PLACEMENT: Departmental
TITLE:
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REQUEST FOR BOARD APPROVAL TO CONDUCT A FEASIBILITY STUDY REGARDING COUNTY ACQUISITION OF SOUTH MARTIN REGIONAL UTILITY (SMRU)
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EXECUTIVE SUMMARY:
executive summary
Jupiter Island has requested that Martin County consider potential acquisition of South Martin Regional Utility (SMRU) wastewater plant operations due to the need for significant facility upgrades. This item requests Board approval to conduct a feasibility study evaluating acquisition options, infrastructure requirements, and financial impacts. The study will assess whether wastewater flows could be conveyed to the County’s Tropical Farms Wastewater Treatment Plant as a potentially lower-cost alternative to constructing a new facility.
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DEPARTMENT: Utilities and Solid Waste
PREPARED BY: Name: Samuel Amerson, P.E.
Title: Utilities and Solid Waste Director
REQUESTED BY: Don Donaldson, County Administrator
PRESET:
PROCEDURES: None
BACKGROUND/RELATED STRATEGIC GOAL:
South Martin Regional Utility currently provides wastewater and water services to portions of southern Martin County. Jupiter Island has indicated that SMRU’s wastewater treatment facility is operating at approximately 60 percent capacity and will require substantial upgrades to meet future operational and regulatory needs.
Jupiter Island has approached Martin County to explore whether the County has an interest in acquiring SMRU’s wastewater utility operations as an alternative to SMRU independently financing and constructing a new or expanded treatment facility.
The County currently operates the Tropical Farms Wastewater Treatment Plant, which may have the ability to accommodate additional flows through system interconnections and transmission improvements. If feasible, redirecting flows to an existing County-owned facility could reduce overall capital costs, improve operational efficiency, and provide long-term rate and service stability for customers.
A feasibility study is necessary to evaluate technical, financial, legal, and operational considerations, including but not limited to system capacity, infrastructure requirements, regulatory approvals, acquisition costs, governance implications, and impacts to County utility customers.
ISSUES:
The Board is asked to consider whether to authorize staff to conduct a feasibility study evaluating potential acquisition of South Martin Regional Utility’s wastewater plant operations. The study would allow the County to assess technical, financial, operational, and regulatory considerations associated with a possible acquisition, including evaluation of alternatives for wastewater treatment capacity and use of existing County infrastructure.
Approval of this item does not obligate the County to acquire SMRU but provides the information necessary for the Board to determine whether further action is warranted.
LEGAL SUFFICIENCY REVIEW:
This item has been reviewed for legal sufficiency to determine whether it is consistent with applicable law, has identified and addressed legal risks, and has developed strategies for legal defensibility.
RECOMMENDED ACTION:
RECOMMENDATION
Move that the Board approve staff’s request to conduct a feasibility study evaluating the potential acquisition of South Martin Regional Utility wastewater plant operations, including consideration of utilizing the County’s Tropical Farms Wastewater Treatment Plant as a service alternative.
ALTERNATIVE RECOMMENDATIONS
Receive Board feedback for an alternative solution.
FISCAL IMPACT:
RECOMMENDATION
A feasibility study is expected to cost approximately $50,000, which is available in Utilities Reserves. Move that the Board approve a Budget Transfer from Utilities Reserves to conduct the feasibility study.
ALTERNATIVE RECOMMENDATIONS
None
DOCUMENT(S) REQUIRING ACTION:
☐Budget Transfer / Amendment ☐ Chair Letter ☐Contract / Agreement
☐Grant / Application ☐Notice ☐Ordinance ☐Resolution
☐Other: