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11/18/2004 . . . CITY COUNCIL MEETING CITY OF CLEARWATER November 18, 2004 Present: Brian J. Aungst Frank Hibbard Hoyt P. Hamilton William C. Jonson Carlen Petersen Mayor Vice-Mayor Councilmember Councilmember Councilmember Also present: William B. Horne II Garry Brumback Pamela K. Akin Mary K. Diana Brenda Moses City Manager Assistant City Manager City Attorney Assistant City Clerk Board Reporter The Mayor called the meeting to order at 6:00 p.m. at City Hall. The invocation was offered by Pastor Dean Rucker of Sunset Point Baptist Church. The Mayor led the Pledge of Allegiance. To provide continuity for research, items are in agenda order although not necessarily discussed in that order. 4 Introductions and Awards 4.1 Service Awards One service award was presented to a City employee. 5 Presentations: 5.1 City Manager's Annual Report The City Manager reviewed the Annual Report. He mentioned projects completed over the last four years which included Bright House Networks Field and the new Main Library. Progress has been made in revitalizing Downtown and the beaches. Arts partnerships led to the renovation of Ruth Eckerd Hall. Clearwater was recognized as the top sports town in Florida and earned the designation of All-American City Finalist this year. He said the City has come a long way during the past few years and encouraged residents to obtain a copy of the report. 5.2 Recoonize the work of the Downtown Desion Guidelines Steerino Committee Downtown Design Guidelines Steering Committee members, Long Range Planning Manager Gina Clayton, Planner Mark Parry, and Economic Development Coordinator Anne Fogarty were commended for their efforts. 5.3 Awards to Laboratory Manaoer Utilities Laboratory Manager Maria de la Cantera was awarded two certificates for her work. City Council 2004-11-18 1 . 5.4 Recoqnition of Coastal Cleanup Volunteers Coastal Cleanup volunteers were recognized for their efforts. 6 Approval of Minutes 6.1 City Council - November 4, 2004 Councilmember Jonson moved to approve the minutes of the regular meeting of November 4, 2004, as submitted in written summation by the City Clerk. The motion was duly seconded and carried unanimously. 7 Citizens to be Heard re Items Not on the Agenda Carl Balducci suggested considering new federal guidelines regarding train noise. Public Hearings 8 Administrative public hearings 8.1 Approve an amendment to the development aqreement between the Beachwalk Resort LLC (fka Clearwater Seashell Resort L.C.) and the City of Clearwater, Adopt Resolution #04-35 and approve restructurinq of the fundinq in Capital Improvement Proiect 315-92267 (Coronado/S. Gulfview Streetscape) by replacinq the $2 million . General Fund Loan with a $2 million loan from the Central Insurance Fund. The subject site is 1.63 acres and is located at 201 and 301 South Gulfview Boulevard and 230, 300 and 304 Coronado Drive. The Community Development Board (CDB) reviewed the proposed applications for Flexible Development and Development Agreement approval at their meeting on November 16, 2004. When the initial agenda item was approved regarding additional funding for the Coronado/South Gulfview Streetscape, it was contingent upon commencement of this development and anticipated the elimination of the City's responsibility to purchase the property from the developer (for $6 million) if the developer failed to commence construction by March 6, 2006. Elimination of this requirement would have released $6 million worth of funding, $2 million of that being General Fund. Since this $2 million in General Fund money will not be able to be released until March 6, 2006, and the funding for Coronado/South Gulfview is needed prior to that time, staff will need to replace the $2 million in General Fund money in the Coronado/South Gulfview project with $2 million in the Central Insurance Fund loan until such time as the requirement to purchase the property has been eliminated (March 7,2006). At that time, a budget amendment will be made to return the Central Insurance Fund money and replace it with General Fund money. The funding for this project will be put in place upon the developer moving forward on the project and depositing the appropriate funds with the City of Clearwater. A quarterly amendment will be processed to reflect the budget at that time. Councilmember Jonson moved to continue Item #8.1 to December 2, 2004. The . motion was duly seconded and carried unanimously. City Council 2004-11-18 2 . 