MINUTES OF MEETING

NORTH SPRINGS IMPROVEMENT DISTRICT

 

            The regular meeting of the Board of Supervisors of the North Springs Improvement District was held on Tuesday, December 20, 2005 at 3:00 p.m. in the District Office, 10300 N.W. 11th Manor, Coral Springs, Florida.

 

            Present and constituting a quorum were:

 

            Salvatore Mendolia                                     President

            Steve Mendelson                                        Secretary

 

            Also present were:

 

            John Petty                                                  Manager

            Dennis Lyles                                               Attorney

            John McKune                                             Engineer

            Jane Early                                                   CH2M-Hill

            Mel Entus                                                   Field Manager

            Doug Hyche                                               District Staff

            Tara-Lynn Patton                                       WCI

            Mona Slaughter                                          Severn Trent Services

           

FIRST ORDER OF BUSINESS                         Roll Call

            Mr. Petty called the meeting to order and called the roll

 

SECOND ORDER OF BUSINESS                    Organizational Matters

A.                 Appointment of Supervisor to Fill the Unexpired Term of Office of Mr. Lauritzen (6/2008)

B.                 Oath of Office for Newly Appointed Supervisor

C.                 Election of Officers

            These items were tabled until a future meeting.

 

THIRD ORDER OF BUSINESS                       Approval of the Minutes of the November 3, 2005 Meeting

            Mr. Petty stated each Board member received a copy of the minutes of the November 3, 2005 meeting and requested any additions, corrections or deletions.

            There not being any,

 

On MOTION by Mr. Mendelson seconded by Mr. Mendolia with all in favor the minutes of the November 3, 2005 meeting were approved.

EIGHTH ORDER OF BUSINESS                     Award of Contract of Alternate 20” Water Main

            Mr. Petty stated at the request of the engineer, this item will be taken out of order.

            Mr. McKune stated five months ago we discussed constructing a new 20 inch water main connecting our water plant to the existing main on Westview Drive.  We will use this line as a back up to take water from the plant to the distribution system.  This line is approximately one quarter of a mile long, comes out to the northeast corner of the plant and up the easement on the adjoining currently vacant property soon to be developed. 

            On December 13th, we received four bids for the project, which are included in your agenda package.  The low bid received was from Chaz Equipment Co. in the amount of $271,000.  The engineer’s estimate for this work was $280,000.  Therefore, we are recommending the Board award this project to Chaz Equipment Co., subject to funding being available.  According to the bid tabulation provided to the Board, the first three bidders were closer to our estimate.  I do not know if the fourth bidder was looking at the same set of plans as he bid $603,321.

            Mr. Mendolia asked have we used Chaz before?

            Mr. McKune responded not here but we have used them on other projects.

            Mr. Mendelson asked did they give you a timeframe?

            Mr. McKune responded yes.  It should be on the order of 150 days.

            Mr. Mendolia asked are they paid in increments?

            Mr. McKune responded they are paid monthly as they put in their construction.

            Mr. Mendolia asked are they paid and inspected at the same time?

            Mr. McKune responded they are paid 10% of the amount until the end of construction.

 

On MOTION by Mr. Mendelson seconded by Mr. Mendolia with all in favor the alternate 20” water main contract was awarded to Chaz Equipment Co. in the amount of $271,000.

 

FOURTH ORDER OF BUSINESS                    Consideration of Temporary Right of Entry Grant

            Mr. Petty stated this letter would be used in an emergency to remove debris or get access to a facility we could not get access to from any of our normal entry positions.  This is the standard City of Coral Springs entry form.  I believe Mr. Lyles has seen this in the past.

            Mr. Lyles stated this letter is used if we cannot get access onto a public right-of-way with one of our normal easements and have to go across a homeowner’s property to get to our canals.  We would have them sign this form authorizing us to move our equipment onto their property.  If we damaged their property, we will restore it.  This is a last ditch effort to get to a place we need to get to through normal means.  Of course, we cannot wait until a Board meeting occurs so you will also be authorizing staff to sign this form along with the homeowner to get access to our easement and storm drain assets.

 

On MOTION by Mr. Mendolia seconded by Mr. Mendelson with all in favor the form of grant of temporary right of entry was approved and staff was authorized to execute same in absence of a Board meeting.

 

FIFTH ORDER OF BUSINESS                         Consideration of Engagement Letter with Berger, Toombs, Elam, Gaines & Frank for Audit of Fiscal Year 2005

            Mr. Petty stated this audit firm has done work for you in the past.  Their letter is included in the agenda package.  Management recommends approval.

            Mr. Mendolia asked is this a reasonable amount?

            Mr. Petty responded yes.

            Mr. Mendolia asked how long have they been our auditors?

