DCA willing to spend $20 million in return for sewage bond issue

By Alyson Matley amatley@keynoter.com

A day of whirlwind meetings may bring up to $20 million in state money to Monroe County for land acquisition, say county commissioners – but it comes with a $200 million caveat.

Florida Department of Community Affairs Secretary Colleen Castille came to the Keys Wednesday to assess the county’s progress on wastewater issues and explore ways to aid in land acquisition for preservation.

Although she made no formal proposal, she told commissioners she will likely be able to commit $20 million for Monroe County sensitive-land acquisition.

"She said that their main focus was land acquisition," said County Commissioner George Neugent. "She felt comfortable with about $20 million of Florida Communities Trust money for land acquisition. Here’s the catch: The county must commit $200 million on wastewater."

Castille may be hoping to kick-start the county on finishing up state-mandated wastewater upgrades with the $20 million carrot. The state has mandated that the county bring all its wastewater treatment up to state standards by 2010 or risk losing state revenue sharing.

County Administrator Jim Roberts met last week in Tallahassee with Castille and Jim Quinn, the state planning administrator with DCA. Upon his return, he issued a memo to the county commissioners.

"DCA is concerned that the county is not making substantial progress in implementing the Sanitary Wastewater Master Plan," he wrote. "The agency calculated that Monroe County has only addressed 2.5 percent of the [equivalent dwelling units] that must be upgraded to central/community wastewater systems.... [Quinn] indicated that it was highly unlikely that the state would provide further grant funding for any wastewater projects."

Neugent says the secretary indicated she thought the county might be able to come up with the $200 million through its infrastructure funds. He said another source could be adding up to 1 mill in ad valorem taxes.

"I’m still digesting the idea," said Neugent. "That’s a pretty healthy request."

He said that adding 1 mill ($100 for every $100,000 in property value) could raise up to $14 million a year, and the county would then be able to float a $200 million bond to finish sewering the Keys.

That could be repaid through sewer revenues.

According to Roberts, a written report from Castille’s office should come to the county next week that outlines her proposal. In addition, she plans to come back to the county and address the commission during its regular meeting Nov. 19.

"I am agreeable to doing some bond floating to complete wastewater if the state’s willing to bring money in to buy property," said Commissioner Murray Nelson.

Commissioner Sonny McCoy, who acts as the county’s wastewater liaison, is holding out on an opinion until he sees the report.

Neugent said he agrees the county has a responsibility to finish its wastewater upgrades, but says it gets harder each year because the state is continually shifting costs down to the county.