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III (B) Acceptance and Authorization for Mayor and City Clerk to Execute Agreement on Water/Sewer Revenue Maintenance Fees with Barry Goodman et al AGENDA 1-17-95 Item III B "CENTER OF GOOD LIVING -PRIDE OF WEST ORANGE" Ocoee S.SCOTT VANDERGRIFT ( °/" COMMISSIONERS O. CITY OF OCOEE RUSTY JOHNSON PAUL W.FOSTER 0 150 N.LAKESHORE DRIVE SCOTT A.GLASS 0 t1 OCOEE,FLORIDA 34761-2258 JIM GLEASON �►�, ? (407)656-2322 CITY MANAGER 4f. Of 000V•s> ELLIS SHAPIRO MEMORANDUM DATE: January 13, 1995 TO: The Honorable Mayor and Board of City Commissioners FROM: Montye E. Beamer, Director 9 Administrative Services SUBJECT: Water and Sewer Revenue and Maintenance Fee Agreement, Barry Goodman et al Since the adoption of Resolution 92-13, there have been many discussions concerning water and sewer revenue and maintenance fees and fee structure for the Developers, Owners and Successors of the Agreements listed in the Recitals of the attached Water and Sewer Revenue and Maintenance Fee Agreement. These Developers, Owners and Successors will be referred to as Barry Goodman et al since he collected all guaranteed revenues, balanced credits, and made certain that payments were made in a timely manner. Barry Goodman et al had, as previously stated, paid guaranteed revenues on sewer capacity, the calculation being based on one (1) Equivalent Residential Unit equal to 350 gallons per day. The water agreements defined one (1) Equivalent Residential Unit equal to 350 gallons per day; no payment was due until the adoption of Resolution 94-17. The Ocoee Comprehensive Plan as adopted in September 18, 1991 established one (1) Equivalent Residential Unit for sewer as 270 gallons per day and water as 300 gallons per day. These original Barry Goodman et al agreements did not contemplate such a change in the standard or its impact on fee calculation or transfer of capacity. Prior to the summer of 1994, when the City executed other agreements for sewer and water capacity the 270 gpd and 300 gpd respectively were assumed. In order to formalize the discussions with Barry Goodman et al about these changes, the attached agreement was written by the City Attorney and approved by Barry Goodman and the group's legal counsel. The key elements of the agreement include: (1) conversion of all sewer and water capacity to gallons utilizing the 350 gallons per day for each one (1) Equivalent Residential Unit; (2) a formula for payment that allows sewer and water revenue and maintenance fees to be calculated on the basis of 270/350 and 300/350 with change only occurring should a new gallons per day standard be adopted by the City Commission; (3) an increase by five (5) years the sewer capacity allocation thereby amending its life from fifteen to twenty years; and, (4) a payment schedule for all outstanding sewer and water revenue and maintenance fees in keeping with payment requirements established for Concurrency Management. Staff recommends that the Mayor and Board of City Commissioners (1) approve the agreement, (2) authorize the Mayor and City Clerk to execute and (3) instruct the City staff to add this document, where applicable, to the Development Orders for both the Lake Lotta Mall and Lake Lotta Center. MEB/jbw THIS INSTRUMENT PREPARED BY AND SHOULD BE RETURNED TO: R. Duke Woodson, Esq. FOLEY&LARDNER 111 North Orange Avenue, Suite 1800 Post Office Box 2193 Orlando, FL 32802-2193 (407) 423-7656 with a copy to: Thomas A. Cloud, Esquire GRAY,HARRIS &ROBINSON,P.A. 201 East Pine Street, Suite 1200 Post Office Box 3068 Orlando, FL 32802-3068 (407) 843-8880 For Recordin ' .s.: • WATER AND SEWER REVENUE AND MAINTENANCE FEE AGREEMENT THIS AGREEMENT is made and entered into as of the day of , 1995, by and between the CITY OF OCOEE (hereafter referred to as the "UTILITY" ) and the parties listed on attached Exhibit "A" (hereafter referred to in the aggregate as the "DEVELOPERS" and in the singular