MINUTES OF THE MEETING

OF THE PORT OF THE ISLANDS

COMMUNITY IMPROVEMENT DISTRICT

 

            The regular meeting of the Board of Supervisors of the Port of the Islands Community Improvement District was held Friday, July 23, 2004 at 10:40 a.m. at the Egret Room, 25000 Tamiami Trail, Naples, Florida.

 

            Present and constituting a quorum were:

 

            Ted Bissell                                                      Vice Chairman

            Richard Burgeson                                          Assistant Secretary

            John Robinson                                               Supervisor

 

 

            Also present were:

 

            Mr. DeCocq                                                    District Manager

            Dan Cox                                                         Attorney

            Ron Benson                                                    Engineer

            Tim Stephens                                                 Utilities Director

           

            Numerous Residents                                      See attached list

           

FIRST ORDER OF BUSINESS                              Roll Call

Mr. Bissell called the meeting to order and Mr. DeCocq called the roll. 

 

SECOND ORDER OF BUSINESS                         Public Hearing Adopting the Budget for the Fiscal Year 2005

Mr. Bissell opened the public hearing.

Mr. DeCocq stated at the last meeting we had a discussion regarding your intentions with your budget.  We had several options regarding revenues for infrastructure projects that were lacking.

The Board decided to increase the operations and maintenance and the standby fee in order to accommodate some infrastructure.  The Board decided to go with the maximum suggested increase.  As of right now in your general fund in your assessable units, you are looking at 1,059 and a total cost of $630.64.  In your sewer, you are looking at a total of 1,028 ERU's, which is an assessment of per ERU $638.

Mr. Bissell stated I have a question on that.  When Mr. Burgeson made the motion the last time we were talking about $711.

Mr. DeCocq stated I believe this is because we put units back in that we had taken out before.  The accountant adjusted those figures.  If you want to stick with the $711 total increase, I am more than happy to do that.  We can make that adjustment to the budget.

Mr. Robinson asked are we getting everything we wanted to get?

Mr. DeCocq stated you might want to stick with the higher assessment number because there are some units back in that are still considered bad debt.  We know we are not going to fully collect everything we anticipated.  You will probably want to stick with that $711 total increase.

Mr. Robinson asked do we need another motion?

Mr. DeCocq responded I will defer to counsel.

Mr. Cox stated we can clear that up after the public hearing.

Mr. DeCocq stated there were adjustments for a few line items that needed to match up with the written salaries.  I think everything was in order.  Are there any other questions from the Board on the budget as presented?

Hearing none, we will now accept comments from the public.

Ms. Marchand asked the current O & M is $379.50; is that correct?

Mr. DeCocq responded yes, you will see that we have that estimated and that simply takes that number and divides it out.  That number is $379.50.

Ms. Marchand stated that is what is currently being billed?

Mr. DeCocq responded yes.

Ms. Marchand stated at the last meeting you were talking about it going up to $537.00.

Mr. DeCocq stated the Board discussed raising it up to $711 per ERU for O & M.  That is for stand-by fee as well as O & M.  The Board wanted to try to obtain a great amount of funds for the capital improvement projects as planned.

Ms. Marchand asked the current stand-by is $378.77?

Mr. DeCocq responded that is correct.

Ms. Marchand asked and those are both brought up to $711?

Mr. DeCocq responded that is correct.

Ms. Marchand asked is that based on the fact that it was the lower number of ERC's and ERU's?

Mr. DeCocq responded correct.  The idea being that the ERC's and ERU's that were taken out were due to anticipated sales of property.  I do not believe we received that money anyway.  In general, we have some units out there that will not be collected.  We may actually come in lower.

Ms. Marchand asked so, if that money is paid, then those individual assessment units are replaced by about twenty percent, which could mean a reduction at a later date?  I think Cox had referred to that as twenty percent with the difference of the ERC's.

Mr. DeCocq stated to make sure I understand, your are saying if we go ahead and assess $711, anticipating bad debt, if everybody pays, your question is will there be a reduction or a rebate?

Ms. Marchand responded yes, in the future.

Mr. DeCocq stated this is one year.  Every year the Board will determine what needs to be assessed based upon their present and anticipated future conditions.

