MINUTES OF MEETING

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 on Friday, December 14, 2007 at 10:00 a.m. in the Egret Room, 25000 Tamiami Trail, Naples, Florida.

 

 

            Present and constituting a quorum were:

 

            Ted Bissell                                                        Chairman

            Dale Lambert                                                   Vice Chairman

            Norine Dillon                                                    Secretary

            Richard Gatti                                                    Assistant Secretary

            Richard Ziko                                                    Assistant Secretary

 

            Also present were:

 

            Calvin Teague                                                   District Manager

            Dan Cox                                                          Attorney

            Ron Benson                                                      Engineer

            Bob Dick                                                         Field Manager

            Robert Edge                                                     Field Operator

            Tom Mack                                                       Resident

            Christopher Shucart                                          POI Marina

            Susan Beck                                                      Resident

            Gabriel Cloi                                                      Resident

            D. Chrolberg                                                    Resident

            George Cramer                                                Resident

            C.R. Custer                                                      Resident

            Kathryn Kehlmeuer                                          Resident

            Jean Kungle                                                      Resident

            Jon McCollister                                                Resident

            Marie Peters                                                     Resident

            George Ricci                                                    Resident

            Darel Richardson                                              Resident

            Cathy Weis                                                      Resident

            Tom Weis                                                        Resident

            Jerry Wintern                                                    Resident

 

 

            The following is a summary of the minutes and actions taken at the December 14, 2007 Port of the Islands Board of Supervisors meeting.

 

 

FIRST ORDER OF BUSINESS                               Roll Call

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

 

SECOND ORDER OF BUSINESS                          Approval of the Minutes of the November 9, 2007 Meeting

            Mr. Bissell stated each Board member received a copy of the minutes of the November 9, 2007 meeting and requested any additions, corrections or deletions.

·                    On Page 3 in the last paragraph, facade should replace the sod.

·                    On Page 4 in the fourth paragraph, accurate should replace angry.

·                    On Page 6 in the ninth paragraph, Monaco should replace Aqua.

·                    On Pages 7, 8 and 9, Mr. Owen was speaking as opposed to Mr. Gasaway.

·                    On Page 8 in the eleventh paragraph, PUD should replace plot.

·                    On Page 12, Mr. Ptah was speaking as opposed to Mr. Kramer.

·                    On Page 34 in the second sentence from the top, replacement should replace repair.

·                    On Pages 42 and 43, Mr. Owen was speaking as opposed to Mr. Gasaway.

·                    On Page 43 in the last paragraph, curve should replace curb.

·                    On Page 46 in the last paragraph, pave should replace paint.

·                    On Page 49 in the eighth paragraph, Mr. Gasaway was speaking as opposed to Mr. Cox.

·                    On Page 50 in the fourth paragraph, Mr. Gasaway was speaking as opposed to Mr. Cox.

·                    On Page 59 in the fourth paragraph from the bottom, upgrades should replace outlets.

 

On MOTION by Mr. Lambert seconded by Ms. Dillon with all in favor, the minutes of the November 9, 2007 meeting were approved as amended.

 

 

THIRD ORDER OF BUSINESS                             Audience Comments

·                    A resident is working on a community newsletter which will include many of the different issues being discussed at the meetings.

 

FOURTH ORDER OF BUSINESS                          Manager’s Report – Consideration of Audit Renewal Engagement Letter from Dufresne & Associates to Perform the Audit for Fiscal Year 2007

·                    Dufresne & Associates rejected the Board’s proposal for a 10% fee reduction in exchange for a one-year extension on their contract.

·                    They did agree to retain the fee at $20,000 plus expenses, which Mr. Teague rejected; thereby forcing them to go back to the original fee.

·                    The Board will go through the process of soliciting proposals for a new auditor.

·                    The Board will be considered the Audit Selection Committee.

·                    The proposals will go out by March 2008.

·                    This audit is required according to the Florida Statutes and provides the following benefits:

Ø                  The assurance the District is in compliance with GASB 34.

Ø                  The District is putting money aside to address capital needs.

Ø                  The District’s finances are being managed appropriately.

There being no further discussion,

 

On MOTION by Mr. Gatti seconded by Mr. Lambert with all in favor, the Audit Renewal Engagement Letter from Dufresne & Associates to perform the Audit for Fiscal Year 2007 was approved.

 

            Mr. Teague discussed the following updates which were not included on the agenda:

·                    Saturday delivery of agenda packages and consideration of summary minutes

Ø                  Transcription of verbatim minutes is extremely time-consuming.

Ø                  Most other Districts use summary minutes, which consumes approximately 20 or less pages.

Ø                  The recording itself is considered the official record and is always available.

Ø                  The Board was not satisfied with the prior sample of the summary minutes.

Ø                  If the agenda package is sent on Wednesday for Friday delivery, the cost will be $9 to $12.

Ø                  If the agenda package is sent out on Thursday or Friday for Saturday delivery, the cost is more than $30.

Ø                  The changes made on the November minutes were minor and did not affect the outcome of issues.