9 Quasi-judicial public hearings 9.1 Approve the Petition for Annexation. Land Use Plan Amendment from County Residential Low (Rl) to City Residential Low (Rl) and ZoninQ Atlas Amendment from the County R-3. SinQle-Family Residential District to the City Low Medium Density Residential (LMDR) District for 1705 Thomas Drive (consistinQ of Lots 28 and 29 VirQinia Groves Terrace 2nd addition in Sec. 5-29-16) and Pass Ordinance #7344-04. #7345-04 & #7346-04 on first readinQ. The subject property is located at 1705 Thomas Drive, on the east side of the street approximately 150 feet north of S. R. 590. The applicant is requesting this annexation to receive City sanitary sewer and solid waste service. The property is contiguous with existing City boundaries to the south; therefore, the proposed annexation is consistent with Florida Statutes with regard to voluntary annexation. It is proposed that the abutting right-of-way not currently within the City limits also be annexed. The subject site is approximately 0.385-acre in area and is occupied by an existing single-family detached dwelling. It is proposed that the property have a Future Land Use Plan designation of Residential Low (RL) and a zoning category of Low Medium Density Residential (LMDR). . The Planning Department determined that the proposed annexation is consistent with the following standards specified in the Community Development Code: 1) The proposed annexation will not have an adverse impact on public facilities and their level of service; 2) The proposed annexation is consistent with the City's Comprehensive Plan, the Countywide Plan, the Community Development Code and Pinellas County and Florida Law; and 3) The proposed annexation is contiguous to existing municipal boundaries, represents a logical extension of the boundaries and does not create an enclave. The Community Development Board reviewed this application at its public hearing on October 19, 2004, and unanimously recommended approval. Councilmember Jonson moved to approve the Petition for Annexation, Land Use Plan Amendment from County Residential Low (RL) to City Residential Low (RL) and Zoning Atlas Amendment from the County R-3, Single-Family Residential District to the City Low Medium Density Residential (LMDR) District for 1705 Thomas Drive (consisting of Lots 28 and 29 Virginia Groves Terrace 2nd addition in Sec. 5-29-16). The motion was duly seconded and carried unanimously. Ordinance #7344-04 was presented for first reading and read by title only. Councilmember Petersen moved to pass Ordinance #7344-04 on first reading. The motion was duly seconded and upon roll call, the vote was: "Ayes": Hibbard, Hamilton, Jonson, Petersen, and Aungst. "Nays": None. Ordinance #7345-04 was presented for first reading and read by title only. Councilmember Hibbard moved to pass Ordinance #7345-04 on first reading. The . motion was duly seconded and upon roll call, the vote was: City Council 2004-11-18 3 . . . "Ayes": Hibbard, Hamilton, Jonson, Petersen, and Aungst. "Nays": None. Ordinance #7346-04 was presented for first reading and read by title only. Councilmember Hamilton moved to pass Ordinance #7346-04 on first reading. The motion was duly seconded and upon roll call, the vote was: "Ayes": Hibbard, Hamilton, Jonson, Petersen, and Aungst. "Nays": None. 10. Second Readings - public hearings - None. City Manager Reports 11 Consent Agenda - Approved as submitted. 11.1 Declare two Steadfast bridqes located at Glen Oaks Park. 1345 Court Street. surplus to city needs and approve a Letter of Understandinq between the City and Pinellas County as it relates to the donation and use of the bridqes. 11.2 Approve an aqreement between the City of Clearwater and the School Board of Pinellas County. Florida providinq for temporary assiqnment of an additional School Resource Officer to Clearwater Hiqh School and Countryside Hiqh School. and that the appropriate officials be authorized to execute same. 11.3 Approve Streetscape Maintenance Memorandum of Aqreement with the State of Florida Department of Transportation and authorize the appropriate officials to execute same. 11.4 Approve a work order to Parsons Water & Infrastructure. Inc.. in the amount of $324.310 for enqineerinq desiqn services related to the Chloride Monitorinq Well Implementation Proiect (04-0029-UT). and that the appropriate officials be authorized to execute same. 11.5 Award a contract for the Northeast Filter Rehabilitation and Marshall Street Blower Motor Control Center Replacement Proiect (03-0066-UT) to TLC Diversified of Palmetto. FL. in the amount of $2.395.705. which is the lowest responsive bid received in accordance with plans and specifications. and that the appropriate officials be authorized to execute same. 11.6 Authorize the City Attornev to institute a quiet title action to clear a cloud on the title of property located at 1128 Palm Bluff Street. Clearwater. Florida. and owned bv the City of Clearwater. Leqal Description: as to Lot 47. and if necessary Lot 48. Blk. F. Greenwood Park No.2.. Parcel No. 10/29/33552/006/0470. City Council 2004-11-18 4 . . . Purchasing 11.7 JoswiQ Construction Inc. - Concrete flatwork as needed at various locations throuQhout the city durinQ the period: November 19, 2004 throuQh November 30. 