Ms. Marchand stated except that these numbers were based on a projection.  This was the money that you thought you had to collect to do that five-year projection.

Mr. DeCocq stated this was originally based on the fact that money you had already built into the budget, raising an additional $300,000 or so to get where you wanted to be.  At the Board's direction, I said assuming we do not get that money and we have to spend that extra $135,000 in the budget, what would it take to gain more money this year?  The original estimates by your previous manager were based on five years.

I believe with the increases to get this $500,000, that schedule has probably been accelerated somewhat.  That is my assumption based upon the engineer's report versus the numbers we intend to raise.

Ms. Marchand asked so, at this similar meeting next year, if you collected excess of what you anticipated to collect there potentially could be a reduction in these high increases?

Mr. DeCocq stated it potentially could be, but that is up to the Board.  The Board sets policy based upon what the present day situation is next year, plus what they anticipate and intend to do over the next few years.

There being no further comment from the public,

Mr. Bissel closed the public hearing portion of the meeting.

Mr. DeCocq asked would it be appropriate to ratify what we did at the last meeting.

Mr. Cox responded as far as the $711 figure set at the public hearing and to establish the budget that would have been at $711.

 

On MOTION by Mr. Burgeson seconded by Mr. Bissell with all in favor the $711 assessment set at the last meeting was ratified.

 

a.         Consideration of the Annual Appropriation Resolution 2004-05

Mr. DeCocq stated Resolution 2004-05 is a resolution adopting the final general fund debt service and water and sewer budget for the Port of the Islands Community Development for Fiscal Year 2005.  Basically, this does exactly what it says.

This sets your final budget that we will officially adopt and the assessments will be set.

 

On MOTION by Mr. Robinson seconded by Mr. Burgeson with all in favor Resolution 2004-05 was adopted.

 

b.         Consideration of Resolution 2004-06 Levy of Non-Ad Valorem Assessments

Mr. DeCocq stated Resolution 2004-06 is a resolution levying a non-ad valorem assessment for water management and roadway costs within the Port of the Islands Community Improvement District for the period of October 1, 2004 through September 30, 2005.

Mr. Cox stated this also levies an assessment for the debt service fund and the cost of operating and maintenance of the sewer and water.  The budget will be modified to reflect your $711 per unit assessment.

Mr. DeCocq stated we normally leave the figures blank in case anything is changed at the meeting.

 

On MOTION by Mr. Robinson seconded by Mr. Burgeson with all in favor Resolution 2004-06 was adopted.

 

THIRD ORDER OF BUSINESS                            Consideration of Fiscal Year 2003 Annual Engineer Report

            Mr. Benson stated the items in the report are basically the same as what I presented in February and March.  The handout addressed these capital improvements projects and summarized projects that had been in the engineer's report for many years.

            We had some of the new projects discussed throughout the year, the status of the road system and repairs.  Generally, what is in the report is what we have already discussed in the presentations in the past, so I am here to answer questions.

            Mr. Bissell stated this was well prepared.

 

On MOTION by Mr. Bissell seconded by Mr. Burgeson with all in favor.

 

FOURTH ORDER OF BUSINESS                        Staff Reports

            A.        Attorney

            There not being any, the next item followed.

 

B.         Engineer

            Mr. Benson stated to follow up on the engineer's report, the table identifies the renewal and replacement projects and the table identifying the capital improvements, I have added a column to the right where we previously identified the projects, cost and priority within each of the groupings.  It was a compilation of the engineer's opinion as well as the field manager.  We put together our opinion and compromised and came up with a list that we both support for the same priorities.

            We have taken the highest priorities within each grouping that we felt it would best be done first.  If you look at the top list, items, 1, 2, 3 and 4, I moved over into that last column.  The next grouping I think I moved over to first six.  On the second page, the top of that list is projects related to putting in new sidewalks, which I felt was not the highest priority at this time.  The second grouping, one related to the pump station and modifications that would be required by DEP to allow us to combine our irrigation system with the reuse system, not just reuse for part of the community that is the largest project. 

            There was also a project at the wastewater treatment plant, related to the effluent filter, which relates to our reliability for our reuse system.  I have taken those and moved them over to the far column.  If we subtotal those, add in any contingency, administrative or legal costs that we have estimated, engineering design and inspection costs, bringing that to a grand total for the early projects of $636,000.