as the "DEVELOPER" ) , those parties listed on attached Exhibit "B" (hereafter referred to in the aggregate as the "OWNERS" and in the singular as the "OWNER" ) , and those parties listed attached Exhibit "C" (hereafter referred to in the aggregate as the "SUCCESSORS" and in the singular as the "SUCCESSOR" ) . Exhibits "A, " "B" and "C" are by this reference made a part of this Agreement. RECITALS 1. The DEVELOPERS and OWNERS entered into new sewer developers' agreements (the "New Agreements" ) with the UTILITY on December 30, 1987, as listed on Exhibit "D" attached to and incorporated in this Agreement. 2. As provided in Subsections 6.2 and 7 . 1 of the New Agreements, the DEVELOPERS and OWNERS are required to pay "Guaranteed Revenue and Maintenance Fees" to the UTILITY. 3. Residential Communities of America, Inc. , a Florida corporation, entered into an agreement with the City of Ocoee known as the City of Ocoee, Florida-Water Plant No. 4 Potable Water Supply Agreement, dated January 24, 1984 (hereafter the "January 24, 1984 Potable Water Supply Agreement" ) . 4. Pursuant to this Agreement, Residential Communities of America, Inc. , caused to be constructed the Forest Oaks Water Treatment Plant. 5. The SUCCESSORS are successors in interest to Residential Communities of America, Inc. , which under said Agreement had the right to 1, 186 equivalent residential units ( "ERUs" ) of water service capacity' t: :...... eiia ii } 35..0 .t f . 6. The UTILITY agreed to provide water service capacity to Lake Lotta, Ltd. , in a volume of 1,250 ERU's of water service capacityx{:::: :x: :<: > e::::;IW ::>::::<::value:::>>::e. :. :a : :. ::I : #:<::::<:G Pursuant to an agreement-' dated-Novennber»..2.2- :"`Y`9"8"8- `by""and`°between the UTILITY and Lake Lotta, Ltd. This agreement shall hereafter be referred to as the "November 22, 1988 Developers' Agreement for Water Service. " 7 . On July 31, 1989, the UTILITY and West 50 Water Line, Inc. , entered into a construction agreement setting out the parties' obligations for the construction by the corporation of a water transmission main, which was accepted by the UTILITY on January 21, 1991. 8. The UTILITY has heretofore adopted Article VI of Chapter 173 of the Code of the City of Ocoee entitled City Revenue and Maintenance Fee. On August 18, 1992 the UTILITY adopted Resolution No. 92-13 authorizing the implementation of a revenue and maintenance fee for sewer and water permits to be paid annually or monthly by all those UTILITY customers who possess City of Ocoee sewer and/or water permits authorizing connection to any UTILITY water or sewer treatment facility. 9. The CITY modified and increased its water and sewer revenue and maintenance fees pursuant to City of Ocoee Resolution No. 94-17, which was adopted on August 16, 1994, and is effective October 1, 1994 . 10. In recognition of the prior guaranteed revenue fees paid to UTILITY by the DEVELOPERS and OWNERS and their forbearance in questioning past practices of the UTILITY, the parties hereto modified and amended the Waste Water Developers ' Agreements by that Amendment to City of Ocoee Waste Water Developers' Agreement Nos. 2 OWW-87-2, OWW-87-3, OWW-87-4, OWW-87-5, OWW-87-8, OWW-87-10, OWW- 87-11, and OWW-87-12, on October 1, 1992 (hereafter "October 1, 1992 Amendment" ) . 11. Some confusion has arisen in the calculation of capacity entitlement, the basis for paying the revenue and maintenance fees and the basis for use of water and waste water capacity under the New Agreements, the January 24, 1984 Potable Water Supply Agreement, and the November 22, 1988 Developers' Agreement for Water Service. 12. The parties now wish to clarify these issues for once and for all. 13. The UTILITY, the DEVELOPERS, the OWNERS, and the SUCCESSORS hereby acknowledge and warrant to the other that this Agreement and any future acts as required hereby are binding and enforceable on the UTILITY, the DEVELOPERS, the OWNERS, and the SUCCESSORS in accordance with their terms. 