HomeMy WebLinkAboutRegular Minutes - 1/17/2023 Reviewed for Redaction
MINUTES
CLAY COUNTY UTILITY AUTHORITY
January 17, 2023
The Board of Supervisors of the Clay County Utility Authority (CCUA) met in Regular Session in the Board
meeting room at the Administrative Office of the Clay County Utility Authority, 3176 Old Jennings Road,
Middleburg, Florida, on the above-stated date.
Item No. 1 —Call to Order
Chairman Davis called the meeting to order at 2:00 P.M.
Item No. 2—Invocation/Pledge of Allegiance
Chairman Davis offered the Invocation and led those in attendance in the Pledge of Allegiance.
Item No. 3—Roll Call
Roll Call was taken with Chairman Davis, Vice-Chairman Roark, Mr. Gardella, Mr. Hodges, Ms. Lebesch, Mr.
McNees, and Mr. Starnieri in attendance.
Also present at the meeting were Executive Director Jeremy Johnston, Chief Operations Officer Darryl Muse,
Chief Financial Officer Jeff Wesselman, Chief Human Resource Officer Kim Richardson, Chief Engineer Paul
Steinbrecher, Assistant Chief Financial Officer Karen Osbourne, Distribution & Collection Department
Superintendent David Rawlins, Facility Manager Jim Moore, Customer Service & Billing Manager Diana
Strickland, Procurement Manager Angelia Wilson, Service Availability Manager Melisa Blaney, Compliance
Manager Heather Webber, SCADA Manager John McCleary, Public & Governmental Affairs Liaison Dennis
Ragosta, Contract and Procurement Specialist Darrin Parker, Administrative Assistant Operations Alicia Baker,
Administrative Assistant Engineering Anneica Asberry, and Grady H. Williams, Jr., legal counsel to the CCUA.
Item No. 4—Employee Recognition
a. Billy Walker-25 Years of Service
b. Mike Chapman— 10 Years of Service
c. Lauren Shupe—5 Years of Service
d. Dennis Ragosta—Acceptance into the Leadership Clay Program
Mr. Johnston introduced and presented a plaque to Locate Coordinator Billy Walker and a certificate to
Chief Wastewater Treatment Plant Operator Mike Chapman and Billing Clerk Lauren Shupe
acknowledging their years of service. He also acknowledged Public & Governmental Affairs Liaison
Dennis Ragosta who has been accepted into the Leadership Clay Program for 2023.
Item No. 5 —Approval of Minutes
a. Board of Supervisors Regular Meeting, January 3, 2023
After discussion, Mr. McNees moved, seconded by Mr. Hodges, and carried 7-0, to approve the minutes
of the Regular Meeting held on January 3, 2023.
Item No. 6—Approval of Consent Agenda
Mr. McNees pulled Item 6(e)2 and 3 and Chairman Davis pulled Item 6(b)2(a) for further discussion.
Mr. McNees then moved, seconded by Ms. Lebesch, and carried 7-0, to approve the remaining Consent
Agenda items. After additional explanation from staff, Ms. Lebesch moved, seconded by Mr. Gardella,
and carried 7-0, to approve Item 6(b)2(a). Mr. McNees requested staff verify the dates on Items 6(e)2
and 3. After discussion, Vice-Chairman Roark moved, seconded by Mr. McNees, and carried 7-0, to
approve Items 6(e)2 and 3.
a. Approval of Financial and Operational Activities
(1) Approval of Payment of Warrants
Warrants totaling $3,493,235.33
a. Schedule of payments to Sole Sources
b. Schedule of Emergency Repairs/Purchases -None
c. Schedule of items initiated under Emergency Contract-None
d. Schedule of payments from the Emergency Account-None
e. Schedule of claims paid under the Sewage Backup Response Policy-None
f. Detailed Descriptive Warrant Report
g. Statement from Grady H. Williams, Jr. LL.M.