            Those would be the projects that we would encourage to be done first.  If we have $500,000-600,000, whatever money available based on the new rates, these are the highest priority costs from the engineer's opinion.

            Mr. Bissell asked when we get to the part of replacing the corroded pipes, at that time should we extend the non-potable water to the first system and to the homes back there to get that done before the resurfacing is done.  We discussed that in the past.

            Mr. Benson responded that is not part of the reuse.

            Mr. Bissell stated but they could be.  We have discussed that in the past.

            Mr. Benson stated that is on the second page of the project, I-4.  You make that a point that would probably be best in conjunction with the resurfacing.  We could probably take and not resurface that section because there is other work being done back there, we could potentially resurface a different section of the community first and then do the water lines, say the second year of this program and then resurface after that.

            Mr. Cox stated we talked about the means to do that running down the east side of Newport, so we did not have to go under Newport.

            Mr. Benson stated we were going to resurface all those roads.  We have not yet identified exactly where we would put these new water lines.  We potentially could put them down whether or not we are interfering with the road.

            Mr. Bissell stated we resurfaced the roads that do not belong to us.

            Mr. Cox stated we do have maintenance responsibility for maintenance of all the roads.

            Mr. Robinson asked could you sleeve ahead of time and then do it?

            Mr. Benson responded you could do that also.  There are a couple of ways you could do that.  We could identify where we would cross the road and put the line, just a segment in crossing the road, without connecting anything and then come back and then come back and connect it later.  There are various options.

            We were going to do the area of the roads on this side first because it is pretty well built.  There is not a lot of development over here any more.  If we do the roads, we are not going to tear them up any more.  There is still a bit of activity on the other side of the canal.  On the area going north, we were going to do that last.  There is still a lot of property over there.

            At this point we identified where we would cross the roads in the future and then connect them up probably the second or third year, when we do that.

            Mr. DeCocq stated so you understand, we did this to give you an idea of what we thought might be a priority.  We want to start running with these projects in the next fiscal year.  I suggest you go home, read it and bring any comments back to the next meeting for adjustments.  I would like to adopt a capital improvement plan before we hit Fiscal Year 2005.  That way, we can start to budget some of that money and get moving.

            Mr. Bissell stated in August, we could have a discussion.

            Mr. Benson stated we were thinking we could see which of the things we could get through and the ones that could not be funded could be listed for the next level priorities for the next year.  We could do this each year as we develop our CIP list.

            Mr. Bissell asked the money for the operations and maintenance system, could some of that money be put over into capital improvements?

            Mr. Cox responded you have an affirmative obligation to maintain your systems and the engineer has identified these programs as a requisite for proper maintenance of the system.

            Mr. Bissell stated right that is for maintenance and new construction.

            Mr. Benson stated the items on the first page are not new construction.  They are basically renewal and replacement, repairing systems you already have.  The second page shows items that would be potentially considered new systems.  There are two projects on the second page that are new systems that really need to be done.  The first page we are doing part of the projects that are renewal and replacement, so you are simply fixing or replacing a piece of equipment that is worn out.

            Mr. Bissell asked is that money available right now?

            Mr. DeCocq responded that $135,000 is something that we have always put in there anticipating using for your capital outlays and just have never seemed to be able to do it.  I will not know if it is there until the end of the year.

            Mr. Robinson asked what about maintenance of the site itself back there?  Do we have anything for that maintenance?

            Mr. Benson responded there were some projects like W4 and WW3; those are actual repairs to the building out there where Mr. Stephens is.

            Mr. Robinson stated maybe that could be power washed.

            Mr. Benson stated this budget is operation and maintenance, repairing, new air conditioning or if a metal panel needs replacement.

            Mr. DeCocq stated we have been putting together a maintenance schedule on a monthly basis to help me understand what responsibilities we have.  We want to develop some of these maintenance programs, so you do not have to do the capital investment as often as possible.

            Mr. Robinson stated all of us would like to have a nice place that looks decent.

            Mr. Bissell stated when I recommended the Board to hire Natalie; my selling point to the Board was for her to do things like this in the community and the plant.  I have discussed this with Mr. DeCocq in the past.

            Mr. DeCocq stated and I agree.

