[MEETING TO ORDER]
[00:00:10]
>> GOOD AFTERNOON, I'M GOING TO CALL THIS MEETING TO ORDER.
WOULD YOU PLEASE STAND FOR THE PRAYER, AND JOIN US FOR THE PLEDGE OF ALLEGIANCE. AND THANK YOU FOR MAKING THE
TIME TO STEP IN. >> LET US PLAY.
WE EXPRESS GRATITUDE FOR ALL THE MANY BLESSINGS YOU HAVE BLESSED AND WE WANT TO PAUSE AND SAY THANK YOU.
NOW WE ASK THAT YOU WOULD BLESS THIS TIME THAT WE HAVE TOGETHER.
WE PRAY FOR THE LEADERS OF FPUA, FOR WISDOM AND KNOWLEDGE, AND ALL THAT THEY DO TO HONOR YOU. IN NAME, WE PRAY.
AMEN I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA, AND TO THE REPUBLIC FOR WHICH IT STANDS, ONE NATION UNDER GOD, INDIVISIBLE, WITH LIBERTY AND
JUSTICE FOR ALL.. >> CALL ROLL.
[A. SET THE AGENDA]
>> SECOND. >> LET'S CALL THE ROLL.
COMMENT SECTION OF TODAY'S MEETING.
IF ANYBODY WISHES TO COME UP AND SPEAK YOU MAY DO SO.
[C. APPROVAL OF MINUTES]
YOU HAVE 2 MINUTES. I DO NOT SEE ANY MOVEMENT.SO WE WILL CLOSE THE PUBLIC COMMENT SECTION FOR TODAY.
AND MOVE ON TO THE APPROVAL OF MINUTES.
>> I MOVE APPROVAL. >> SECOND.
[D. CONSENT AGENDA]
>> WE ARE AT THE CONSENT AGENDA. DO ANY MEMBERS WISH TO PULL ANY
ITEMS FOR DISCUSSION? >> I WILL MOVE APPROVAL.
>> SECOND. >> PLEASE CALL THE ROLL
[E.1. June 2026 Quarterly Financial Operating Results]
ROLL] >> WE ARE MOVING ON TO THE
REGULAR AGENDA. >> THANK YOU, MR. CHAIRMAN, MEMBERS OF THE BOARD. THE FIRST ITEM THIS AFTERNOON IS THE QUARTERLY FINANCIAL OPERATING RESULTS.
MS. HARRIS, CFO, WILL PRESENT THIS ITEM.
>> THANK YOU. CHAIRMAN FEE, BOARD MEMBERS.
I'M HERE TO PROVIDE YOU AN UPDATE AND A REVIEW OF THE FINANCIAL OPERATING RESULTS THROUGH THE THIRD QUARTER OF FISCAL YEAR '26. IN THE AGENDA FOR TODAY WE WILL GO OVER THE FINANCIAL OPERATING RESULTS FOR FPUA AS A WHOLE, WILL TALK ABOUT REVENUE AND EXPENSES, BUDGET VERSUS ACTUAL RESULTS. WE WILL TALK ABOUT THE FINANCIAL AND SALES DEVICE SYSTEM. ALL GO OVER BRIEFLY THE YEAR TO TAKE CAPITAL EXPENDITURES AND FINISH OFF WITH FINANCIAL RATIOS AND UPDATES. THE STATEMENT OF REVENUE AND EXPENSES IN CHANGING A POSITION FOR FPUA, OPERATING REVENUES OF 104 MILLION ARE OFFSET BY OPERATING EXPENSES OF 88.6 MILLION, RESULTING IN OPERATING INCOME OF 15 AND A HALF MILLION FOR FPUA. WE RECOGNIZE ADDITIONAL NONOPERATING REVENUE FOR INVESTMENT OF OTHER INCOME OF 3 MILLION. WE RECOGNIZE 7 MILLION THROUGH JUNE 30TH. WE INCURRED AN INTEREST EXPENSE OF 4.5 MILLION. AND WE DID RECOGNIZE A DISTRIBUTION TO THE CITY OF PORT-- FORT PIERCE OF 8 MILLION IN MAY. WE RECOGNIZE THAT WE RECEIVE CAPITAL CONTRIBUTIONS OF 9 MILLION.
ALL OF THAT RESULTING IN THE CHANGING OF THE POSITION FOR FPUA OF 22 MILLION THROUGH JUNE 30TH OF 2026.
AND THAT GETS REINVESTED IN TO OUR INFRASTRUCTURE.
SO THAT IS HOW THAT MONEY IS SPENT.
OUR TOTAL REVENUE-- THIS CHART IS FOR FPUA AS A WHOLE.
TOTAL REVENUES OF 125 MILLION ARE BELOW BUDGET BY ABOUT 10%.
OUR OVERALL EXPENSES OF 103 MILLION ARE ALSO BELOW.
BUT THEY ARE BELOW BY 5.8%. AND THERE IS TO BE A CHANGE IN THAT POSITION, LIKE I SAID PREVIOUSLY, OF 22 MILLION.
THE NEXT COUPLE OF SLIDES WE WILL HAVE THE SAME FORMAT.
WE WILL JUST TAKE A DEEPER DIVE IN TO EACH SYSTEM.
THE REVENUES OF 62 MILLION ARE ABOVE BUDGET BY 2.8%.
MEANWHILE, THE EXPENSES OF 59 MILLION ARE BELOW BUDGET BY 1.7. SO THE ELECTRIC SYSTEMS CONTRIBUTION TO THE CHANGE IN THAT POSITION IS 3.2 MILLION.
THE ELECTRIC CONSUMPTION, COMPARED TO THE SAME-- THIS PERIOD COMPARED TO THE SAME PERIOD LAST YEAR, ELECTRIC CONSUMPTION HAS INCREASED 1.9%. MEANWHILE, ELECTRIC NUMBER OF SERVICES BILLED HAS INCREASED 1.6%.
[00:05:05]
WITH THE WATER SYSTEM, 27 MILLION OF TOTAL REVENUES ARE ABOVE BUDGET BY 10.2%. AND OVERALL EXPENSES OF 18 MILLION IS BELOW BY 1.8%. ALL CONTRIBUTING TO THE OVERALL CHANGE IN POSITION OF FPUA BY A .8 MILLION.WATER CONSUMPTION HAS INCREASED COMPARED TO THE SAME PERIOD LAST YEAR. AND THE WATER NUMBER OF SERVICES BILLED HAS INCREASED 1.1%. WASTEWATER REVENUES OF 27 MILLION ARE BELOW BUDGET BY 39 PERCENT, AND THAT IS DUE TO THE RECOGNITION OF GRANT REVENUE.