            Mr. Petty responded for more than eight years.

 

On MOTION by Mr. Mendolia seconded by Mr. Mendelson with all in favor the engagement letter with Berger, Toombs, Elam, Gaines & Frank to perform the audit for Fiscal Year 2005 in the amount of $30,500 was approved.

 

SIXTH ORDER OF BUSINESS                        Consideration of Documents Related to Bond Financing

A.        Preliminary Limited Offering Memorandum for Special Assessment Bonds

            B.        Limited Offering for Water Management Bonds

            Mr. Lyles stated this item was continued from the last meeting.  We do not need any further action regarding the bond financing documents as the pre-closing was held yesterday.  We will have another pre-closing in the January/February time frame. 

 

SEVENTH ORDER OF BUSINESS                  Consideration of Bid for the Installation of an Automatic Gate Operating System/Surveillance Monitoring

            Mr. Petty stated staff looked into purchasing an automatic gate opener and a surveillance system for the entry feature.  From what I saw and what Mr. Hyche wrote in his letter, this gate is identical to the one you passed through on the way in here, which has stood the test of time and seems to be reliable.  Will this gate be at the utility site?

            Mr. Hyche responded yes.

 

On MOTION by Mr. Mendelson seconded by Mr. Mendolia with all in favor the automatic gate operating system and surveillance monitoring system contract was awarded to Federal Security Corporation in the amount of $17,584.58.

 

NINTH ORDER OF BUSINESS                       Consideration of Funding Agreements and Work Authorizations

A.        Revised Funding Agreement #413 for Engineer Inspection Services of Heron Bay Commercial Residential Development

B.        WA# 151 – Parkland Country Club – Pod 17, 18 &19 W/S ESDC and Funding Agreement #437

C.        WA# 152 – Parkland County Club – Pod 20 W/S ESDC and Funding Agreement #438

            Mr. Petty stated these are in standard form and were provided to the Board.  All of these items were reviewed by staff and recommended.

            Mr. Mendelson asked do these have to do with WCI?

            Mr. Petty responded only the Funding Agreements. 

 

On MOTION by Mr. Mendolia seconded by Mr. Mendelson with all in favor Funding Agreement #413 for Engineer Inspection Services of Heron Bay Commercial Residential Development; Work Authorization #151 and Funding Agreement #437 for Water Distribution and Wastewater Collection for Parkland County Club Pods 17, 18 & 19 and Work Authorization # 152 and Funding Agreement #438 for Water Distribution and Wastewater Collection for Parkland County Club Pod 20 were approved.

 

TENTH ORDER OF BUSINESS                       Consideration of Change Orders

A.        Change Order #2 with Triple R Paving for the General Construction of Heron Bay North Two Drainageways for a Net Increase of $9,329

            Mr. Petty stated this change order was sent to us after review by Gee & Jenson/CH2M-Hill and is recommended by Mr. McKune.

            Ms. Early stated Triple R Paving is the current contractor for the Heron Bay North Two Drainageways.  In the plan we have a manhole connecting two lakes.  After reviewing the plans further, we decided to increase the size of the manhole to make it function better.  We will have a decrease at the end of the job, which will show on the final balancing change order.

 

B.        Change Order #7 and Final with Triple R Paving for Nob Hill Road, University Drive (Phase 2) and County Line Road Paving, Drainage, Water and Wastewater for a Net Decrease of $157,261.62

            Ms. Early stated the reason for the decrease is we did not need the final coat of asphalt because of construction currently taking place.  We would rather wait until the construction is completed before putting the final lift on. 

            Mr. Petty asked is $157,261.62 enough to do the one inch asphalt when it comes time to do so?

            Ms. Early responded yes. 

 

On MOTION by Mr. Mendolia seconded by Mr. Mendelson with all in favor Change Order #2 with Triple R Paving for the General Construction of Heron Bay North Two Drainageways for a Net Increase of $9,329 and Change Order #7 and Final with Triple R Paving for Nob Hill Road, University Drive (Phase 2) and County Line Road Paving, Drainage, Water and Wastewater for a Net Decrease of $157,261.62 were approved.

 

ELEVENTH ORDER OF BUSINESS               Consideration of Permits

A.        Parkland Commons Drainage Permit

            Ms. Early stated this is our typical surface water management permit, which we review to make sure they have the proper lake acreage and proper drainage system.  We submitted a letter to the Board regarding this item.

B.        Pine Island Road Extension

            Ms. Early stated this is the final piece of roadway in North Springs and requires the same surface water management permit.

 

On MOTION by Mr. Mendolia seconded by Mr. Mendelson with all in favor the requests for the Parkland commons drainage permit and the Pine Island Road extension permit were approved.

 

 

TWELFTH ORDER OF BUSINESS                 Consideration of Reduced Trash Bond Fee for Lennar Homes

            Mr. Petty stated Ms. Jean Rugg evaluated this request and discovered some economies of scale.  Her recommendation as stated in her letter is for the Board to accept the proposed fee.  It is a slight reduction but based on cost recovery.

            Ms. Early stated the plat for this project shows the lake being dedicated to the HOA but theoretically they would not need a permit.  We typically do not issue an irrigation permit to a resident for installation of a pipe into the lake because it not taking a large quantity of water.  However, Lennar insisted on having irrigation permits for the subdivisions, which was done and this is what sparked the trash bond matter.  Mr. Nick Schooley was wondering why we were doing this since we did not own the lake.  We just received a letter from an attorney regarding a complaint received by a homeowner on the lake not being properly maintained.  As a result, Mr. Schooley looked at his map and discovered we do not maintain the lake because it is owned by the homeowners.  We looked it up and Toll Brothers prepared a Quit Claim Deed and deeded it to the District without anyone’s knowledge.  There was no signature from the District and I do not believe this request ever came to the Board.  Mr. Schooley was not maintaining this lake because it was not on the list of lakes we own.  Apparently the District now owns the lake and I do not know whether or not this is legal.

            Mr. Lyles stated the original request from Toll Brothers was subject to dedication by the HOA.  At some subsequent time, without going through the HOA or this Board for acceptance, did they file a Quit Claim Deed?

            Ms. Early responded yes.

            Mr. Lyles stated the Board needs to accept the Quit Claim Deed.  All the Quit Claim Deed does is it gives us any rights they have, meaning they do not have to go to the homeowners for permission.  We need to straighten this out with Lennar to make sure we do not have any variation between what is on the face of the plat and some recorded deed we never saw.

            Ms. Early stated apparently four or five pumps drain into a NSID canal.  The interior lake is not owned by the District.

            Mr. Mendelson asked do we have to maintain it?

            Ms. Early responded not unless they deed it to us and we accept it.

            Mr. Petty stated the current water management system is for drainage purposes.  There are some retention requirements from your engineer as to what is required according to the permit, which is what we operate and maintain.  We can have applicants who can come before the Board and say, “we have a lake not part of your drainage that we would like you to maintain.”  Typical considerations by the Board are to maintain it but they will have to pay for the maintenance.  You can raise and lower the assessment in specific areas based on the cost you are incurring.  Did this lake come before the Board at any particular time?

            Ms. Early responded only the surface water management permit to make sure the system worked properly.

            Mr. Petty stated site drainage is different because it is nothing more than the engineer looking for the site condition.  If this is not District property, we cannot process their request because we do not own the area.  If someone has filed a Quit Claim Deed, which we have not participated in, the attorney is going to want to look at it very closely.

            Mr. Lyles stated from time to time, Ms. Tara Lynn-Patton from WCI will come before the Board with some conveyance documents.  Among those documents will be Quit Claim Deeds for some of the drainage facilities.  The Board will pass a motion to accept the Quit Claim Deeds and take over maintenance responsibilities.  However, for someone to record a Quit Claim Deed with no action on our part and no review by staff or vote by the Board does not complete the transaction.  They can record it but without actual acceptance by the Board, we do not take responsibility for it.  The solution is to contact Toll Brothers and clear this matter up.  On the Lennar matter, the Board should not take any action because these are water bodies excavated as part of a private development project.  We do not have responsibility for these water bodies for maintenance and are therefore, not in a position to issue a permit for irrigation systems.  We will advise Lennar they do not need anything from us and to go forward with their project. 

            Mr. Mendelson stated the Falls in Heron Bay has an island with water, which the association asked NSID to maintain.  This may be in the same category but NSID is not doing anything about the island. 

            Ms. Early stated I think the Falls belongs to the homeowners.

            Mr. Lyles stated they were meant to take it over.

            Mr. Petty stated those are the reasons you would let them come before this Board and petition to take it over because HOA’s are not as stable as governments and you would need this safety net from the residents.  Typically you consider the matter with the idea of cost recovery from the people benefiting from the improvement.  If only 400 homes benefit from the fountain and lake, they bare the cost.  Staff would be glad to talk to them about how to do handle the walk through and satisfy our engineers.

 

THIRTEENTH ORDER OF BUSINESS          Consideration of Conveyance Documents for Parkland Estates

            Mr. Petty stated Mr. Hyche signed the Certificate of Receipt for the conveyance documents and is recommending approval of the water and sewer facilities.  We provided the Board with a list of those facilities.  Their engineer valued the sewer system and lift stations at $300,000 and the water system at $170,000.  We required Lennar to build the water and sewer system and then dedicate it to the District before we supply them with water to their homes.  It is built in accordance with our engineer’s design specifications.  Does CH2M-Hill inspect the as-builts?