(2) Request for Asset Disposal Authorization -None
b. Approval of Capital Budget Activities
(1) Requests for Award of Procurement Contracts and/or Ratification of
Procurement/Construction Contracts -None
(2) Approval of Supplemental Agreements and Change Orders
a. Proposed Supplemental Agreement No. 1 with Soliant Consulting, Inc. to provide
Data Migration Services
c. Approval of Financing Requests
(1) Financing request for Mr. & Mrs. Cates Wastewater Connection at 235 Whispering
Woods Drive
d. Approval of Contract Usage
(1) Sourcewell Contract No. 091520-MCF Forklifts
e. Approval of Developer Agreements, Warranty Deeds& Easements
(1) Developer Agreement CU22/23-4 — Water & Wastewater Service — 2723 Greenwood
Lane (Rosa I. Gomez Valle) — 1 ERC water, 1 ERC wastewater, 1 ERC AWS, 1 ERC
SJRWMD, 1 ERC environmental impact, 1 ERC debt service - $7,680.70(financed)
(2) Developer Agreement KH22/23-4 — Popeye's Restaurant — 100 Green Way (DD&L
Associates II, LLC) — 2.5 ERC's water, 1.5 ERC's wastewater, 2.5 ERC's AWS, 2.5
ERC's SJRWMD, 1.5 ERC's environmental impact, 1.5 ERC's debt service - $11,217.62
(3) Developer Agreement KU22/23-23 — Wastewater Service to 1711 Landward Lane (Julie
Ann & Benjamin Walker and Donna & Levi Bleam) — 1 ERC wastewater, 1 ERC
environmental impact, 1 ERC debt service -$16,193.55
(4) Developer Agreement SS22/23-3 — Wilford Preserve Phase 4 — 148 Single Family Lots
(DFC Wilford 4, LLC) — 148 ERC's water, 148 ERC's wastewater, 148 ERC's
reclaimed, 148 ERC's AWS, 148 ERC's SJRWMD, 148 ERC's debt service -
$672,812.04 ($643,131.04 deferred)
(5) Grant of Easement— 145 Suzanne Ave—Grantor—John Fagan
(6) Grant of Easement — 6021 West Shores Road — Grantor — S. David Allen as Trustee of
the S. David Allen Revocable Trust
(7) Grant of Easement— Russell Road Offsite Infrastructure—Grantor—Good Tidings Trust,
Inc.
(8) Grant of Easement—Russell Road Offsite Infrastructure — Grantor - Luke R. & Susanna
L. Stephens
Item No. 7—Customer Account Adjustments—None
Item No. 8—Business discussed at Committee Meetings—Audit/Finance Committee Meeting January 17, 2023
Committee Chairman Hodges shared the Audit/Finance Committee met prior to today's meeting to review and
discuss the 2021/2022 Fiscal Year Audit. He reported the Committee accepted the Audit for presentation for the
Board's consideration and acceptance. The Board WITHOUT OBJECTION accepted the audit as presented.
Item No. 9—Executive Director's Business
a. Proposed Clay County Utility Resolution No. 2022/2023-04
Mr. Wesselman presented proposed Resolution No. 2022/2023-04 for consideration. In accordance with
approved budgetary guidelines the Board has authorized capital expenditures in the amount of
$153,678,494.66 to be funded from available funds on hand and either bond or bank financing.
Currently all capital expenditures have been purchased with cash on hand. The reimbursement
Resolution will allow staff to proceed with current year expenditures while reserving the right to
reimburse itself from future debt issuances. The approval of the reimbursement Resolution does not
authorize the authority to issue debt. Before any debt is issued, staff will bring forward all necessary
documentation for approval. After discussion, Vice-Chairman Roark moved, seconded by Mr. Hodges,
and carried 7-0, to approve, adopt, and enact Resolution No. 2022/2023-04, as presented by Mr.
Wesselman.
b. Proposed Enterprise Resource Platform Planning, Integration, and Implementation Professional Service
Agreement with Collaborative Solutions, Inc.
Assistant Chief Financial Officer Karen Osbourne reviewed the upcoming changes to CCUA's
operations, the new systems which will be implemented, and the proposed Enterprise Resource Platform
Planning, Integration, and Implementation Professional Service Agreement with Collaborative
Solutions, Inc. Staff has briefed the Board of Supervisors regarding the need to transition CCUA's
custom built information systems to an industry standard ERP. This transition is necessary to improve
customer service as well as operational decision making and effectiveness. CCUA's ERP system
transition is a project that will span sixty-one weeks and will impact every employee in the organization
as well as the stakeholders and customers we serve. CCUA recognizes the need for professional
assistance from a consulting firm that can provide ERP implementation expertise and supplement
internal staff to help successfully navigate our organization through this transformative change. Staff
requests to engage Collaborative, one of Workday's longest tenured partners, with an 18- year track
record of deploying comprehensive Finance and Human Resource solutions using cloud technology.