IT IS JUST COMPARED TO HOW MUCH WE BUDGET IN GRANT REVENUE, AND HOW MUCH THOSE PROJECTS THAT WE FUNDED ARE MOVING ALONG THIS YEAR. I EXPECT THAT WHEN WE ARE HERE PRESENTED THE END OF THE YEAR THAT IT WILL BE CLOSELY ALIGNED WITH OUR BUDGETS. OUR OVERALL WASTEWATER EXPENSES OF 17 MILLION ARE JUST BELOW BUDGET BY LESS THAN 1%.
AND THE OVERALL CONTRIBUTIONS TO THE CHANGE IN THE POSITION IS ABOUT $10 MILLION. WASTEWATER GALLONS BILLED CAN-- INCREASE 2.7 COMPARED TO LAST YEAR, AND THE NUMBER OF SERVICES BILLED HAS INCREASED BY 1.7%. THE NATURAL GAS REVENUES OF 5 MILLION ARE BELOW BUDGET BY ABOUT CLOSE TO 12%.
OUR EXPENSES OF 5 MILLION ARE BELOW ABOUT 10% AS WELL.
THEIR OVERALL IMPACT TO THE NET POSITION IS AN IMPACT OF ABOUT 113,000. THE NUMBER OF GAS CCF'S BILLED COMPARED TO LAST YEAR DECREASED BY 12.8%.
THAT IS A DIRECT IMPACT TO THE CONTRACT SALES THAT WE HAVE SEEN. A DECREASE OF 27.5% WITH GAS CONTRACT SALES COMPARED TO LAST YEAR.
AND THE NUMBER OF SERVICES BILLED HAS INCREASED BY ABOUT .7%. NOW WE WILL TAKE A LOOK AT FPUA NET. NET REVENUES OF 1.8 MILLION ARE BELOW BUDGET BY ABOUT 9.5%. THE EXPENSES ARE ALSO BELOW ABOUT 11.9%. FPUA NET OVERALL CONTRIBUTION TO ARNETT POSITION IS IS ABOUT 118,000.
WE HAVE SEEN A NUMBER OF SERVICES BILLED INCREASED SIGNIFICANTLY IN THE PIPER INDUSTRY FOR FPUA.
ABOUT 25% GROWTH. TAKING A LOOK AT OUR CAPITAL SPEND, FPUA, WE ARE CAPITAL-INTENSIVE.
WE INCURRED $35 MILLION OF CAPITAL EXPENDITURES THROUGH JUNE 30TH. MAINLY WEIGHTED HEAVILY IN THE WASTEWATER AREA. WE HAVE ABOUT 24.2 MILLION.
THAT CAPITAL SPEND WAS IN THE WASTEWATER SYSTEM FOR THE PLANT AND CONVEYANCE SYSTEM. THE WATER SYSTEM, ABOUT 5.2, THAT WAS MAINLY SPENT ON PROJECTS THAT FOCUS ON RESILIENCY AND EXPENDITURE PROJECTS.
2.3 MILLION IN THE WATER SYSTEM. AND THE FOCUS THERE WAS MAINTENANCE SERVICE REPLACEMENTS AS WELL AS METER AND BACKFLOW PREVENTERS. 1.2 MILLION SPENT IN THE GAS SYSTEM FOR THE NORTH FORT PIERCE EXPANSION PROJECT.
THE $1.3 MILLION FOR FIBRA FOR FPUA WAS FOCUSED ON EXPANSION PROJECTS, AND THE REMAINING 1 MILLION FOR ADMIN IS FOCUSED ON THE ENHANCEMENT OF THE SECURITY SYSTEM AND THE ESC BUILDOUT. IN ADDITION TO THE $35 MILLION THAT I SPENT, AS OF JUNE 30TH WE HAD $19 MILLION IN COMMITMENTS ON PURCHASE ORDERS. 10.4 IN FISCAL YEAR '26.
-- IN FISCAL YEAR 2026 WE HAVE A $10.4 MILLION RATE BUDGET.
AND THROUGH THE THIRD QUARTER THIS YEAR WE SPENT ABOUT 65% OF THAT. THIS SLIDE SHOWS THE OPERATING INCOME AND DEBT SERVICE COVERAGE.
THIS CALCULATION HAS A RATIO OF THE ROLLING 12 MONTH AVERAGE, AND AVAILABLE INCOME TO OUR CURRENT DEBT SERVICE.
FOR THE 12 MONTHS, ENDING JUNE 30TH.
OUR DEBT SERVICE RATIO WAS 3.96 TIMES.
AND AS A REMINDER, THE RED BAR INDICATED BELOW, THE MINIMUM INCOME IS UP BY 1.25. WE ARE WELL IN COMPLIANCE WITH THAT RATIO. AN OVERVIEW OF OUR POWER PERFORMING AND OUR DART PROGRAM. IN ADDITION, LIKE I SAID EARLIER, WE HAVE RATIOS THAT WE HAVE TO HOLD, A MINIMUM OF 45 DAYS OF CASH ON HAND BY THE AT FPUA BOARD, AND LEADERSHIP AGREED TO INCREASE THAT TO 90 DAYS CASH ON HAND.
AND AS OF JUNE 30TH, WE ARE-- WE HAVE EXCEEDED THE 90 DAYS OF CASH ON HAND. WE TALK ABOUT THE POWER COST
[00:10:01]
ADJUSTMENT, WHERE WE WANTED TO TARGET ONCE A MONTH INSTEAD OF MULTIPLE TIMES THROUGHOUT THE YEAR.AS A REMINDER, IN FISCAL YEAR 2026 WE ADJUSTED ONCE IN FEBRUARY. OUR RATE CIVILIZATION FUND IS WHERE WE SET FLOORS AND CEILINGS, WE WANTED AN AVERAGE OF ABOUT 10 MILLION FOR THE FUND WITH AN EIGHT BEING THE FLOOR AND 12 BEING THE CEILING. AND AS OF THIS TIME WE ARE SLIGHTLY OVER $8 MILLION. AND WE WANTED TO BUILD UP OUR EMERGENCY RESERVE FUNDS, AND WE HAVE A PLAN TO GET TO AT ABOUT $5 MILLION BY 2034. SO FAR, WITHIN FISCAL YEAR 2026, WE HAVE INCREASED THAT FUND BY $437,000.
