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HomeMy WebLinkAbout1991 12 06 - Status of NegotiationsL6_-Uc•-1'1 1 1_. iii H-ijll lik'HI', HRR1S 9, RQF11VI]rl Tu J. <HARLKS CRAY CORDON H. HARRIS R ICHARO M. ROBINSON PHILLIP A. FINCH PAMELA O. PRICC JAMES r. PAGE, JR. WILLIAM A. BOYLCS THOMAS A. CLOUD DYAD F. MARSHALL. IN. J. MASON WILLIAMS, lYt LEO P. ROCK, JR_ O. ROBERTSON DP -O CHAHLCS W- SELL JACK A. KIRGCHENBAVM JAMCC YL PCCPL E2= PORREST B. fIEl03, JR. GRAY, HARRIS & R013INSON PROFESSIONAL ASSOCIATION ATTORNEYS AT LAW SU3TC 1200 SOUTHEAST BANK RVILDINC 201 CAST PM[ STREET POST OrFICE BOX 3000 QREANDO, FL 09BOR-3068 GLASS BANK BUILDING SOS MONTH ORLANDO AVCNVE POSY OFrIC[ BOY. 320157 COCOA BX.&C)X, FJ. 34932-076'7 TELEPHONE (401) a43-8880 TCLEPRONE (407) 702.2210 FAX (407) 214-8690 rAX (HOT) T83-2207 WRITERS OIRECT DIAL PLEASE REPLY TO! Orlando December 6, 1991 Robb McClary City Manager City of Sebastian P.O. Box 780127 Sebastian? Florida 32978 THOMAS 0. SNA'W PAOL J. MOKRIS ALAN R. OUTTCRWOR'N DEYORAM 1. 14CPNANDEZ PAUL 2 GUINN. JR. DAVID L. SCHICK JACII K. MCMULLEN ORLANDO L. EVORA SUSAN 0. TASS"14 rRCDERICK w. RICHAROS RICHARD C. BURKE LORI R. ""TON ANTHONY J. COTTER TRACY A.SOPOERT JOHN 3, SHOCMAKC4 LISA J. rn/1"' MICHAEL K. WILSON MARK S. WALKER LILA 1. MCMENRY MALCOLM R. KIRICHCNSAVM Or COV.PEI MCH•[R 01 NIN 40 RN I.NO CCNN ¢CTICVr BAR] ONLY VIA FACSIMILE 407/589-5570 RE: Status of Negotiations with Indian River County Regarding Interlocal Utilities Agreement Dear Robb: I am writing you this letter for distribution to the City Council regarding our negotiating session yesterday with Indian River County. As you know, our meeting went very well with the County. The County representatives were extremely cordial and showed a great willingness to work out the final details of the Agreement. The final details worked out yesterday in the meeting are of course subject to final approval by the City of Sebastian City Council and the Indian River County Board of County Commissioners. These points are as follows: (1) The City will be granted up to one year during which time Indian River County will continue to provide all utility services and continue to bill at the existing Indian River County retail rate. The City will have the option to take over billing and other utility services during the first year; after the end of the first year, the City is required to take over billing. Once the City takes over billing, a wholesale rate will kick in in place of the retail rate. Lt1' u6-1951 1� FRU11 GRH1', HHF.F.'I'=; a FOB 11IS=II TO 43JRAY, 11ARRIS & HOWN601-T AAOKES910NAL ASSOCIATION Robb McClary December 6, 1991 Page 2 (2) The City will not have to pay for sewer meter installation at any one of the five County pumping stations until the City expands a gravity collection system to be connected to a given pumping station of adequate size to warrant installation of an appropriately sized sewer meter to be mutually agreed upon based upon industry standards and good engineering standards. (3) The County agreed to reinsert language making it clear that the City's right to purchase GDU comes back to the City. (4) The City would be agreeing to take over Park Place as part of this Agreement. However, the County agrees that the City's obligation to pay impact fees for customers under this Agreement shall be the same as the seller (i.e., Nelson Hyatt) under the existing purchase and sale agreement. The County also agrees to assist the City in any litigation with respect to the Agreement. (5) The City will not be required to guarantee payment of basic facility charges or assessments in lieu of impact fees due but not yet paid by customers who have not connected. For its part, the City agrees not to provide service to an individual customer unless all delinquent fees and charges that should be paid to the County are paid to the County. The Agreement will be completed in the following manner: (1) The County will prepare Exhibits 'IBII and 'ICII setting forth the diagram of County facilities and setting forth the components of the wholesale rate. (2) I will complete the redraft of the Agreement and transmit it to Charles Vitunac. (3) Once all of these items are completed, the complete Agreement will be submitted to the City Council and the County Commission for approval. The Agreement will probably be ready for execution sometime in February, and the cancellation date for the County franchise will probably be March 1, 1992. L,E1_-I_i-, 19' 1 12: 21 FRi IH GRH'7 , HHPR I S L RUE 11.1'SU11 1'0 51`_:•�=95` . LI P. U -i VRAX, HARRIS & Ronizzsow PROFESSIONAL ASSOCIATION Robb McClary December 6, 1991 Page 3 Therefore, assuming that the City Council and the County Commission accept the recommendations of the County and City negotiating teams, it appears that this Agreement will be completed. Please call me if you have any questions regarding this matter. Sincerely yours, Thomas A. Cloud, Esqui e GRAY, HARRIS & ROBINSON, P.A. TAC: jlm cc: Charles Ian Nash, Esquire Gerald C. Hartman, P.E.