REGULAR MEETING OF THE BOARD OF COUNTY COMMISSIONERS
JANUARY 6, 2009
The Lake County Board of County Commissioners
met in regular session on Tuesday, January 6, 2008, at 9:00 a.m., in the Board
of County Commissioners’ Meeting Room,
Commr. Cadwell explained that due to some recent court cases, the County had to set a new policy regarding the invocation, and he gave the Invocation and led the Pledge of Allegiance. He also mentioned that Commr. Hill was representing the Board by attending Sheriff Gary Borders’ swearing in ceremony and would be late.
Ms. Cindy Hall, County Manager, stated that she wanted to pull on the consent agenda Tabs 10, 16, 17, and 18, as well as move Tab 12 to departmental presentations. Also, under the departmental agenda she pulled Tab 29, since the City of Tavares was not going to be giving a presentation that day, and Tab 32.
Commr. Conner stated that he wanted to hear Tab 14 separately to make a comment.
Mr. Sandy Minkoff, County Attorney, stated that under the County Attorney’s business, he would like to request that they have a closed session, which would take Board action.
On a motion by Commr. Renick, seconded by Commr. Stewart and carried unanimously by a vote of 4-0, the Board voted to place the request to have a closed session on the agenda under the County Attorney’s business.
Commr. Renick related that they needed to postpone Tab 47 regarding the Water Alliance interlocal agreement, because there were a number of attorneys from the cities who had concerns, and Mr. Minkoff would be meeting with them next Tuesday, January 13, to go through that and come up with one set of recommendations.
Commr. Cadwell mentioned that under his business he had a request from the LPA (Local Planning Agency) that may or may not take action.
On a motion by Commr. Conner, seconded by Commr. Stewart and carried unanimously, by a 4-0 vote, the Board approved the Minutes of November 25, 2008 (Regular Meeting), as presented and December 2, 2008 (Regular Meeting), as presented.
CLERK OF COURT’S CONSENT AGENDA
On a motion by Commr. Stewart, seconded by Commr. Renick and carried unanimously by a 4-0 vote, the Board approved the Clerk of Court’s Consent Agenda, Items 1 through 13 as follows:
List of Warrants
Request to acknowledge receipt of list of warrants paid prior to this meeting, pursuant to Chapter 136.06 (1) of the Florida Statutes, which shall be incorporated into the Minutes as attached Exhibit A and filed in the Board Support Division of the Clerk's Office.
Monthly Distribution of Revenue
Request to acknowledge receipt of Monthly Distribution of Revenue Traffic/Criminal Cases, for the Month Ending November 30, 2008, in the amount of $142,656.51. Same period, last year: $173,492.56.
Property Placed on the Lands Available List
Property placed on the Lands Available List.
Lake County has until March 16, 2009 to purchase property from Lands Available List before it is available to the public.
Resolution from Nassau County, Florida
Request to acknowledge receipt of Resolution No. 2008-182 of the Board of County Commissioners of Nassau County, Florida, in support of a Constitutional Amendment that requires State Legislators to operate under the same Sunshine Law as County Officials.
Annexation Ordinances from City of Groveland
Request to acknowledge receipt of copies of annexation ordinances from the City of Groveland as follows:
Ordinance 2008-07-21, annexing 11 +/- acres of Lake County thereto a certain area of land contiguous to and not embraced within the present limits of the City.
Ordinance 2008-10-38, annexing 1.35 +/- acres of Lake County thereto a certain area of land contiguous to and not embraced within the present limits of the City.
Ordinance 2008-10-39, annexing 17.79 +/- acres of Lake County thereto a certain area of land contiguous to and not embraced within the present limits of the City.
Ordinance 2008-10-40, annexing 14.51 +/- acres of Lake County thereto a certain area of land contiguous to and not embraced within the present limits of the City.
Water Authority Board of Trustees Meeting Schedule for 2009
Request to acknowledge receipt of Lake County Water Authority Board of Trustees meeting schedule for 2009.
All regular meetings are scheduled to begin at 3:30 p.m.; budget meetings are scheduled to begin at 5:05 p.m.; and Budget Workshop starts at 9:00 a.m., location to be determined.
Annexation Ordinances from the City of Minneola
Request to acknowledge receipt of Ordinances from the City of Minneola for voluntary annexation into the City, as follows:
Ordinance 2008-18 amending the boundaries of the City of Minneola to include within the city limits approximately 60 acres of property generally located south of Sullivan Road and east of Scrub Jay Lane in Lake County, Florida, rezoning the property from County Agriculture (A) to Business District (B-1) within the City of Minneola.
Ordinance 2008-22 amending the boundaries of the City of Minneola to include within the city limits approximately 2.8 acres of property generally located on the northeast corner at the intersection of U.S. Highway 27 and Citrus Grove Road in Lake County, Florida, rezoning the property from County CP (Planned Commercial) to B-1 (Business District) within the City of Minneola.
Water Authority 2007 Annual Report and 2007-2012 Five Year Plan
Request to acknowledge receipt of Lake County Water Authority 2007 Annual Report and 2007-2012 Five Year Plan, prepared in accordance with Chapter 2005-314, Laws of Florida.
Interlocal Agreement between City of Leesburg and Community Redevelopment Agency
Request to acknowledge receipt of Interlocal Agreement between City of Leesburg and the Community Redevelopment Agency of the U.S. Highway 441 & 27 Area, a political body corporate and politic created, existing and operating under Part III of Chapter 163 of the Florida Statutes, regarding City of Leesburg, Florida, Subordinate Capital Improvement Revenue Bond Anticipation Note, Series 2008.
Resolution from City of Leesburg Regarding Leased Fiber Optic Services
Request to acknowledge receipt of Resolution No. 8339, from the City of Leesburg, authorizing the Mayor and the City Clerk to execute an agreement with the Lake County Board of County Commissioners to provide leased fiber optic services to three locations for the Sheriff’s Department.