 

Mr. Gatti moved to reconsider use of summary minutes in lieu of verbatim minutes for economic and timing issues, and Mr. Bissell seconded the motion.

 

Ø                  Mr. Teague is not aware of any cities in the nation which use verbatim minutes.

Ø                  Collier County uses a Court Reporter who transcribes all proceedings in verbatim.

Ø                  The Board will be able to receive their agenda package exactly one week prior to their meeting on Friday.

Ø                  They will also receive the package electronically.

 

On VOICE vote with all in favor, the prior motion was approved.

 

Ø                  The Board wants to be able to go back to verbatim minutes if they are not satisfied.

 

On MOTION by Ms. Dillon seconded by Mr. Gatti with all in favor, the Board will go to summary minutes with the proviso they can go back to verbatim minutes if they are not satisfied.

 

Ø                  The Board will be able to get their previous month’s financial statements if they modify their meeting schedule to take place after the 15th of the month.

Ø                  The invoices reflected on the current financial statements have already been paid out.

 

Mr. Gatti moved to amend the District’s meeting schedule from the second Friday to the third Friday of the month at 10:00 a.m. commencing with the January meeting and Mr. Ziko seconded the motion.

 

Ø                  This will be published in the newspaper and posted on the web site.

There being no further discussion,

 

On VOICE vote with all in favor, the prior motion was approved.

 

·                    Invoice from Eddie Bock’s Plumbing, Inc.

Ø                  Severn Trent paid POI’s share of the invoice and Eddie Bock’s Plumbing, Inc. billed the rest to the hotel.

·                    Audit questions

Ø                  This issue was previously discussed and Board members may e-mail Mr. Teague if they have any further questions.

 

FIFTH ORDER OF BUSINESS                               Old Business

A.                 Stella Maris Assessment Questions

·                    Mr. Lambert and Ms. Ellis discussed and resolved this issue.  Therefore, it may be removed from the agenda.

B.                 Discussion of Utility Rate Setting for Water, Sewer and Irrigation Charges

·                    The Board must determine whether or not a rate study is necessary.

·                    The original goal was to implement a late fee and a turn-on fee for delinquent bills.

Ø                  This requires going through the rulemaking process.

Ø                  The expense involved in going through this process makes it prudent to determine whether or not all current utility rates are appropriate.

Ø                  The rate study will include recommendations for these late and turn-on fees.

Ø                  Once the rate study is complete, Severn Trent will solicit proposals.

·                    If the Board decides not to do a rate study, they can proceed directly to the rulemaking procedure for implementation of these fees.

·                    Most utilities do a rate study every five to 10 years.

·                    Mr. Benson suggested the Board consider conservation water rates.

Ø                  As more water is consumed, the price per gallon will continue to increase.

Ø                  Most of the area utilities have gone to this rate structure.

·                    Mr. Teague and Mr. Benson will prepare a summary, as opposed to going out for proposals right away.

Ø                  This will be included in the rulemaking process, but avoids the expense of paying an outside company to do a rate study.

Ø                  An outside company charges approximately $25,000 to do this.

·              Summarily, the Board prefers not to do a rate study; consider a tiered rate structure for irrigation; and decide on turn-on and late fees.

Ø                  The rulemaking procedure will have to be advertised 29 days in advance for the Public Hearing for developing these.

Ø                  Another Public Hearing must be held to adopt the fees.

Ø                  Mr. Benson to prepare a tiered rate structure and Mr. Teague will prepare a summary of rates which other Districts are charging.

Ø                  Common area water use needs to be looked at separately from residential water use.

o                   Since common areas have larger water meters, they are part of a different rate block.

Ø                  After much discussion, the Board decided to hold the public hearing during the February meeting.

·                    Mr. Ziko is concerned the financials will not be ready for the February 15th meeting.

Ø                  Mr. Teague assured the Board if the accountant will not be able to send the financials, he will bring them to the meeting.

·                    The Board discussed the possibility of setting the public hearing to adopt the rules at the March meeting.

Ø                  Both meetings must be advertised separately.

Ø                  The period of time between the meetings is also necessary.

 

On MOTION by Mr. Lambert seconded by Ms. Dillon with all in favor, a Public Hearing to develop utility rates as they refer to late fees and turn-on fees was scheduled for Friday, February 15, 2008 at 10:30 a.m. in the Egret Room; 25000 Tamiami Trail; Naples, Florida.

 

Ø                  Once the rule is adopted, there is a period of 21 days in which any party can file an appeal to the rule.

After further discussion, the Board decided to set the public hearing for adoption of the rules.

 

On MOTION by Ms. Dillon seconded by Mr. Ziko with all in favor, a Public Hearing to adopt utility rates as they refer to late fees and turn-on fees was scheduled for Friday, March 21, 2008 at 10:30 a.m. in the Egret Room; 25000 Tamiami Trail; Naples, Florida.

 

C.                 Review of Bad Debt Issues

·                    Mr. Teague discussed a memorandum which was prepared by Ms. Helena Randel to Mr. Teague summarizing this issue.

Ø                  This item can come off of the agenda, but the Board recommended the memorandum be kept on file in the event of future questions or concerns.

