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Agenda Item 8DAGENDA ITEM # 8D JANUARY 9, 2012 CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: Memorandum of Agreement Between City of Atlantic Beach and North Florida Utility Coordination Group ( NFUCG) to Assess Groundwater Sustainability in Northeast Florida SUBMITTED BY: Donna Kaluzniak, Utility Director DATE: December 30, 2011 BACKGROUND: The St. Johns River Water Management District is undertaking a water supply planning process, along with studies of minimum flows and levels for area lakes and springs. To accomplish this work, the District uses growth projections, groundwater and resource modeling and other complex technical methods to determine future groundwater availability. Results of the District's projections can have a huge impact on requirements for future water infrastructure and may greatly increase the cost of water for our customers. The City Commission previously approved an agreement with the NFUCG on June 8, 2009. This is an update to the agreement to encompass current issues and projects. All water utilities in the district will be affected by the District's water supply plan. Northeast Florida water utilities support protecting our groundwater resources as well as the region's natural systems. However, water utilities have the added responsibility of providing the most cost - effective product to our customers. In order to ensure the most accurate and reliable groundwater resource projections are reached, the following utilities have joined together to form the North Florida Utility Coordination Group ( NFUCG). The NFUCG allows our 9 utilities, which serve over a million people, to speak with one voice to the regulatory agencies, and to share the costs for consultants that work with us on these important projects: City of Atlantic Beach Clay County Utility Authority City of Gainesville City of Green Cove Springs City of Jacksonville Beach JEA City of Neptune Beach Town of Orange Park St. Johns County JEA has been designated to administer the contracts, utilizing their existing continuing engineering and legal contracts, with costs reimbursed by the member utilities based on proportional annual 6 1 m a I a i6a I a & ft rim �7v 7 d ip At I I Ai I 6w AL AGENDA ITEM # 8D JANUARY 9, 2012 MEMORANDUM OF AGREEMENT BETWEEN CITY OF ATLANTIC BEACH, CLAY COUNTY UTILITY AUTHORITY, CITY OF GAINESVILLE, CITY OF GREEN COVE SPRINGS, CITY OF JACKSONVILLE BEACH, JEA, CITY OF NEPTUNE BEACH, TOWN OF ORANGE PARK, AND ST. JOHNS COUNTY TO ASSESS GROUNDWATER RESOURCE SUSTAINABILITY IN NORTHEAST FLORIDA WHEREAS, the St. Johns River Water Management District (SJRWMD) is undertaking a 2010 water supply planning process using growth projections, groundwater and resource impact models, and other technical tools that will affect local governments and utilities throughout the region; and WHEREAS, the City of Atlantic Beach, Clay County Utility Authority, , City of Gainesville, City of Green Cove Springs, City of Jacksonville Beach, JEA, City of Neptune Beach, Town of Orange Park, and St. Johns County (hereinafter referred to as "OWNERS "), desire to jointly and collaboratively evaluate regional long -term sustainability of groundwater resources to meet future public water supply needs relative to the St. Johns River Water Management District's (SJRWMD) 2010 water supply planning process; and WHEREAS, the OWNERS support protecting and sustaining the natural systems and groundwater resources; and WHEREAS, the OWNERS have a responsibility to provide cost effective public water supply alternatives; and WHEREAS, it is more efficient for the OWNERS to cost share in this effort and to avoid duplication of effort; and WHEREAS, the OWNERS need to engage engineering