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
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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
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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