SO THIS IS A FROM-- FOR YOUR INFORMATION.
ALL BE HAPPY TO ANSWER ANY QUESTION YOU HAVE ABOUT ANYTHING YOU SEE HERE. AND THE PRESENTATION.
>> ANY QUESTIONS FROM THE BOARD? ONE QUESTION.
GREATER THAN 90 DAYS OF CASH, APPROXIMATELY HOW MUCH?
>> WE ARE A LITTLE OVER 120. >> OVER 120... AND WE HAVE TO KEEP IT AT 120 AT THIS POINT IN TIME?
WHAT ARE WE THINKING? >> THIS IS IN JUNE, WE HAVE TO
GET THROUGH THE SUMMER MONTHS. >> YOU THINK THERE WILL BE SOME VARIANCE BECAUSE OF THE SUMMER MONTHS?
>> BSOLUTELY. >> AS WE GET TOWARDS THE END OF THE FISCAL YEAR YOU WILL SEE A RAMP-UP IN CAPITAL SPEND AND O AND M SPEND. IT CHANGES A BIT IN THE FOURTH
QUARTER. >> ANY OTHER QUESTIONS?
>> I HAVE ONE QUESTION ABOUT YOUR EMERGENCY FUND.
YOU SAID WE RESERVE FOR 375 WITH THE 5 MILLION TARGET FOR 2034.
HOW DOES THAT MEASURE TO REACHING YOUR GOAL?
>> WE ARE A-- GORDON-- WE ARE GOING ACCORDING TO PLAN.
WE BUILT A PLAN AND WE BUILT IT KNOWING THAT WE WILL DUET DEAD ISSUANCE, KNOWING WHEN WE MIGHT BE ABLE TO BUILD OUR RESERVE.
SO WE HAVEN'T CHANGED OUR PLAN, WERE JUST DOING IT AS EXPECTED.
>> WE ARE WITHIN THE REALM OF IT.
>> MR. CHAIRMAN, EARLIER IN THE YEAR WE HAD AN AMBITIOUS LIST OF CAPITAL PROJECTS. ARE WE KEEPING TO THE SCHEDULE
>> I THINK TWO PRESENTATIONS FROM NOW, WE WILL GIVE YOU A PRESENTATION ON A 14 MILLION-DOLLAR PROPOSAL FOR THE CONVEYANCE SYSTEM. WE'VE HAD CONTRACTS THAT ARE SIGNED. BUT WE MIGHT HAVE BEEN A LITTLE BIT OVER AMBITIOUS THINKING OF HOW MUCH WE WOULD SPEND IN YEAR ONE. THESE PROJECTS ARE MOVING.
THEY ARE GETTING PLANNED OUT AND I EXPECT TO SEE MUCH MORE SPEND IN YOUR TWO, WHICH IS WHY WE DELAYED THE DEAD ISSUANCE THAT WAS SUPPOSED TO HAPPEN. WE DELAYED IT MORE INTO PROBABLY THE FIRST QUARTER OR SECOND QUARTER OF NEXT YEAR, BECAUSE THOSE PROJECTS ARE STILL MOVING.
THEY ARE JUST-- >> I'M JUST TRYING TO NOT LOSE SIGHT OF THAT. I REMEMBER WAS A BIG DEAL.
WE ALL SAID WE WERE GOING TO MEET.
WE SAID WE ARE GOING TO BE AGGRESSIVE AND MEET THE TIME.
>> AND WE ARE. WE HAVE A THREE YEAR SPEND WHEN WE RECEIVE THE BOND PROCEEDS. SO WE HAVEN'T RECEIVED THE BOND PROCEEDS YET. SO WE'VE BEEN USING OUR UNRESTRICTED FUNDS. WE WERE A LITTLE BIT OVER OUR 90 DAYS, SO WE WERE ABLE TO USE THAT, AND WE HAVEN'T DRAWN ON THE LINE OF CREDIT YET. I BELIEVE THE NEXT BOARD PRESENTATION MAYBE IN SEPTEMBER OR OCTOBER.
YOU GUYS WILL BE BROUGHT FORWARD TO EXTEND THAT LINE OF CREDIT, BECAUSE WE HAVE NOT NEEDED TO ISSUE THE DEBT AS SOON AS WE THOUGHT. SO IT'S ON THE FRONT OF MY MIND.
[E.2. Status Report on Electric Power Cost Adjustment (PCA) for July 2026]
NEXT ITEM. >> THANK YOU, MICHELLE.
YES, SIR, MR. CHAIRMAN. THE NEXT ITEM IS AN UPDATE ON THE ELECTRIC POWER COST ADJUSTMENT, AND THE FINANCE
MINISTER WILL PRESENT THIS ITEM. >> THANK YOU.
GOOD AFTERNOON, CHAIRMAN FEE. CITY MANAGER AND BOARD MEMBERS.
IT'S MY PLEASURE TO BE HERE TODAY.
I WILL BE PRESENTING THE JULY UPDATE TO THE FMP PROJECTIONS, AND THE RATE STABILIZATION FUND. OUR FIRST SLIDE IS OUR SUMMATION TO THE DART PROGRAM, THE ARE SF AND THE PCA.
MICHELLE WENT OVER ALL OF THIS, BUT WE CAN LOOK AT IT AGAIN.
THE DART PROGRAM IS THE CASH, POWER COST ADJUSTMENT, RATE STABILIZATION FUND AND TARGETS. THE OBJECTIVE IS TO NAME THE
[00:15:05]
AVERAGE BALANCE WITHIN THE RATE STABILIZATION FUND WITH A OPTIMUM RANGE OF THREE AND 12 MILLION, WHICH WE USE THE PCA TO MANAGE. THE BASE RATE FOR THE PURCHASE POWER RIGHT NOW, $79.52 PER THOUSAND KILOWATT HOUR, AND THE PCA HAS BEEN STABLE AT $4 SINCE FEBRUARY 2026.FINANCE TEAM REVIEWS AND ANALYSE THE PCA AND ARE SF BALANCES ON A MONTHLY BASIS, AND THE DATA WE USED TO DO THAT COME FROM OUR RATE CONSULTANT AND FMP A. THIS TABLE SHOWS THE HISTORIC QUARTERLY OVER AND UNDER COLLECTION OF THE POWER COST AND THE CUMULATIVE BALANCES IN THE RATE STABILIZATION FUND.
