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HomeMy WebLinkAboutMinutes_Emergency_10/14/2015 MINUTES VILLAGE OF TEQUESTA EMERGENCY SPECIAL MEETING October 14, 2015 Call to Order and Roll Call The meeting was called to order by Mayor Abby Brennan at 1:30 p.m. A roll call was taken by Village Clerk McWilliams. Present were: Mayor Abby Brennan, Vice Mayor Vince Arena and Council Member Steve Okun, Council Member Tom Paterno and Council Member Frank D'Ambra (on phone). 1. Council Discussion and Action Regarding the Jupiter Inlet Colony Infrastructure Improvements Attorney Davis stated that Jupiter Inlet Colony (JIC) voted against a 25% surcharge and 9% utility tax. Jupiter Inlet Colony also voted yes on the reapportion concept, bringing the $1.9 million down to $1.6 million Council Member Okun pointed out he would have requested that Legal counsel attend the Jupiter Inlet Colony meeting, had Attorney Davis been able to reach him, as he was able to contact the rest of the Council. Attorney Davis mentioned that he placed a call to Council Member Okun but did not receive a response. Attorney Davis mentioned that Dr. Arrington agreed to remove the award of the contract from their meeting on Thursday, and noted this would be the last postponement given. He does still intend to present the reapportion. Council Member Okun questioned the deadline date if the Village of Tequesta chose not to participate. Attorney Davis answered that the deadline remains prior to the contract being awarded on November 19, 2015. Council Member Okun referenced a letter that Council instructed Legal to write early on, giving notice to Jupiter Inlet Colony and the District, regarding a budget issue. Attorney Davis recalled that he notified the other parties and added that once the contract was awarded we could not withdraw. He also noted that there was nothing in the interhold agreement that would prevent the other parties from going to contract. Council Member D'Ambra offered that it would have been nice to have had Jupiter Inlet Colony go along with the extension. He asked what the economic impact would be if the Village chose not to move forward. He would have liked to have seen a different response from Jupiter Inlet Colony and felt it would be shortsighted to make a rash decision. Council Member D'Ambra concluded that it made sense to go forward as agreed with the understanding they would go forward and reapportion. Council Member Arena stated that he did not want the deal to go away and would like a serious meeting on planning to redo all of the lines. He suggested raising rates by 25 Minutes — Special Council Meeting 10/14/15 Page 2 percent while taking away a 25 percent surcharge. Also, he suggested that a surcharge be left for some of the non - residents. Rates would need to be raised in order to have revenue for new lines. This can all be done over time, without leaving everything on our kids' backs. Council Member Arena remarked that he agreed with Council Member D'Ambra in that this should not slip by. Council Member Okun acknowledged that he had a serious issue with Council not being aware they could impose the surcharge. He recalled being told that it was not possible because JIC was a municipality. He added that in response to the Jupiter Inlet Colony saying that they did not want to do the right thing and establish a parity issue with regards to the water system, he would like to have another attorney's viewpoint. He indicated that there were two serious errors that occurred that have cost us financially. Council Member Okun had serious doubts regarding the numbers and felt inclined to not do it and to walk away. He felt it may not be a good deal. Council Member Okun questioned Attorney Davis about the origination of the notion that the Village could not charge another municipality. He also inquired as to whether the document had been scrutinized or if there had been any suggestions made. Attorney Davis responded that he did not know of the origin and that the original contract dated back to the 1970s. Council Member D'Ambra professed that he understood the frustration. He stated that in reality we have a binding contract that we are obligated to leave as is and that bringing in another attorney to be assertive would not be a good idea. He believed it was less costly to go forward now than in the future and that Council needed to consider it from a standpoint that it makes sense to go forward. Council Member Okun disagreed. Mayor Brennan asked that Council go back to what they were discussing earlier. Council Member Paterno cited that Council Member Okun was correct in bringing up such issues at this time and that there was a need for better understanding. He pointed out that the JIC had out maneuvered them and that the Loxahatchee River District had planned to vote on this matter without notifying The Village. Manager Couzzo responded to Council Member D'Ambra's questions regarding the $1.67 million, stating that it is not a firm number due to possible change orders. Council Member D'Ambra asked if it would be possible to arrange for a hard cost and to not go any higher, while asking that they absorb any change order costs. Manager Couzzo answered that anything is possible if negotiated. Mayor Brennan questioned as to why it was not researched and if the Manager had inquired on other alternatives. Manager Couzzo answered that there were options. He stated that doing the project in concert with the sewer and drainage provided benefits, and we could try to negotiate an up limit exposure. Minutes — Special Council Meeting 10/14/15 Page 3 Council Member Okun revealed that the JIC had a grant that would expire if they did not move forward. Manager Couzzo agreed that the expiring grant could possibly cause the JIC to lose money. Council Member Okun reiterated that a re -bid should have occurred but did not because others were not in favor. Manager Couzo stated that a rebid is still a possibility. Council Member Paterno pointed out that there was now only 24 hours left to submit a rebid and this should have been done last month. He opined that the Village had been misled by Jupiter Inlet Colony. Manager Couzzo felt skeptical that there would be a vote tomorrow night as it was not in writing. Council Member Paterno believed that the JIC was prepared to move forward without the consideration of Council, in order to get it done. Council Member Okun agreed that the Village had no leverage now. Manager Couzzo stated