2004, at a cost not to exceed $350,000. Councilmember Hamilton moved to approve the Consent Agenda as submitted and that the appropriate officials be authorized to execute same. The motion was duly seconded and carried unanimously 12 Other items on City Manager Reports 12.1 Pass on first readinQ Ordinance #7366-04 authorizinQ Gas System Subordinate Debt, to be issued by Florida Gas Utility on the City's behalf as part of a Qas supply arranQement with Public Gas Partners. Clearwater Gas System (CGS) is a member of Florida Gas Utility (FGU), which is a not-for-profit joint action agency made up of 22 Florida Governments. Clearwater currently has an All Requirements Agreement with FGU, which obligates CGS to purchase 100% of our natural gas supply through FGU. FGU is entering into a Gas Production Sharing Agreement with Public Gas Utilities (PGP), a Georgia non-profit corporation, consisting of multiple municipal agencies. PGP's objective is to acquire and have a working interest in multiple gas wells. PGP will issue interim debt to pay the costs of purchasing interests in the gas wells. Once the gas wells are obtained by PGP, PGP will notify FGU of their percentage share of the costs to obtain the wells and FGU will issue debt to pay FGU's share of the costs. FGU then will bill each of its members their percentage share of the annual debt costs. In addition to debt costs, the costs of operating the wells will be billed from PGP to FGU, and ultimately to the FGU members, including Clearwater. Each member of PGP will then get their percentage share of the gas flowing from the wells, including FGU, which will further allocate the gas to each of its members, including Clearwater. As part of this agreement, CGS will be obligated to pay their share of both the annual debt payment and the annual operating costs even if the wells do not produce as anticipated. This ordinance properly authorizes the undertaking of the PGP Gas Supply Agreement for the portion of the agreement that could be treated as debt rather than operating expenses. Clearwater Gas will pass the cost of its share of this debt as well as the operating cost of CGS's share of the operating costs of the PGP project to their gas customers as resale gas supply costs under CGS's Purchased Gas Adjustment. In response to a question, Clearwater Gas System Managing Director Chuck Warrington said the consortium will buy interest in a collage of mutual fund wells as a partner owner. Councilmember Hibbard moved to authorize Gas System Subordinate Debt, to be issued by Florida Gas Utility on the City's behalf as part of a gas supply arrangement with Public Gas Partners. The motion was duly seconded and carried unanimously. City Council 2004-11-18 5 . Ordinance #7366-04 was presented for first reading and read by title only. Councilmember Hamilton moved to pass Ordinance #7366-04 on first reading. The motion was duly seconded and upon roll call, the vote was: "Ayes": Hibbard, Hamilton, Jonson, Petersen, and Aungst. "Nays": None. 12.2 Pass Ordinance #7321-04 on first readinq increasinq domestic, lawn water. and wastewater collection utility rates by 7% effective October 1. 2005. with subsequent 6% increases to be effective October 1. 2006. October 1. 2007. and October 1. 2008 and increasinq reclaimed water rates by 29.44% effective October 1, 2005, then meterinq reclaimed water and implementinq the proposed reclaimed water rates that are proiected to result in a 29.44% increase to the averaqe reclaimed water customer effective October 1, 2006 followed by a 6% increase to those reclaimed water rates effective October 1, 2007, and October 1, 2008. The utility rate increase is needed to provide funding to maintain compliance with debt service coverage requirements supporting the continuation of capital improvement projects needed to sustain the City's utility infrastructure. Infrastructure improvements are needed to maintain compliance with federal regulations concerning water supply and treatment and the wastewater collection system, maintain reliability of the water pollution control facilities due to the age of infrastructure, and expand the reclaimed water system. Master Plans have been completed for all of the systems in Public Utilities and the capital improvements program has been revised to meet future infrastructure needs. . The last rate increase effective March 1, 2001, provided a series of 7% increases over a 5-year period applicable to water and wastewater rates only. The last rate increase in this approval became effective October 1, 2004. These rates will remain in effect as approved. Burton & Associates has completed a water, wastewater, and reclaimed water utility rate study to cover 5 years of operations. The current study covers the period FY (Fiscal Year) 2005 through FY 2009 and recommends increasing the existing reclaimed water rates in FY 2006, then adopting a new reclaimed water rate structure to be implemented when the City is able to meter reclaimed water, projected to be FY 2007. This would allow for improved equity between