            Mr. McKune responded one of our civil engineer’s will review the as-builts and give it to one of the District’s staff members who will do the inspection.

            Ms. Early stated during construction, we do a month to month inspection.

            Mr. Petty stated staff is requesting approval of the conveyance documents.

 

On MOTION by Mr. Mendelson seconded by Mr. Mendolia with all in favor the conveyance documents for Parkland Estates were approved.

 

FOURTEENTH ORDER OF BUSINESS         Consideration of Use of North University Drive for the 14th Annual Champion Audi Scholarship Run/Walk on January 15, 2006

            Mr. Lyles stated Triple R Paving who is constructing the roadway, brought us a request from a not for profit organization.  There have been some issues going back and forth with regards to insurance, who has the right to give permission and how the District will be protected if we allow them to use them to use the right-of-way for this charitable event.  Ms. Lynn-Patton is assisting the city, the District and WCI on this matter and can give some factual background.  We resolved the insurance matter and confirmed while this is on the right-of-way, this is still an active construction site under the control of Triple R Paving.  They will also have to approve this event because they have the legal control over what happens on the site.  I received an email today from the Event Director notifying me they received permission from Triple R Paving.  It looks like this is all going to come together just in time. 

            Ms. Lynn-Patton stated the folks from Audi contacted WCI figuring we owned the roadway.  They wish to do a walk/run utilizing University Drive heading north to County Line Road and down to Nob Hill Road.  I assume they will also utilize Westview Drive.  When they contacted us they said, “we understand WCI owns the northern most part of University Drive at County Line Road”.  University Drive is constructed all the way to the entrance of Parkland Golf Country Club and then abruptly dead ends.  I informed them WCI does not own the road and they have to obtain approval from the District to use this road for their walk/run.  They will be contacting Mr. Lyles to make sure legally everyone is indemnified and the property is safe and the manholes are secured to make sure no one is hurt.  This event is certified through the National Runners Association.

            Mr. Mendelson asked will they have extra police units?

            Ms. Lynn-Patton responded yes.  Units from Broward County and Parkland have been contacted.  This organization assured me they will have the proper police in place.  They anticipate there will be 15 minutes between the time the walkers and runners go through.  We are not talking about four to five hours of liability. 

            Mr. Mendolia asked will the construction equipment be moved to the side of the road?

            Ms. Lynn-Patton responded I do not believe we have any construction equipment out there. 

            Mr. Mendolia stated any debris should be cleared.

            Ms. Lynn-Patton stated Mr. Lyles raised the concern of someone tripping over a soda can.

            Mr. Lyles stated in this instance, the District is being made as an additional insurer under the organization’s insurance policy.  We will have a certificate saying we have the same insurance they do and I am sure Triple R Paving will insist the same.  The right-of-way is ours and we have tired to help the city but we cannot give them permission as the roadway is under Triple R Paving’s control.  Assuming everything goes as planned and you authorize this today, we will ensure we are released from any liability and covered by any insurance they have for the event. 

            Ms. Lynn-Patton stated there will be an additional form for the runners indemnifying NSID.

            Mr. Mendolia stated as long as all of the forms are filled out and we have the insurance coverage, I see no problem approving this request.

 

On MOTION by Mr. Mendolia seconded by Mr. Mendelson with all in favor the request for the use of North University Drive for the 14th Annual Champion Audi Scholarship Run/Walk on January 15, 2006 was approved.

 

FIFTEENTH ORDER OF BUSINESS              Discussion of Structural Observation Reports

A.        Pump Station #1, Pump Station #2 and South Amil Gate

            Mr. Petty stated structural observation reports were prepared by CH2M-Hill to assess the structure integrity of Pump Stations 1 & 2 and the South Amil Gate.

            Mr. McKune stated there was a horizontal crack on pump station #1, which was not hurricane related.  Pump Station #2 had a deteriorated roof, which was not hurricane related as the deterioration may have been ongoing for some time.  There were some roll-up door cover connections, which were sheared off during the hurricane and some leakage to the roof in a double tee joint, which deteriorated due to age.  The existing fence posts were sheared from their supports during the storm and there appears to be missing anchor bolts and a corroded base plat, which are mainly maintenance items.  In regards to the South Amil Gate, we are still waiting for someone from the gate manufacturer to arrive on-site.  This type of problem is normally based upon a change in the seating of the gate, which can be misaligned by wind or water surf.  There is a good chance this was related to the hurricane.

            Mr. Mendolia asked are we insured by the hurricane damages?