Collaborative will provide assistance and guidance with data conversion, system implementation, staff
training, system testing and organizational change management throughout our ERP transition. Staff and
Collaborative reviewed and negotiated a Professional Service Agreement and Scope of Work for their
consulting services. Staff determined the proposed fee for professional services is fair, competitive, and
reasonable. Collaborative will be paid a fixed fee of $2,455,094. Staff budgeted $1,400,000 for this
project in this year's Capital Budget. The amount of $1,964,075 will be paid from this year's Capital
Budget with the additional $564,075 transferred from Capital Improvement Program Contingency. The
remaining $491,019 will be budgeted in the next fiscal year. After discussion, Mr. Hodges moved,
seconded by Ms. Lebesch, and carried 7-0, to approve the Professional Service Agreement, as presented
by Ms. Osbourne.
c. Proposed Master Subscription Agreement with SpryPoint Services, Inc.
Ms. Osbourne presented a proposed Master Subscription Agreement with SpryPoint Services, Inc.
CCUA's current billing and customer service system is an internally custom created legacy system,
FileMaker, that no longer fits the needs of our customers or our growing utility. This legacy system and
most of our current billing processes are based on labor intensive manual processes that require
duplication of efforts across departments. SpryPoint provides a cloud-based software system for utility
billing,customer engagement,mobile field service, backflow, and outage response. SpryPoint will allow
CCUA to improve operational efficiency through the use of effective business process automation and
will greatly improve our customer service experience by allowing our customers up to date online access
to their billing and consumption data. Staff requests to engage SpryPoint, a preferred Utility Billing
partner of Workday. Staff performed significant due diligence of software platforms that would meet our
customer expectations and operational demands. Sprypoint stood out in the marketplace as a leader in
the utility customer information and billing system space. Staff recommends the use of this software as
service system. Staff determined the fee for professional services is fair, competitive, and reasonable.
SpryPoint will be paid a total fee of$2,803,035 over a five-year period. In the current fiscal year certain
implementation costs and the first subscription fee totaling $730,500 will be paid out of the Capital
Budget and will need to be transferred from Capital Improvement Program Contingency. There was
$1,400,000 budgeted for the ERP project in the Capital Budget this year which has been committed. The
remaining $2,072,535 will be budgeted in future fiscal years. After discussion, Ms. Lebesch moved,
seconded by Mr. Gardella, and carried 7-0,to approve the Master Subscription Agreement, as presented.
d. Proposed Enterprise Resource Platform Main Subscription Agreement with Workday, Inc.
Ms. Osbourne presented a proposed Enterprise Resource Platform (ERP) Main Subscription Agreement
with Workday, Inc. ERP systems are business management software that allow an organization to
leverage a suite of integrated applications to manage core business processes. ERP systems streamline
and automate these business processes to create a leaner, more efficient organization through superior
resource tracking, centralized database management, customizable reporting, and overall improved
information systems capabilities. Workday provides a cloud-based ERP software system for financial
management, human capital management, planning, project management, analytics, and business
intelligence. Workdays ERP system will allow CCUA to streamline processes to align them with
industry standards, automate manual processes, increase transparency, improve performance
management and operational decision making, and improve the overall customer experience. Staff has
determined that Workday provides an ERP system that best meet the needs of CCUA. Staff and
Workday reviewed and negotiated the proposed Main Subscription Agreement and Scope of Work for the
ERP services. This Agreement leverages the National Cooperative Purchasing Alliance ("NCPA")
Contract No. 01-103. Workday will be paid a total of $1,923,090 over a five-year period. Staff
budgeted $1,614,105 for this project in this year's Operating Budget and $1,400,000 in the Capital
Budget. The subscription fee of$149,207 will be paid out of the Capital Budget. The capital portion of
this project will need to be transferred from the Capital Improvement Program Contingency. There was
$1,400,000 budgeted for the ERP project in the capital budget this year which has been committed. The
training and delivery assurance fees of$155,505 will be paid out of the Operating Budget this fiscal year.