SINCE THE END OF SEPTEMBER 2024. AT THAT TIME THE BALANCE WAS 10.9 MILLION. AND RIGHT NOW, PRELIMINARY ELITE FOR THE END OF JULY 2026, THE FUND BALANCES PROJECTED TO BE JUST OVER 8 MILLION. THIS IS CONSISTENT WITH THE PROJECTIONS THAT WERE PRESENTED TO THE BOARD IN MY PREVIOUS UPDATE. THIS SLIDE IS TAKEN FROM FMP A AND IT SHOWS THE CURRENT NATURAL GAS AMOUNTS THAT HAVE BEEN PREPURCHASED VIA THE HEDGING PROGRAM.
NEW POSITIONS HAVE BEEN RECENTLY ADDED AS INDICATED BY THE DARK BLUE PORTIONS IN THE BAR GRAPH. UNTIL SEPTEMBER, WE ARE APPROXIMATELY 75% HEDGED. FROM THEIR OUT WE ARE ABOUT 65% TILL MARCH OF 2027. AND 55% UNTIL SEPTEMBER OF 2027.
AFTER THAT THERE ARE SOME VARYING POSITIONS ALL THE WAY OUT UNTIL MARCH OF 2029. THIS GRAPH IS A REMINDER.
IT'S THE GRAPHITE PRESENTED PRESENTED TO YOU DURING MY LAST UPDATE, AND IT SHOWS THE CURRENT PROJECTIONS OF THE RATE STABILIZATION FUND BASED ON THE •-ELLIPSIS WAS AVAILABLE AND THE STATE OF THE NATURAL GAS MARKET AT THAT TIME.
YOU CAN SEE FROM MAY 2027 WE WERE PROJECTED TO BE A TEMPLATE 4 MILLION, AND 9.3 MILLION FROM FMP A RESPECTIVELY.
THIS IS OUR NEWLY UPDATED GRAPH. AND YOU CAN SEE THE PROJECTIONS HAVE CHANGED SLIGHTLY. THE YELLOW LINE IS STILL THE ORIGINAL PROJECTION FROM WHEN YOU APPROVE THE 4-DOLLAR PCA INCREASE IN FEBRUARY. NOW THE PROJECTIONS HAVE SHIFTED SLIGHTLY, AND OUR PROJECTED TARGET FOR MAY OF 2027 IS 9.3 MILLION. AND 8.93 MILLION RESPECTIVELY FROM FMP A. THE SHIFT IN THE GRAPH IS DUE TO A SLIGHT INCREASE IN THE PROJECTED AVERAGE COST OF NATURAL GAS OVER THE NEXT 12 MONTHS.
AND NEW COSTS ARE EXPECTED TO BE $82.37.
WE ARE STILL IN A GOOD POSITION THOUGH.
THIS SHOWS OUR STRATEGY IS WORKING.
THE EFFORTS WE WERE MAKING TO HOLD THE PCA STABLE AS POSSIBLE AND TO HAVE OUR CUSTOMERS NOT EXPERIENCE INCREASES OR DECREASES ARE WORKING. WE ARE WITHIN OUR TARGET RANGES AND MAINTAINING A HEALTHY BALANCE.
WHILE WE ARE LOOKING AT THE NUMBERS, WE ARE LOOKING AT WHAT'S COMING DOWN THE PIKE AND WHAT WE CAN DO FOR CUSTOMERS.
SO WE HAVE BEEN DISCUSSING, AND LOOKING AT POSSIBLY $82 DECREASE TO THE PCA IN MARCH OF 2025, DEPENDING ON HOW THE NUMBERS SHAKEOUT, AND IF THE PRICES OF NATURAL GAS HOLD WHERE THEY ARE OR IF THEY DECREASE FURTHER AS PROJECTED.
SO THIS IS WHAT THE PROJECTIONS WOULD LOOK LIKE IF WE TOOK THE PCA DOWN TO $2 IN MARCH 2025. YOU WILL SEE THE FMP A PROJECTION GOES DOWN TO 9 MILLION, AND OTHER PROJECTIONS GOING DOWN TO A .6. ABOUT A $300,000 DECREASE TO THE
>> SORRY, 2027. >> MARCH 1ST, 2027.
>> VERY SORY ABOUT THAT. THIS IS THE SAME CHART, AND A LITTLE BIT OF A DIFFERENT FORMAT.
IT SHOWS OUR POWER COST ADJUSTMENT BALANCES, THE PCA BALANCE, AND OUR RESTABILIZATION FUNDS IN THE GRAPH FORMAT.
AND WE STILL REMAIN IN OUR TARGETED RANGES AND DO NOT DIP BELOW OUR $8 MILLION TARGET BALANCE.
AGAIN, THIS IS THE SAME CHART, BUT WITH THAT PROJECTED $4 DECREASE-- $2 DECREASE OUT IN TO MARCH OF 2027.
[00:20:01]
SO NOT DIPPING BELOW THAT $8 MILLION THRESHOLD AND MAINTAINING IN OUR TARGET RANGE. SO, NO ACTION IS REQUIRED FROM THE BOARD AT THIS TIME. WE PLAN TO HOLD STEADY AT $4, UNLESS THE PROJECTIONS FOR THE NEAR TERM VERY SIGNIFICANTLY FROM OUR CURRENT OUTLOOK, AND WE WILL CONTINUE TO MONITOR AND PROVIDE QUARTERLY UPDATES TO THE BOARD.I AM HAPPY TO ANSWER ANY QUESTIONS YOU MAY HAVE.
>> ANY QUESTIONS FROM THE BOARD? >> I HAVE COMMENT.
AND THIS IS THE FINANCE TEAM. I'M THANKFUL THAT WE MOVED THAT RATE STABILIZATION FUND UP. THE SWINGS THAT WE ARE SEEING HERE WOULD HAVE COMPLETELY DECIMATED OUR OLD AMOUNTS.
