THE BILL ITSELF
CS/CS/HB 4103
Apalachicola Water and Sewer District, Franklin County
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An act relating to the Apalachicola Water and Sewer
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District, Franklin County; creating and establishing
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the Apalachicola Water and Sewer District; providing a
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district charter; providing definitions; describing
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boundaries; providing for a district board; providing
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powers of the district and district board; prohibiting
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the City of Apalachicola from incurring certain
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additional obligations or indebtedness; requiring the
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city and district to enter into an interlocal
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agreement to effectuate the transfer of water and
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sewer service to the district; providing for the
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district to take certain actions if the city and the
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district do not enter an interlocal agreement;
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providing for the transfer of assets, assumption of
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all lawful debts and other obligations, and
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continuation of contracts by the district; providing
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for the status of certain employees; providing
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effective dates.
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Be It Enacted by the Legislature of the State of Florida:
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Section 1. The Apalachicola Water and Sewer District is
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created as an independent special district in Franklin County.
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The district is organized and exists for all purposes and shall
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hold all powers set forth in this act and chapters 189 and 197,
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Florida Statutes, except as otherwise provided in this act. The
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district charter may be amended only by special act of the
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Legislature.
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Section 2. The charter for the Apalachicola Water and
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Sewer District is created to read:
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Section 1. Name and corporate status.-
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(1) The name of the district is the "Apalachicola Water
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and Sewer District."
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(2) The district shall be an independent special district
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of the State of Florida and a body corporate and politic.
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Section 2. Definitions.-
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(1) "Board" means the Apalachicola Water and Sewer
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District Board.
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(2) "District" means the Apalachicola Water and Sewer
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District.
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(3) "Sewer system" means plant, system, facility, or other
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operation concerning collection, treatment, purification, or
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disposal of sewage.
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(4) "Water system" means waterworks or a water treatment
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plant, or other operation concerning fresh water production,
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distribution, or sale.
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Section 3. District boundaries.-The area within the
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boundaries of the City of Apalachicola and the existing
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customers presently served by the water and sewer service of the
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city.
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Section 4. Board of the district.-
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(1) The governing body of the district shall be the
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Apalachicola Water and Sewer District Board, consisting of five
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members, with three members appointed by the Governor, one
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member appointed by the Board of County Commissioners of
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Franklin County, and one member appointed by the City Commission
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of the City of Apalachicola. All members of the board must be
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legal residents and water and sewer customers of the district.
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(2) Members shall serve 4-year terms, however, the members
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appointed by the Board of County Commissioners of Franklin
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County and the City Commission of the City of Apalachicola shall
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be subject to removal by those governing bodies during their
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unexpired terms.
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(3) Each year, the board shall hold an annual
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organizational meeting and elect a chair, vice chair, secretary,
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and treasurer, whose duties shall be established by resolution
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of the board.
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(4) The board shall meet monthly at such date, time, and
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place as the board may from time to time designate.
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(5) The board shall have those administrative duties set
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forth in this charter and chapter 189, Florida Statutes.
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(6) A quorum of the board shall be a majority of its
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members. Official action will require a majority of those voting
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members present.
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(7) Requirements for financial disclosure, meeting
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notices, reporting, and public records maintenance shall be as
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set forth in chapters 112, 119, 189, and 286, Florida Statutes.
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(8) Members of the board shall serve without compensation,
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but may be reimbursed for their expenses pursuant to s. 112.061,
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Florida Statutes.
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Section 5. Powers of the district and board.-
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(1) The district, by and through the board, is authorized
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and empowered:
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(a) To purchase, construct, reconstruct, buy, improve,
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extend, enlarge, equip, repair, maintain, and operate a water
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and sewer system; to provide fresh water either within the area
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described in section 3 or to property located outside the
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district's boundaries if the district enters into an agreement
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with affected property owners, or both; to operate, manage, and
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control all such systems so purchased or constructed and all
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properties pertaining thereto; and to furnish and supply water,
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sewage, and disposal services to such district or adjoining area
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and any persons, firms, or corporations, public or private, in
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any such area.
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(b) To issue negotiable water revenue certificates of the
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district, payable from revenues to be derived from the operation
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of said water or sewer system.
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(c) To fix and collect rates and charges for water or
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sewer furnished by said water and sewer systems and to fix and
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collect charges for making connections with any water or sewer
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system.