Filing Claim for Unclaimed Property
Request for approval to file a claim for unclaimed property on behalf of Lake County.
Notice Before the Florida Public Service Commission
Request to acknowledge receipt of Notice Before the Florida Public Service Commission, In Re: Petition for expedited Commission approval of base rate increase for costs associated with MUR phase of CR3 uprate project, pursuant to Section 366.93(4), F.S. and Rule 25-6.0423(7), F.A.C., by Progress Energy Florida, Inc. Docket No. 080603-EI, Order No. PSC-08-0820-CO-EI, Issued: December 22, 2008.
By Order No. PSC-08-0779-TRF-EI, issued November 26, 2008, the Florida Public Service Commission proposed to take certain action, subject to a Petition for Formal Proceeding, as provided in Rule 25-22.029, Florida Administrative Code. No response has been filed to the order, in regard to the above mentioned docket. It is, therefore, ordered that Order No. PSC-08-0779-TRF-EI has become effective and final and that this docket shall be closed.
Lake County District School Board Operational Audit Report
Request to acknowledge receipt of copy of Report No. 2009-067, Lake County District School Board Operational Audit, for the Fiscal Year ended June 30, 2008, from the Auditor General, State of Florida.
COUNTY MANAGER’S CONSENT AGENDA
Commr. Renick commented that the Altoona Charter School mentioned in Tab 6 was also used as a Community Center.
On a motion by Commr. Stewart, seconded by Commr. Conner and carried unanimously by a 4-0 vote, the Board approved the County Manager’s Consent Agenda, Tabs 3 through 27, pulling Tabs 10, 16, 17, and 18, and moving Tabs 12 and 14 to departmental, as follows:
Request from Budget for the following budget change request and unanticipated revenue resolution:
Budget transfer - General Fund, Constitutional Officers/Supervisor of Elections. Due to the Governor's mandatory extension of early voting hours during the November 2008 general election, the Elections Division expended considerably more than budgeted in several line items. This transfer is needed to cover over-expenditures in both personal services and operating line items. Funds were budgeted in Fiscal Year 2008-09 for the printing of absentee ballots for the November 2008 general election. However, the ballots were delivered and paid for before the end of Fiscal Year 2007-08, leaving a majority of those funds available for redistribution.
Funds were budgeted to pay for poll worker training in the Pollworker org code, but payments were actually made from the Elections org code. These funds must be moved to the correct org code
Resolution No. 2009-1 to amend the Public Transportation Fund in order to receive unanticipated revenue for Fiscal Year 2008-09 in the amount of $1,743 deposited into Other Transportation Fees and provide appropriations for the disbursement for Promotional Activities. Unanticipated revenue will be received from the Florida Public Transportation Association and will be used for marketing efforts to promote Lake Express (fixed route service).
Request for approval of the transportation Standard Coordinator Contract with several Coordination Contractors.
Request for approval to advertise amendment to Section 12-37(b), Lake County Code of Ordinances as recommended.
Request for approval and authorization for the Chairman to sign the First Amendment to the FY 2007-08 CDBG Partnership Agreement between the Altoona Charter School Inc. and the County. Commission District 5.
Request for approval for Public Transportation Division staff to apply for the FDOT Section 5311 Operating Grant Application for FY 09-10 and supporting Resolution No. 2009-2.
Request for approval for Public Transportation Division staff to apply for the FDOT Section 5310 Capital Grant Application for FY 09-10 and supporting Resolution No. 2009-3.
Request for approval to enter an agreement as a member of the ACCESS Florida Community Network with the Department of Children and Families (DCF), Circuit 5 and signature approval for County Manager to sign the agreement.
Request for approval of Amendment #2 amending the Arthropod Control FY08/09 Certified Budget by decreasing the budget revenue by $1,179.46 and reducing the budget allocation for the purchase of chemicals by $1,179.46.
Request for approval for the Board to 1) declare the items on the attached list(s) surplus to County needs, (2) authorize the removal of all of the items on the attached lists from the County’s official fixed asset inventory system records, and (3) authorize the Procurement Services Director or designee to sign vehicle titles.
Request for approval of the renewal quote from HRH/Hunt Insurance Group, Inc. to provide catastrophic inmate medical insurance from 1/10/09 through 1/10/10, and authorize the County Manager to sign all related implementing documentation.
Request for authorization to release a maintenance bond in the amount of $232,933.00 posted for Windy Ridge at Lake Yale. Windy Ridge at Lake Yale consists of 175 lots and is located in Section 29, Township 18 South, Range 26 East. Commission District 4.
Request for authorization to release a performance bond in the amount of $11,395,847.05 posted for Sugarloaf Mountain Unit 1B. Sugarloaf Mountain Unit 1B consists of 75 lots and is located in Section 21, Township 21 South, Range 26 East. Commission District 3.
Request for authorization to release a performance bond in the amount of $1,430,675.40 posted for Sugarloaf Mountain Unit 2B. Sugarloaf Mountain Unit 2B consists of 87 lots and is located in Section 21, Township 21 South, Range 26 East. Commission District 3.
Request for authorization to accept the final plat for View Point and all areas dedicated to the public as shown on the View Point plat. View Point consists of 4 lots and is located in Section 31, Township 19 South, Range 25 East. Commission District 1.
Request for authorization to release a letter of credit for maintenance in the amount of $179,513.50 posted for Park Hill Phase II. Park Hill Phase II consists of 108 lots and is located in Section 28, Township 19 South, Range 25 East. Commission District 1.
Request for authorization to release and wire to the Developer an escrow amount of $2,003,961, release a performance and payment bond in the amount of $1,404,348.17, accept a maintenance bond in the amount of $202,647.29 accept Steves Road “Part” (County Road Number 1248) into the County Road Maintenance System, and approval of Resolution No. 2009-4. Commission District 2.
Request for authorization to accept the final plat for Oak Hill Estates and all areas dedicated to the public as shown on the Oak Hill Estates plat. Oak Hill Estates consists of 7 lots and is located in Section 1, Township 23 South, Range 25 East. Commission District 2.
