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HomeMy WebLinkAboutRegular Minutes - 4/4/2023 REVIEWED FOR REDACTION MINUTES CLAY COUNTY UTILITY AUTHORITY April 4, 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 Mr. McNees 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, 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 Engineer Paul Steinbrecher, Assistant Chief Engineer Joe Paterniti, Service Availability Manager Melisa Blaney, Senior Service Availability Engineer Darrell Damrow, Public & Governmental Affairs Liaison Dennis Ragosta, Contract & Procurement Specialist Darrin Parker, Training & Development Coordinator Ashley Taliaferro, Construction and Inspection Services Coordinator Linda Ortiz, and Grady H. Williams, Jr., legal counsel to the CCUA. Item No. 4—Approval of Minutes a. Board of Supervisors Regular Meeting, March 21, 2023 After discussion, Ms. Lebesch moved, seconded by Mr. McNees, and carried 6-0, to approve the minutes of the Regular Meeting held on March 21, 2023. Item No. 5 —Approval of Consent Agenda After discussion, Vice-Chairman Roark moved, seconded by Mr. Gardella, and carried 6-0, to approve the Consent Agenda items, as follows; a. Approval of Financial and Operational Activities 1) Approval of Payment of Warrants Warrants totaling$2,451,402.69 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 e. Schedule of claims paid under the Sewage Backup Response Policy -None f. Detailed Descriptive Warrant Report 2) Request for Asset Disposal Authorization—None 3) Sole Source Designation—None April 4. 2023 b. Approval of Capital Budget Activities 1) Requests for Award of Procurement Contracts and/or Ratification of Procurement/Construction Contracts or Contract Renewals a. Proposed agreement with edX,LLC for Online Technical Education Services b. Proposed Supplemental Agreement No. 1 to Master Contract RFP No. 2021/2022- A05 for TankRehab.com, LLC to provide Water and Wastewater Tank Inspection, Cleaning and Repair ITB No. 2022/2023-A 15 c. Approval to authorize payment to Interlocal Agreement No. 2022/2023-80 with Clay County for the implementation of utility infrastructure relocations and improvements associated with the County's' Bonded Transportation Program—Sandridge Roadway Improvements 2) Approval of Supplemental Agreements and Change Orders c. Approval of Financing Requests -None d. Approval of Contract Usage—None e. Approval of Developer Agreements, Warranty Deeds & Easements 1) Developer Agreement CU22/23-8 — Pointe Grand Jacksonville — Challenger Road — 216 Units (Pointe Grand Challenger, LLC) — 116 ERCs water, 117.5 ERC's wastewater, 29.5 ERC's reclaimed, 116 ERC's AWS, 116 ERC's SJRWMD, 116 ERC's debt service - $524,558.87 2) Developer Agreement KH22/23-8 — Wastewater Service to Clay Electric Cooperative Warehouse Improvements — 714 Nightingale Street (Clay Electric Cooperative, Inc.) — 2.5 ERC's wastewater, 2.5 ERC's environmental impact, 2.5 ERC's debt service - $12,103.16 3) Developer Agreement KU22/23-38 — Water and Wastewater Service to 1112 Fleming Street (PBP Homes, Inc.) — 1 ERC water, 1 ERC wastewater, 1 ERC AWS, 1 ERC SJRWMD, 1 ERC environmental impact, 1 ERC debt service - $21,215.67 4) Developer Agreement KU22/23-39—Water and Wastewater Service to 1079 Floyd Street (PBP Homes, Inc.)— 1 ERC water, 1 ERC wastewater, 1 ERC AWS, 1 ERC SJRWMD, 1 ERC environmental impact, 1 ERC debt service - $19,608.55 5) Developer Agreement KU22/23-40 — Wastewater Service to 1947 Lake Shore Drive N (Terence and Cynthia Horan) — 1 ERC wastewater, 1 environmental impact, 1 ERC debt service - $10,003.72 (financed) 6) Developer Agreement KU22/23-41 — Wastewater Service to 55 Swimming Pen Drive (Jeffrey & Shelly Stanley) — 1 ERC wastewater, 1 ERC environmental impact, 1 ERC debt service - $12,031.82 7) Developer Agreement MU22/23-13 — Sandridge Hills Subdivision — 190 Lots (Mattamy Jacksonville, LLC) — 190 ERC's water, 190 ERC's wastewater, 190 ERC's reclaimed, 190 ERC's AWS, 190 ERC's SJRWMD, 190 ERC's debt service - $973,342.41 (deferred) 8) Grant of Easement—235 Whispering Woods Drive—Grantor—Robert& Kelly Cates 9) Grant of Easement—762 Clay Street—Grantor—Amy & Johnathan Harrell 10) Grant of Easement—3255 Bliss Road—Grantor—Margaret Wilkinson& Brian Garmon 11) Grant of Easement—7504 Lonesome Dove Place—Grantor—ENI, LLC Item No. 6—Customer Account Adjustments -None Item No. 7—Business discussed at Committee Meetings—None April 4. 2023 2 Item No. 8—Executive Director's Business a. Consumptive Use Permit Renewal Briefing—Presentation Executive Director Jeremy Johnston presented a briefing on CCUA's Consumptive Use Permit (CUP) Application Renewal. CCUA's CUP regulates the amount of water allocated to use by the utility on a daily and annual basis. The St. Johns River Water Management District (SJRWMD) regulates CCUA's CUP thereby CCUA's water allocation to serve our customers. Mr. Johnston introduced Nicholas Porter, Esq., with de la Parte, Gilbert, McNamara & Caldevilla, P.A. and Roberto Denis, PE with Liquid Solutions Group, LLC, who provided additional information and clarification on questions of why to advance with renewing the CUP now with a 20-year vs. a 5-year CUP. The water supply allocation would affect the planned Capital Improvement Program system expansion, the proposed early renewal was negotiated as part of the Black Creek Water Resource Development Project Cost Participation Agreement with SJRWMD and the renewal process can take one to one and one-half years to complete. It was the consensus of the Board for staff to continue working toward a 20-year CUP Renewal. b. February 2023 Financial Package Chief Financial Officer Jeff Wesselman presented the Financial Statements for February and reported operating income is $980,376 over budget due to an unfavorable revenue and favorable expense variance. Operating revenue is $953,385 under budget and operating expenses are $1,933,761 under budget. CCUA has gained 524 active water accounts and 528 active sewer accounts during fiscal year 2022/2023. After discussion, Mr. McNees moved, seconded by Mr. Starnieri, and carried 6-0, to accept the Financial Statements for February 2023, as presented by Mr. Wesselman. c. Fleming Island Wastewater Treatment Plant BCR Defer Action Darrin Parker presented a request to defer Action for Invitation to Bid No. 2022/2023-A10 Fleming Island Water Reclamation Facility (WRF) Neutralizer Building. On January 17, 2023, staff advertised the project Fleming Island Water Reclamation Facility (WRF) Neutralizer Building ITB# 2022/2023- A10 in the Florida Times Union and on CCUA's Bonfire Procurement Portal. The first mandatory Pre- Bid Meeting was held on January 26, 2023, with only one (1) contractor attending. Staff scheduled a second mandatory Pre-Bid Meeting where several contractors attended. At the March 24, 2023, bid opening, staff only received one (1) response from contractor Petticoat-Schmitt Civil Contractors, Inc., with the bid amount of $3,469,000. The bid amount for this project significantly exceeds the 100% design Engineer of Record's (EOR) Opinion of Probable Construction Cost (OPCC) which was $1,787,000.00 submitted in December 2022. While the project was in the bidding phase the EOR sent an email updating the OPCC to $3M. No breakdown of the updated OPCC was provided. Engineering expressed an interest in further discussion with the Contractor for review of the submittal to investigate cost saving measures while maintaining the functionality of the neutralizer process. Therefore, staff recommends the Board defer action pending further discussion with low Bidder regarding potential voluntary reduction of Bid. Deferring action is supported by Section 6 of CCUA Resolution No. 2020/2021-06. Staff will return to the Board at a future meeting with a recommendation on how to proceed with this project. After discussion, Ms. Lebesch moved, Mr. McNees seconded, and carried 6-0, to defer action on Bid No. 2022/2023-A10 Fleming Island Water Reclamation Facility (WRF) Neutralizer Building, as presented. d. Other -None Item No. 9—Legal Business—None April 4. 2023 3 Item No. 10—Old Business/New Business -None Item No. 11 —Public Comment-None Item No. 12— Supervisor Comments Mr. Starnieri thanked everyone for the CUP presentation, it was very informative and very well done. He shared he appreciated the work that went into it from staff and our partners. He also congratulated Brian Peeples regarding the customer appreciation email and thanked him for doing the right thing. Vice-Chairman Roark echoed Mr. Starnieri's comments and expressed his appreciation for the CUP presentation as well. Mr. McNees shared he will miss the meeting on April 18th and echoed the other member's comments. Ms. Lebesch echoed the other member's comments and expressed her appreciation for everyone's patience. She shared she met with Mr. Johnston before the Board meeting regarding the Rate Study. She also encouraged the other members to reach out to Mr. Johnston to ask questions if they require additional information on the items which come before the Board. Chairman Davis echoed the other member's comments. Item No. 13 —Adjournment Chairman Davis adjourned the meeting at 3:08 P.M. —'f/ Wendell Davis, Chairman -- UILE---Ba,,--' Alicia akcr, Assistant Rer>ording Secretary April 4, 2023 4