            Mr. McKune responded your normal insurance policy applies.

            Mr. Petty stated your current insurance policy only covers the machinery at our facilities and would not cover these items since this was an act of god.  A hurricane is considered an act of god and therefore uninsurable.  In many instances, the insurance companies are exempt.  However, you can submit claims to FEMA to cover damages at your facilities.  I believe Mr. Hyche already started this process.  If there is an earthquake, you will not receive money from most insurance carriers unless you have a specific earthquake policy. 

            Mr. Mendolia stated we should have hurricane insurance.

            Mr. Petty stated we are covered for most items but you had damage to fencing which is not covered.  I will check again but the policies I have reviewed so far do not cover this type of damage.

            Mr. Lyles stated I have not reviewed any of the insurance policies and will work with the manager.  You are looking for a windstorm rider.

            Mr. Petty stated we are covered for our buildings.  The residents had to pay for removal of their trees but if one fell on your house, the insurance company pays.  However, if a fence falls down, we do not have coverage because we did not insure the fence.  We insured the building and the equipment inside.

            B.        Clubhouse and Tennis Courts 1, 2, 3, 4, 5 & 6

            Ms. Early stated we received a request from clubhouse staff to inspect the clubhouse and tennis courts.  I had a structural engineer from our West Palm Beach office evaluate the damage and he provided photos of what needs to be replaced.  His recommendation was to have someone remove the loose roof tiles from the roof prior to re-opening the clubhouse.  Other than those findings, the building was structurally sound.  The fences on the tennis court need to be repaired or replaced as well as the canopies.  As far as structural damage, he only found loose roof tiles.

            Mr. Mendolia stated WCI controls the clubhouse.  Can they do anything about the damage to the clubhouse?

            Ms. Lynn-Patton responded NSID owns the clubhouse but WCI does the management via the homeowners.  My company has not had any involvement with the clubhouse.

            Mr. Petty stated all assets of the District are included in a Boiler and Machinery Policy we have with the Florida League of Cities.  The roof and frame damage will be covered under this policy.  This property will have to be designated as a recreational facility in order to get coverage for the fencing.

            Mr. Mendolia stated the fencing should be covered.

            Mr. Petty stated I will check on it.  The anchor bolts holding the support bases onto the canopies should also be covered.  We may get FEMA coverage for facility damage.

            Mr. Mendelson asked what is the timeframe for receiving reimbursement from FEMA?

            Mr. Petty responded FEMA has given money to the State of Florida.  Payment from the State of Florida is supposed to be fairly quickly as once you submit a receipt, you should receive reimbursement within two weeks.  They are trying to get everything done within the first 100 days, which means the District may be subject to a possible audit after receiving reimbursement.  FEMA has $1.8 billion deposited with the State of Florida, however, Palm Beach County has already submitted over $1.79 billion worth of damages and there are eight other counties including Broward and Dade, which sustained heavy damage.  As you can see, the dollars are going to run out.  We do not know about any additional funding as New Orleans is probably going to get the majority of any further funding.  Therefore, it is probable we are going to be the last ones to get anything; however, we received some money up front from the NCRS.  North Springs was not part of this process because there was minor damage, less than $100,000. 

            In regards to the buildings, we will apply for reimbursement but will do it differently than in the past.  In the past, you made your argument up front and if you made your point, you received the money.  Now they are not arguing with you.  We do not want to put you in a position where you have to go through an audit to get the money back three or four years later when our memory is not so good and our pictures are faded.  Therefore, we will be conservative in our application with FEMA and be well covered in our documentation so if they come back and do an audit in three to five years, we will have enough proof to substantiate our claim.

            Mr. Mendolia asked do we need to take any action?

            Mr. Petty responded this is strictly for the Board’s information.  Staff just wanted to let you know what the evaluation was at those facilities after the storm.

 

SIXTEENTH ORDER OF BUSINESS              Staff Reports

A.        Attorney

            Mr. Lyles stated I distributed to the manager and members of the Board a set of proposal documents advising interested contractors to provide recreational management services for the Heron Bay Commons facility.  There is a timeline on page two whereby we will have a conference with interest proposals, take written questions and have a final presentation by interested parties who will have to submit their qualifications and cover certain elements.  There may be a few changes made by staff.  We also wanted to give the Board members any input in terms of the qualifications, obtaining proposals and ultimately evaluating and approving the management company for the Heron Bay Commons facility.

            Mr. Mendolia asked are we jumping ahead of ourselves?  We have to get WCI out who is currently running the facility.