            Mr. Robinson stated it should look like the community that people are paying for.

            Mr. Bissell stated we also have pallets back there that we have to get rid of.

            Mr. Benson stated I have one more item.  A few months ago, there was a discussion and approval for purchase of a new pump at the recycle plant.  Mr. Stephens came in with the actual price of the pump that was previously approved.  We discussed a price for a local contractor to install that.  We talked about having Kyle Construction install that pump as an additional item that he was working on at the plant at one time. 

Without any details, we estimated $2,000 or $3,000.  Mr. Gatti felt that seemed appropriate.  We have a price from the contractor of $7,000 after talking him down from his initial price.  There is more involved than we thought.  The concrete base and bolts have to be replaced.  That is the price.  You can check with other contractors, but probably will not get anything lower.

Mr. Robinson stated maybe we should get bids on this.  This is much more than $2,000.

Mr. Bissell stated all right, then maybe you should get some bids if that is the Board's desire.

Mr. Stephens stated the guy across the road; maybe we can talk to him about it.

Mr. Burgeson asked is that the guy that put the pipe in around the sewer plant?

Mr. Benson responded yes.

Mr. Burgeson stated he was pretty low.

Mr. Benson stated based on what we have seen and what he showed us of how he came up with this price, I would say it is between $5,000 and $10,000.  I am not sure what is in the current procurement procedure.  Do we have to publish for bids or can we just get quotes from several local contractors?

Mr. Cox responded it is below the threshold for going through the formal bid process.

Mr. Benson stated the formal advisement for bids for a project of this size would cost a lot of money.  Can we get three prices?

Mr. Cox responded yes.

Mr. Bissell asked is the pump there and ready?

Mr. Benson responded yes, it is.  I will work with Mr. Stephens to obtain some prices and get back to you.

The City of Naples has not signed the agreement yet as far as I know, to do the testing for the samples for the reuse system.  That is the last step we need in place before we can actually start that system.

Mr. Bissell asked what did they come up with as far as cost?

Mr. Cox responded it was attached to the agreement that I do not have.

Mr. Stephens asked could I get a copy of that agreement when that goes through?

Mr. Benson stated the City of Naples folks mentioned that now the City of Marco Islands is asking the City of Naples to have them do the same thing and they would pay the same price as the cost.

Mr. Cox responded it was not that much.  I believe I have it in the agreement.

Mr. Bissell stated while he is looking that up, does the Manager have anything?

 

            D.        Field Manager

            There not being any, the next item followed.

 

            C.        Manager - Consideration of Meeting Schedule for Fiscal Year 2005

            Mr. DeCocq stated we need the Board to approve the meeting schedule for the Fiscal Year 2005.  Basically, you meet monthly.  The exception is in July and other than that you meet on the third Friday of every month.  You can adjust a date as necessary if we have a lack of a quorum.

            Mr. Bissell asked in November, will Mr. Robinson be on the Board or does the new Board sit at that meeting?

            Mr. DeCocq responded that is a good question.  It used to be that the new Board was seated in January.  Has that changed?

            Mr. Cox stated I will find out.

            Mr. DeCocq stated I know that seating in January has been standard in my Districts since January, but I heard a rumor that may change.

            Mr. Bissell stated two years ago we did it in November.  If you remember Mr. Gatti and Mr. Wolsky were elected unopposed.

            Mr. DeCocq asked were they already seated on the Board?

            Mr. Bissell responded yes, and I was elected to a two-year term.

            Mr. Robinson stated I do not know how long my term was.

            Mr. DeCocq asked was that by the Board or landowner election?

            Mr. Cox responded landowner.

            Mr. DeCocq asked do we know who the new Board members are?

            Mr. Bissell stated three people applied with no opposition, so according to statute, I believe they have been elected, so we know who the Board members will be for the next four years for those three positions.  If you would please stand, Ms. Dillon, Mr. Lambert and Mr. Ziko.

            Whereupon, the audience acknowledge their congratulations to the new Board members.

            Mr. DeCocq stated until we find an answer we will adopt the schedule and once we find out, you have the right to change your schedule with proper notification as we go along.  It is not a big deal.

 

On MOTION by Mr. Bissell seconded by Mr. Burgeson with all in favor the meeting schedule for Fiscal Year 2005 was adopted as presented by staff.