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(d) To acquire in the name of the district, by purchase or
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gift, within and without such lands and rights and interests
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therein, including lands over and under water and riparian
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rights; to acquire such personal property as it may deem
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necessary in connection with the construction or operation of
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water and sewer systems; and to hold and dispose of all real and
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personal property under its control.
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(e) To enter into contracts with private parties or
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interlocal agreements with governmental entities for the purpose
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of purchasing, constructing, operating, or maintaining a water
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system or providing water services in the area described in
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section 3 or to areas outside the district's boundaries.
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(f) To exercise the right and power of eminent domain,
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pursuant to general law, over property described in section 3,
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except municipal, county, state, special district, or federal
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property used for a public purpose.
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(g) To make and enter into all contracts and agreements
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necessary or incidental to the performance of its duties and the
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execution of its powers under this act, including a trust
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agreement or trust agreements securing any bonds issued
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hereunder; to employ such expert and clerical personnel as may,
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in the judgment of the board, be deemed necessary; and to fix
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their compensation, provided, however, that all such expenses
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shall be payable solely from funds made available under the
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provisions of this act.
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(h) To exercise jurisdiction, control, and supervision
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over any water and sewer systems owned, operated, or maintained
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by it; to make and enforce such rules and regulations for the
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maintenance and operation of any such system as may in its
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judgment be necessary or desirable for the efficient operation
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thereof; and to accomplish the purposes of this act.
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(i) To enter on any lands, water, or premises located
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within the area described in section 3 or, pursuant to an
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agreement with the property owner or interlocal agreement, land
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located outside the district's boundaries to make surveys,
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borings, soundings, or examinations to effectuate the purposes
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of this act.
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(j) To construct and operate water mains, laterals,
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conduits, pipelines, pumping stations, lift stations, valves,
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force mains, laterals, pressure lines, mains, and all necessary
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appurtenances thereto, in, along, or under any street, alley,
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highway, or other public place in the area described in section
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3 or any other area that is subject to an agreement between the
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district and the entity controlling the public property.
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(k) To restrain, enjoin, or otherwise prevent any
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political subdivision or agency and any person or corporation,
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public or private, from discharging into any navigable or non-
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navigable waters within the limits of the district any sewage,
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industrial waters, or other refuse which would contribute to the
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pollution of such and to restrain, enjoin, or otherwise prevent
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the violation of any provision of this act or any resolution,
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regulation, or rule adopted pursuant to the powers granted by
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this act.
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(l) Subject to such provisions and restrictions as may be
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set forth in any resolution or trust agreement authorizing or
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securing any bonds issued under the provisions of this act, to
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enter into contracts with the government of the United States or
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the state or any agency or instrumentality of either thereof, or
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with any municipality, district, private corporation, co-
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partnership, association, or individual providing for or
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relating to such water system or the purchase and sale of water
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or sewer system and the disposal of sewage.
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(m) To receive and accept from any authorized agency of
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the Federal Government loans or grants for the planning,
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construction, improvement, extension, enlargement,
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reconstruction, or equipment of any water and sewer systems; to
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enter into agreements with such agency respecting any such loans
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or grants; and to receive and accept aid or contributions from
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any source of either money, property, labor, or other things of
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value, to be held, used, and applied only for the purposes for
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which such loans, grants, or contributions be made.
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(n) To do all acts and things necessary or convenient to
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carry out the powers expressly granted in this act.
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(2) The board may fix and revise from time to time rates
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and charges for water furnished by any water system and for
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sewage disposal by any sewer system and charge and collect the
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same. Any such rates and charges shall be so fixed and revised
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as to provide funds, with other funds available for such
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purpose, sufficient at all times:
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(a) To pay the cost of maintaining, repairing, and
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operating the water and sewer systems of the district, and to
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provide reserves therefor and for replacements, depreciation,
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and necessary extensions and enlargements.
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(b) To pay the principal of and the interest on all
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outstanding bonds for the payment of which such rates and
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charges are pledged as the same shall become due and provide
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reserves therefor.
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(c) To provide a margin of safety for making such payments
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and providing such reserves. Such rates and charges shall not be
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subject to supervision or regulation by any commission, board,
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bureau, or agency of the state or of any political subdivision
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of the state. Such rates and charges shall be just and
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equitable.
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(3) The district shall have no power or authority to
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impose or collect ad valorem taxes.