            Mr. Lyles responded before we sign the contract for someone new to come in, we need to have WCI’s management company continue to run the facility while we obtain these proposals and staff reviews them.  When you are ready to make a decision and hire a new contractor, we will give WCI notice under the contract for termination.  We do not want to terminate the present management company and have no one managing it while we go through this process.  They basically overlap each other. 

            Mr. Mendolia stated I would ask WCI to make arrangements with their management company to have them removed from the job in two months.  By that time we should have a new company.

            Mr. Lyles stated while we have not set a date for the new company to step in, with Severn Trent’s assistance, we have spoken to the head of the division who handles this type of activity who agreed to terminate the contract when we go through this process.  They already agreed to step aside.  However, we do not have this in writing. 

            Mr. Mendelson asked what is the timeframe?

            Mr. Lyles responded we should have the RFQ in place by the beginning of January.

            Mr. Petty stated the timeframe can be whatever you want it to be.  The District always has the option of doing the management in-house. 

            Mr. Mendolia stated I would like to have something in writing from WCI.

            Mr. Lyles stated we will pursue this matter with WCI.  The District hired the HOA and gave them authority to run the Heron Bay Commons facility.  They have the contract with WCI and this is why it has to be voluntary on WCI’s part.  WCI indicated they will voluntarily step aside as we will go through this process and have a smooth transition for the Board and the residents who live in Heron Bay.

            Mr. Mendelson asked will the homeowners have a say as to who will be operating this facility?

            Mr. Lyles responded it will be your call.  We will list this item on the agenda and there will be a vote by the Board.  You can take input from the residents either before or at the meeting.

            Mr. Mendelson stated it would be a good idea to have their input.

            Mr. Mendolia stated either way, the residents will be involved.  I would like to have an agreement from WCI stating they will be leaving.

            Mr. Lyles stated in working with management staff, I do not know what their timeframe is.  There are different thoughts on how quickly we are going to be able to accomplish this.  Step one was to get this proposal in front of you and have you approve it today in substantially this form so we can publish it and start getting proposals.  There has been some reluctance to put something in writing because staff is not sure when they can get someone in there or whether they want to bring it in-house through Severn Trent.

            Mr. Mendolia stated it should stay the way it is but there should be a timeframe.  WCI should know when they are leaving.

            Mr. Petty stated we will take direction from the Board in regards to the timeframe.  I suggest you consider the second week in March.  We can do an RFQ right now and get responses back so you can consider them next month.  We will not ask you to make a decision on this matter until we have something more concrete in front of you such as a contract with a company who can be available in two weeks and then we will firm up this date. 

            Mr. Lyles stated this Board meets on March 2, 2006.  Is this the date the new contract will be implemented?

            Mr. Petty responded this is the date you want to set as the termination date.  The Board will discuss this matter at the January meeting, consider the contractors and sign the deal in February.  Alternatively, the contractor can be on site for a couple of weeks and get the facilities transferred.  By the second week in March, you should be covered as long as we stay on track.  If something goes wrong, you can always extend the date.  You need some overlaps because WCI has been there for a long time.  Whomever you choose as the new company, you have to give them time to work with WCI and cajole them into telling them how certain things are run.  I do not think WCI is going to walk away and say to the residents they are on their own.  They have been cooperative when we asked them for things and I think we are going to be okay.  The Board seems to be intent on setting a date and sticking with the schedule.  Staff’s task will be to meet this schedule and I think we can and will.  However, in order to do this, we need to give notice to WCI that their contract will be terminated on March 15, 2005.

 

On MOTION by Mr. Mendolia seconded by Mr. Mendelson with all in favor staff was authorized to publish the request for proposals from interested contractors to provide recreational management services for the Heron Bay Commons facility and notify WCI of the termination of their management contract on March 15, 2006.

 

            Mr. Lyles asked how did item six get on the agenda?  To my knowledge these documents were previously approved and were the subject of a resolution.  In an abundance of caution, if we are not sure why this item was placed on the agenda, we should have both Board members ratify the approval of the Preliminary Limited Offering Memorandum and Offering Memorandum for the three bond issues we are closing on today, which they received copies of. 

 

On MOTION by Mr. Mendolia seconded by Mr. Mendelson with all in favor the Preliminary Limited Offering Memorandum dated December 5, 2005 for the Special Assessment Bonds for the Parkland Golf and Country Club Assessment Area A and Limited and Offering Memorandum for the Series 2005 Water Management Refunding Bonds and Water Management Bonds were ratified.

 

B.        Engineer

            There being no report, the next item followed.

C.        Manager

            Mr. Petty stated as you know, trees were knocked down during the hurricane, which pulled up some water lines.  As a result, some residents received water bills for hundreds of dollars.  We have been asked by Mr. Dan Daly in the Utility Billing Department to adopt a one time policy charging anyone having water usage over the average caused by trees breaking water lines, which can be verified by staff, their average bill and not the actual usage.  CSID approved a similar policy.