that the negotiation position had not changed and that a decision needed to be made. Council Member Paterno suggested Council tell Jupiter Inlet Colony that we decline and cannot afford the project. Council Member Okun added that he was disappointed that Attorney Davis did not attend the meeting, as he could have gathered additional information, such as comments and voting results, from being there in person. Attorney Davis went on to explain that even with residents voicing negative comments, the reapportionment agreement was passed unanimously. Council Member D'Ambra expressed concern that this was going to be pushed on the Village without their knowledge and felt that it was not in the spirit of cooperation. He continued to convey that he was in favor of locking down a top dollar cost that the Village would pay. Also, that there was a benefit to the Village participating and that backing out would cost the Village a lot of money. He felt that Council needed to be rational but not emotional. Attorney Davis read an email from The Loxahatchee River District and felt that the Village had a right to rely on that representation. Manager Couzzo would like to know what the Council wanted to do going forward. Detailed discussion took place on various options to move forward including a surcharge and locking in the amount with no over -runs. Mayor Brennan recalled that Council agreed to do the work at a certain price. She continued by stating that neither party could have foreseen that no one wanted to bid the small jobs. Council Member Arena and Mayor Brennan discussed concerns that Council Member Paterno said he had voiced from the inception. Minutes — Special Council Meeting 10/14/15 Page 4 Council Member D'Ambra inquired as to the bottom line amount now versus later and put a cap on it. Attorney Davis reported that it was at $1,633,998. Council Member D'Ambra felt that is was good number. Council Member Paterno asked if that number includeed the engineering costs and Council Member D'Ambra responded that $1.6 million should be what The Village would commit to. Attorney Davis read an excerpt from the interlocal agreement stating that all of those costs were included, but we need to make sure the bid number would also include those costs. Manager Couzzo suggested that our proposal be an absolute and that it should include everything change orders, design work, Act of God. We are paying at a prorated amount and that the 1.6 should be all in. Council Member Paterno asked if the letter that Council was planning to send would be similar to the last one or would it state the Village would cancel if terms were not met. Manager Couzzo suggested that Legal send a letter to ask that the Loxahatchee River District would not vote on the contract. MOTION Vice -Mayor Arena moved to authorize Manager Couzzo or Attorney Davis to represent the Village of Tequesta. In addition, should the contract come before the Loxahatchee River District for approval, then the Manager and /or Attorney are authorized and directed to state that the Village of Tequesta be withdrawn from the contract, seconded by Council Member Patemo, motion carried unanimously. Detailed discussion ensued. MOTION Council Member Paterno made a motion to cancel the contract, Seconded by Council Member Okun. Discussion took place regarding two options including a not to exceed amount with no change orders or to completely withdraw and commence new negotiations. Council Member Paterno asked Attorney Davis to restate part B of the motion. Attorney Davis restated in a friendly amendment to the original motion, that having given the other parties notice that the Village was withdrawing from the agreement, the Manager was directed to negotiate new terms in the best interest of the Village of Tequesta. Roll Call Vote was as follows: Mayor Brennan no Council Member Arena no Council Member Paterno yes Council Member Okun yes Minutes — Special Council Meeting 10/14/15 Page 5 Council Member D'Ambra no The motion failed at two votes in favor and three votes opposed. The Council asked for clarification of the first motion that had been approved. Village Clerk McWilliams read the first motion as follows: The City Manager would attend the meeting and the Council has given the authority and direction for the City Manager to remove the Village of Tequesta from the contract, should the contract go back on the agenda before November 19, 2015. Mayor Brennan asked for a brief break so that Attorney Davis, Manager Couzzo and Village Clerk McWilliams could properly word the motion for Council. Council Member Arena and Council Member Okun continued a conversation while the Council was on break. At 3:46 p.m. the meeting reconvened. Manager Couzzo suggested that if the Loxahatchee River District moves to address the contract that the Village of Tequesta put them on notice. The Village would be withdrawing from the contract due to budgetary conditions. A letter will go out tomorrow morning for review and then to the Loxahatchee River District before noon. Manager Couzzo continued to direct Attorney Davis to review the existing contract to reflect the changes discussed today. He will then provide to Council an amended contract and if in agreement, will move forward. The new proposed motion was read by Clerk McWilliams as follows: Direct the Manager to send a letter to parties involved, that should any portion of this item — contract or reapportionment — come before for a vote, before November 19, 2015, the Council formally withdraws from the contract, due to budgetary conditions. The Village of Tequesta wishes and encourages the parties to continue negotiations in the hope that reasonable outcome can be obtained. MOTION Vice -Mayor Arena moved to direct the Manager to send a letter to all parties involved, that should any portion of this item — contract or reapportion — come before them for a vote before November 19, 2015, the Council formally withdraws from the contract due to budgetary conditions, and the Village wishes and encourages the parties to continue negotiations in the hope a reasonable outcome can be obtained, seconded by Council Member D'Ambra; motion carried 4 -1, with Council Member Patemo in dissent. Mayor Brennan gave an update on the FEC issue in reference to quiet zones, safety and the bridge crossing. Minutes — Special Council Meeting 10/14/15 Page 6 ADJOURNMENT: The meeting was adjourned at 3:58 p.m. Respectfully submitted, 0� "m Lori McWilliams, MMC Village Clerk