The remaining $1,618,378 will be budgeted in future fiscal years. After discussion, Vice-Chairman
Roark moved, seconded by Mr. Hodges, and carried 7-0, to approve the Main Subscription Agreement,
as presented.
e. Proposed Professional Service Agreement with Advanced Environmental Laboratories, Inc for
Laboratory and Analytical Services
Procurement Manager Angelia Wilson presented a proposed Professional Service Agreement with
Advanced Environmental Laboratories, Inc (AEL) for Laboratory and Analytical Services. CCUA staff
seeks to diversify the water quality laboratory testing services. The need to diversify the testing services
centers on the types of samples taken, laboratory availability, quality controls, and responsiveness.
CCUA contracted with AEL in 2002 through a competitive bidding process. At the November 11, 2022,
Board meeting, the contract for ITB Bid No. 01/02-A6 was approved for termination. To adhere to
regulatory requirements, CCUA will need to enter into a Professional Service Agreement for Laboratory
and Analytical Services with AEL. AEL services are also needed to complete the Unregulated
Contaminant Monitoring Rule testing because they are the only authorized lab in the area for these tests.
After discussion, Mr. Gardella moved, seconded by Mr. McNees, and carried 7-0, to approve the
Professional Services Agreement as presented by Mrs. Wilson.
f. Proposed Supplemental Agreement No. 9 with CDM Smith, Inc for the Civil and Environmental
Engineering Professional Service Agreement 2018/2019 RFQ No. 3 to provide Radio Network High-
Level Architecture Review
Chief Operations Officer Darryl Muse presented proposed Supplemental Agreement No. 9 with CDM
Smith, Inc for the Civil and Environmental Engineering Professional Service Agreement 2018/2019
RFQ No. 3 to provide Radio Network High-Level Architecture Review. The SCADA Master Plan with
CDM was approved at the September 6, 2022, meeting. The plan will serve as a roadmap for projects
that will facilitate the successful expansion, upgrade, and implementation of a SCADA system. CDM
recommends communication from remote sites to the Central Control Room at the CCUA
Administrative Building. The scope of services will include the evaluation of potential communications
methods, for efficiency, capability, and cost for the consideration of the SCADA Master Planning Team.
Due to the geographic expanse of CCUA facilities, it is neither feasible nor cost effective to use
landlines or fiber optic lines to bring information back to the central operations control room. This
project will evaluate radio and cellular options and recommend the most feasible and cost-effective
options for these remote sites. The budget for this project was approved in the FY 2022/2023 Capital
Improvement Program. Staff considers the fee of$48,500 reasonable and competitive for the scope of
services provided. After discussion, Mr. McNees moved, seconded by Mr. Hodges, and carried 7-0, to
approve the Supplemental Agreement, as presented by Mr. Muse.
g. Request for approval of the two-year Precinct Lease Agreement to allow the Supervisor of Elections
office to use the Clay County Utility Authority's Board Room as a polling place for public elections
Mr. Johnston presented a request for approval of a proposed two-year Precinct Lease Agreement to
allow the Supervisor of Elections office to use the Clay County Utility Authority's Board Room as a
polling place for public elections. After discussion, Mr. McNees moved, seconded by Mr. Gardella, and
carried 7-0,to approve execution of the Agreement,as presented.
h. Request for approval of the Purchase Agreement and Authorization to proceed with the purchase and
closing of the Property at 338 Lido Place to accommodate future improvements at the Meadowbrook
Water Treatment Plant and Lift Station #9
Service Availability Manager Melisa Blaney presented a request for approval of the Purchase
Agreement and Authorization to proceed with the purchase and closing of the property at 338 Lido Place
to accommodate future improvements at the Meadowbrook Water Treatment Plant and Lift Station #9.
CCUA staff received an unsolicited offer to purchase the property at 338 Lido Place, from Mr. Timothy
Puhlick and Ms. Theresa Moody. The Property recently became available due to a death in the family.