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(4) No funds of the district shall be used for any purpose
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other than those defined in this section and the administration
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of the affairs and business of the district, or the purpose,
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acquisition, construction, expansion, care, maintenance, upkeep,
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and operation of a fresh water system and sewer system in the
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district as the board may determine to be for the best interest
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of the district and inhabitants thereof.
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(5) The board may provide in the resolution authorizing
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the issuance of bonds under this act or in any trust agreement
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securing such bonds that if any water or sewer rates shall not
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be paid within 30 days from the rendition of any such bills, the
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district shall discontinue furnishing water to such premises and
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may disconnect the same from the water system. Any such
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resolution or trust agreement may include any or all of the
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following provisions, and may require the board to adopt such
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resolutions or to take such other lawful action as shall be
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necessary to effectuate such provisions, and the board is hereby
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authorized to adopt such resolutions and to take such other
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action.
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(a) The district may require the owner, tenant, or
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occupant of each lot or parcel of land within the district who
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is obligated to pay water or sewer rates to the district; to
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make a reasonable deposit with the district in advance; to
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ensure the payment of such rates or charges; and to be subject
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to application to the payment thereof if and when delinquent.
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(b) If any water or sewer rates charges payable to the
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district shall not be paid within 30 days after the same shall
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become due and payable, the district may at the expiration of
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such 30 days period disconnect the premises from the water
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system and the district may proceed to recover the amount of any
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such delinquent rates or charges, with interest at the highest
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legal rate, in any court having jurisdiction over claims for
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money damages.
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(6) The powers, functions, and duties of the district
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relating to bond issuance, other revenue-raising capabilities,
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budget preparation and approval, liens and foreclosure of liens,
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use of tax deeds and tax certificates as appropriate for non-ad
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valorem assessments, and contractual agreements, and the methods
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for financing the district and for collecting non-ad valorem
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assessments, fees, or service charges, to the extent authorized
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by this act, shall be as forth in this charter, in chapters 170,
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189, and 197, Florida Statutes, and in any applicable general or
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special law.
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(7) The district's planning requirements shall be as set
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forth in this act and chapter 189, Florida Statutes.
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(8) The procedures for conducting any district elections
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or referenda authorized by general law, as well the
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qualification for electors for any district elections or
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referenda, shall be pursuant to chapter 189, Florida Statutes.
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Section 3. Effective upon this act becoming a law, the
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City of Apalachicola may not incur any additional obligations or
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indebtedness related to the operation of its water and sewer
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utility other than expenses incurred in the ordinary course of
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business and shall avoid wasting its assets. The City of
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Apalachicola and the Apalachicola Water and Sewer District must
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enter into an interlocal agreement by the latter of July 1,
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2026, or 30 days after the Governor makes initial appointments
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to the board to effectuate the transfer of water and sewer
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service from the city to the district. Such agreement shall
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include provisions concerning an assessment of all assets
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currently held by the city for providing water and sewer
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service, cooperation in meeting regulatory and permitting
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requirements for the transfer of the water and sewer utility,
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the transition of assets and liabilities from the city to the
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district, and membership of district employees in the Florida
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Retirement System, as well as any other terms and conditions
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mutually agreed to by the parties. Notwithstanding any other
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provision of law, if the city and the district do not enter into
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an interlocal agreement by the deadline established by this
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section, the district shall have the sole authority to make all
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determinations necessary to effectuate the transfer of water and
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sewer service, which are binding on both the city and the
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district.
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Section 4. On December 1, 2026, all property, whether
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real, personal, or mixed, that is owned, possessed, or
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controlled by the City of Apalachicola for the purposes of
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providing water and sewer systems, as well as all other assets,
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contracts, obligations, and liabilities of the City of
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Apalachicola for such purposes, are hereby transferred and
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vested in the Apalachicola Water and Sewer District. All
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contracts and obligations of the City of Apalachicola for water
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and sewer systems existing on the effective date of this act
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shall remain in full force and effect, and this act shall in no
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way affect the validity of such contracts or obligations.
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Current employees of the city employed for the purpose of
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providing water and sewer service shall become employees of the
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district pursuant to the interlocal agreement or other
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determinations made pursuant to section 3 of this act, provided
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that the district shall ensure that employees continue
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membership in the Florida Retirement System.
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Section 5. Except as otherwise expressly provided in this
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act, this act shall take effect upon becoming a law.