05.04.24 Central Sewer Q&A

Topic: Environmental Utilities’ (EU) Application for Central Sewer

Presented by: PIE ACTION COMMITTEE
www.palmislandestates.org

Date: Saturday, May 4, 2024, at 10:00 a.m.

Location: Firehouse, Gasparilla Way

On Saturday about 50 Islanders gathered for updates and to ask questions about the proposed wastewater installation on our Islands. Meryl Schaffer kicked off the meeting with a brief statement of the initiative:

SUMMARY

This is our 3rd go-round with septic to sewer conversion applications – 2002, 2022 and now 2024
The docket for the last Environmental Utilities LLC (EU) application to service our islands was just closed in Sept. 2022 . Here we are, 18 months later, fighting essentially the same application again filed with the Florida Public Service Commission (PSC).

PIE represents the vast majority of islanders who oppose the Application. EU is a private, for-profit utility – proposed by the owners who currently run the Little Gasparilla water utility.

Detailed information is available on our website … palmislandestates.org (dot-org not dot-com)

What has happened to date?

EU filed the application to provide sewer service in February 2024. Notices were sent to those property owners in the service area.

The PSC allows 30 days to file a formal objection and request a public hearing. Note that objection letters must go to the PSC and not the Charlotte County Board of Commissioners (BOCC).

Linda Cotherman was the first to file an objection requesting a formal hearing as a “Party of Record” (also called an “intervenor”). Last week, PIE formally filed an objection through our attorney, Brad Kelsky.

The PSC has a big rate case underway with FPL so we will watch the docket to determine timing of next steps.

What’s next?

​For the next year or more, the PIE Action Committee will work with the attorney through discovery, interrogatories, depositions, testimony, etc. It’s a long legal process leading up to the Administrative Hearing which is essentially like a trial.

The Administrative Hearing consists of a Technical Hearing (testimony of Parties of Record and expert witnesses) followed by a Service Hearing, usually held the next day. This is where the public is given opportunity to speak directly to the PSC.

We are now waiting for the docket calendar, the CASR (Case Assignment and Scheduling Record), to be posted. The PSC staff is still reviewing EU’s application for completion. We are expecting the CASR to be posted on June 28th.

1. QUESTION: EU was just turned down, so what’s different in their application this time?

Much of the application is unchanged.
EU included several requests for service, which he did not do last time. The number in support is roughly 16 individuals/entities who control fewer than 31 lots/pieces of property. A single developer developer owns 21 properties. 4 individuals were related to the owners and 1 or 2 have no ownership interest on the Islands.
This application contained a stronger message (by way of a resolution, not an ordinance) of support for the Environmental Utilities proposal from the Charlotte County Commissioners.
EU has hired what it considers to be an expert, Brian LaPointe, Ph.D, who has submitted a report on the detrimental effects of septic systems on the barrier islands.
EU included support letters from CHNEP, the Coastal and Heartland National Estuary Program. This is an environmental alliance funded by the EPA to protect our national waters.

2. QUESTION: Is there support from the Resort and is it individual or as a group?

The service area is south of the resort, so they are not included in this application for certification. In the future the Resort could hook up to the new lines without sharing in the installation costs, which would be borne by the owners outside the Resort Also note on LGI the Hideaway Bay Beach Club has a small sewer plant, and this would be required to be dismantled as they are in the service area as well.

3. COMMENT: The PSC Commissioners are appointed by the Governor, not elected.

This application is filed with the State of Florida Public Service Commission, not Charlotte County. The PSC Commissioners are appointed by the Governor, not elected. So, threatening to “vote them out” has no validity. The way to get your message across to the PSC is to write a letter. ​

4. QUESTION: Is it better to send one letter or send many letters?

You can write more than 1 letter — it makes a difference. The PSC looks at the support/opposition of each potential customers so every person in your home and each property owned counts as a stakeholder. For example, if one letter is signed by a couple that is two potential customers. Amanda Small has been doing some amazing work collecting stats and details of all the letters posted.

Our next Call to Action will be requesting that individuals send a letter to the Clerk of the PSC requesting to be added to the Docket as an “Interested Person”.

5. QUESTION: Is it too late for another individual or utility to apply for certification to compete with EU?

Yes. EU has the certificate application process tied up for this go-round. Only one at a time can be considered.

6. QUESTION: ​Was there a need study done?

Not that we are aware of, and there is none contained in the application. With the larger red tide blooms, focus of testing by Charlotte County includes testing for nitrates and phosphates. The state continues to test for fecal coliform at the beaches, which is the standard for swimming safety.

EU has focused on the filtration system of the drain field. Is the sand in the drain field offering enough filtration to eliminate nitrates and phosphates? The proposed EU solution would pump the liquid effluent to the Rotonda treatment plant which is then sent out as “gray water” to be used for watering. This gray water is used on lawns and golf courses and flows back into Lemon Bay.