Request for approval and authorization for Chairman to execute satisfactions of lien for the fourteen (14) road assessments. Commission District 2, 4, and 5.
Request for authorization to award CR-44 Widening and Resurfacing Project No. 2009-03 Bid No. 09-0009 to D.A.B Constructors, Inc. in the amount of $4,024,772.47, and encumber and expend funds in the amount of $4,024,772.47 ($3,880,328.03 from the Road Impact Fee Benefit District 2 Fund and $144,444.44 from the General Fund). Commission Districts 1, 4, and 5.
COUNTY ATTORNEY’S CONSENT AGENDA
On a motion by Commr. Renick, seconded by Commr. Stewart, and carried unanimously by a 4-0 vote, the Board approved the County Attorney’s Consent Agenda, Tab 28 as follows:
Request for return of $6,000 deposit by Prestige (K & M Florida Properties Holdings) held by the Clerk of Court for professional fees for a noise consultant. Commission District 2.
Lauren Brothers, Environmental Technician, Public Works/Public Lands Management
Gary Carbino, Roads Maintenance Operator, Public Works/Road Operations/Maintenance Area I
Jessica Jorge, Senior Code Enforcement Officer, Conservation & Compliance/Code Enforcement
Maci Lowery, Firefighter/EMT, Public Safety/Fire Rescue
Sandra Rogers, Procurement Coordinator, Procurement Services
Johnny Taylor, Hazardous Waste Coordinator, Environmental Utilities, Solid Waste Programs
Andrea Adams, Office Manager, Public Safety
Christopher Bagley, Firefighter/Paramedic, Public Safety/Fire Rescue
Darrell Collier, Firefighter/EMT, Public Safety/Fire Rescue
Ramon Hernandez, Firefighter/EMT, Public Safety/Fire Rescue
Melving Isaac-Jimenez, Planner, Growth Management/Planning and Community Design (not present)
Brent Muse, Firefighter/EMT, Public Safety/Fire Rescue
Debra Rosenmund, Associate Planner, Growth Management/Zoning
Joann Sala, Licensing Investigator, Growth Management/Building Services
Clayton Vaughn, Firefighter/EMT, Public Safety/Fire Rescue
Scott Woodruff, Firefighter/EMT, Public Safety/Fire Rescue
Ronald Cobbs, LAN/WAN Specialist, Information Technology/Information Systems
William Tillery, Fire Lieutenant/EMT, Public Safety/Fire Rescue
Linda Maggert, Accounting Technician (not present), Environmental Utilities
Joan Pell, Addressing Technician, Information Technology/Geographic Information System
Clarence Gillard, Sign and Striping Technician, Public Works/Road Operations/Sign, Signals and Striping (not present)
COUNTY MANAGER’S DEPARTMENTAL BUSINESS
SOUTH UMATILLA WATER SYSTEM
Mr. Daryl Smith, Environmental Utilities Director, stated that Tab 12 was a recommendation that the Board approve the County retaining ownership of the South Umatilla Water System, approve a Budget Amendment in the amount of $35,000 to fund the capital improvements necessary to meet the minimum requirements for the ongoing operation of the system, and direct the DEU (Department of Environmental Utilities) and the County Attorney’s Office to develop the ordinance language necessary to provide controls, rules, and regulations for the operation of the system that would allow them to work on collections. He recapped that they reluctantly took over operation of this water system on October 1, 2007, and for the past year they had been working on trying to bring it into compliance with DEP (Department of Environmental Protection) requirements and to find someone else who could take over ownership of the operation. He opined that they have done a good job of bringing it into compliance and were providing quality water and required water pressure at this point in time. However, he reported that they have been unsuccessful in trying to find anyone willing to take over the operation of the water system, primarily because of the costs associated with making the infrastructure improvements. They have talked with the City of Umatilla, which would have been the most likely entity to take over the operation, but their condition was that the County would need to improve it to the City of Umatilla standards, and they estimated that to cost over $1 million. He commented that currently they did not see any other option other than to continue to retain ownership of the water system, and they believed they needed to make some improvements at this time just to keep the operation going. He specified that the two pump houses there were in very bad condition with poor electrical service, they were going to improve security fencing, and they were also required by DEP to have emergency backup. He reported that the $35,000 requested would come out of the general fund.
Commr. Cadwell commented that they would need to institute some educational programs for the residents using the system so that they understood the changes that would be made regarding its operation. He also noted that DEP was pleased with the DEU staff and the way Mr. Smith has helped this process along and that the residents felt that they currently have better water than they ever previously had.
Commr. Renick expressed concern about the lack of payment of the reasonable fee by some of the residents using that system. She thought there should be some way of shutting off the water supply to those residents who refuse to pay the fee.
Mr. Smith responded that the ordinance would allow them to implement that.
Commr. Conner expressed concern about the lack of installation of individual meters, and he commented that he has not yet heard a whole plan to put responsibility on the residents using that system, which is where he thought it belonged, and to encourage water conservation.
Mr. Smith related that they did not currently have a commitment to install individual meters and have not worked out the numbers, but he thought the cost would be at least $60,000 to $70,000 to be able to meter all of those properties.
Commr. Cadwell explained that the ordinance would allow them to address the issue of the fiscal responsibility of the residents and allow the County to charge a fee that would support the operation of the system. He also opined that this was the best direction for the County and the citizens.
Commr. Renick commented that this would not answer all the problems, but would just get them by for now, and noted that they were only talking about 120 homes. She was concerned about setting a precedent for fixing all of the problems of future problematic water systems. She also mentioned that legally they were on the hook for this.
On a motion by Commr. Renick, seconded by Commr. Stewart, and carried by a vote of 3-1, the Board approved Tab 12, a request from Environmental Utilities to retain ownership of the South Umatilla Water system, approve the Budget Amendment in the amount of $35,000 leaving a remaining balance of $465,000 in contingency after the transfer to be used to fund the capital improvements necessary to meet the minimum requirements for the ongoing operation of the System, and direct the DEU and the County Attorney’s Office to develop the ordinance language necessary to provide controls for the operation of the System.