14 . Section 24 of the agreements listed in Exhibit "D" hereof, the January 24, 1984 Potable Water Supply Agreement, and Section 23 of the November 22, 1988 Developers' Agreement for Water Service contemplate and require that amendments to and waivers of the provisions of all those agreements must be made by the parties in writing by formal amendment. 15. The UTILITY and the DEVELOPERS' and OWNERS' preceding service company entered into certain stipulations and agreements as set forth in paragraph 2 (h) of the two Judicial Stipulations in December of 1987, and the Purchase and Sale Agreement of December 3, 1987, which contemplates execution of an agreement such as this Agreement. 16. For purposes of this Agreement, Lake Lotta, Ltd. , BML Investments, PRN Investments, Jerome D. Feinstein, Jeffrey Yeager, Trustee, and William and Leiser M. Colburn are not, and should not be inferred as being developers or dealers even though they may be referred to as such herein. Use of the term "developers" was done to conform this document to prior UTILITY documents. ACCORDINGLY, in consideration of the Recitals hereof, for and in ,consideration of the mutual undertakings and agreements herein contained and assumed, and other good and valuable consideration the receipt and sufficiency of which are acknowledged by the parties, the parties do hereby agree as follows: SECTION 1. RECITALS. The above Recitals are true and correct, and form a material part of this Agreement. 3 SECTION 2 . APPLICATION OF SEWER AND WATER REVENUE AND MAINTENANCE FEES. 2 . 1. Notwithstanding anything to the contrary contained in any agreement, contract, ordinance, or other document, the UTILITY, the DEVELOPERS, the OWNERS, the SUCCESSORS, and their successors or assigns, agree that when determining capacity entitlement for water and/or sewer service capacity, any water or sewer service capacity held by any of the DEVELOPERS, the OWNERS, the SUCCESSORS, or their successors or assigns, shall be calculated on a gallon per day ( "GPD" ) basis and any capacity needed for development shall be calculated according to the then applicable GPD value of an ERU as promulgated by the UTILITY. 2.2. Furthermore, the UTILITY agrees that the basis for payment by the DEVELOPERS, the OWNERS, the SUCCESSORS, or their successors and assigns, of the water and/or sewer revenue and maintenance fees (collectively "FEES" ) shall be based upon an ERU value of 350 GPD. The intent of this provision is that the FEES paid by any of the DEVELOPERS, the OWNERS, the SUCCESSORS, or their successors and assigns, shall be equal to: 1. In the case of the water FEES, the amount paid per GPD shall be the amount charged per GPD by the UTILITY to all users multiplied by 300/350, unless the UTILITY shall revise the standard capacity for all. users, in which case the numerator shall be the revised standard capacity. 2. In the case of the canitary sewer FEES, the amount paid per GPD shall be the amount charged per GPD by the UTILITY to all users multiplied by 270/350, unless the UTILITY 4 shall revise the standard capacity for all users, in which case the numerator shall be the revised standard capacity. The UTILITY agrees that it shall calculate the projected use of those wishing to connect and utilize water and/or sewer capacity to which the DEVELOPERS, the OWNERS, the SUCCESSORS, or their successors and assigns, are entitled at 300 GPD for water service and 270 GPD for sewer service unless the UTILITY shall revise the standard capacity for all users. In other words, this is how the UTILITY shall calculate projected usage for any collection, distribution, or transmission system permit application presented by any of the DEVELOPERS, the OWNERS, the SUCCESSORS, or their successors or assigns, to be signed by the UTILITY and filed with the Florida Department of Environmental Protection or successor agency for utilization