The County now has a water quality expert who advocates updating the sewer plants to advanced wastewater treatment, which reduce nitrates and phosphates. Major upgrades are planned for other areas but the Rotonda plant is only planned for a small capacity increase. Sarasota County stopped new sewer hookups until they can implement the advanced wastewater treatment upgrades.

7. QUESTION: I have a low-pressure system already. Will I need to connect?

Yes, there is no grandfathering provision. Once the county notifies you in writing of the availability of the utility, you have 365 days to hookup.

8. QUESTION: There’s a pump involved. How long would this work with a power outage?

After the tank fills up with 50-60 gallons, you will have to stop using it. People are encouraged to go to the expense of buying a generator to keep the system going. In the County there are trucks that travel around during outages to pump out the tanks, but we don’t know that this would apply here.

9. QUESTION: What are we supposed to do while the tanks are being installed?

That’s an excellent question. No information has been provided. Do people need to move out until completed?

10. QUESTION: ​Is the system only removing liquid effluent?

Yes, the tank has a duel chamber; the solids settle and still have to be pumped out on a regular basis. So, the new tanks will need a pump-out on essentially the same timetable as septic systems.

11. QUESTION: Is there a limit to the number of times EU can apply for this certificate?

Sadly, no. Some believe that testing would give a definitive solution to this issue. There are groups on the mainland looking into testing to see what can be shown to come from septics vs. other sources such as the nitrogen and phosphates coming from gray water irrigation and mines, Lake Okeechobee water releases, etc.

12. QUESTION: Was there any research done about installations at Colony Don Pedro? Is there enough room to install the tanks and equipment?

We have no knowledge of the condos being studied​ to address the minimum 10’ radius for installation. All the PSC issues to EU is a certificate or franchise for the sewer project. We have seen no evidence of engineering for permitting at this point. And there’s a lot of permitting required – DEP, Coastal Construction, Florida Fish & Wildlife, gopher tortoise permitting – all of which increases the cost of the project and these costs are likely to be passed on to us.

13. QUESTION: What is the time frame to start construction?

According to the application, within 2 years.

14. QUESTION: Should we be sending letters to the Charlotte County Commissioners?
​

​No. Our attorney has told us that this is between the PSC, EU and the prospective ratepayers. The County has no legal responsibility here. However, the County Commissioners did supply additional support in the form of a resolution which attempts to address some of the deficiencies from the last application.

15. COMMENT: Research was done on water rates and we have the most expensive in the country.

A property owner researched water rates nationwide for the last rate increase proposal, and with the water utility increases that were approved we are now the most expensive water rate of any islands in the country by 200%-300%. For sewer, this proposal would make us 300%-500% the highest rates for islands in the country.

16. QUESTION: Does Bill Truex represent us and what is his position on this application?

Bill Truex is the commissioner from West County. However, we vote for all of the Commissioners and they all vote for the best interests of the whole County. So, we are represented by all five of them.

Like all of the commissioners, he supports septic-to-sewer conversion. It was noted that Commissioner Tiseo, while supportive of sewer, says he is open to looking at hard data and research. The new water quality expert, Brandon Moody, was a great hire. He is taking the broad view and conducting quality research throughout the County. It was interesting to note that Bill Truex will be running against an Island resident and County employee in the August primaries this year.

17. COMMENT: A property owner did some research on sewer spills throughout Florida and they are numerous.

There have been cases where environmental groups have sued cities over this and won. Another comment was made that in the event of a spillage lawsuit EU does not have the monetary capabilities of dealing with damages.

18. COMMENT: An LLC is not able to support the cost of this project.

​PIE hired a forensic accountant during the last application to examine EU’s finances. She found that he did not have the means to meet the debt obligation on this project. However ultimately the PSC found that the applicant does not need to have the money or the technical expertise to do the installation – he only needs access to it and the ability to hire others. The cost to the consumers is a big consideration to the PSC.

19. QUESTION: Can EU sell the certificate once approved?

Yes.

20. QUESTION: Can we test our own waterways?

​Yes. PIE started water testing in 2012 after our first bout with central sewer. Our testing was for fecal coliform mimicking the state beach testing for swimming safety, and did not include testing for nitrates/phosphates, PIE is considering meaningful testing which would require shallow well testing through the wet and dry season to determine if nitrates/phosphate are found so that we can determine where they are coming from. However, this would take a minimum of one year to produce data. Individual testing would have to follow lab protocols i.e. videotaping sample extractions, chain of custody of the samples, etc.

Before we adjourned:

Lindsay Yates, PIE Treasurer, thanked all of the donors who have participated so far in our funding campaign for PIE Action. She also encouraged everyone to join PIE if they were not already members.

In honor of International Firefighters Day, Kelly Lube shared some of the island firehouse history from growing up here and documented it in photos.  She then presented some special key chains to our terrific island firefighters.

We thank everyone who took the time to attend Info Central, and hope these notes are helpful to those who were unable to attend.

The PIE Action Committee