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2087 Agreement COS and Midway Canaan Water AssociationPrepared by: Lonnie N. Groot, Esquire Stenstrom, McIntosh, et al. 1001 Heathrow Park Lane Suite 4001 Lake Mary, Florida 32746 gy;_ Telephone 407-322-2171 Return to: Date: Bilal Iftikhar, P.E., J.D. Public Works and Utilities Director Department of Public Works and Utilities City Hall 300 North Park Avenue Sanford, Florida 32771 Traci Houchin My Clerk G NT MALOY, SEMINOLE COUNTY M -ford Florid C ERK OF CIRCUIT COURT & COMPTROLLER N# 2019062352 Bk:9372 Page:559-563 (5Pgs) TR C: 06/12/2019 4:21:09 PM by hdevore aty City CI rk �l CORDING FEES $44.00 CITY OF SANFORD'S ORDER RELATING TO UTILITY SERVICE PROVISION UNDER 1966 AGREEMENT WITH THE MIDWAY-CANAAN COMMUNITY WATER ASSOCIATION, INC. PART I: INTRODUCTION/ADMINISTRATIVE ACTION TO BE TAKEN: (1), The City of Sanford (City) and the Midway -Canaan Community Water Association, Inc. (MCCWA) entered an agreement in 1966 whereby the City would sell potable water to the MCCWA for use in the MCCWA's public water system (consecutive system with Florida Department of Environmental Protection Permit Number 3594230). The MCCWA does not own a service area for the provision of utility services, but merely resells the potable water the water sold to it by the City to the customers of the MCCWA. (2). The MCCWA is regulated by Rule 62-550.200, Florida Administrative Code, and other controlling law, but the regulation of the MCCWA is technical and scientific in nature and not jurisdictional while the City operates under a service area interlocal agreement with the government of Seminole County and the City, further, is governed by the comprehensive planning laws of the State of Florida and other controlling law pertaining to municipal utility service providers. (3). The MCCWA does not have the ability or the legal authority to provide sanitary sewer services or reclaimed water services and can only provide potable water services as a broker for potable water that is sold to the MCCWA by the City. The area in which the MCCWA operates is an area that is becoming one of intensive development activity. The public interestand-economic realities require that sanitary - sewer services be provided as part of the development process. Also, the property rights of property owners and the economic development of the area is dependent, to a great extent, on the development of real property which provides the future residents of residential developments with a full array of public utility services to include potable water and central sanitary sewer services. (4). Section 13 of the agreement between the City and the MCCWA provides, in pertinent part, that " ... any question concerning a question of fact arising under this contract which is not disposed of by agreement shall be decided by the City Commission of the City of Sanford, whose decision shall be final." (5). This Order provides for an adjudication of the facts relating to the rights between the City and the MCCWA. PART II: FINDINGS OF FACT: (1). The recitals set forth in the agreement are adopted herein by this reference thereto and are hereby ratified and affirmed. (2). The MCCWA has no ability to serve new developments or property owners with potable water services and central sanitary sewer services in tandem. Likewise, the MCCWA has no ability to provide reclaimed water services to new developments or any property owner or customer who would like to engage in the use of reclaimed water services. (3). The City has the right and obligation to provide potable water services and sanitary sewer services as well as reclaimed water services within its utility services area. (4). The City has the capacity to provide high quality and modern potable water and sanitary sewer services as well as reclaimed water services within itsutility services area. (5). It would adversely impact the private property rights of property owners and the economy of Seminole County and the City of Sanford for utility services to be denied to developers or property owners of real property when the City can provide high quality and modern potable water and sanitary sewer services to the properties requiring such utility services. (6). The City has attempted to be conciliatory and collaborative relative to the operations of the MCCWA and has addressed past due accounts and delinquencies of the MCCWA in a manner most favorable to the MCCWA and has provided and offered to continue to provide favorable utility rates to the MCCWA. PART III: CONCLUSIONS OF LAW: (1). The 1966 agreement between the MCCWA relates to the sale of potable water by the City to the MCCWA, but nothing in the agreement restricts the City from providing utility services to development, property owners or customers located within the City's utility services area. (2). The utility services area agreement between the City and Seminole County and other controlling law controls the utility services service area in which the City provides utility services to its customers. (3). The City has not ceded, transferred or assigned any of its jurisdiction to provide utility series within its utility services area to the MCCWA or its rights under controlling law to provide utility services to developments, property owners or customers. PART IV: ORDER: IT IS HEREBY ORDERED BY THE CITY COMMISSION OF THE CITY OF SANFORD THAT: (1). The City shall serve developments, property owners and customers which require public potable water and central sanitary sewer services to properties located within its service area as identified in its controlling service are boundary, and related matters, agreement with Seminole County even if the MCCWA desires to provide water service to the properties. (2). The City shall continue to treat the MCCWA as a customer with the rates charged being those that are set forth in the 1966 agreement between the City and the MCCWA. (3). The effective date and rendering date of this Order shall be the date that this document is fully executed by the City (attestation by the City Clerk). (4). This Order may be appealed in accordance with the provisions of controlling State law within the time set forth therein, but the provisions of Section 13 of the aforementioned 1966 agreement are relied upon and hereby ratified and affirmed. (5). This is final action taken as to this matter by the City of Sanford. As approved by the City Commission of the City of Sanford on this 10th day of June, 2019. Attest: City Commission of the City of Sanford, Florida