Commr. Conner voted “no.”
CONTRACT WITH STEPHENS GRADING SERVICE FOR BALL FIELDS
Commr. Renick commented that she believed that the $100,000 amount budgeted in Tab 14 for the clay for the ball fields was excessive, even for three treatments per year. She stated that she would approve what they currently had contracted with Stephens Grading Service, Inc., but she would like to reduce the fiscal impact that was budgeted to $75,000.
Mr. Jim Stivender, Public Works Director, related that they would need at least two treatments, which would cost about $60,000, and the third one would be depending on use and wear. He reported that $75,000 would give them a buffer to get them through late summer.
Commr. Conner wanted to point out that this contract was going to a Lake County business and that this was a business-friendly Commission.
On a motion by Commr. Conner, seconded by Commr. Stewart, and carried unanimously by a vote of 4-0, the Board approved the term and supply contract to Stephens Grading Service, Inc. to provide clay for ball fields throughout Lake County parks. The work involved was estimated at $75,000 per year.
At this time, Commr. Hill arrived at the meeting.
FDOT SECTION 5316 JOB ACCESS AND REVERSE COMMUTE GRANT APPLICATION FOR FY 2009-10
Mr. Fletcher Smith, Community Services Director, explained that Tab 30 was a recommendation to apply for a Job Access and Reverse Commute Grant through the FDOT (Florida Department of Transportation) for 2009-2010, and this was essentially a request to purchase two new vehicles for a realigned Tavares, Mount Dora, and Eustis circulator route to reduce the headway time. He noted that these were federal dollars that flowed through the State and that there was a match required for purchasing the vehicles. He stated that they were allowed to use soft costs for the other operational match, which was the other general fund dollars that they use to support the paratransit system. He mentioned that this was just the application, and they were not sure if they would be approved for it. He pointed out that this would not cost any additional general fund dollars.
Commr. Renick requested to discuss Tab 31 in conjunction with this issue, because Tab 30 refers to what they were asking for in Tab 31, which was the intention of expanding fixed route service to the weekends.
Mr. Smith responded that it was similar to Tab 30 in that they would be allowed to use the cash match that they were putting up for the paratransit program as a soft match. He also noted that they were trying to transition people from the paratransit to the fixed route and that the estimate on the weekend service for the first year showed about an 8 percent increase in ridership.
Commr. Renick commented that she would not be in favor of expanding to the weekends, because they would have to come up with that money in their budget in the future.
Commr. Cadwell commented that some people who worked on weekends needed to ride the bus.
Commr. Conner was concerned about empty LakeXpress buses circulating, and he did not think they would be able to keep affording the level of services that they have been able to provide in the past. He referred to data that showed that the daily average was 411 passengers a day and that the buses were traveling a total of 1,312 a day, three times more miles than passengers. He felt that this was not a cost-effective delivery of a service. He commented that with the budget cuts that were coming, they were going to have to at some point in time make critical decisions about what they were able to afford, and he suggested that they prepared for that now. He stated that he agreed with Commr. Renick that they could not afford the expansion on the weekends.
Commr. Stewart commented that she did not think they should be expanding anything during these tough budget times.
Commr. Renick stated that she did not know if they needed to delete the language in the conclusion in Exhibit A of the grant for Tab 30 that stated that it was their desire to expand the service by providing weekend service on Saturdays and Sundays.
Mr. David Hope, Fixed Route Coordinator, explained that fixed route was in effect free to them, because the federal government paid the entire cost of fixed route service, which was matched by current money the County spent on paratransit. He noted that the only cost to the County was the proposed $59,000 for the ten percent capital match.
Commr. Stewart pointed out that the federal money would only be available for a limited number of years, and then the County would have to pick up the total cost.
Mr. Hope responded that it would be available until the population exceeded 200,000 in the service area. He reiterated that currently it was free to them and would be for at least three more years.
Commr. Hill noted that the federal government had stated that they wanted the County to implement a mass transit system for saving fuel and getting cars off the road, and they were trying to adhere to that. She also did not know if the federal government was going to cut this particular program off or if they wanted to expand it.
Commr. Renick commented that the buses were being used extensively in South Lake. However, she did not think that the added ridership for the weekend would be a large number.
Commr. Cadwell suggested that they vote on Tab 31 regarding weekend service first.
On a motion by Commr. Renick, seconded by Commr. Conner, and carried by a vote of 4-1, the Board voted to deny Tab 31, the request for approval for the Department of Community Services, Public Transportation Division staff to apply for the FDOT Section 5317 New Freedom Grant Application for FY 2009-10.
Commr. Cadwell voted “no” to the denial.
Commr. Conner noted that the vehicles that they wanted to purchase regarding Tab 30 would be for the fixed route in the Golden Triangle area and not the heavily-used bus routes in Clermont. He felt that when there were empty buses circulating in the Golden Triangle area, it was not smart to put two more buses in route.
Commr. Renick commented that she thought part of the reason it was not being used as well as other places was because of the routing and that this would allow it to reach more people.
Mr. Hope explained that currently there was a Route 1 and a Route 3 serving the Golden Triangle area, and they were going to combine those two routes and add two more to serve that area going in both directions. They expected to increase ridership to 275,000 per year by 2010 under that scenario. He also commented that this area had the highest potential to serve people going to work and shopping.
On a motion by Commr. Renick, seconded by Commr. Hill and carried by a vote of 4-1, the Board approved Tab 30, the request for approval for the Department of Community Services, Public Transportation Division staff to apply for the FDOT Section 5316 Job Access and Reverse Commute Grant Application for FY 2009-10 and supporting Resolution No. 2009-5.
Commr. Conner voted “no.”