The Property abuts and is located east of CCUA's Meadowbrook Water Treatment Plant and Lift Station
#9. Acquisition of the property is helpful for CCUA to accommodate future improvements to both the
water plant and lift station: both are very constrained on their existing sites. Future improvements
include but are not limited to the relocation of the existing lift station, and the use of the space for water
plant operations functions. The Purchase Agreement,executed on December 22,2022, reflects the Seller's
agreement to sell CCUA the Property in exchange for a negotiated purchase price of$170,800. CCUA
commissioned an appraisal of the property by Pearce Appraisals, which was received on November 16,
2022. The adjusted comparable values ranged from $149,900 to $170,800. The proposed purchase
amount represents the high end of the range. Staff believes this marginal difference above the average
$159,233 is justifiable to avoid additional time and negotiation via the customer commissioning an
additional appraisal, and the potential for not completing this opportunity purchase. The price is
consistent with and comparable to other acceptable predominant value ranges of properties covered in
the appraisal prepared by Pearce Appraisals, Inc. The total budget of$172,800 ($170,800 purchase price
plus $2,000 for ordinary and reasonable closing costs and expenses will be transferred from the Capital
Budget Contingency to the Meadowbrook WTP Evaluation to Improve Infrastructure and Provide
Treatment Solutions to cover this expense. Staff requested approval of the Purchase Agreement and
authorization to proceed with the purchase and closing of the Property, in accordance with the terms and
conditions detailed in the Purchase Agreement. If approved, Jeremy D. Johnston, Executive Director,
will act on CCUA's behalf to execute the Purchase Agreement and closing documents in their final
form. Attorney Roger D. Cruce will be the Closing Agent for this transaction. After discussion, Mr.
Hodges moved, seconded by Vice-Chairman Roark, and carried 7-0, to authorize staff to proceed with
the purchase of 338 Lido Place,as presented by Ms. Blaney.
Other
Mr. Johnston reminded the members of the upcoming Tour on Monday, January 23, 2022, beginning at
8:00 A.M. and shared he will be holding a Hurricane Disaster Planning and Response Workshop with
staff on Friday, January 20, 2023. He informed the members he will propose dates and times at a future
meeting for the upcoming Workshop regarding the Rate Study which is currently being completed by
CDM Smith.
There will also be a Public Stakeholder Workshop on February 16, 2023, at 11:00 A.M. regarding
CCUA's proposed Lake Asbury Master Planning Area (LAMPA) Trunk Main Capital Cost Recovery
Policy.
Item No. 10—Legal Business
a. Other-None
Item No. 11 —Old Business/New Business-None
Item No. 12—Public Comment
Ms. Linda Moore of 2801 Stagecoach Drive, Orange Park, addressed the Board regarding communication she
has received from staff regarding the installation of a backflow prevention device and the well she has located
on her property.
Mr. Dale Sansom of 210 Foxridge Road, Orange Park, addressed the Board regarding the backflow prevention
device he had installed at his home after receiving a letter from staff. The device was installed at a cost of$825
and due to installation requirements, it is installed where he feels it may be impacted by traffic.
Chairman Davis informed Ms. Moore and Mr. Sansom the Executive Director will investigate their concerns
and report back to the Board at the next meeting.
Item No. 13—Supervisor Comments
Vice-Chairman Roark thanked staff for all of their efforts investigating and contracting with the proper partners
for implementation new system.
Mr. McNees congratulated the employees recognized today for their employment milestones and congratulated
Mr. Wesselman and Ms. Osbourne on a successful audit.
Ms. Lebesch echoed the comments above and shared with the new system there may be many new opportunities
for growth and procedural changes.
Mr. Gardella congratulated staff on an outstanding audit, shared he enjoyed the staff recognitions, and thanked
the members of the public for attending and participating in the meeting today.
Mr. Hodges echoed the comments of the other members.
Mr. Starnieri offered his congratulations to staff, shared he enjoyed reading the emails from customers, and
thanked staff for the Pipeline Newsletter.
Chairman Davis echoed the comments and wished everyone good luck with the upcoming transition.
Item No. 14—Adjournment
Chairman Davis adjourned the meeting at 3:19 P.M.
/ Wendell Davis, Chairman
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a i* L udermq , Recording Secretary
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