AND WE-- THIS HAS BEEN ABLE TO KEEP US VERY STEADY TO OUR CONSUMERS. SO THANK YOU FOR HAVING THE FORESIGHT TO MAKE SURE WE HAVE THIS SET UP.
>> ANY OTHER QUESTIONS OR COMMENTS?
>> I WANTED TO ASK, I THINK THE GOAL WAS EIGHT, RIGHT?
>> THAT SEAFLOOR WE LIKE TO KEEP.
IF IT WAS PROJECTED THAT WE WERE GOING TO BE DIPPING DOWN BELOW EIGHT, WE WOULD START TALKING ABOUT IF WE HAD TO COME TO THE BOARD TO ASK FOR AND INCREASE TO BRING US ABOVE EIGHT.
>> I HOPE WE UNDERSTAND, WOOD AUGUST-- HELP ME UNDERSTAND, WOULD AUGUST BE MORE-- WOULD AUGUST AFFECT YOUR NUMBERS MORE THAN THE PRIOR MONTHS? BECAUSE OF THE USE OF GAS AND
BECAUSE THERE IS A HIGHER CONSUMPTION.
I DON'T THINK IT WOULD DRASTICALLY AFFECT, BUT IT
WOULD. >> IT WAS SHOWING 8 MILLION ON
YOUR GRAPH WHERE WE ARE. >> RIGHT NOW.
>> THAT'S NOT GIVING CONSIDERATION FOR THE AUGUST
IT ONLY GOES TO JULY. SO WE STILL HAVE TO GET OUR BILL FOR AUGUST. WE ARE LOOKING IN THE READERS HERE. I WANT TO HELP ANDREA A LITTLE BIT WITH THE COST. TYPICALLY THE HIGHER CONSUMPTION IN THE SUMMER MONTHS HELPS REDUCE OUR UNIT COSTS.
BUT THERE IS THE POSSIBILITY OF THE BASIS COST, MEANING THE DELTA GOING FROM THE PERMIAN BASIN SIR THE SUPPLY AREAS TO FLORIDA. THOSE NUMBERS GO FROM 50 CENTS TO $3 VERY QUICKLY. AS LONG AS WE DON'T HAVE VARIABLES LIKE THAT, TYPICALLY THE LONGEST IS A LOWER-COST MONTH MONTH. A UNIT COST MONTH.
[E.3. Wastewater Conveyance System Redirection Amendment No. 6]
>> THANK YOU. >> ANY OTHER QUESTIONS?
THANK YOU. >> THANK YOU, ANDREA.
MR. CHAIRMAN, THE LAST ITEM THIS AFTERNOON IS A REQUEST TO APPROVE ANOTHER IMPORTANT SEGMENT OF THE COMMAND SYSTEM TO REDIRECT CLOSURES FROM EAST TO WEST.
THIS REQUEST IS FOR THE SOUTHERN HALF OF JENKINS ROAD THAT NAVIGATES THROUGH WOODED AREAS AND GOES DIRECTLY TO THE NEW PLANT. AND IT INCLUDES THE DESIGN FOR SEVERAL LIST STATIONS THAT HELP MOVE FROM EAST TO WEST.
OUR ENGINEER AN ENVIRONMENTAL ENGINEER WILL PRESENT THIS ITEM.
>> THANK YOU. GOOD AFTERNOON, MEMBERS OF THE BOARD. TODAY WE ARE HERE TO ASK THE BOARD FOR APPROVAL FOR AMENDMENT NUMBER 6 TO THE TLC PROGRESSIVE DESIGN BUILD CONTRACT. THIS AMENDMENT IS DIVIDED IN TO TWO SEPARATE REQUESTS. I WILL BE PRESENTING THE FIRST REQUEST, WHICH IS A DETAILED DESIGN FOR PHASE 1B, INCLUDED IN CIP FIVE, SIX, SEVEN AND 12. I WILL WALK THE BOARD THROUGH WHAT THESE PROJECTS ARE. THE IMPROVEMENTS THAT ARE BEING MADE, AND WHY THEY ARE NEEDED. MY ASSOCIATE WILL THEN PRESENT THE SECOND REQUEST FOR THE CONSTRUCTION OF CIP 2.2B, WHICH IS A JENKINS ROAD IT'S BUT EXTENSION FROM 10-MILE CREEK TO THE NEW WASTEWATER TREATMENT FACILITY.
BOTH REQUESTS ARE PART OF THE LARGER IMPROVEMENTS ASSOCIATED WITH THE FPUA WR RF RELOCATION PROJECT.
KEEPING IN LINE WITH PRIOR REQUESTS, WE WILL GO OVER THE AMENDMENT RECAP PROVIDING A QUICK MASTER PLAN UPDATE.
GOING OVER PHASE 1B, THE OVERVIEW, THE CONSTRUCTION
[00:25:05]
OVERVIEW, AND REQUESTING APPROVAL FOR AMENDMENT SIX OF THE CONTRACT. THIS SLIDE REPRESENTS THE HISTORY AND ROAD MAP OF THIS CONTRACT WITH TLC TO DATE.WE STARTED WITH PLANNING AND ENGINEERING.
WE THEN MOVED INTO DETAILED DESIGN AND BEGAN CONSTRUCTING IN THE VIDEO PORTIONS OF THE SYSTEM.
CIP 2.1, A JENKINS ROAD MAIN FROM EDWARDS ROAD-- FROM EDWARDS TO 10-MILE CREEK-- SORRY, FROM OKEECHOBEE TO EDWARDS, IS NOW COMPLETE. CIP ONE, LIFT STATION A, AND AE BACKUS FORCED MAIN EXTENSION, CONSTRUCTION IS UNDERWAY.
AND IT'S APPROXIMATELY 60% COMPLETE.
CIP THREE, THE BOOSTER STATION, IS CURRENTLY IN BUILDING.
-- IN BUILDING PERMITTING WITH THE CITY OF FORT PIERCE.