ENGINEERING DESIGN FOR SOUTH LAKE TRAIL PHASE III AWARD
Mr. Barnett Schwartzman, Procurement Director, explained that the action regarding Tab 33 was processed in accordance with the Consultants Competitive Negotiation Act (CCNA), and under that process technical proposals were solicited without pressing input and shortlisted to three or more firms. He stated that there was a final selection, and the best qualified proposing firm was selected for negotiations and then award. He also reported that the negotiated price of the fiscal impact is considered fair and reasonable and reflected the initial County estimate for the work to be performed, and they were recommending approval.
On a motion by Commr. Conner, seconded by Commr. Renick and carried unanimously by a vote of 5-0, the Board approved Tab 33, the request from Procurement to award RSQ 09-0004, Engineering Design for South Lake Trail Phase III to TY Lin International in the amount of $670,000.
ORDINANCE FOR STANDARDS FOR VERTICAL CONTROL SURVEYING
Mr. Sandy Minkoff, County Attorney, placed the proposed ordinance on the floor for reading, by title only, as follows:
AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF LAKE COUNTY, FLORIDA; AMENDING CHAPTER II OF APPENDIX E, LAND DEVELOPMENT REGULATIONS, LAKE COUNTY CODE, ENTITLED DEFINITIONS; AMENDING CHAPTER VI. OF APPENDIX E, LAND DEVELOPMENT REGULATIONS, SECTION 6.06.03, LAKE COUNTY CODE, ENTITLED MINING SITE PLANS AND OPERATING PERMITS; AMENDING CHAPTER IX. OF APPENDIX E, LAND DEVELOPMENT REGULATIONS, SECTION 9.07.06, LAKE COUNTY CODE, ENTITLED ADMINISTRATION AND ENFORCEMENT; AMENDING CHAPTER IX. OF APPENDIX E, LAND DEVELOPMENT REGULATIONS, SECTION 9.07.08, LAKE COUNTY CODE, ENTITLED DEVELOPMENT IN SPECIAL FLOOD HAZARD AREAS; MAKING ALL CHANGES FOR THE PURPOSE OF CHANGING REFERENCES FROM THE NATIONAL GEODETIC VERTICAL DATUM OF 1929 TO THE NORTH AMERICAN VERTICAL DATUM OF 1988; PROVIDING FOR INCLUSION IN THE CODE; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE.
Mr. Minkoff explained that this would require that the surveyors use the most current reference guides when they surveyed elevations as opposed to the older reference that was in their Code previously.
The Chairman opened the public hearing.
There being no one who wished to address the Board, the Chairman closed the public hearing.
On a motion by Commr. Renick, seconded by Commr. Hill and carried unanimously by a vote of 5-0, the Board approved Ordinance No. 2009-1 regarding Standards for Vertical Control Surveying.
RECESS AND REASSEMBLY
At 10:00 a.m., the Chairman announced that there would be a ten-minute recess.
APPOINTMENTS TO THE LOCAL PLANNING AGENCY
On a motion by Commr. Hill, seconded by Commr. Stewart and carried unanimously by a vote of 5-0, the Board moved to replace Mr. Charlie Rector, a current member of the LPA, and appoint Mr. Tim Morris in his place on the LPA (Local Planning Agency) for District 1.
On a motion by Commr. Conner, seconded by Commr. Stewart and carried unanimously by a 5-0 vote, the Board approved the reappointments of Ms. Terry Godts as an At-Large representative, Mr. Michael Carey for District 3, and Ms. Nadine Foley for District 5 to serve two-year terms beginning February 1, 2009 on the LPA.
APPOINTMENTS TO BOARD OF BUILDING EXAMINERS
On a motion by Commr. Hill, seconded by Commr. Renick and carried unanimously by a vote of 5-0, the Board approved the appointments of Mr. Richard Rojas to complete an unexpired term ending January 14, 2011 and of Mr. Jerry Miller to serve a four-year term beginning January 15, 2009, as well as the reappointments of Mr. William Lindemann, Ms. Helen Jones, Mr. Frank Kimmel, and Mr. James Moore to serve four-year terms beginning January 15, 2009 to upcoming vacant positions on the Board of Building Examiners.
APPOINTMENT TO THE TOURIST DEVELOPMENT COUNCIL
On a motion by Commr. Hill, seconded by Commr. Stewart and carried unanimously by a vote of 5-0, the Board approved the execution of Resolution No. 2009-7 appointing Ms. Sanna Henderson as a municipal elected official to the Tourist Development Council to complete an unexpired term ending December 1, 2010.
APPOINTMENT TO LIBRARY ADVISORY BOARD
On a motion by Commr. Hill, seconded by Commr. Conner and carried unanimously by a vote of 5-0, the Board approved the appointment of Ms. Wendy Wickwire to serve as Montverde Public Library’s member representative on the Lake County Library Advisory Board to complete an unexpired term ending February 28, 2011.
APPOINTMENTS TO BOARD OF ADJUSTMENT
On a motion by Commr. Hill, seconded by Commr. Stewart and carried unanimously by a vote of 5-0, the Board approved the reappointments of Mr. Howard Fox for District 1, Ms. Rosemary Wuenschel for District 3, and Ms. Mary Bennett for District 5 to upcoming vacant positions to serve four-year terms on the Board of Adjustment beginning February 1, 2009.
LIAISON TO TOURIST DEVELOPMENT COUNCIL
On a motion by Commr. Renick, seconded by Commr. Hill and carried unanimously by a vote of 5-0, the Board approved Resolution No. 2009-8 appointing Commr. Conner as liaison to the Tourist Development Council.
APPOINTMENTS TO ELDER AFFAIRS COORDINATING COUNCIL
On a motion by Commr. Renick, seconded by Commr. Stewart and carried unanimously by a vote of 5-0, the Board approved the following appointment of individuals to upcoming vacant positions on the Elder Affairs Coordinating Council to serve two-year terms beginning February 1, 2009: Ms. Rhoda Apfelbeck and Ms. Barbara Howell to District 2 seats; Ms. Frances Weston and Ms. Helen Sweeny to District 4 seats; and Ms. Deanna Chapman and Ms. Barbara Wilson-Smith to at-large seats.