 

On MOTION by Mr. Mendelson seconded by Mr. Mendolia with all in favor a one-time policy was enacted charging anyone having water usage over the average caused by trees breaking water lines due to hurricane damage verified by staff their average bill and not the actual usage.

 

            Mr. Petty stated we have an interconnect with the City of Coral Springs for emergencies, which we opened during the hurricane.  This is one of the reasons why the City of Coral Springs had no boil water orders during the hurricane.  They ran out of diesel, which we supplied to them.  They had to do a boil water order after the storm because when they tried to convert over to their system, they made a mistake and were down for two hours.  In the past we paid their bills, but this Board has not adopted a rate for bulk water with the city.  We will bring this back to you at a later date with some options we are currently looking at.  One option is to book the quantity whereby if a million gallons went through to them, they pay us back with a million gallons.  However, if we have to adopt a rate, we will have to come before you with a rule through a public hearing process.  Doing this gallon to gallon, actually saves us a great deal of time and effort. 

            I am here today because Mr. Pete Witschen has some personal issues, which prevents him from being here today.  Mr. Witschen is still working on some issues including the RFP and is trying to continue his work.  However, complications in his personal life are preventing him from giving the District the time and attention it deserves and needs.  Severn Trent has offered me as a replacement for Mr. Witschen, even thought he is still with the company.  I have been working with the Districts and Mr. Moyer and Ms. Archer since 1982.  I started with a West Coast District named Pelican Bay working in utilities and became a Director of Field Operations overseeing street lights, landscaping, drainage and aquatic plant maintenance.  I transferred here in 1990, working with Mr. Gary Moyer on NSID and CSID, evaluating operations and developing various training techniques and management directives and worked with Mr. McKune and his counterparts and know the old timers who are still around. 

            I prepared feasibility and rate studies and business plans for Districts such as Celebration and Enterprise as well as a feasibility study for one of our larger Districts, Indian Trace in order for them to become a city, utilizing Mr. Moyer’s formula of high efficiency at low bureaucracy.  It is working very well for them as they have $35,000,000 of excess revenue cash flow.  I have been working with the Districts for the last two years and enjoy it very much and would be very honored to be considered for this position if you would allow me to do so.

            Mr. Mendolia stated I am impressed with you as you are very professional and recommend you stay.  Welcome aboard.

            Mr. Petty stated I will do my best and look forward to working with you in the future.

 

SEVENTEENTH ORDER OF BUSINESS       Supervisor’s Requests and Audience Comments

            A resident stated I represent the homeowners of Parkland Isles and would like to voice some concerns.  I have been on the phone countless times with a number of people within this organization begging them to come out to take a look at the damage incurred on the berm.  You own the berm around Parkland Isles.

            Mr. Petty asked is this the berm against the conservation area?

            The resident responded around the entire community.  I came down here to try to get some people to react to our concerns and it was four to five weeks before anyone came out.  Last week staff met with Valley Crest, who currently maintains the berm and they put together some detailed plans.  The plans were dropped off at our clubhouse last Tuesday or Wednesday.  I called Mr. Mel Entus yesterday who is trying to help us out, only to find out Mr. Rick Horn went to the clubhouse yesterday to pick up the plans.  I am frustrated because no one looked at this berm for eight weeks.  We have bent over backwards and I made several phone calls.  My concern is FEMA is currently in the area but they are soon going to be out of the area.  The homeowners are not going to pay for the cleanup FEMA should have done.  There are still stumps in the ground.  My understanding is FEMA was planning to come back to pick up the stumps.  I feel I have been getting nothing but the run around.

            Mr. Mendolia asked have you seen anyone from NSID?

            The resident responded I do not know anyone from NSID.  No one ever sat down with me.  We had our annual meeting a couple of weeks ago, which Mr. Hyche attended.  This poor guy walked into a wall of fire because he did not know what the berm was all about.  They sent two guys out to walk the property with me but I have not seen them since.  This is not the proper way to operate a business.  The recommendation I received from the community was to get our attorneys to go after NSID.  It has been eight weeks and nothing has been done.

            Mr. Entus stated I was out there right after the storm and directed Mr. Hyche to find out what the concerns were.  He reported back to me on a proposal we received from Valley Crest Landscaping, which we are currently reviewing.  We are trying to get them to define the scope of the work they are proposing.

            The resident stated I understand but I am looking for proactive action.  You guys were not proactive and did not address anything.  I have been listening for almost two hours on what you did in Heron Bay and I am impressed.  Why am I a stepchild to Heron Bay?

