The complete process to acquire and finance the systems is subject to several provisions of Florida law. A summary of the requirements and necessary City Council action items is included in the following Table 1.1.
If Resolution No. 2017-09 is approved, it accomplishes action items 6 and 7.
TABLE 1.1
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Action Item
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Associated Ordinance or Resolution
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Date for Council Consideration
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1
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Approve Purchase and Sale Agreements pursuant to section 180.301, Florida Statutes
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Resolution No. 2017-03
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November 15, 2016
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2
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Propose extension of City’s utility system pursuant to section 180.03
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Resolution No. 2017-04
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November 15, 2016
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3
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Set Public Hearing for Authorization of Extension of Utility and Rate Increase Hearing
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Resolution No. 2017-04
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November 15, 2016
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4
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Consider Bond Ordinance on First Reading
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Ordinance No. 2017-2105
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December 20, 2016
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5
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Hold hearing on any objections filed pursuant to Resolution No. 2017-04
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N/A – No objections filed
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N/A
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6
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Allow public comment on rate increase
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Resolution No. 2017-09
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January 3, 2017
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7
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Authorize Extension of City’s utility system pursuant to section 180.04, Florida Statutes
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Resolution No. 2017-09
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January 3, 2017
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8
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Authorize borrowing/consider Bond Ordinance on Second Reading
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Ordinance No. 2017-2105
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January 3, 2017
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I. Notice of Utility Rate Increase
On November 18, 2016, the City mailed notices to all customers of the Lakewood Villas, Barbara Ann Acres, and Silver Oaks Utility systems to inform them of the City’s utility rates, which will be applied to them if the City acquires the systems. A copy of the form of the notice is attached as Attachment 1.
The City Council should allow public comment on this notice and the rate increase to the customers of these systems prior to considering the resolution.
II. Extending the City’s Water Utility System – Sections 180.03 and 180.04, Florida Statutes
If the City purchases the Lakewood Villas, Barbara Ann Acres, and Silver Oaks Utility systems, it is effectively extending its water utility system.
Extending the system is governed by two Florida Statutes: Section 180.03 and 180.04. Each statute requires a resolution.
The City Council adopted a resolution at its November 15, 2016 meeting satisfying section 180.03. This resolution is the second and final resolution to satisfy the requirements of section 180.04.
The full text of 180.04 is included as Attachment 3 and sets forth the matters required to be addressed in the resolution.
III. Condition Precedent to Closing
Under the purchase and sale agreements for the systems, the closing is conditioned upon satisfying the requirements of section 180.04.