 

FIFTH ORDER OF BUSINESS                             Supervisor's Requests and Audience Comments

            Mr. Robinson stated I guess at the last meeting the Board voted to forgive some debt.  The order of dismissal was entered on July 2nd and we are preparing the foreclosure complaint.

            Mr. Bissell stated we have already discussed the water and sewer increase on our monthly bill.

            Mr. DeCocq stated we will be presenting that in the next month or so.

            Mr. Bissell asked what about the fire hydrant that was broken?

            Mr. Stephens responded that was done.

            Mr. Bissell asked could you, as manager, possibly contact the fire department and ask them to send the report to you and the president of the Board.  It has been sent to Mr. Neal.  I do not believe he has any involvement, does he?

            Mr. Robinson responded they send it to him because I request water tests a lot of the time.

            Mr. Benson asked what are they sending.

            Mr. Bissell responded the report on the flow test.

            Mr. Benson stated that is because the developer requested the fire flow test because the County requires the developer to show they had fire protection prior to their giving approval.

            Mr. Bissell stated I have no objection to that, I am just requesting that a copy be sent to the manager and Mr. Gatti.  That had been broken for a whole year and never reported because the Board never knew about it.

            Mr. DeCocq stated I will make sure they get a copy.

            Mr. Bissell stated the location of the pipe repair by Big Cypress back on February 26th on Newport Drive broken by road construction.  Where was this location?

            Mr. DeCocq asked do we know anything about that.

            Mr. Stephens stated this was a line across Newport Drive.  They broke a lot of lines when they did that.  There was no location of the irrigation lines.  We located the water and sewer lines, but the irrigation, we have no plans for.  We had to repair those lines they broke.

            Mr. DeCocq asked were we putting that line in at the time?

            Mr. Stephens responded the District was having it done.

            Mr. DeCocq asked since we did not have a location for said line, they hit it?

            Mr. Stephens responded there was no way to locate it.  There is a patch out here by the first fire hydrant as you go down Newport Drive.  There is a culvert right there and you will see a patch going across.  That is where you replaced it all the way across Newport Drive.  If you cross the median, which has about fifty feet there, there was a lot of irrigation.

            Mr. Bissell stated Kyle Construction repaired it and it blew again.  I believe that was stated at one of the meetings.  Did we have to pay to redo something they did not do properly the first time?

            Mr. Stephens responded that is just one thing that happens any time we put a coupling together.  Once you put the pressure back to it, most of the time it holds, but sometimes in this situation it has a ninety-degree turn and it was down about seventy feet, really deep.  It was hard to get to underneath the driveway and underneath the road.

            Mr. Bissell stated I have requested the minutes of the executive session in May.  The budget correction and the meeting attendance.

            Mr. DeCocq stated I spoke with Ms. Rutter, the accountant and according to the attendance sheets what she has paid out this year is exactly right, but according to the minutes and what Mr. Bissell has found, they do not seem to jive.  It seems there is an overpayment of approximately $1,600. 

            My question to the Board is how do you want me to rectify it.  It would not be unusual that a name got left on accidentally in the minutes.  I believe Mr. Robinson, that the one meeting you were not here, you attended by phone; is that correct?

            Mr. Robinson responded well that meeting was in the spring and he shows November. 

            Mr. Bissell stated Mr. Burgeson has missed at least four meetings.  We are all aware of that, so there has to be some adjustment somewhere.

            Mr. Burgeson responded I do not think I did.

            Mr. Robinson stated I do not recall receiving a check in the mail, so if I was not here, I did not get it.

            Mr. DeCocq stated we will check the stubs versus that.  Accounting is reflecting what we show here, but it could be an incorrect posting or something. 

            Mr. Bissell asked it has to go by the minutes, right?

            Mr. Burgeson stated if they did, just tell me and I will pay it back.

            Mr. Bissell stated Mr. Glass, in April apparently has used our credit card for a few hundred dollars.  With that credit card he purchased gasoline and groceries according to the receipts.  I spoke with Severn Trent and apparently he was one of our employees last year for approximately one month and he was let go.  Is he using our credit card?

            Mr. DeCocq responded obviously there are several issues with that and I will obtain answers for you.