CIP 2.2A, THAT IS SCHEDULED TO START ANY DAY NOW, AS THE CONSTRUCTOR IS MOBILIZING AND CLEARING THE RIGHT OF WAY IN PREPARATION FOR LAYING PIPE. AMENDMENT NUMBER 6, IF APPROVED TODAY IN THE AMOUNT OF 14.9 MILLION, WOULD BRING THE TOTAL CONTRACT VALUE TO 40.17 MILLION WITH TLC DIVERSIFIED. SO HERE WE HAVE THE OVERALL CAPACITY PLAN AND HOW THE CONVEYANCE SYSTEM IS EXPANDED, OR EXPECTED TO EXPAND OVER TIME. PHASE 1A WOULD DELIVER 5.7 MILLION GALLONS PER DAY TO THE NEW PLANT.
IT'S APPROXIMATE COST IS 38 MILLION.
IT'S CURRENTLY UNDERWAY AT VARIOUS STAGES OF THE DESIGN BUILD PROCESS. PHASE 1B WOULD DELIVER IT 9.5 MILLION GALLONS PER DAY TO THE PLANT.
REINITIATED CIP'S, INCLUDING LIFT STATION UPGRADES.
PHASE TWO WILL DELIVER A 25.1 MILLION GALLONS PER DAY TO THE PLANT, SIMILAR TO PHASE 1B, WE'VE INITIATED CIP'S INCLUDING LIFT STATION UPGRADES, FORCED MAIN AND UPSIZING.
PHASE THREE WILL DELIVER 31.1 MILLION GALLONS PER DAY TO THE PLANT. THIS IS ONLY IF NEEDED.
IF IT'S NEEDED IT WOULD BE BASED ON GROWTH.
MOVING ON TO THE FIRST REQUEST TO TODAY, THE DESIGN FOR PHASE 1B OF THE SYSTEM. THIS SLIDE SHOWS THE FOUR PROJECTS THAT MAKE UP THE PHASE ONE DESIGN WORK.
THESE PROJECTS ARE PART OF A LARGER GROUP OF IMPROVEMENTS THAT WORK TOGETHER TO INCREASE THE AMOUNT OF WASTEWATER WE CAN MOVE THROUGH THE SYSTEM. THE KEY TAKE AWAY IS WHEN THESE PHASE 1B IMPROVEMENTS ARE COMBINED WITH OTHER PROJECTS, THE SYSTEM IS EXPECTED TO BE ABLE TO HANDLE APPROXIMATELY 5.7 MILLION GALLONS PER DAY UNDER NORMAL CONDITIONS.
AT PEAK FLOWS ABOUT TO 10 MILLION GALLONS PER DAY.
THE 5.7 MILLION GALLONS PER DAY IS WHAT WE EXPECT TO HANDLE ON A TYPICAL DAY. THE 10 MILLION GALLONS PER DAY REPRESENTS THE SYSTEM'S ABILITY TO HANDLE FLOWS THAT ARE MUCH HIGHER THAN NORMAL. THAT CAPACITY IS IMPORTANT, BECAUSE WASTEWATER FLOWS ARE CONSTANT.
THERE ARE TIMES WHEN SIGNIFICANT MORE FLOWS COME INTO THE SYSTEM, AND WE NEED ENOUGH CAPACITY TO HANDLE THOSE PERIODS WITHOUT THE SYSTEM BECOMING OVERLOADED. THE DESIGN WOULD INCLUDE CIP FIVE, CIP SIX, CIP SEVEN, LIFT STATION EMAC, AND CIP 12, THE CHURCH BOOSTER STATION. FOR ANYONE WHO MAY NOT BE FAMILIAR WITH THE TERMINOLOGY THAT IS BEING USED, A LIFT STATION IS ESSENTIALLY A PUMPING FACILITY FOR THE WASTEWATER SYSTEM. WASTEWATER FLOWS IN TO THE STATION AND THE PUMPS LIFT OR PUSH THE WASTEWATER THROUGH THE PIPES TOWARDS THE TREATMENT FACILITY.
INSIDE THE LIFT STATION IS A WET WELL.
THE WET WELL BASICALLY LARGE UNE WASTEWATER TEMPORARILY COLLECTS BEFORE IT IS PUMPED THROUGH THE SYSTEM.
[00:30:02]
A BOOSTER STATION INCREASES PRESSURE TO PUSH THE WASTEWATER FURTHER THROUGH THE SYSTEM. IN THIS CASE, IT'S FINAL DESTINATION AT THE TREATMENT PLANT.THE DESIGN SERVICES UNDER THIS CONTRACT WILL INCLUDE NEW HIGHER HEAD PUMPS, WHEN INSTALLING MORE POWERFUL PUMPS THAT CAN MOVE THE WASTEWATER THROUGH THE SYSTEM UNDER HIGHER PRESSURE REQUIREMENTS. WE WILL ALSO BE APPLYING WET WELL COATINGS. WE ARE APPLYING THIS CODING BECAUSE INSIDE THE WET WELL CAN BE VERY CORROSIVE.
AND THIS WILL HELP TO PROTECT THE CONCRETE AND EXTEND THE LIFE OF THE STRUCTURES. WE ARE ALSO INSTALLING PERMANENT BYPASS PUMPS. ADDING A PERMANENT BACKUP DIESEL PUMP SO WE HAVE ANOTHER WAY TO REMOVE THE WASTEWATER-- AND THE PRIMARY POP-- WHEN THE PRIMARY PUMPS ARE BEING SERVICED OR THERE IS A POWER OUTAGE. WE ARE ALSO ADDING A SKATE A SYSTEM TO THE SYSTEMS. THIS IS A SYSTEM THAT ALLOWS OUR OPERATORS TO REMOTELY MONITOR AND CONTROL THE LIFT STATION.
IT GIVES STAFF BETTER INFORMATION ABOUT HOW THE STATION IS OPERATED, AND IT HELPS IDENTIFY PROBLEMS MORE QUICKLY, SHOULD THEY APPEAR. AND FINALLY, WE WILL BE PERFORMING SITE WORK AT THE STATIONS AS WELL.
THERE WILL BE IMPROVEMENTS TO THE SITE, AROUND THE STATIONS, TO ACCOMMODATE THESE NEW IMPROVEMENTS.
TOGETHER, THESE IMPROVEMENTS DO MORE THAN JUST INCREASE THE STATIONS CAPACITY. THEY MAKE IT MORE RELIABLE AND RESILIENT. THAT'S WHY THE LOCATION OF THE STATIONS, STATION F IS LOCATED AT GLEN AVENUE AND U.S. ONE.