APPOINTMENT TO IMPACT FEE COMMITTEE
On a motion by Commr. Hill, seconded by Commr. Renick and carried unanimously by a vote of 5-0, the Board appointed Mr. Peter Glenn as a representative from the banking or finance industry to the Impact Fee Committee to serve a term ending August 6, 2010.
APPOINTMENT TO HISTORICAL MUSEUM ADVISORY COMMITTEE
Commr. Hill inquired whether they could amend the resolution to include a School Board member seat, since former Commr. Stivender expressed interest in that.
On a motion by Commr. Renick, seconded by Commr. Conner and carried unanimously by a vote of 5-0, the Board appointed Ms. Lisa Powell to a vacant member of the public at large seat on the Historical Museum Advisory Committee to complete an unexpired term ending March 28, 2010.
APPOINTMENTS TO SALES SURTAX OVERSIGHT ADVISORY COMMITTEE
On a motion by Commr. Renick, seconded by Commr. Hill and carried unanimously by a vote of 5-0, the Board approved the reappointment of Ms. Barbara Lehman, Chief Deputy Clerk, County Finance and Mr. Robbie Ross, Tangible Personal Property and IT Hardware Senior Supervisor to the Sales Surtax Oversight Advisory Committee to serve four-year terms beginning January 6, 2009.
APPOINTMENT TO CHILDREN’S SERVICES COUNCIL
On a motion by Commr. Stewart, seconded by Commr. Hill and carried unanimously by a vote of 5-0, the Board approved the move of Ms. Sandra Stura, current Member-At-Large, to the vacant District 5 seat on the Children’s Services Council to complete the unexpired term ending May 14, 2009 and to serve a consecutive two-year term.
APPOINTMENT TO AFFORDABLE HOUSING ADVISORY COMMITTEE
On a motion by Commr. Hill, seconded by Commr. Stewart and carried unanimously by a vote of 5-0, the Board approved the execution of Resolution No. 2009-9 appointing Mr. Jose Rubio, Jr. as a resident representing employers in Lake County to the Affordable Housing Advisory Committee.
REPORTS - COUNTY ATTORNEY
REQUEST FOR CLOSED SESSION
Mr. Sandy Minkoff, County Attorney, stated that authorized by the Statutes, he would like to schedule a closed session next week, January 13, at 11:00 during the workshop.
On a motion by Commr. Conner, seconded by Commr. Stewart and carried unanimously by a vote of 4-0, the Board approved the County Attorney’s request to hold a closed session Tuesday, January 13, at 11:00 a.m. during the workshop.
REPORTS - COMMISSIONER HILL - DISTRICT 1
RECOGNITION OF CAPTAINS KENNETH AND SANDRA BAGLEY
Commr. Hill asked the Board to execute a resolution to recognize Captains Kenneth and Sandra Bagley with the Salvation Army, which the Board had been very actively working with throughout the last several events in the County. She stated they were going to have a farewell salute to them after 30 years of service to this County, and she would like to have the resolution presented at that time, which would be January 18.
On a motion by Commr. Hill, seconded by Commr. Stewart and carried unanimously by a vote of 5-0, the Board voted to add this item to the Agenda.
On a motion by Commr. Hill, seconded by Commr. Stewart and carried unanimously by a vote of 5-0, the Board approved Resolution No. 2008-10 to recognize Captains Kenneth and Sandra Bagley with the Salvation Army.
REPORTS – COMMISSIONER CONNER – DISTRICT 3
FLORIDA ASSOCIATION OF COUNTIES WORKSHOP
Commr. Conner reported that on Wednesday and Thursday, January 7 and 8, he would be going to Gainesville to a Florida Association of Counties New Commissioner Workshop.
REPORTS – COMMISSIONER STEWART – DISTRICT 4
OPEN AIR VENDING ISSUES
Commr. Stewart asked the Board’s consideration to have Mr. Minkoff look at the County’s open air vending ordinance to better protect automobile dealers in the County against outside vendors’ tent sales taking sales away from the local businesses.
Commr. Cadwell suggested that they add that issue to the workshop agenda, but indicated that they have attempted to do something about that issue in the past, which had proved difficult.
Mr. Minkoff mentioned that they had prepared an ordinance which would have greater restricted temporary vendors, but the Board elected not to pass that.
REPORTS - COMMISSIONER CADWELL - DISTRICT 5
LETTER FROM LOCAL PLANNING AGENCY
Commr. Cadwell related that he went to the LPA (Local Planning Agency) recently and asked them to not hold up the transmittal because of the language from DCA (Department of Community Affairs) on the Green Swamp, but his request was denied by the LPA. He also commented that they did not need to send the Economic Development Plan back to the LPA as requested in their letter of December 23, since the County could make any changes that need to be done to update it, and they need that plan brought forward.
Ms. Nadine Foley, a member of the LPA, informed that Board that they had set two more meeting dates in January to have everything done and ready for transmittal to the Board by January 30, and she assured the Board they would have it by that date. She also reported that they have already made all the needed changes in the Green Swamp section. She thanked the Board for their patience.
On a motion by Commr. Stewart, seconded by Commr. Renick and carried by a vote of 4-1, the Board voted to place the request from the LPA on the Agenda.
Commr. Cadwell voted “no.”
On a motion by Commr. Hill, seconded by Commr. Stewart and carried unanimously by a vote of 5-0, the Board voted to deny the LPA request to send the Economic Element of the Comp Plan back and to direct staff to bring their recommendations to the Board after they had worked on that element and not to the LPA.
CITIZEN QUESTION AND COMMENT PERIOD
Mr. Roy Hunter, Northeast Lake Chamber of Commerce, wanted to remind everyone about starting their own food bank, especially at locations east of Altoona. He also encouraged people when they went to the grocery store to buy an extra can of food for someone who does not have the money to do so. He also mentioned that Dr. Susan Moxley, the new School Superintendent, would be the Northeast Lake Chamber’s guest speaker on the first Thursday in February.