            Mr. Bissell asked when the other guy buys gas, does he use our card.

            Mr. Stephens responded he uses Mr. Glass's old credit card.

            Mr. DeCocq stated we just need to get that changed out.

            Mr. Bissell asked does he sign in his own name or Mr. Glass's.

            Mr. Stephens responded you just put it in and pull it out. 

            Mr. Bissell asked what about the groceries and such?

            Mr. Stephens responded he does not get groceries.

            Mr. Bissell stated one of the purchases was in Fort Myers.

            Mr. Stephens stated the only way he can get gas is put it in and pull it out.  He cannot sign for it.  It is not in his name.  It has not been changed over.  It needs to be done.

            Mr. Bissell opened the meeting to the audience for comment.

            Ms. Dillon asked did I hear correctly, that the only thing holding up the turn-on of re-use irrigation system was the testing by Naples?  Once this agreement is signed by Naples, is this system good to go?

            Mr. Bissell responded we will do the tests and make sure that everything is okay and we should be okay.  Some signs have to be posted.  There are monitoring wells to be installed.

            Mr. Cox stated we have sent the easement to recording so it should be in place and recorded by now.  It should be ready to go.

            Ms. Dillon stated I thought we going to discuss the berm at this meeting that is proposed for Port of the Islands.

            Mr. Cox stated we had discussed having the lady from Corps. come and talk to us.  I believe Mr. Gatti was going to do that and since he could not be here, we put that off.

            Ms. Marchand asked can you clarify this situation of the Board members?  When will the new members take office and who on the existing Board will remain?

            Mr. Bissell responded Mr. Robinson, Mr. Burgeson and Mr. Wolsky will be leaving.

            Mr. DeCocq stated Mr. Wolsky has submitted his resignation, which will be on the next agenda for acceptance.

            Ms. Dillon asked so Mr. Burgeson and Mr. Robinson's terms are up and your term remains for another three years?

Mr. Bissell responded my term and Mr. Gatti's terms are for another two years.

            Ms. Dillon asked these folks have been elected for just one year though?

            Mr. Bissell responded four years.

            Ms. Dillon asked will it be the same people and a certain number of members expire?

            Mr. Bissell responded the election will take place every two years.

            Ms. Dillon asked when does the new Board take effect?

Mr. Cox responded it is November or January.  I will know by next month, but I believe it is January.

Mr. Bissell stated before we accept Mr. Wolsky's resignation we should appoint someone to fill his vacant.  I believe Mr. Wolsky is in position number 3.  Mr. Lambert ran for position number 3.  It is my opinion that we appoint Lambert for position number 3.

Ms. Dillon asked the schedule that has been adopted for next year, that is assuming that it is going to be the third Friday of each month except for the one in July?

Mr. DeCocq responded yes, they are October 15th, November 19th, December 17th, January 21st, February 18th, March 18th, April 15th, May 20th, June 17th, July 22nd, August 19th and September 16th.  It would seem that you are landing on the third Friday.

            Ms. Dillon stated August 20th is the third Friday.

            Mr. McNally asked is there a way of extending mosquito control beyond what you can reach from the road; to the vast areas of open grass and so on.

            Mr. Bissell stated I will defer to Mr. Stephens on that.

Mr. Stephens stated I do not know of anything else.  When they set this place up there was an agreement that no aerial spraying would ever be done here.  I spoke to Tallahassee and they said we could probably do it, but it costs about as much as our whole annual budget just to spray one time.

Mr. McNally asked does the County do any aerial spraying?

Mr. Stephens responded they do, but they will not come here.  They say it is too far.

Mr. Bissell stated I believe Golden Gate Estates had applied to the County for years and they finally took that in, but there is a special tax for that.

 

SIXTH ORDER OF BUSINESS                             Approval of Check Register

            Mr. Bissell presented the check register to the Board for approval.

 

On MOTION by Mr. Bissell seconded by Mr. Robinson with all in favor the check register was approved.

 

SEVENTH ORDER OF BUSINESS                      Adjournment

 

On MOTION by Mr. Robinson seconded by Mr. Burgeson with all in favor the meeting was adjourned at 11:45 a.m.

 

 

 

                                                                                                                                                        

Secretary Assistant Secretary                                    Chairman / Vice Chairman