Miami-Dade Legislative Item
File Number: 121982
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File Number: 121982 File Type: Resolution Status: Amended
Version: 0 Reference: Control: County Commission
File Name: IDENTIFY FUNDS WATER & SEWER Introduced: 9/28/2012
Requester: NONE Cost: Final Action: 11/8/2012
Agenda Date: 11/8/2012 Agenda Item Number: 11A24
Notes: SEE 122286 FOR FINAL VERSION AS ADOPTED. Title: RESOLUTION DIRECTING COUNTY MAYOR OR COUNTY MAYOR’S DESIGNEE TO IDENTIFY ADDITIONAL SOURCES OF LEGALLY AVAILABLE FUNDS, INCLUDING BUILDING BETTER COMMUNITIES GENERAL OBLIGATION BOND PROGRAM FUNDS AND CONVENTION DEVELOPMENT TAX FUNDS, IN ORDER TO EXPEDITIOUSLY FUND REPAIR AND/OR REPLACEMENT OF MOST DETERIORATED WATER AND SEWER INFRASTRUCTURE VULNERABLE TO FAILURE AND TO REPORT FINDINGS TO THE BOARD
Indexes: FUNDS
  INFRASTRUCTURE
  REPAIRS
  WATER AND SEWER
Sponsors: Rebeca Sosa, Prime Sponsor
  Audrey M. Edmonson, Co-Sponsor
  Sally A. Heyman, Co-Sponsor
  Barbara J. Jordan, Co-Sponsor
Sunset Provision: No Effective Date: Expiration Date:
Registered Lobbyist: None Listed


Legislative History

Acting Body Date Agenda Item Action Sent To Due Date Returned Pass/Fail

Board of County Commissioners 11/8/2012 11A24 Amended
REPORT: (SEE REPORT FOR RELATED AGENDA ITEM 11A24 AMENDED, LEGISLATIVE FILE NUMBER 122286)

Infrastructure and Land Use Committee 10/17/2012 2H Forwarded to BCC with a favorable recommendation P
REPORT: Assistant County Attorney Geri Bonzon-Keenan read the foregoing proposed resolution into the record. Commissioner Sosa stressed that this item was not directing WASD to begin repairing deteriorating water and sewer infrastructure; it was simply directing the Mayor to identify potential sources of funding to repair this infrastructure. Commissioner Jordan asked to be added as a co-sponsor to this item. Commissioner Edmonson asked to be added as a co-sponsor to this item. City of Miami Beach Vice Mayor Jorge Exposito thanked the Chair for allowing him the possibility to speak on this matter. He asked the Committee members to consider removing the words “Convention Center Development Tax” from the proposed resolution, as the Attorney General had strictly delineated the uses of this tax. He stated that the City of Miami Beach was working towards developing the Convention Center, and these taxes were needed in that process. Chairwoman Edmonson clarified that Commissioner Sosa was simply asking the County Mayor to help identify legally available funds to repair deteriorating water and sewer infrastructure; she was not asking that the funds be used. Commissioner Sosa pointed out that maybe the City of Miami Beach needed to expedite the development of the Convention Center. She stressed that the County was losing money; this Board approved the Building Better Communities General Obligation Bond (GOB) funds to be allocated to Miami Beach a long time ago for the Convention Center; and the County had been waiting for years for this Center. Vice Mayor Exposito explained that the City of Miami Beach had passed the Penny Tax recently at 67 percent, and asked the Committee members for their understanding and proper consideration. Hearing no further questions or comments, the Committee proceeded to vote on the foregoing proposed resolution, as presented.

County Attorney 10/2/2012 Referred Infrastructure and Land Use Committee 10/17/2012

County Attorney 9/28/2012 Assigned Geri Bonzon-Keenan 9/28/2012

Legislative Text


TITLE
RESOLUTION DIRECTING COUNTY MAYOR OR COUNTY MAYOR’S DESIGNEE TO IDENTIFY ADDITIONAL SOURCES OF LEGALLY AVAILABLE FUNDS, INCLUDING BUILDING BETTER COMMUNITIES GENERAL OBLIGATION BOND PROGRAM FUNDS AND CONVENTION DEVELOPMENT TAX FUNDS, IN ORDER TO EXPEDITIOUSLY FUND REPAIR AND/OR REPLACEMENT OF MOST DETERIORATED WATER AND SEWER INFRASTRUCTURE VULNERABLE TO FAILURE AND TO REPORT FINDINGS TO THE BOARD

BODY
WHEREAS, the majority of the County’s water and sewer infrastructure was constructed in the 1970s such that much of the system has deteriorated and is vulnerable to failure, in large part due to its age, manufacturing flaws in certain water pipes manufactured by Interpace Company, and the corrosive nature of sanitary sewage; and
WHEREAS, the current cost estimate to repair the most deteriorated sections of the County’s water and sewer system that are vulnerable to failure is approximately $1.1 billion, of which $364,168,000 is the approximate cost to repair the water system and $736,086,000 to repair the sewer system; and
WHEREAS, improvements to the most deteriorated sections of the water and sewer system vulnerable to failure include: (i) development of additional transmission pipelines, storage tanks and pump stations; (ii) improvements to the County’s three regional water treatment plants, the John E. Preston Water Treatment Plant, the Alexander Orr, Jr. Water Treatment Plant and the Hialeah Water Treatment Plant; (iii) repair and/or replacement of those pipes and pump stations at greatest risk of failing; and (iv) necessary repairs and improvements to the County’s three regional wastewater treatment plants, the North District Wastewater Treatment Plant at Interama, the Central District Wastewater Treatment Plant at Virginia Key, and the South District Wastewater Treatment Plant at Black Point (collectively, the “Necessary Improvements”); and
WHEREAS, it is in the County’s best interest to accelerate the repair and/or replacement of the Necessary Improvements as expeditiously as possible; and
WHEREAS, generally, Necessary Improvements of this type are funded through revenue bonds secured by revenues of the water and sewer system, monies on deposit in the water and sewer system’s Renewal and Replacement Fund, and/or available federal and state grants; and
WHEREAS, in order to fund the Necessary Improvements using revenue bonds it is projected that current water and sewer rates and charges would need to increase by 9% in fiscal year 2013-14, and by 6% for each of the three subsequent fiscal years; and
WHEREAS, the County is still recovering from the financial crisis such that significant rate hikes in such a short time would be an economic hardship for many residents; and
WHEREAS, this Board wishes to direct the Mayor or the Mayor’s designee to identify additional sources of legally available revenues, including Building Better Communities General Obligation Bond program funds and convention development tax funds, to fund a portion of the Necessary Improvements so as to allow for a more gradual hike of water and sewer rates and thereby mitigating the financial impact to the County’s residents,
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MIAMI-DADE COUNTY, FLORIDA, that:
Section 1. The foregoing recitals are incorporated in this resolution and are approved.
Section 2. This Board hereby directs the County Mayor or the County Mayor’s designee to identify additional sources of legally available funds, including but not limited to, Building Better Communities General Obligation Bond program funds and convention development tax funds, to fund a portion of the Necessary Improvements. A report utilizing such additional sources of funds and other legally available funds in a plan of finance that results in a gradual projected rate increase over the next several fiscal years shall be prepared and presented by the Mayor or his designee to the Board within ninety (90) days from the effective date of this Resolution.



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