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2004 - 07-21-04 Regular Meeting
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WATER DISTRICT MINUTES
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2004 - 07-21-04 Regular Meeting
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Minutes
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Board of Commissioners
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t3i3OR 19 P:GE Q <br />3. Until June 30, 2005, or until purchase and transfer of the water system to the <br />City, whichever comes first, the City will continue billing the County and <br />District customers in accordance with the Operation and Maintenance <br />Contracts dated August 20, 1996. <br />4. County and City agree to resolve their differences regarding water used for <br />flushing between July 1, 2003, and June 30, 2004, in the following manner: <br />County agrees to immediately pay the City of Sanford 50% of the total <br />amount of water used for flushing or $99,456. An additional 25% of the total <br />cost of water used for flushing during this period, or an amount equal to <br />$49,728, will be placed in escrow and dispersed in accordance with <br />provisions contained of subparagraph 5 below. <br />5. The Timmons Group has been employed by the County to determine the true <br />benefits of flushing activity to each water system. If the conclusion of the <br />Timmons Group, based upon their analysis of the testing conducted jointly <br />with city and county personnel, makes an apportionment of the cost of <br />flushing different than an equal share (50 %) then the County agrees to pay to <br />the City the amount necessary to equal the percentage specified in the <br />Timmons Group's final report. In the event either party fails to agree with the <br />analysis provided by the Timmons Group, parties agree to submit the matter <br />to mediation. <br />6. Beginning July 1, 2004, and each month thereafter, the County will continue <br />to pay for 50% of the total cost of water used for flushing. An additional 25% <br />of the total cost of the water used for flushing will be placed in the escrow <br />account described above. Such payments and escrow deposits will continue <br />to be made by the County until the issue is resolved in accordance with <br />paragraph 5, or negated due to the purchase or transfer of the system to the <br />City of Sanford. <br />7. The City, County, and District agree to postpone resolution of any disputes <br />over customers until June 30 2005, or until negated by the purchase and <br />transfer of the water system. <br />8. The City agrees to postpone collection of the bill for past maintenance in the <br />amount of $170,800 until June 30, 2005, unless negated by purchase and <br />transfer of the water system. In the event the City does not purchase the <br />system, interest shall accrue at the prime interest rate beginning August 20, <br />2004, through June 30, 2005, and the parties agree to submit the matter to <br />mediation. <br />9. The District agrees not to encumber the assets of the Districts system by <br />additional obligations until after June 30, 2005, or until the purchase and <br />transfer of the water system. <br />
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