reclaimed water customers and water and wastewater customers, since reclaimed water rates have not been increased since 1998, whereas regular increases have been implemented to the water and wastewater rates. This study recommends increasing reclaimed water rates by 29.44% in FY 2006, implementing new reclaimed water rates in FY 2007 that would result in an increase of 29.44% to the average reclaimed water customer, and applying subsequent 6% per year reclaimed water rate increases thereafter (FY 2008 and FY 2009), thus aligning those reclaimed water rate increases with the annual water and wastewater rate increases. By doing so, the overall water and wastewater rate increases from FY 2006 through FY 2009 could be reduced to 6% annually instead of 7%, if the proposed reclaimed water rates are not implemented. . Metering of reclaimed water and raising the reclaimed water rates as proposed, lowers the rate of increase to all water and wastewater customers, allows the reclaimed water system to become more self-sufficient over time, provides the possibility of City Council 2004-11-18 6 . . . retaining 50% SWFWMD (Southwest Florida Water Management District) grant reimbursements on reclaimed water capital projects, and allows more customers to be connected to the reclaimed water system over time, due to increased demand management. Also factored into the rate study are continued wholesale potable water purchases from Pinellas County at their suggested increased rates. These rates increase from the present $2.30/1,000 gallons to $3.18/1,000 gallons over the timeframe of the study. The last two years reflect information from the County indicating 7% per year wholesale potable water rate increases, due to the County's proposed blending plant, following 3 years of 10% annual increases. Included in the ordinance changes are user fee schedule changes to align cost of providing particular services with actual expenses. Some fees were added, some were raised, and some we lowered based on current costs. A rate restructuring study is also currently underway by Burton & Associates reviewing the water and wastewater rate structures. Public Utilities Director Andy Neff presented an overview of the proposed rate increases for water and sewer. He reviewed future plans and rate options. In response to a question, Public Utilities Director Andy Neff said Pinellas County's 10% increase over the next three years only covers water rates. These rate increases are necessary to offset future general fund increases. Mr. Neff said additional employees will be needed through 2009, as the number of reclaimed water meters in the City will increase. The FTEs only will be added as necessary and costs will be split between the Water and Gas Departments. Councilmember Petersen moved to continue Item #12.2 to December 2, 2004. The motion was duly seconded and carried unanimously. 12.3 Appoint one member to the Community Development Board with the term expirinQ on February 28, 2006. Councilmember Hamilton moved to appoint Thomas Coates to the Community Development Board with the term expiring on February 28, 2006. The motion was duly seconded and carried unanimously. 12.4 IAFF Union neQotiations update. Human Resources Director Joe Roseto reported that a meeting with the IAFF (International Association of Firefighters) is scheduled for November 29, 2004. City Council 2004-11-18 7 . . . 13 City Attorney Reports 13.1 Pass Ordinance #7350-04 on first readinq, amendinq Ordinance #6779-01. which vacated the 60-foot riqht-of-way of Third Street. (A1K1A Third Avenue). bounded on the east by the westerly riqht-of-way line of Coronado Drive and bounded on the west by the easterly riqht-of-way of South Gulfview Boulevard. subiect to special conditions. Ordinance #6779-01, which vacated the right-of-way subject to special conditions, was adopted in 2001. The current owners of the property have requested amendments to conditions contained in Ordinance #6779-01: In the first condition, Beachwalk Resort, LLC shall commence vertical construction within one year of the effective date of Ordinance #7350-04, rather than complete construction within 3 years. The one-year period may be extended for unavoidable delay as provided in the Development Agreement. Condition 5, requiring the developer to obtain approval from the City Commission of the final design for South Gulfview/Beachwalk project, has been deleted. Councilmember Hamilton moved to approve amending Ordinance #6779-01, which vacated the 60-foot right-of-way of Third Street, (AI KIA Third Avenue), bounded on the east by the westerly right-of-way line of Coronado Drive and bounded on the west by the easterly right-of-way of South Gulfview Boulevard, subject to special conditions. The motion was duly seconded and carried unanimously. Ordinance #7350-04 was presented for first reading and read by title only. Councilmember Jonson moved to pass Ordinance #7350-04 on first reading. The motion