            Mr. Petty responded no one is a stepchild to Heron Bay.  This is a different matter.  This is a berm around the community, which is subject to varying opinions on the status.  In this particular case, the material coming off of the berm is not going to be covered by FEMA.  They do not take stumps out of the ground.

            The resident stated I thought the landscaper would remove them.

            Mr. Petty stated FEMA does not remove stumps, only the city does.  In this case, it would either be Coral Springs or Parkland.  They hope to receive FEMA funds but those funds are running dry.  For every $1 they have, $3 is being asked for.  Landscaping is the last thing to get paid.  Debris removal of landscaping berms is considered to be a low priority.  In all probability there is no money to get but this does not mean you should be ignored.  I plan to get to the heart of the matter.

            The resident stated thank you.

            Mr. Mendolia stated we need to talk more about Parkland Isles.

            The resident stated we get the same services as everyone else and are paying what everyone else is paying.  Have we discussed having any hurricane contingencies or reserves?  Part of our taxes go into a reserve. 

            Mr. Petty responded this hurricane brought a lot of questions to people’s minds and something as basic as drainage was taken for granted.  The District is not putting any money into public relations because of this issue.  We do not spend taxpayers money telling you about the drainage and do not have a reserve for hurricanes.  We do not tax you now for a “what if” scenario in five or ten years.  The District is predicated upon the philosophy of, “if you get benefit you pay; if not, you do not pay”.  This way growth pays for growth and existing taxpayers are not paying for something in the future.  With people living in their homes an average of seven years, this is a good philosophy.  In the case of the hurricane, we have and are continuing to have a financial tool whereby we can provide instruments for the Board to take money from a bond issue or obtain short term notes from commercial banks or from the Association of Counties, especially for FEMA issues.  Our philosophy has been our reserve is based on our financing strategy not cash we take out of your pocket.  This is a discussion we will probably have more of as we get into another hurricane season as to whether it is time for us to think about the PR piece we have always said no to.

            Mr. Mendolia asked if the residents have any questions should they bring them to you?

            Mr. Petty responded I would be happy to work with them.

            The resident stated we have a very strong presence within the community and we are willing to work with you.

            Mr. Petty stated my main concern is to get the product out there and bid properly so we are covered and make sure it fits the budget we allocated or let the residents know what the impact is going to be to the community.  I will give you my card if you have any questions.

            A resident stated on the bottom of my tax statement it says, “Parkland Isles Improvement District” and another fund.  One fund is $300 and the other is $900 for a total of $1,200.  According to our documents, one of those numbers is supposed to be the same for the 20 year life of this bond issue and the other is supposed to fluctuate each year as the expenses change.  Since 2001, both of those numbers have changed on my tax statement.

            Mr. Petty stated the number that does not change is the debt service number and the other is the O&M assessment number.  The bond issue calls itself a “level debt service bond” but is not level.  It changes by up to 1.5% in any given year because the bond is issued in $5,000 increments.  Because it is not a dollar per dollar issue and the calculation for a loan is not perfect, you end up with increasing and decreasing numbers.  Your debt service should not fluctuate more than 1.5%.

            The resident stated I will have to look at the numbers and the percentage.

            Mr. Petty stated the O&M number can jump drastically depending on what the Board sets the budget at.  For example, if the residents ask the Board to take over a lake, your assessments can increase.

            The resident stated if memory serves me, the percentage was more like 10%. 

            Mr. Petty stated it could have been a partial year debt.

 

EIGHTEENTH ORDER OF BUSINESS          Approval of Invoices and Requisitions

 

On MOTION by Mr. Mendolia seconded by Mr. Mendelson with all in favor the General Fund invoices dated December 1, 2005 in the amount of $531,151.43; the Heron Bay invoices dated December 1, 2005 in the amount of $88,369.56; the Parkland Isles invoices dated December 1, 2005 in the amount of $32,119.42 and the Water and Sewer invoices dated December 1, 2005 in the amount of $1,441,801.31 were approved.

 

NINETEENTH ORDER OF BUSINESS          Adjournment

 

On MOTION by Mr. Mendolia seconded by Mr. Mendelson with all in favor the meeting was adjourned at 4:20 P.M.

 

 

 

 

                                                                                                                                                  

Steve Mendelson                                                          Salvatore J. Mendolia

Secretary                                                                      President

 


NSID Notes for December 20, 2005 Meeting

 

           Agenda Items for Next Meeting

 

1.                  Organizational Matters

 

A.        Appointment of Supervisor to Fill the Unexpired Term of Office of Mr. Lauritzen (6/2008)

 

B.                 Oath of Office for Newly Appointed Supervisor

 

C.                 Election of Officers

 

2.                  Discussion of New Management for Heron Bay Commons