Loading...
07-12-85 v AGENDA CITY OF ATLANTIC BEACH Special Meeting July 12, 1985 7:15 PM Call to Order Invocation and Pledge to Flag 1. Old Business A. Commission action on report and recommendation from Buccaneer Water and Sewer District Committee. B. Any other matter which may be brought before the Commission. ADJOURN MINUTES OF THE SPECIAL CALLED MEETING OF THE ATLANTIC BEACH CITY COMMISSION HELD AT THE CITY HALL ON JULY 12, 1985 AT 7:15 P.M. PRESENT: William S. Howell, Mayor-Commissioner Robert B. Cook, Sr. William I. Gulliford, Jr. John W. Morris, Jr. AND: Richard C. Fellows, City Manager Claude L. Mullis, City Attorney Adelaide R. Tucker, City Clerk ABSENT: Catherine G. Van Ness, Commissioner The meeting was called to order by Mayor Howell to consider the recommendation of the Sewer & Water Committee for an agreement with Jax Utilities Management, Inc. on the operation of Buccaneer Sewer & Water District. The following salient points were addressed: Pg.4 (3) Effective date and termination. Pg. 18 (20) Line 6 Agreement Amount and Maximum Indebtedness. Mr. Mullis added the word "may" after agreement to read "Further, this agreement may be extended " Pg.9-Management Fee and Indirect Costs. Mr. Mullis explained the amount of $35,000 for management fee and indirect costs was listed in their proposal and budget. The budget and proposal were set forth by reference a part of the agree- ment and made a part herein. Pg. 15 - Second paragraph, Commissioner Morris requested the dollar amounts be changed from $100.00 to $300.00 and from $4,000.00 to $2,500.00 to comply with the Code. The corrected paragraph should read "The Company shall not, however, make or contract for any major capital or renewal and replacement expenditure with a value in excess of $300.00 and a useful life of more than one (1) year or any purchase of $2,500.00 or more with respect to the system without the express prior approval of the City Manager except as expressly provided hereunder."The 6th line from the bottom of the page should also be changed from $4,000.00 to $2,500.00. Commission agreed. At the request of Commissioner Cook, Mr. Fellows explained that $273,500. was the total amount the City was committed to for the contract year as con- tained in their bid, unless approved by the Commission. Mr. Mullis said there was always the possibility any budget would have to be revised. The amount of $273,500 has nothing to do with capital improvements. The agreement provides that Jax Utilities has to get permission from the City Manager for any capital improvements in excess of $300.00 (if changed from $100.00) that had a life expectancy of over one year. PAGE TWO SPECIAL CALLED JULY 12, 1985 Commissioner Morris asked if the insurance portion of the agreement covered the city's obligation to the bondholders under the Ordinance. Mr. Mullis said the city was not required to so provide loss of income in the bond Ordinance. Mr. Mullis expressed concern over the billing as several other utility owners preferred to do their own billing. He agreed that perhaps, in this instance, a turn-key job was better, and there was a provision in the agree- ment that the city can, at any time within reasonable business hours, go in and audit their books. Another provision was that any fines, etc. levied by acts of omission or comission on their part that caused the city to receive such fine Jax Utilities shall pay the fine. Furthermore, "Section 21 Hold Harmless pro- vides the Company agrees to indemnify and hold harmless and to defend any claim, judgment as suit against the city arising out of actual or alleged negligence of any office, employee or agent of the Company; including but not limited to, temporary or permanent disconnection with the City system, for failure to pay amount due or otherwise." Mayor Howell asked if there was a provision that Jax Utilities would provide insurance coverage under their policy for the City of Atlantic Beach as an additional insured for all liability, including products. It was the consensus of the Commission that provision had been agreed upon with Mr. James at the Committee meeting. Mr. Mullis said the insurance coverage was on one of the attachments, and which Mayor Howell orally presented. Discussion followed. It was the consensus of the Commission Jax Utilities should provide the same liability coverage for the city that we provide for ourselves, and the city be named as a co-insured. Following discussion, the following motion was made by Commissioner Gulliford: Move that the City enter into the proposed agreement with Jax Utilities Manage- ment, Inc. for a period of one year, effective August 1,1985, at a fee not to exceed $273,500.00 and subject to the following conditions, with an option to renew for two years: 1) That the limits of liability match the limits maintained by the City and the Company will add the City as an additional insured to their policy. 2) That the Agreement will be reviewed by each Commissioner and each will have the right to offer changes through the City Manager. Should sug- gested changes be substantive another meeting will be called to discuss each point or proposed change. 