STATION G IS LOCATED AT 25TH STREET AND EDWARDS ROAD NEXT TO THE FOREST GROVE MIDDLE SCHOOL. STATION E LOCATED AT THE SOUTHERN END OF THE INDIAN HILLS GOLF COURSE.
AND THE BOOSTER STATIO IS LOCATED AT THE WESTSIDE BAPTIST CHURCH ON JENKINS ROAD. AND IN THIS PICTURE TO THE LEFT IS AN EXAMPLE OF PUMPS THAT WE'VE BEEN INSTALLING IN THE SYSTEM. AND THE PICTURE TO THE RIGHT IS AN EXAMPLE OF THE PERMANENT DIESEL BACKUP PUMPS THAT WILL BE INSTALLED AT THE STATIONS FOR LIABILITY.
AT THIS TIME I WILL TURN OVER TO MR. OSTRANDER.
WE ARE GOING THROUGH THE DETAILS OF THE SECOND PART OF OUR
REQUEST FOR TODAY. >> THE CIP 2.2B IS A CONTINUATION OF 2.1 AND 2.2 A MAC.
THE PROJECT REQUIRES 7500 FEET OF FORCED MAIN TO MAKE A CONNECTION TO THE NEW PLAN. STARTING ON THE NORTH SIDE OF 1T LEADS OFF, WE WILL BE INSTALLING A HTE P PIPE THROUGH A DIRECTIONAL DRILL, UNDERNEATH 1E PRESERVE.
FROM THERE WE WILL HEAD SOUTH, INSTALLING 30-INCH PVC ALONG THE NORTH ST. LUCY CANAL TO THE NORTH RIGHT-OF-WAY OF THE CUT OFF. WE WILL FOLLOW GLADES CUT OFF ROAD WHERE A BOARD WILL BE USED TO CROSS THE RAILROAD LINE ON THE NORTH SIDE OF GLADES CUT OFF ROAD.
AN ADDITIONAL JACK WILL BE USED TO CROSS GLADES CUT OFF AND ENTER THE SITE OF THE NEW PLAN. FROM THERE WE WILL BE INSTALLING PVC TO THE HEADBOARDS. THE DESIGN IS CURTLY 100% COMPLETE AND PERMITTING HAS BEEN SUBMITTED TO THE GOVERNING AGENCIES. PHOTOS HERE SHOW HORIZONTAL DIRECTIONAL DRILLING, WHICH WILL BE UTILIZING TO MINIMIZE THE IMPACTS CROSSING THE 10-MILE CREEK AND CROSSING THE PRESERVE.
THE PHOTO ON THE LEFT WAS TAKEN DURING CIP 2.1.
IT'S CREWS ARE INSTALLING 30-INCH PVC.
ON THE RIGHT IS AN EXAMPLE OF A, AND BOARD, INSTALLING A CASING UNDER THE RAILROAD TRACKS. WHICH WE WILL BE DOING TWICE FOR THIS PROJECT. STAFF IS RECOMMENDING THE APPROVAL OF AMENDMENT SIX TO THE CONTRACT OF TLC DIVERSIFIED INC.
FOR THE SYSTEMATIC WASTEWATER CONVEYANCE REDIRECTION TO THE NEW WATER RECLAMATION AND REUSE FACILITY.
STAFF IS RECOMMENDING $150,000 FPUA CONTINGENCY, INDEPENDENT OF THE CAPITAL IMPROVEMENT PROJECT 2.2B, GUARANTEED MAXIMUM PRICE.
WE ARE ASKING FOR THE DIRECTOR OF UTILITIES, AUTHORIZATION TO ENTER INTO CHANGE ORDERS OR INSTRUMENTS PURSUANT TO THE AUTHORITY GRANTED VIA THE RESOLUTION 2026-16.
WITH THAT I'M HAPPY TO ANSWER ANY QUESTIONS YOU MAY HAVE.
[00:35:04]
>> WE WILL TAKE QUESTIONS FROM THE BOARD.
>> MR. CHAIR, QUICK QUESTION. WE WERE TALKING ABOUT HOW MUCH-- HOW MANY MILLION GALLONS A DAY THIS WOULD BE ABLE TO RECEIVE IF WE PUSH THROUGH THE FUNDING, WHICH HOPEFULLY WERE ON THE SAME PAGE WITH THAT. YOU UP 5.7 TO TEN MGD WITH THIS CURRENT EDITION. I CAN'T REMEMBER.
CAN YOU REMIND US HOW MUCH THE CURRENT WASTEWATER PLAN HANDLES
DAILY ON AVERAGE AND THE MAX? >> THE CURRENT PLAN HANDLES ABOUT 5.4 TO 5.7 MILLION GALLONS PER DAY.
IT'S CAPACITY I BELIEVE IS 10 MILLION GALLONS PER DAY.
>> OKAY. BY GETTING THIS PROJECT IN PLACE WE WILL BE ABLE TO TAKE ALMOST THE SAME AMOUNT AS WE CURRENTLY
CAN ON THE ISLAND? >> YES, MA'AM.
>> THAT'S PRETTY AMAZING. >> YES, MA'AM.
>> ANY OTHER QUESTIONS OF THE BOARD?
>> MR. CHAIR, THAT MAP-- THAT ONE.
ALL OF THAT IS PRETTY MUCH WILDERNESS, ISN'T IT?
A LOT OF CLEARING HAS GONE IN TO THIS PROJECT.
AND THE RIGHT-OF-WAY'S OF GLADES CUT OFF AND JENKINS WE ARE
STARTING. >> AND YOU'RE GOING UNDER 10-MILE CREEK. THAT'S A BIG DEAL.
RIGHT? UNDER THE RAILROAD, YOU SAID
TWICE? >> THERE IS A SPUR ON THE NORTH SIDE OF GLADES THAT GOES BEHIND EAGLE DISTRIBUTION.
AND PARALLEL TO GLADES ROAD THE TRACK CONTINUES.
SO WE WILL BE CROSSING IT IN BOTH PLACES.
>> YES. IT'S KIND OF FASCINATING.
>> ANY OTHER QUESTIONS? THANK YOU.
NICE PRESENTATION. WE HAVE A MOTION.
DO WE HAVE A MOTION TO APPROVE? TRYING TO AVOID THAT 15 MILLION-DOLLAR ASKED, BUT OKAY.
>> YOU HAVE TO PAY FOR IT TO. >> YES.