consultants and legal support services and desire to designate JEA to administer these contracts; and WHEREAS, pursuant to Section 21.04(t) of the City of Jacksonville Charter, JEA is authorized to provide the services described herein; and WHEREAS, the OWNERS have agreed to enter into this agreement (the "Agreement ") for the purpose of setting forth the terms and conditions which will govern their mutual obligations in furtherance of the foregoing Recitals. NOW, THEREFORE, the OWNERS and JEA agree as follows: 1. The foregoing Recitals are true and correct and are incorporated herein by this reference to the same. Page 1 of 8 AGENDA ITEM # 8D JANUARY 9, 2012 2. Services. JEA hereby agrees to administer consultant and legal services contracts for the OWNERS as described in the Scope of Services (the "Scopes "), which will be attached as consultant Exhibit A hereto, after being approved and finalized by JEA and all OWNERS, and which shall become a part hereof when attached hereto. The OWNERS and JEA understand that Exhibit A may be modified and /or additional Scopes may be added at a future date, in accordance with the provisions set forth in paragraphs 4 and 5 herein. In the role of administrator of the consultant and legal contracts, JEA will (1) act as the primary contact for the contracts, (2) will relay the prioritization of tasks as set by the OWNERS, (3) coordinate progress meetings and other activities relating to project status and (4) pay the invoices submitted by the consultants, subject to the reimbursement of the costs by the other OWNERS, in the percentages as set forth in paragraph 5 herein. 3. Limitations. Prioritization of tasks included in the Scopes and overall direction to consultant and legal service providers will be determined jointly by the OWNERS. Decisions will require at least two- thirds majority vote of the OWNERS before JEA directs consultants accordingly. Each OWNER will have one vote. JEA will coordinate regular progress meetings for conference calls and meetings with consultant and legal service providers to provide OWNERS with project status updates and obtain OWNER votes, as needed. 4. Costs. OWNERS shall be limited to an overall, combined total cost not to exceed $1,500,000.00 over the next three (3) years (the "Total Costs Amount "). These costs are anticipated to be incurred at approximately $500,000 per year. Exhibit A contains a draft scope of services for these activities. This scope will be updated and adjusted as needed by the committee. Decisions to add additional services within the Scopes, but subject to and limited by the Total Costs Amount, will require at least a majority vote of the OWNERS. The addition of Scopes above the Total Costs Amount will require written modification of this Agreement and the approval of the OWNERS by at least a two- thirds (2/3) majority vote. In the event that additional Scopes above the Total Costs Amount are so approved, any dissenting OWNER may elect to withdraw from this Agreement in accordance with the requirements of paragraph 9 hereof. 5. Reimbursement of Expenses. OWNERS will reimburse JEA on a monthly basis and within 30 days of invoicing by JEA in consideration of this Agreement based on actual costs incurred during the preceding month. Costs to each OWNER will be paid proportionally to each utility's 2007 total annual average daily flow for the duration of this Agreement, as follows: Percentage Reimbursement Table Owner 2007 Reimbursement Total Annual Cost Total Cost Amount AADF ( %) MGD City of Atlantic 2.55 1.39 $6,958 $20,875 Beach Clay County 14.63 7.98 $39,923 $119,768 Utility Authority Page 2 of 8 + ,-. �'• i.,r�.' !� T bk.` �� rl -- '�- - r rT54 - :4.': � _� ikl�� •• - 1.� a`�� ff!�so- ;, #, -. ..,, �1; �' • s•lJt+�, �� :i s ...ti��1t 'i' I!