of the capacity entitlement discussed hereinabove. The above stated criteria shall apply henceforth and forevermore even though the amount charged for the FEES per ERU may increase or decrease in the future (resulting in a higher or lower payment by the DEVELOPERS, the OWNERS, the SUCCESSORS, or their successors or assigns) . In consideration thereof, the DEVELOPERS, the OWNERS, and the SUCCESSORS, or their successors and assigns, agree to pay in accordance with the terms of this Agreement, all applicable FEES at the per ERU value set forth in Resolution 94-17, or as those FEES may be established from time to time by resolution of the City adopted in accordance with Article VI of Chapter 173 of the Code of Ordinances of the City of Ocoee. 2 .3. Due to the past uncertainty the parties have experienced in resolving these matters and other considerations 5 herein contained, FEES called for under this Agreement, and currently having been invoiced shall be due and payable no latcr than ten ( 10) days from the date of execution of thio Agrccmcnt.a 1c sewer:A > h > : > > "0010« `•`on th >€dad: » :< I : Gert :::< R B:::::an :::>:: ;a e::::>: ta.::::::Hal ::<:::DRI deve:lo nt::>::orders:::>::a :>:rendered OWNWE}+--}Y?iL;;n;,'.;.$;i:?:'::::::Ti::iii}}i:i':iii}iiir*'i:':j':': n'::::::::v i:•iiiiY'i::Liiiiii��:JJ<!?!{fisi4''i}}:i�y.ii�}i�ii,:��jaj�?�i?iii��Y.i��}jig?jjiiiiiii,.y�./}.(....yY.��.�;.:/y..��}i}ice}i}:'.iiiii: .i:'.ii?:iiii:4ii::•ilii}ii+:►Fii/:i��'•i}}•'pi�:1•i�:?i�;:y�'}�^:'piii::•:::••••..••••••.::...:....... ::.{t':: :::.•:::::riiii iiii7i:•es1.{fl�i'i iii:ii. ::::::iiw: AtM.::::::sha: :::::: :::: iRw1i�:::::: !iX:::::i� �:::::: %��� Y ;:::nY::•::w.:::•:v:::•::•:::::::::v:::::::::::.:.....:::w:::•:•::•::•::::::•::•::w::•::::::•:::•:::•::::::::::•::v:v::•::.:�.�:::•:::::::nom:::v: ::::•.�::::::::::w::::::::n•:.�::::::•:::::::::::::::w:n:�:::: :....i..:••':Yi:•.:T::i::.::".:J::... .......ii:is:•: ..{:}:':n. ...........i}i::. ............J:ii .....:...nii::. :...: '::•:i:<•:<:•v..::i::i:..:...�:.1:;' i:::?+. :.v...v...:ti:.................. .��.:r::.v..... :...:....... w t: n>::::t rt:.:::::::<::m <: :da ;s:>::» rom:>:::the::>::::date::::::::of:>:::>:sa ::::>::deve . s :::>:::ord s 0665MIKONtihaW SECTION 3. AMENDMENT TO SUBSECTION 7.1. Subsection 7 . 1 of all the new agreements listed on Exhibit "D" hereof is amended in that the period of capacity allocation shall be twenty (20) years from the date of original execution (instead of the 15 years previously granted) . In all other respects, Subsection 7. 1 shall remain unchanged and as the same as is now written but as amended by Subsection 2 .2 of the October 1, 1992 Amendment to the New Agreements, and as amended by this Agreement. Other than those FEES specified in Section 2 hereof, no other rates, fees, or charges shall be levied as a condition to the grant of this capacity allocation period except for cuch ratcD, fee° or charges SECTION 4. RATIFICATION OF RELEASE OF CLAIMS FOR PAST FEES PAID BY DEVELOPERS AND OWNERS. The DEVELOPERS and the OWNERS hereby ratify and confirm their past release of claims for past fees paid by the DEVELOPERS and the OWNERS pursuant to Section 3 of 6 the October 1, 1992 Amendment to the Waste Water Developers' Agreements. SECTION 5. CONFIRMATION OF PERPETUAL ALLOCATION OF WATER SERVICE CAPACITY. The parties hereto agree and confirm that there are no time limitations placed upon the aforementioned allocation or provision of water service capacity to the DEVELOPERS, OWNERS, and/or SUCCESSORS, or their successors and assigns, and that so long as the applicable water revenue and maintenance fees are paid pursuant to this Agreement and the DEVELOPERS, OWNERS and/or SUCCESSORS are not in default under the terms of any prior agreements with th t he CITY».;; '� .�...." ��:..::..:..,. diu.' .