RECESS AND REASSEMBLY
At 11:00 a.m., the Chairman announced that there would be a ten-minute recess.
WORKSHOP - SELECTION OF FINANCIAL ADVISOR SERVICES
Mr. Barnett Schwartzman, Procurement Director, explained that this was a follow-up to the Board Meeting of December 16, regarding a recommendation that went to the Board for award for their Financial Advisor Services. He recapped that at that time, the Board elected to have two of the vendors appear for further discussions before making the final decision as to the selection of the vendor for their services.
Mr. Ed Stull, Sr. Vice President, First Southwest Company, stated that they would give a presentation about their qualifications, an overview of their company, the current market environment, and why First Southwest was the best suited to serve as financial advisor to the County. He commented that they had a very extensive team with two senior bankers as the County’s primary contacts and analytical support both locally and nationally, credit analysts, derivatives analysis, underwriting support that had direct access to the market, and asset management staff. He noted that they had seven licensed registered bankers in Florida with an average of about 20 years of experience, and he mentioned that they were a privately-held firm that has been operating since 1946 and were very dedicated to public finance. He stated that they were a regulated financial advisor who was registered with the Financial Industry Regulatory Authority, and they put their licenses at stake each time they were engaged. He talked about their firm’s new partnership with PlainsCapital Bank, which had more than $3.4 billion in assets. He related that they were headquartered in Dallas and had 21 branch offices across the country with about 365 employees. He pointed out that in 2007 they were the Number 1 ranked financial advisor with 630 transactions, and they were also ranked Number 1 for the five-year period ended December 31, 2008 with 4,359 transactions. He also noted that they have been recognized by their industry for the innovations that they have instituted.
Mr. Richard Konkel, Assistant Vice President, First Southwest, stated that they represented at least a dozen counties in Florida and have very long-term relationships with those counties, which he felt was a testament to the level of service that they have provided. He mentioned that they were involved in the 2007 issuances of the limited tax GO (General Obligation) bonds and sales tax issuances and that they understood the credit rating process. He talked a little bit about the major challenges to the County that they have already looked at, such as the reduction in local revenue sources paired with current capital improvement programs. He stated that they could help model those things to help the County make informed decisions.
Mr. Gary Akers, Sr. Vice President, First Southwest, talked about the current market, which has had a lack of liquidity and turmoil for the last year, and he commented that they still had difficulty when a bond issue came to market of being able to get enough orders to complete the issue. He also mentioned that treasury securities have gone down dramatically to around two and a half percent for a 30-year treasury bond, and interest rates on municipal securities that were AA rated were over six percent. He explained that one of the things that has contributed to the difficulty in selling municipal securities or the public offering of bonds is that the bond insurers’ ratings had dropped from the AAA rating to a rating lower than the County’s rating. He related that in the past there were a high percentage of bond issues that were sold with bond insurance, and it made sense from an economic standpoint to buy bond insurance to reduce the interest rates even further and lower the cost of capital. However, they were currently seeing highly rated issuers like the County issuing bonds on their own rating, since their rating was now higher than the bond insurance company’s rating. He mentioned that they had been providing notices to the County keeping the County informed of the changes in those ratings, and they could assist the County in the future with addressing bond insurers’ rating downgrades. He also reported that they have been assisting clients to look for alternative ways of financing and have been successful in doing that. He emphasized that they had stringent capital requirements and capital over $480 million, which he felt was extremely important in these economic times. He gave some reasons why the County should choose First Southwest Company, including knowledge and experience. He concluded that they felt they could add more value as financial advisor because of their understanding and experience with the County.
Commr. Conner asked if it was a bad time to go to market.
Mr. Stull stated that it would depend on different factors. As an example, he specified that even in this challenging market, they were able to bring a Sarasota County deal back in the first week in December to the market, but they did change the structure in order to accommodate retail investors. He related that it was about a $70 million issue, and they were able to get approximately $55 million in orders. He also mentioned that they were able to provide some incentive to the underwriter to underwrite the whole deal.
Commr. Conner asked if their firm would give the County advice that would help them avoid being drowned in debt repayment.
Mr. Stull answered that they absolutely would be able to do that, and their references would show that the County would find them to be a very solid financial advisor that basically allowed a number of their clients to get enhanced credit ratings and make good economic decisions for their county.
Commr. Renick inquired whether their firm would be strictly their financial advisor, and not an underwriter.
Mr. Stull responded that if they got hired as a financial advisor, they would resign as underwriter to avoid conflict, and it was a very separate and distinct engagement for them.
Mr. Akers mentioned that he has been in the business 31 years and that 98 percent of his work is financial advisory work. He opined that they could provide the best service and information the County could find as financial advisor.
Mr. Schwartzman informed the Board that PFM (Public Financial Management, Inc.) would be giving their presentation next and would be doing their own personal introductions.
Mr. David Moore, Managing Director of PFM, pointed out that they were an independent, privately owned firm with no responsibilities to Wall Street and that they were founded by former finance directors, budget officers, county and city managers, as well as people like himself. He explained that their approach to managing the business was to go back and look through all the analysis to figure out all the right ways to do it and to look to see whether they could do some different structures in their financing to save the client money in the long run. He noted that that strategy has proven to be very successful, as shown by the fact that PFM has been and will continue to be the largest and most successful financial advisor in the country. He gave some information about the members of their team mentioned on Page 5 of their presentation. He opined that he and Mr. David Miller, Managing Director, were by far the most active advisors for the counties in Florida, and he specified that PFM had done over $11 billion of county financing over the last ten years, with about $3 billion of that done by him personally. He stated that he and Ms. Marissa Wortman, Senior Managing Consultant would be the day-to-day project managers.