3) If no substantive changes are forthcoming by 5:00 p.m. July 15, 1985, The Mayor will be authorized to execute the agreement on behalf of the City. 4) . That the following changes be made on page 15: Paragraph two, $100.00 changed to $300.00 and $4,000.00 changed to $2,500.00. The motion was seconded by Commissioner Cook and carried unanimously. PAGE THREE MINUTES JULY 12, 1985 Mayor Howell said he voted for the agreement, but particularly in the realm of water cut-ons and cut-offs he wished there was a way the citizens could come to the City Hall for those services and our employees could phone in to Jax Utilities with the orders. He felt the city was losing control. Commissioner Gulliford expressed the opinion Jax Utilities would be flexible should a Public Relations problem occur. Mayor Howell asked that all Commissioners watch that area with great concern. Mr. Mullis reminded them the agreement could be terminated on ninety days notice. * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Mayor Howell presented in full, in writing, Resolution No. 85-19, a Resolution transferring certain monies between funds. The Resolution was to provide sufficient budgetary authority to absorb cost of moving Mayport Road water line, and to provide additional budget in water operating supplies, and to provide initial budget for Codes Enforcement Board. Commissioner Cook moved for passage of Resolution No. 85-19. The motion was seconded by Commissioner Gulliford and carried unanimously. * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Mayor Howell asked for consideration to purchase some of the equipment Buccaneer had offered to sell to the city, including meters, valves, etc. The city could use the equipment immediately, and the price would be less. He also said the city was going to have to buy another automobile in the next budget to replace the car presently being used by the building official. The cost of the 1985 Chev. was $8,500. and State bid price for a standard 4DR sedan was $10,000. For the record, Mr. Fellows read the list of used equipment he recommended the Commission purchase and stated all the equipment would be used in the City of Atlantic Beach and not in the Buccaneer Water & Sewer District. Mr. Fellows explained the City Manager would use the 1985 Chev.if purchased, the Building Inspector would be given the City Manager's car, and the Building Inspector's car would be sold at auction. The City Manager stated all the equipment and the car were used equipment and a single source of supply. He requested the Commission waive the rules of competitive bid because of being a single source of supply, and the used equipment could only be bought from that source at the price of $12,000. Commissioner Cook moved to waive the rules of competitive bid and on the City Manager's recommendation approve the purchase of used equipment in the amount of $12,000 from Buccaneer Management,Inc. The motion was seconded by Commissioner Gulliford and carried unanimously. * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * For the record, Rev. Charles Sharon, 820 W. 14th St. advised the Commission someone had bought 12 lots at Levy Road and 14th St. and was clearing the lots to build. Also several lots near the dump were ready to build on. He asked the city to check on septic tanks in the Tulip St. area, also a fence recently constructed partially on city property and located at 14th and Main. That has • PAGE FOUR MINUTES JULY 12, 1985 been reported to the Code Enforcement Officer, but no action was taken. Rev. Sharon asked what it would take to get a fire hydrant at the end of the water line, probably around 750 West 14th St. He said a home was burned out recently in the area for lack of water, and added fourteen years ago he offered his well to fill fire tank trucks but the offer was not accepted. He again offered the use of his well if there was no hope of getting a fire hydrant. The Mayor thanked Rev. Sharon for his comments. There being no other business to come before the Commission, the Mayor declared the meeting adjourned at 8:20 p.m. /;we William S. o ell Mayor/Presiding Officer ATTEST: Adelaide R. Tucker City Clerk M RESOLUTION NQ. 85-19 A RESOLUTION TRANSFERRING CERTAIN MONIES BETWEEN FUNDS WHEREAS, the City Charter of the City of Atlantic Beach requires that the City Commission approve all budgetary increases and transfers from one fund to another, and WHEREAS, the nature of budgetary systems and those day to day decisions affecting such budgetary systems require adjustment from time to time, NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of Atlantic Beach, that the attached Budget Adjustments Nos. 85-9 and 85-10 be approved for the 1984-85 Budget. * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Passed by the City Commission on /,1 ,4 ir iv // July 12, 1985 _ William S. Howell, Mayor, Presiding Officer Approved as to Form and Correctness: Ci" aude L. Mullis, City Attorney (SEAL) ATTEST: Adelaide R. Tucker CMC, City Clerk • BUDGET ADJI;S;MENT B/A NCIABER: 85-9Pate: 7/12/85 FUND: Water I SEPARATE FORMS FOR EACH FUND AMOUNTS MUST BE IN WHOLE DOLLARS ACCOUNT ACCOUNT TITLE --T EXPENDITURE Retained Farnins ADD DEDUCT DEDUCT '40-533-6300 Improvements Other Than Bldg. 151,000 W-533-5200 Operating Supplies 9,000 i0-271-04 Restricted Retained Earnings 134,000 • W-271-05 . Retained Earnings 26,000 r4 EXPLANATION: To provide sufficient budgetary authority to absorb cost ()flawing Mavnnrt water line, and to provide additional budget in operating supplies. I IATED BY Richard C. Fellows _ DATE: 7]12/85 COMMISSION ACTION REQUIRED: YeS — _ DATE RECEIVED:_ • BUDGET :1hJ USI PENT R/A NUMBER: 85-10 Date: 7/12/85 FUND: General Fund U SEPARATE FORMS FOR EACH FUND AMOUNTS MUST BE IN WHOLE DOLLARS EXPENDITURE REVENUE • ACCOUNT ACCOUNT TITLE ADD DEDUCT DEDUCT ADD )1-516-3100 Professional Services 1,800 )1-516-5200 Operating Supplies 200 )1-322-1000 Building Permits 2,000 ?XPLANATION• To provide initial budget for Codes Enforcement Board A'IED BY R. C. Fellows DATE: 7/12/85 _____ .01NISSION ACTION REQUIRED: Yes DATE RECEIVED: 4 • CITY OF Li" ,4t eutt c 'earl - 96tida F „. 716 OCEAN BOULEVARD P.O.BOX 25 \;1. ATLANTIC BEACH,FLORIDA 32233 .8s. ,; TELEPHONE(904)249-2395 July 11, 1985 MEMORANDUM TO: The Honorable Mayor and City Commission FROM: Richard C. Fellows, City Manager SUBJECT: Special Called Meeting A Special Called Meeting has been scheduled for: 7:15 P.M. Friday, July 12, 1985 City Hall Atlantic Beach The purpose of the meeting will be to discuss the recommendations of of the Committee appointed to evaluate contracting out Bucaneer Water and Sewer District and any other business that may come before the City Commission at that time. Richard C. Fellows City Manager