�<has-not< ; �. ? . ; �: :, and the DEVELOPERS, OWNERS and/or SUCCESSORS comply with all applicable provisions of Chapter 173 of the Ocoee City Code, then in such events the aforementioned allocation of water service capacity shall be held inviolate for use of the DEVELOPERS, OWNERS, and/or SUCCESSORS, or their successors and assigns. SECTION 6. EFFECT OF THIS AGREEMENT. Except as expressly and specifically amended herein and in the October 1, 1992 Amendment to the New Agreements, the New Agreements, the Purchase and Sale Agreement of December 3, 1987, the two stipulations referenced in Recital No. 15 hereof, as well as the January 24, 1984 Potable Water Supply Agreement and the November 22, 1988 Developers Agreement for Water Service, shall remain unchanged and in full force and effect. The UTILITY, the DEVELOPERS, the OWNERS, and the SUCCESSORS, or their successors and assigns, hereby ratify and confirm the New Agreements, the October 1, 1992 Amendment, the Purchase and Sale Agreement of December 3, 1987, the two 7 stipulations referenced in Recital No. 15 hereof, and the two water supply and service agreements referenced above, and any prior assignments thereof. IN WITNESS WHEREOF, the parties hereto have hereunder executed this Agreement as of the date and year first above written. "UTILITY" APPROVED: CITY OF OCOEE, FLORIDA By: •S. Scott Vandergrift, Mayor ATTEST: By: Jean Grafton, City Clerk (SEAL) FOR USE AND RELIANCE ONLY BY APPROVED BY THE OCOEE CITY THE CITY OF OCOEE, FLORIDA COMMISSION AT A MEETING APPROVED AS TO FORM AND HELD ON 1995, LEGALITY this day of UNDER AGENDA ITEM NO. , 1995. FOLEY & LARDNER By: •City Attorney 8 STATE OF FLORIDA COUNTY OF ORANGE The foregoing instrument was acknowledged before me this day of , 1995, by S. Scott Vandergrift, the Mayor, and Jean Grafton, City Clerk of the City of Ocoee, Florida, on behalf of the City of Ocoee, Florida. They are personally known to me . (Signature) (Print Name) Notary Public My Commission Expires: WITNESSED: "DEVELOPERS" RESIDENTIAL COMMUNITIES OF AMERICA (x) by and through its general partner Name: ROLESHAR, INC. , a corporation (x) Name: By: Jerome D. Feinstein, Title: President (CORPORATE SEAL) STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by JEROME D. FEINSTEIN, President of ROLESHAR, INC. , a corporation, as general partner of RESIDENTIAL COMMUNITIES OF AMERICA, on behalf of the said corporation and partnership. He is personally known to me or has produced as identification . (Signature) (Print Name) Notary Public My Commission Expires: 9 WITNESSED: BML INVESTMENTS, a partnership (x) Name: By: Barry S. Goodman, General (x) Partner Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by BARRY S. GOODMAN, General Partner of BML INVESTMENTS, a partnership, on behalf of the partnership. He is personally known to me or has produced as identification . (Signature) (Print Name) Notary Public My Commission Expires: 10 WITNESSED: PRN INVESTMENTS, a partnership (x) Name: By: Norman A. Rossman, Managing (x) General Partner Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by Norman A. Rossman, Managing General Partner of PRN INVESTMENTS, a partnership, on behalf of the partnership. He is personally known to me or has produced as identification . (Signature) (Print Name) Notary Public My Commission Expires: 11 WITNESSED: JEFFREY YEAGER, Trustee (x) Name: By: Jeffrey Yeager, Trustee (x) Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by JEFFREY YEAGER, Trustee. He is personally known to me or who has produced as identification . Signature (Print Name) Notary Public My Commission Expires: 12 WITNESSED: CAMBRIA INC./CYPRESS CREEK NURSERY, INC. , a corporation (x) Name: By: William E. Colburn, President (x) Name: (x) By: William E. Colburn, Name: individually (x) Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by WILLIAM E. COLBURN, as President of CAMBRIA INC. /CYPRESS CREEK NURSERY, INC. , a corporation on behalf of said corporation, and individually. He is personally known to me or has produced as identification . (Signature) (Print