HomeMy WebLinkAbout05.a Minutes December 5, 2023 MINUTES
CLAY COUNTY UTILITY AUTHORITY
December 5, 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 Stamen called the meeting to order at 2:00 P.M.
Item No. 2—Invocation/Pledge of Allegiance
Mrs. Taylor offered the Invocation and led those in attendance in the Pledge of Allegiance.
Item No. 3—Roll Call
Roll Call was taken with Chairman Stam eri, Vice-Chairman Lebesch, Mr. Gardella, Mr. Hingst, Mr. McNees,
Mr. Petty, and Mrs. Taylor in attendance.
Also present at the meeting were Executive Director Jeremy Johnston, Chief Operations Officer Darryl Muse,
Chief Financial Officer Jeff Wesselman, Procurement Manager Angelia Wilson, Service Availability Manager
Melisa Blaney, Compliance Manager Heather Webber, Public & Governmental Affairs Liaison Dennis Ragosta,
SCADA Manager John McCleary, Contract and Procurement Specialist Darrin Parker, Administrative Assistant
Operations Alicia Baker, and Grady H. Williams, Jr., legal counsel to the CCUA.
Item No. 4— Swearing in of Supervisors and Election of Chairman and Vice-Chairman
Mr. Williams conducted the swearing in of Michael Hingst for appointment to the Board of Supervisors by
Florida Governor Ron DeSantis for a term ending September 30, 2026.
Item No. 5 —Approval of Minutes
a. Board of Supervisors Regular Meeting,November 21, 2023
After discussion, Mr. McNees moved, seconded by Mr. Gardella, and carried 7-0, to approve the
minutes Regular Meeting held on November 21, 2023.
Item No. 6—Approval of Consent Agenda
After discussion, Vice-Chairman Lebesch moved, seconded by Mrs. Taylor and carried 7-0, to approve
the Consent Agenda follows;
a. Approval of Financial and Operational Activities
a. Approval of Financial and Operational Activities
1) Approval of Payment of Warrants
Warrants totaling$4,536,730.96
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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
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 Renewal for the Professional Service Agreement with Advanced Environmental
Laboratories,Inc.
b. Proposed Renewal for the Professional Service Agreement with PACE Analytical Services,
LLC
2) Approval of Supplemental Agreements and Change Orders -None
c. Approval of Financing Requests
1) Consideration of a request from Ms. Knight for financing of Water connection fees for service to
her property at 8 Neighbors Cove Rd, Orange Park,Florida
d. Approval of Contract Usage
1) Sourcewell Contract No. 101221-VAC
e. Approval of Developer Agreements, Warranty Deeds&Easements
1) Developer Agreement KH23/24-2 — Water Service to 6509 Brooklyn Bay Road (Amy
Dushane)— 1 ERC water, 1 ERC AWS, 1 ERC SJRWMD, 1 ERC debt service- $4,317.43
2) Developer Agreement KU23/24-7 — Wastewater Service to 5902 Head Road (Josh and Jill
Fletcher)— 1 ERC wastewater, 1 ERC environmental impact, 1 ERC debt service - $9,200.70
3) Grant of Easement— 1831 Lakeshore Drive North- Grantor—Brett and Rachel Morgan
4) Grant of Easement—2558 Quail Roost Road—Grantor—Jonathan and Jacquelyn Toalson
5) Grant of Easement—Relocation of Lift Station 88 at 2932 Ravines Road - Grantor—Ravines
Holding Co.,LLC
Item No. 7—Customer Account Adjustments—None
Item No. 8—Business discussed at Committee Meetings -None
Item No. 9—Executive Director's Business
a. Proposed Change Order No. 1 to Supplemental Agreement No.4 to Professional Engineering Services Agreement
18/19 No. 3 to provide Professional Engineering Services with CDM Smith, Inc. for the Water, Wastewater, and
Reclaimed Rate Study
Executive Director Jeremy Johnston presented proposed Change Order No. 1 to Supplemental Agreement No. 4
to Professional Engineering Services Agreement 18/19 No. 3 to provide Professional Engineering Services with
CDM Smith, Inc. for the Water, Wastewater, and Reclaimed Rate Study. Change Order No. 1 will amend the
scope of services with CDM Smith related to the Water, Wastewater, and Reclaimed Water Rate Study.