�.�µ� i 4 r-5�'„' Zt?: ' �r a'�yP ' il k �' ' w ', a ' . r _•��1 }ryae'1°�'�� }.p/� l� ~ AL S M t r ' I - = -1 L - i � L � - ' ••n � — �� � � -- ■ br a i ,,5,�' �--rr � w . xii' � f .�• L i e lr --`� I w ,+, I ti }i�E' L , ' Z:. ...L. Sl Kati -.5.: _'i �i1 -'-• -�'�. 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A "Wo d Z k rr 1' ��••? y i.l r:l � 1h'}Y: �h {i i: f•�'" :4 J"N I na . ryt., ;•, {ih- ;:C�i� # =;vl a,'_ rV �i'�i� '.�:' ,' �� r S �1�.'�!: ;t�' _:- S�.r P C i L 010 1 6 W V3 —.r t LY 63 IN I C '� ��:f'1 +1 w, - ><r����i{ r �• `• - ~'� ` �* � r. ' .�,4 : r + . +1� _ + r' 1.. � �r1R�; �lt�� 1� I �2 ' f: I , - . Y� �• W W - VW . '�O . 51 ' iy .3a 6 AGENDA ITEM # 8D JANUARY 9, 2012 Scopes. Payment in full for the remaining balance shall be due within thirty (30) days of separation. The withdrawing OWNER will not be responsible for costs associated with any phases of the Scopes not yet started and future costs for phases not yet started will be redistributed among the remaining OWNERS within the limitations of the Total Annual Cost and Total Cost Amount OWNER allocation described above. 10. Execution. This Agreement may be executed in multiple counterparts, each of which shall be considered an original document for all purposes. 11. Termination. This Agreement shall terminate on September 30 2014 or upon the completion of the Scopes, whichever shall first occur, unless terminated earlier by the procedures set forth herein. In the event of termination before completion of the Scopes, the OWNERS shall be responsible for their respective shares of services performed to the date of termination, and no compensation previously paid for services performed in accordance with this Agreement shall be refundable by JEA. Signature Page Follows: Page 5 of 8 AGENDA ITEM # 8D JANUARY 9, 2012 AGREED TO on this day of 9 2012 Memorandum of Agreement to assess groundwater resource sustainability in Northeast Florida DATE: CITY OF ATLANTIC BEACH Jim Hanson City Manager City of Atlantic Beach 800 Seminole Rd. Atlantic Beach, Florida 32233 DATE: CLAY COUNTY UTILITY AUTHORITY Ray O. Avery Executive Director Clay County Utility Authority 3176 Old Jennings Road Middleburg, Florida 32068 Page 6 of 8 AGENDA ITEM # 8D JANUARY 9, 2012 DATE: CITY OF GAINESVILLE David M. Richardson Assistant General Manager, Water /Wastewater Systems City of Gainesville 301 SE 4th Avenue Gainesville, Florida 32601 DATE: DATE: CITY OF GREEN COVE SPRINGS Danielle J. Judd City Manager City of Green Cove Springs 321 Walnut Street Green Cove Springs, Florida 32043 CITY OF JACKSONVILLE BEACH George D. Forbes City Manager City of Jacksonville Beach 11 North Third Street Jacksonville Beach, Florida 32250 Page 7 of 8 AGENDA ITEM # 8D JANUARY 9, 2012 DATE: JEA John P. McCarthy Director, Procurement Services JEA 21 W. Church Street, CC6 Jacksonville, Florida 32202 DATE: CITY OF NEPTUNE BEACH Jim Jarboe City Manager City of Neptune Beach 116 First Street Neptune Beach, Florida 32266 DATE: DATE: TOWN OF ORANGE PARK Cindy Hall Town Manager Town of Orange Park 2042 Park Avenue Orange Park, Florida 32073 ST. JOHNS COUNTY Bill Young Utility Director St. Johns County 1205 SR 16 St. Augustine, Florida 32084 Page 8 of 8 i � tiL G l ,a • # y Ind tr* + C� � I .. I �� � � '- ['fir {J �• + N f, {� 5 a a� ��t'•'• �I y 'r``A1 1 �� � f '�� ;. I RI 4 s AL. J � I t l d f'�' ;r���'�Y�y. .1. i"i5rs ; 'x h' r'�y' f' - • * � i� �I•�r �f a - 6' , I r , 1 � L• . i# t',; �. •� � L} • .-� � ` � ..{ I�• , , ''� �' • '!_ � l�, f �' `x +, 7 � �'•k ';f� }i .iIN <:y rl- 'n It �� IF PI � r a . , +, ,Y •} a A' .w �' _ ,' -�:I {. �F��� :��., ` :�i {�!'; Fj _ �.�k5;s?'1 .. �_�t� s�' , ,�i x•' '' �f . - .'i� '.. 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