MINUTES OF MEETING

NORTH SPRINGS IMPROVEMENT DISTRICT

 

            A meeting of the Board of Supervisors of the North Springs Improvement District was held on Wednesday, March 5, 2008 at 4:30 p.m. at the District Office, 10300 NW 11th Manor, Coral Springs, Florida. 

 

            Present and constituting a quorum were:

           

            Steve Mendelson                                              President

            David Gray                                                       Vice President

            Vincent Moretti                                                Secretary

           

            Also present were:

           

            Edward Goscicki                                              Interim District Manager (Via Telephone)

            Brenda Schurz                                                  Severn Trent Services  

            Dennis Lyles                                                     Attorney

            Jane Early                                                         Engineer

            John McKune                                                   Capital Improvement Coordinator

            Doug Hyche                                                     Utilities Director

            Nick Schooley                                                  Drainage Supervisor

            Rod Colon                                                       Chief Operator

            Cory Johnson                                                   CH2M Hill

            Stephen Bloom                                                 Severn Trent Services

            Terri Lusk                                                        Severn Trent Services

            Corissa Millonig                                                Severn Trent Services

            Paula Davis                                                      Severn Trent Services

            Rita Stokes                                                       Florida Sewer and Water

            Tony Ornelas                                                    Arbor Tree and Land

            William Hodges                                                Arbor Tree and Land

            Robert Acuna                                                   Arbor Tree and Land

            Glenn S. Cameron                                            Attorney for Arbor Tree and Land

            Joe Sabino                                                       Heron Bay Clubhouse Manager

            Jonathon Gart                                                   LM Development

            Brian DeGirolmo, PE                                        DeGirolmo & Associates

            Warren Craven                                                 Craven Consulting

                                                                                   

            The following is a summary of the minutes and actions taken at the March 5, 2008 North Springs Improvement District Board of Supervisors meeting.

                                                                                                                       

FIRST ORDER OF BUSINESS                               Roll Call

            Ms. Schurz called the meeting to order and called the roll.

 

SECOND ORDER OF BUSINESS                          Approval of the Minutes of the February 6, 2008 Meeting

            Ms. Schurz stated each Board member received a copy of the minutes of the February 6, 2008 meeting and requested any corrections, additions or deletions.

            There not being any,

 

On MOTION by Mr. Gray seconded by Mr. Mendelson with all in favor the minutes of the February 6, 2008 meeting were approved as amended.

 

THIRD ORDER OF BUSINESS                             Supervisors’ Requests and Audience Comments

            Mr. Cameron addressed the Board and discussed the following:

·                                                                                                                                   He is the attorney representing Arbor Tree & Land.

·                                                                                                                                   There is a contract between the District and Arbor Tree & Land for cleaning of debris after Hurricane Wilma.

·                                                                                                                                   A bill in the amount of $29,993 was submitted to the District in 2006 requesting payment for additional work performed under the contract.  It was denied by the District. 

·                                                                                                                                   There were Brazilian Peppers, which were not part of the hurricane debris clean up.  Mr. Hodges has photographs of the Brazilian Peppers.  Arbor Tree & Land was told by supervisors on the job unless the Brazilian Peppers were removed they could not get paid and continue to the next segment of work.  Arbor Tree & Land removed the Brazilian Peppers and continued with the work based upon direction from the supervisors for the District.  The bill in the amount of $29,993 was submitted as a result of this additional work. 

·                                                                                                                                   The District will not pay the bill because a change order was not signed by the District and Arbor Tree & Land. 

·                                                                                                                                   Arbor Tree & Land’s position is the work was ordered.  There were provisions under the contract made for payment of this additional work. 

·                                                                                                                                   $25,000 were earmarked for non-federal reimbursement items under the contract and $25,000 were earmarked for federal reimbursement items.  The Brazilian Peppers were non-federal reimbursement items because they were not debris. 

·                                                                                                                                   In the pre-bid meeting Mr. Hodges attended, it was mentioned there would be $50,000 worth of revenues to pay for additional work performed under the contract. 

·                                                                                                                                   Arbor Tree & Land’s bid for the work performed was $172,860.  The next lowest bid was $459,341. 

·                                                                                                                                   Mr. Lyles has been made aware of the request for payment of additional work by Arbor Tree & Land to the District.  The District engineers have been heavily involved in the preparations of bid specifications, the pre-bid meeting, supervision of the work and the request for additional payment.  They have determined it is not within the contract and is not the responsibility of the District.

·                                                                                                                                   Mr. Lyles recommended Mr. Cameron and Arbor Tree & Land meet with District staff to discuss the details in order for him to formulate a resolution and position on this issue.  Ms. Schurz will set up a meeting.

 

Mr. Bloom introduced himself and his staff to the Board.

 

FOURTH ORDER OF BUSINESS                          Consideration of Settlement Agreement with Florida Sewer and Water for Parkland Village Construction

            A copy of the proposed settlement agreement and general release between the District and Florida Sewer and Water, Inc. was distributed to the Board and the following was discussed:

·                                                                                                                                District staff had a series of meetings to discuss settlement negotiations and recommend a settlement with a not to exceed figure of $1,087,343.50 based on the engineer’s calculations.

·                                                                                                                                In accordance with statutory requirements imposed upon the District in the Local Government Prompt Pay Act, the District is required to pay Florida Sewer and Water, Inc. an interest calculation of $42,338.76.  The grand total is $1,129,682.26.

