of the Utility in maintaining the quality standards established herein. In the event that the County purchases the corporation's utility system pursuant to the provisions of this franchise as stated above, then any funds in said renewal and replaceement account shall vest in the County. 5. Section XVI of Resolution 7520 is hereby amended by adding the following paragraph: SECTION XVI The Company shall co -name Indian River County as an additional insured on all public liability and property damage insurance, to -wit: EXHIBIT "A" 6. Section XIX is hereby amended to read as follows: SECTION XIX The County shall have the right to purchase the Utility's water and/or wastewater plant at Utility's original construction cost, land cost, plus costs associated with capital additions and expansions to the system less three and one-half percent (3'%) depreciation per year. Depreciation on the system shall be calculated to start at the time the County issues a letter acknowledging the construction of the water and/or wastewater system as provided in Section VI. Upon acquisition of the water and/or wastewater plant and appurtenant real estate, the County would then own the entire water and/or wastewater system and would terminate this franchise and provide water and/or wastewater 3 utility service to the franchise territory. All accumulated escrow fees 40 would vest in the County. In the event of an acquisition by the County, cr the :utilization of the County's own plants, the County shall receive the water distribution and/or wastewater collection system free of cost and in good repair, wear and tear excepted. The Utility agrees to grant to the County any easements necessary to connect the water and/or wastewater system to the County's water/wastewater systems without charge. The Utility shall pay all escrowed impact fees upon acquisition or upon connection to County's own plants. i! IN WITNESS WHEREOF, the Board of County Commissioners of Indian River County, Florida has caused this franchise to be executed in the name of the County of Indian River by the Chairman of the Board of County Commissioners, and its seal to be affixed and attested by its Clerk, all pursuant to the resoluton of the Poard of County Commissioners adopted on the 6th day of March �, 1985. Signed, sealed and delivered 7Patrick, IAN RIVER in the presence of: ons6Cha \ Board of boun Approved s corm ,1 I and legal fficie Attest: �i2� ��/�,_ ALP Clerk By A, randenburg ounty ttorney ACCEPTANCE OF FRANCHISE FELLSMERE MANAGEMENT COMPANY does hereby accept the foregoing franchise, and for their successors and assigns does hereby covenant and agree to comply with and abide by all of the terms, conditions and provisions therein set forth and contained. DATED at_ ero Beach, Indian River County, Florida, this � day of Q / , 1985. WITNESS: MANAGEM7 COMPANY � J �E�Z2�A atrick D. Leary l�tc 0 7�C Executive Vice President and General Manager 4 C> 40 STATE OF FLORIDA COUNTY OF INDIAN RIVER I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State and County aforesaid to take acknowledgements, personally, appeared PATRICK D. L,EARY, as Executive Vice President of FELT S_MERE MANAGEWW COMPANY, and he acknowledged before rre that he A • executed the foregoing in.strLment for the uses and purposes therein expressed. WITNESS my hand and official seal in the State and County aforesaid this /�`��l day of `f��C-� , X1985. f; c� tom/ �,',,�•`..1.n��,�� ;,. Notary Public, State;bf FXbYida-' at Large v My commission expires: Dlotary Punk;. Sfahs n( F1oGJ:''`� My Cornmissirn Evpire; lar.. L i?&7. 5