The amendment of the scope of services focuses on two (2) issues. The first issue addresses the added
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debt carrying costs CCUA will incur with both the $75 million approved in June 2023 and the $30
million we will advertise in December 2023. The second issue centers on a peer review for technical and
legal sufficiency should the Rate Study and any subsequent Board actions relating to the Rate Study be
challenged. This change order addresses both issues. CDM Smith progressed through the development
of the Rate Study consistent with the agreed upon schedules. CCUA bid the Peters Creek Water
Reclamation Facility (WRF) and supporting infrastructure during this time. CCUA received a single bid
for the Peters Creek WRF and supporting infrastructure that was more than two (2) times the expected
cost. The impact of the costs for the Peters Creek WRF and supporting infrastructure resulted in a
recommendation to the Board acquiring the $75 million in additional financing more than a year before
we anticipated. CDM Smith and the CCUA team did not anticipate the amount and timing of the
financing in the original scope of services for the Rate Study approved in December 2021. The CCUA
team advanced the Lake Asbury Master Planning Area (LAMPA) Trunk Main Capital Cost Recovery
Policy during 2023. The LAMPA policy commits CCUA to roughly $30 million in new capital
infrastructure. The LAMPA policy also provides the funding mechanism for these projects with a cost
recovery charge per Equivalent Residential Connection within the benefiting area. While the capital
projects for LAMPA were within the Capital Improvement Program, the cost recovery charges on the
revenue side and the likely $30 million in financing for these projects did not exist during the
development of the Rate Study. We want to capture these elements with the proposed change order.
Finally, staff seek to confirm the technical and legal sufficiency of the completed Rate Study. One of the
recommendations within the Rate Study the Board will consider centers on applying a tiered rate
structure to all customer classes. This recommendation will most likely draw the attention of some
commercial class customers. For this reason, staff requested a peer review of the Rate Study be
completed to address issues that could arise if challenged. After discussion, Mr. McNees moved,
seconded by Mr. Gardella, and carried 7-0, to approve Change Order No. 1 in the amount of$63,000, as
presented by Mr. Johnston.
b. Other
Mr. Johnston informed the Board CCUA staff recently competed in several skills competitions at the
AWWA Fall Conference, and the competitors will be acknowledged at a future meeting. He also
reminded everyone to please RSVP for the Holiday Party on December 14, 2023, starting at 11:00 A.M.
Item No. 10—Legal Business
a. Other-None
Item No. 11 —Old Business/New Business -None
Item No. 12—Public Comment-None
Item No. 13 —Supervisor Comments
Vice-Chairman Lebesch hoped everyone had a great Thanksgiving holiday.
Mr. McNees welcomed Mr. Hingst and wished everyone a happy holiday season.
Mr. Petty shared his experience regarding a leak he reported and how staff was able to encourage him to use his
irrigation less to reduce his bill.
Mr. Gardella also hoped everyone had a happy Thanksgiving and welcomed Mr. Hingst.
Mrs. Taylor welcomed Mr. Hingst and also shared her experience with CCUA staff when she found she was
overwatering her lawn.
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Mr. Hingst said he was excited to be here and is looking forward to serving on the Board.
Chairman Starnieri expressed he hopes everyone had a very happy Thanksgiving. He shared he hopes the
members of the Board will make plans to attend the upcoming tour on January 5, 2023. He also informed staff
and those in attendance starting January 29, 2024, you will have to dial all ten digits of a phone number due to a
new area code being added to the Northeast Florida region.
Item No. 14—Adjournment
Chairman Starnieri adjourned the meeting at 2:15 P.M.
James Starneri, Chairman
Janice Loudermilk, Recording Secretary
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