·                                                                                                                                The District will be released from any further liability of any other claims arising out of the work. 

·                                                                                                                                The scope of work originally contracted for will be reduced.  There will be an offsetting balance under a change order in the amount of $730,200.89. 

·                                                                                                                                Mr. DeGirolmo stated he is the engineer working on this project and wants to continue being involved.  He requested discussing this further with District staff.

·                                                                                                                                Mr. Lyles stated the settlement agreement calls for the amounts owed with interest to be paid within seven days of execution of the agreement.  Part of the inducement to the District for doing this is the approval and execution by both parties of a change order whereby Florida Sewer and Water, Inc. agrees to do additional work specified by the District engineer. 

·                                                                                                                                Ms. Stokes stated Florida Sewer and Water, Inc. needs to review the documents.  She questioned if there is a timeframe as to when the work can be performed because they cannot wait an indefinite amount of time to have the work completed.  She feels the District needs to do something to get the permit resolved with the City of Parkland in a timely manner.

·                                                                                                                                Mr. Goscicki stated everyone is looking at potential problems, which do not currently exist.  The agreement gives an 80 day extension to the original duration of the contract with anticipation the work will be able to proceed.  If the work cannot proceed, it is another issue.  It is not part of this settlement.  It is a separate issue, which will need to be addressed when and if it arises.

·                                                                                                                                Mr. Lyles clarified the change order regarding the future work was signed by Florida Sewer and Water, Inc. on February 29, 2008.

 

On MOTION by Mr. Gray seconded by Mr. Mendelson with all in favor the settlement agreement with Florida Sewer and Water, Inc. for Parkland Village construction was approved.

 

FIFTH ORDER OF BUSINESS                         Consideration of Acknowledgement and Agreement Regarding Conflict of Interest

            Mr. Lyles discussed the following:

·                                                                                                                                Ruden, McClosky, Smith, Schuster & Russell, PA represented the District in the 2005 Bond issuances and they will not get paid for their services until the bonds are closed. 

·                                                                                                                                Tousa Homes filed for bankruptcy and will not continue with the Parkland Village project.  The land is owned by GMAC, which is looking at all factors related with taking over the project. 

·                                                                                                                                GMAC is looking to hire Ruden, McClosky, Smith, Schuster & Russell to represent them in a due diligence capacity.  This raises the issue of the possibility of conflict of interest with Ruden, McClosky, Smith, Schuster & Russell, PA who contacted District staff. 

·                                                                                                                                After reviewing further District staff does not see an issue with the District allowing Ruden, McClosky, Smith, Schuster & Russell, PA to represent GMAC.  They are asking for waiver of any potential conflict of interest.

 

On MOTION by Mr. Mendelson seconded by Mr. Gray with all in favor the acknowledgement and agreement regarding conflict of interest with Ruden, McClosky, Smith, Schuster & Russell, PA representing GMAC and NSID was approved.

 

SIXTH ORDER OF BUSNESS                                Consideration of Award of Contract for Water Treatment Plant Re-Roofing

            Ms. Schurz discussed the following:

·                                                                                                                                Three bids were received for this project.  The lowest bid is from Gulfstream Roofing, Inc. in the amount of $59,886.  This does not include sealing and painting of the roof side of the parapet walls with GAF top coat wall coating as required in the specifications.  After discussing this with Gulfstream Roofing, Inc., they would increase their price approximately $3,000 to $5,000 to include this in their bid.  As a result they are not the lowest responsive bidder.

·                                                                                                                                CH2M Hill recommends awarding the contract to Petito Roofing, Inc. in the amount of $60,500.

 

On MOTION by Mr. Mendelson seconded by Mr. Gray with all in favor the contract for re-roofing of the NSID water plant was awarded to Petito Roofing, Inc. for a total of $60,500.

 

SEVENTH ORDER OF BUSINESS                        Consideration of Engineering Work Authorization No. 182 – Re-Roofing of the Water Treatment Plant Office Building

            This work authorization is for CH2M Hill to provide inspection services for this project.  It is important for the District engineer to provide periodic onsite inspections to prevent any issues as experienced in the past.  The lump sum fee is $7,500.

 

On MOTION by Mr. Mendelson seconded by Mr. Gray with all in favor Work Authorization No. 182 for re-roofing of the water treatment plant office building was approved.

 

EIGHTH ORDER OF BUSINESS                           Staff Reports

A.                 Manager – Water Plant Operations

            Mr. Colon presented the Board with a monthly flow analysis versus revenue billed for January and February.  This is for informational purposes only.

 

B.                 Attorney

            There being no report, the next item followed.

 

C.                 Engineer

            There being no report, the next item followed.

 

NINTH ORDER OF BUSINESS                             Approval of Financials and Check Register

            Mr. Goscicki briefly reviewed the financials.

 

On MOTION by Mr. Gray seconded by Mr. Mendelson with all in favor the financials and check register were approved.

 

TENTH ORDER OF BUSINESS                             Adjournment

            There being no further business,

 

On MOTION by Mr. Gray seconded by Mr. Mendelson with all in favor the meeting was adjourned.

 

 

 

 

 

 

                                                                        

 Vincent Moretti                                                                                                   Steve Mendelson                                            

 Secretary                                                                                                                         President