 

SIXTH ORDER OF BUSINESS                              Field Manager’s Report

A.                 Discussion of Proposals for Cleaning of the Reuse Tank

·                    Mr. Edge with the help of the sludge removal company, cleaned up most of the sludge.

·                    The leaves and other material needs to be dredged out, for which Mr. Edge is waiting on bids to do this.

·                    This process needs to move forward.

·                    The price will be approximately $10,000 or less.

·                    The Board authorized Mr. Edge to proceed with cleaning and painting of the reuse tank at a cost of approximately $10,000.


B.                 Discussion of Proposals for Installation of Hydro-Guard Units

·                    Mr. Edge received a new proposal in the amount of $3,852.50 for installation of both units.

·                    The Board recommended something be done with regards to the standing water when the new units are installed.

·                    Since the Board has an easement at the end of Wilderness Cay, the Board recommended work be done on this easement to prevent this from happening.

There being no further discussion,

 

On MOTION by Mr. Ziko seconded by Ms. Dillon with all in favor, the updated proposal for installation of two Hydro-Guard Units in the amount of $3,852.50 was approved.

 

C.                 Discussion of Proposals for Replacement of Sewers

·                    There is a terminal sewer line on Newport Road at the entrance near the right-hand side close to the monument wall with several cracks and leaks.

·                    This was detected when work was being done by the hotel on the sewer lines a few months ago.

·                    Mr. Edge presented a proposal for excavation and replacement of approximately 300’ of pipe in the amount of $18,700.

·                    Years of wear and tear; roots growing through; as well as the fact that these are old clay pipes which are not longer used, caused this to happen.

 

Ms. Dillon moved to approve the proposal for excavation and replacement of 300’ of cracked clay pipe in the area of Newport Drive in the amount of $18,700 and Mr. Ziko seconded the motion.

 

·                    The money to do this will come from the Water & Sewer Fund.

 

On VOICE vote with all in favor, the prior motion was approved.

 

D.                Discussion of Lighting Issues at Cays Drive and Newport Drive

·                    Mr. Edge presented proposals in conjunction with electrical upgrades at the wastewater treatment plant.

Ø                  A proposal for installation of a separate air conditioning unit in the control room of the wastewater treatment plant in the amount of $3,901.04 was presented.

Ø                  There is $5,000 budgeted for this in order for the District to be in compliance with DEP.

 

On MOTION by Mr. Lambert seconded by Ms. Dillon with all in favor, the proposal for installation of a separate air conditioning unit in the control room of the wastewater treatment plant as required by DEP in the amount of $3,901.04 was approved.

 

·                    Mr. Edge discussed the purchase of Anoxic Mixers in the amount of more than $20,000, which the Board previously approved.

Ø                  Mr. Edge brought another quote which includes purchase of the same mixers and crane service for installation in the amount of $18,810.

·                    Mr. Edge took care of all issues with regards to replacement of Cays Drive lights.

Ø                  Mr. Lambert noticed the center light at the west entry was not working, which Mr. Edge will check on.

·                    Mr. Bissell asked Mr. Edge to ensure Soto’s Lawn Service checks on the plants on the boulevard since the District has a one-year warranty on them.

Ø                  Mr. Edge contacted the construction company’s owner, who is in the process of setting up a meeting with him, Mr. Edge and Mr. Bob Peterson to determine what needs to be done in this area.

·                    Mr. Edge showed the Board a slideshow with regards to the upgrades to be done in order to be in compliance with the county.

·                    Mr. Lambert inquired as to the status of the meter reading complaints.

Ø                  Complaints are still coming in with regards to the potable water.

Ø                  Mr. Edge is handling any issues which he possibly can.

·                    Mr. Edge reviewed the Severn Trent Services Inc. Construction Update.

·                    The Board asked Mr. Edge to monitor the depth of the wells in light of this drought.

Ø                  The SFWMD permit does not require this type of monitoring.

Ø                  The permit requires monitoring of the chloride levels.

Ø                  Periodic manual measurement may be sufficient at this time.

Ø                  The District has a large recharge area.

·                    The chloride levels are increasing in the river.

Ø                  As less water comes to the south, the chloride levels will increase.

Ø                  The District is at 320 milligrams per liter; the prior month was at 50 milligrams per liter.

Ø                  Mr. Edge will continue to update the Board.

Ø                  Completion of the filtration system upgrade will alleviate this problem.

 

SEVENTH ORDER OF BUSINESS                        Attorney’s Report

A.                 Consideration of Agreement with Orchid Cove

·                    Mr. Cox has not heard back from them with regards to the turnover.

·                    Mr. Benson received a call from the engineer questioning him about this and he was told to speak to his client.

B.        Discussion of Telephone System Upgrades

            This item was tabled.

C.        Update of Signage Requests to Collier County

·                    A section of the code has been identified which minimizes the amount of variances necessary.

·                    The cost of the entire request including the necessary variances is between $15,000 and $20,000.

·                    This project is beyond the scope which the sign company can handle.

 

Ms. Dillon moved to authorize the District Attorney to seek a variance for signage stating