DO WE HAVE A MOTION-- FIRST OFF, ARE WE DOING THIS AS ONE MOTION FOR BOTH? PART ONE AND PART TWO?
>> UNDER A SINGLE CONTRACT, YES. >> DO WE HAVE A MOTION TO
APPROVE? >> MOTION TO APPROVED.
>> SECOND. >> PLEASE CALL THE ROLL.
[F. DIRECTOR COMMENTS]
[LAUGHTER] >> DIRECTOR COMMENT.
>> I WOULD LIKE TO THANK THOSE TWO, I KNOW YOU CAN SEE IT IN THEIR PRESENTATION, BUT THEY LOVE WHAT THEY DO.
AND THIS IS REALLY IMPORTANT TO THAT GREW.
ESPECIALLY THOSE TWO. THEY ARE DOING A GREAT JOB.
THANK YOU TO THEM. TOMORROW THE UTILITY ADVISORY COMMITTEE WILL HOST OUR THIRD ANNUAL CAREER EVENT AT THE NEW WATER RECLAMATION AND REUSE FACILITY.
IT STARTS AT FOUR AND RUNS UNTIL SIX.
WE HAVE MORE ROOM AT THE NEW PLANT.
THE LAYOUT WILL BE MORE OPEN. SO SHOULD BE PRETTY EXCITING.
IT WILL INCLUDE TWO RESUME BUILDING WORKSHOPS LED BY IRS SEE. A TOUR OF THE PLANT.
TOUCH A TRUCK, WHICH IS FOR THEM TO GET TO THE BUCKET TRUCK.
I THINK THERE'S AN OPPORTUNITY FOR THE KIDS TO GET THROUGH THE BACK LAWN TOO. AND SEVERAL NEW WORKFORCE COMMUNITY PARTNERS THAT WILL BE THERE.
PROJECT LIFT, CAREER SOURCE. BOYS & GIRLS CLUB.
GREAT PLANNING BY THE UTILITY ADVISORY COMMITTEE AND THE PUBLIC AFFAIRS GROUP. IT SHOULD BE AN EXCITING TIME TOMORROW. AND I BELIEVE RACHAEL PASSED OUT A FLIER TO THE BOARD MEMBERS. LAST WEEK, THE MURAL AT JC PARK WAS COMPLETE. IT IS A COLLABORATION WITH THE FORT PIERCE REDEVELOP AND AGENCY WHO LEADS THE MURAL PROGRAM.
IT LOOKS AMAZING. THE ARTIST IS KRISTIN STANLEY, THEN HE'S-- CHRISTIAN STANLEY, AND HE DOES REALLY GREAT WORK.
I REALLY LIKE THE TURTLES HE DOES.
IF YOU HAVE A CHANCE TO STOP BY AND VIEW IT IN PERSON, I HIGHLY RECOMMEND IT. IT'S MUCH BETTER IN PERSON THAN IT IS ON SOCIAL MEDIA. SO GREAT WORK AT THE TANK OF JC PARK. OUR NEXT BOARD MEETING WILL BE SEPTEMBER 15TH AT 2:00 P.M. THE CITY HAS AN FPRA BOARD MEETING AT FIVE. SO OUR MEETINGS HAVE MOVED UP TO 2:00 P.M. IT WILL BE AT THE ENERGY SERVICES CENTER. WE WILL COMBINE IT WITH A BRIEF WORKSHOP AND A BOARD MEETING. I HAVE NO OTHER UPDATES FOR THE
[00:40:02]
BOARD. >> COMMENTS FOR THE DIRECTOR.
[H. BOARD MEMBER COMMENTS]
>> BOARD COMMENTS IN GENERAL? >> MR. CHAIRMAN, I KNOW WE ARE PROBABLY DOING NOT. BUT I HOPE WE ARE RECORDING THIS WHOLE WASTEWATER TREATMENT PLANT MOVING.
I HOPE WE ARE-- SO THAT WE HAVE IT PRESERVED FOR HISTORY.
AND ALSO TO SHOW OFF-- IT REALLY IS AN EXCITING-- AND IT'S A
WE ARE DOING DRONE FOOTAGE. WE POST ONE ITEM EVERY WEEK ON WASTEWATER WEDNESDAYS. PROGRESS OF THE PROJECT, AND WE HAVE A LOT OF DOCUMENTATION INTERNALLY.
>> AT SOME POINT YOU MIGHT APPLY FOR SOME AWARDS AND THAT KIND OF
STUFF? >> LAST YEAR WE GOT AN AWARD THROUGH THE WATER ENVIRONMENT FEDERATION, AND IT WAS THE INNOVATION OF THE FUTURE AWARD. DID I GET THAT RIGHT? UTILITY OF THE FUTURE TODAY AWARD.
>> SO THERE SHOULD BE MORE COMMON?
>> I'M EXCITED THE CAREER EVENT IS GOING TO BE THERE AS WELL.
THE KIDS THAT COME THROUGH THAT WILL GET TO SEE A BIT OF
EVERYTHING. >> TEAR, AS IT RELATES TO THE PROJECT, FROM WHAT I UNDERSTAND, A LARGE PORTION OF THE FUNDS NEEDED TO COMPLETE THIS PROGRAM WITH THE PROJEC IS BY WAY OF
REIMBURSABLE GRANTS? >> YES, MA'AM.
>> WHICH IS MANAGED BY THE SUSTAINABILITY GROUP?
>> YES. >> SO I CAN IMAGINE THAT WOULD BE MUCH OF A TASK TO STAY IN LINE TO ENSURE THAT YOU DON'T ALL YOUR EYES AND ACROSS ALL YOUR TEASE DURING THE PROCESS? I COULD SEE THAT BEING A MAJOR LIFT.
SO I THANK YOU. >> AND IT'S EASIER ON THE RATE
>> I'M EXCITED ABOUT THE USE CAREER EVENT.
THIS WILL BE MY THIRD YEAR OF GOING.
AND I'M GLAD THAT A LOT OF SCHOOLS ARE AWARE OF THIS SO THAT THEY WILL BE ABLE TO COME OUT AND ENJOY IT AS WELL.
AS WELL AS BOYS & GIRLS CLUB AND ALL THE OTHER ONES THAT ARE
COMING. >> PERFECT.
* This transcript was compiled from uncorrected Closed Captioning.