was duly seconded and upon roll call, the vote was: "Ayes": Hibbard, Hamilton, Jonson, Petersen, and Aungst. "Nays": None. 13.2 Pass Ordinance #7351-04 on first readinq, amendinq Ordinance #6780-04. which vacated the east 35 feet of the 70-foot riqht-of-way of Gulfview Blvd., bounded on the north bY the westerly extension of a line parallel to and 20 feet north of the northerly lot line of lots 57 and 104 of the L1oyd-White-Skinner Subdivision. and bounded on the south by the westerly extension of the south lot line of Lot 59 of said L1oyd-White- Skinner subdivision, subiect to special conditions. Ordinance #6780-01, which vacated the right-of-way, was adopted in 2001 subject to special conditions. The current owners, Beachwalk Resort LLC, have requested amendments to the special conditions: In the first condition, Beachwalk Resort, LLC shall commence vertical construction within one year of the effective date of Ordinance #7351-04, rather than complete construction within 3 years. The one-year period may be extended for unavoidable delay as provided in the Development Agreement. City Council 2004-11-18 8 . . . Condition 5, requiring the developer to obtain approval from the City Commission of the final design for South Gulfview/Beachwalk project, has been deleted. Councilmember Petersen moved to approve amending Ordinance #6780-04, which vacated the east 35 feet of the 70-foot right-of-way of Gulfview Blvd., bounded on the north by the westerly extension of a line parallel to and 20 feet north of the northerly lot line of lots 57 and 104 of the L1oyd-White-Skinner Subdivision, and bounded on the south by the westerly extension of the south lot line of Lot 59 of said L1oyd-White- Skinner subdivision, subject to special conditions. The motion was duly seconded and carried unanimously. Ordinance #7351-04 was presented for first reading and read by title only. Councilmember Hibbard moved to pass Ordinance #7351-04 on first reading. The motion was duly seconded and upon roll call, the vote was: "Ayes": Hibbard, Hamilton, Jonson, Petersen, and Aungst. "Nays": None. 14 City Manager Verbal Reports The City Manager congratulated Doug Matthews on his marriage. He reported he attended an awards ceremony with Police Chief Sid Klein at Mutual Life Insurance Company of America in New York, where Clearwater received an honorable mention for its homeless efforts. He reported Streetworks Collaborative in Minneapolis targets homeless youth, which is major problem there. 15 Council Discussion Items - None. 16 Other Council Action Councilmember Hibbard thanked those who participated in Veteran's Day celebrations. He attended the Turner Awards and congratulated recipients. Councilmembers Hibbard, Petersen. Hamilton, and Mavor Aunqst attended the annual Dinner of Thanks and thanked hosts Duke Tieman and the Citizens for Progressive Action in South Greenwood. Councilmember Petersen attended the Homeless Emergency Project Thrift Store opening, the Harborview Taste for Life, and the TBRPC (Tampa Bay Regional Planning Council) presentation regarding hurricanes and recommended the City think about special needs citizens. She toured the easUwest trail from the Long Center to Safety Harbor. Councilmembers Petersen and Hamilton wished everyone a Happy Thanksgiving. Councilmember Jonson received positive feedback regarding the City Manager's Annual Report Calendar. He is attending FLC (Florida League of Cities) meetings, including a special session regarding hurricane issues. He reviewed legislative issues City Council 2004-11-18 9 . . . and reported advocacy training sessions are scheduled for January 28, 2005, in St. Petersburg. He attended the Doorways celebration, Gibbs Gospel Choir performance, Downtown Art Stroll, Sayonara Party for Nagano teachers, Night with Authors at Main Library, Tampa Bay Technology Forum Dinner, and Ms. Ellen's Kitchen on Veteran's Day. He will participate in this year's Turkey Trot. He urged everyone to be careful during the holidays. He reported on the Tiger Bay Club. Councilmember Hamilton urged everyone to travel safely during the holidays. He attended the Kiwanis dinner, the 22nd annual Capogna golf tournament, and the Clearwater Regional Chamber of Commerce's Board Meeting. Mavor Aunast attended the flag presentation at Belleair Elementary school and the Clearwater Regional Chamber of Commerce reception for CEO candidates. He reported the annual charity fundraiser, Festival of Trees, is at the Harborview Center from November 18 - 21, 2004. He announced the annual Turkey Trot will be Thanksgiving morning at Clearwater High School. He said the Farmer's Market is celebrating its tenth season in Downtown, and is located in front of City Hall on Wednesdays, through April 2005. He sent condolences to the family of the FSU (Florida State University) student who recently passed away. 17 Adjourn The meeting adjourned at 7:36 p.m. M?;/k A~ t ~Z.~.Q.~. City erk - City Council 2004-11-18 10