Mr. Miller stated that PFM was a national firm with an emphasis on and three offices in Florida. He related that they saw ideas and transactions from all across the country, which they used for the benefit of their clients. He pointed out that their company had a dedicated pricing group with four people that kept track of the data and the indices, talked to underwriters, went to investor conferences, and negotiated their bond pricings. He also mentioned that they had a group of people that understood in detail all of the underlying service contracts, market excess and credit worthiness. He reported that they were doing more municipal bond offerings and advising for state and local governments than anyone else in the country and in Florida. He commented that in the toughest market and economic environment that they had ever experienced, PFM was getting things done for their clients and even expanding their market share. He mentioned that there were a number of people in their office that have worked on counties acquiring private utilities. He related that the PFM Group was composed of two companies, which were Public Financial Management, Inc. which did the debt management, the financial advisory work, operational consulting and strategic planning; and PFM Asset Management, LLC, which did investment management, bond proceeds reinvestment, refunding escrows, and structure projects. He pointed out, however, that they had a common ownership and that the company was managed as a consolidated whole with a synergistic and value-added approach. He stated that they were still small enough with about 380 employees that the County would get to interact directly with partners in the firm, and they could make sure the County was getting the highest quality of service and the dedicated resources. He related that they gave a lot of emphasis on long-term capital planning and working with their long-term capital improvement program, which led to better credit rating strategies and more effective debt transactions, and the County would get a much more holistic viewpoint of how they should handle implementing their capital improvement program.
Ms. Wortman stated that PFM was one of the largest financial advisors in Florida and covered about 20 counties as well as small and large cities in Florida. She related that with the downturn in the economy and the financial crisis, they have been working with some specific cities, such as Jacksonville, whose revenues have been less than projected, to build a transportation model to help them meet those meets and to continue with their transportation program without slowing it down or overleveraging the city. Also, they helped the City of Jacksonville restructure about a half billion dollars in their variable rate deals and find letter of credit banks to replace surety policies that needed to be replaced. They were also helping Broward County do different revenue structuring and scaling back $500 million in projects, and they helped Osceola County develop a transportation planning model to help them fund at least $300 million by not only looking at impact fees but also other revenue streams such as gas tax revenues and infrastructure sales surtax to help them fund those projects.
Mr. Jeremy Niedfeldt, Consultant, Technical Support, stated that their plan of finance approach and transaction management approach were step by step approaches through which they were able to define the county’s goals and objectives and implement them through the transaction management steps they outlined in Appendix B while working through the current market issues. He quickly gave an overview of those steps as explained in the appendices of the presentation handout. He concluded that the result of their approach was a cost-effective, prudent, long-term strategic financing which has stood the test of time.
Mr. Moore concluded that PFM offered the County the nation’s leading independent financial advisor who was focused on Florida counties for over 20 years and had done everything from solid waste resource recovery to special assessment programs. He opined that the County would want to keep First Southwest Company as part of their strong underwriting team, and paired with PFM as their financial advisors, they would have the best team possible.
Commr. Conner commented that PFM had done a great job for the School Board, resulting in construction over the years that was something to be very proud of. He also mentioned that they had used new money to pay off old debts at lower interest rates.
Commr. Cadwell commented that he was comfortable with the process the staff followed and with the staff recommendation.
Commr. Hill concurred that she was also comfortable with the staff recommendation, because the County did have a relationship with First Southwest, and she thought that it was important for the people working with the financial advisors to be comfortable with them.
Commr. Renick commented that they would not want a company as both underwriter and financial advisor, and she thought that that if they had one doing underwriting and the other as the financial advisor, then they would have the best team. She also commented that the City of Clermont officials she spoke to thought PFM was very conservative and responsive. She opined that staff over time could develop a relationship with PFM similar to one that they have developed with First Southwest.
Commr. Cadwell commented that he thought it was a benefit that Southwest had expertise in underwriting, which gave them a superior understanding of the bond market.
Commr. Conner opined that he thought there were times when they had relied on staff when it would have been better to have some more Board involvement and engagement. However, he commented that he thought staff did a great job and that he was impressed with both companies. He noted that he was also impressed with the volume of Florida business that PFM did, and he thought it would be least disruptive to hire one new firm rather than two.
Ms. Cindy Hall, County Attorney, commented that it was important to have competent underwriters to purchase the bonds, and they needed to have connections in different bond markets to be able to do that. She pointed out that their involvement, however, was not really with the underwriters, but they worked on a daily basis with the financial advisors, who were the ones that were the closest to them and gave them the advice of how things happen and how to get through the market. She stated that the relationships with the financial advisor were extraordinarily important to have that confidence and trust from a staff perspective.
Commr. Stewart asked how the retainer worked.
Ms. Hall responded that the retainer that was currently negotiated with First Southwest she thought was $1,000 per month, but she did not know what PFM’s financial structure would be as to whether or not they would want to bill on an hourly basis.
Ms. Schwartzman stated that he believed the hourly rates themselves were essentially equivalent and that only Southwest had the retainer structure which would basically give the County unlimited hours in certain specific areas.
Mr. Minkoff commented that he assumed that they would be able to arrive at any fee structure the Board wanted with any of the firms.
There was a motion by Commr. Conner, seconded by Commr. Renick to select PFM as their financial advisors, which failed by a vote of 2-3.
Commr. Stewart, Commr. Cadwell, and Commr. Hill voted “no.”
On a motion by Commr. Hill, seconded by Commr. Stewart, and carried unanimously by a vote of 5-0, the Board voted to select First Southwest Company to provide financial consulting services.
Commr. Cadwell commented that if they were going to do this kind of practice before awarding contracts, they would need to talk about it and set up a policy in a workshop. He stated that he wanted the County Manager to direct Mr. Schwartzman to bring back some options of how they selected firms in other places and what they considered.
There being no further business to be brought to the attention of the Board, the meeting was adjourned at 12:45 p.m.
WELTON G. CADWELL, CHAIRMAN
NEIL KELLY, CLERK