Name) Notary Public My Commission Expires: 13 WITNESSED: Leiser M. Colburn, individually (x) Name: (x) Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by LEISER M. COLBURN, individually. He/she is personally known to me or has produced identification . (Signature) (Print Name) Notary Public My Commission Expires: 14 WITNESSED: WEST 50 JOINT VENTURE, a joint venture (x) Name: By: William J. Goodman, Trustee (x) Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by WILLIAM J. GOODMAN, Trustee, of WEST 50 JOINT VENTURE, a joint venture, on behalf of the joint venture. He is personally known to me or has produced as identification . (Signature) (Print Name) Notary Public My Commission Expires: 15 WITNESSED: JEROME D. FEINSTEIN, as Trustee (x) Name: By: Jerome D. Feinstein, as Trustee (x) Name: By: (x) Jerome D. Feinstein, individually Name: (x) Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by JEROME D. FEINSTEIN, as Trustee and as an individual. He is personally known to me or who has produced as identification . Signature (Print Name) Notary Public My Commission Expires: 16 WITNESSED: NJB INVESTMENTS, INC. , a corporation (x) Name: By: William J. Goodman, President (x) (CORPORATE SEAL) Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by WILLIAM J. GOODMAN, President of NJB INVESTMENTS, INC. , a corporation, on behalf of the corporation. He is personally known to me or has produced as identification . (Signature) (Print Name) Notary Public My Commission Expires: 17 WITNESSED: ALTAMONTE DEVELOPMENT CORPORATION, a Florida corporation (x) Name: By: Barry S. Goodman, President (x) Name: (CORPORATE SEAL) STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by BARRY S. GOODMAN, President of ALTAMONTE DEVELOPMENT CORPORATION, a Florida corporation, on behalf of the corporation. He is personally known to me or has produced as identification . (Signature) (Print Name) Notary Public My Commission Expires: 18 WITNESSED: G & F LAND COMPANY a Florida corporation (x) Name: By: Jerome D. Feinstein, President (x) (CORPORATE SEAL) Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by JEROME D. FEINSTEIN, President of G & F LAND COMPANY, a Florida corporation, on behalf of the corporation. He is personally known to me or has produced as identification . (Signature) (Print Name) Notary Public My Commission Expires: 19 WITNESSED: LWB HOMES, LTD. a Florida limited partnership By: RBA, INC. , a corporation, general partner (x) Name: By: Barry S. Goodman, President (x) (CORPORATE SEAL) Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by BARRY S. GOODMAN, President of RBA, INC. , a corporation, as general partner of LWB HOMES, LTD. , a Florida limited partnership, on behalf of said limited partnership and corporation. He is personally known to me or has produced as identification . (Signature) (Print Name) Notary Public My Commission Expires: 20 WITNESSED: SIENA HOME CORPORATION, a Florida corporation (x) Name: By: Barry S. Goodman, President (x) (CORPORATE SEAL) Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by BARRY S. GOODMAN, President of SIENA HOME CORPORATION, a Florida corporation, on behalf of the corporation. He is personally known to me or has produced as identification . (Signature) (Print Name) Notary Public My Commission Expires: r 21 LAKE LOTTA, LTD. , a Florida limited partnership By: Lotta GP, Inc. , a Florida corporation, its managing general partner Witnesses: (x) By: Name: Barry S. Goodman Name: President (x) Name: STATE OF FLORIDA COUNTY OF The foregoing instrument was acknowledged before me this day of , 1995, by BARRY S. GOODMAN, as President of LOTTA G.P. , INC. , a Florida corporation, which is managing general partner of LAKE LOTTA, LTD. , a Florida limited partnership, on behalf of said partnership and corporation. He is personally known to me or has produced as identification. Signature of Notary Public (Print Notary Name) My Commission Expires: Commission No. : 22