HomeMy WebLinkAboutResolution No. 1966-42 i
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RESOLUTIATIk. I/A -7C).... - z=
j A RESOLUTION AUTHORIZING TRANSMITTAL
OF LETTER IN RE PURCHASE OF COCOA WATER
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DISTRIBUTION SYSTEM LOCATED WITHIN THE
CITY OF CAPE CANAVERAL, FLORIDA; PRO-
VIDING AN EFFECTIVE DATE.
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BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
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CAPE CANAVERAL, FLORIDA, AS FOLLOWS:
SECTION 1: The City Manager is hereby authorized and
directed to transmit to the Mayor and individual members of i!
• the City Council of the City of Cocoa, Florida,. copies of the
attached letter in re the purchase of the water distribution _.'
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systeRowned by the City of Cocoa and located within the City
of Cape Canaveral.
SECTION 2. This Resolution shall become effective
immediately upon its adoption.
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ADOPTED BY the City Council of the City of Cape
Canaveral, Florida, on this the 4;z0 . day of September,
1966. a
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September 4, 1966
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The Honorable Joseph R. Moss, and
Members of the City Council
Cocoa City Hall
Cocoa, Florida
Gentlemen:
During', the course of the immediate past several years, the
City Council of the City of Cape Canaveral has been con-
sidering the desirability of purchasing from the City of Cocoa,
its water distribution system throughout the City of Cape .
Canaveral, exclusive of the main transmission line by which
water is conveyed by the City of Cocoa to Cape Kennedy and
interveining and surrounding territory lying outside of the
- corporate limits of the City of Cape Canaveral.'
Our interest has been stimulated by a four-fold reason. Three
of the' reasons pro5:erly fall 'within the category of "Improve-
ment to the present water system" . The lack of proper sized
mains in our City has denied to many .of our citizens adequate
fire protection. The : _iesent water system containing as it
does many dead-end r;_w __.: has caused poor circulation and distri-
bution pressures the system in our City. The present
water distri, u•`Jicr; -:m does not make available, without in
some instance : __r r,• „wr t cost to property owners, water--service
to all .;prod ic,-,ted within the City of Cape Canaveral.
To the ;;coilec L_L- mild of the City -f Cape Canaveral's Council
these stated _asons have. a 'strong '.:‘,.:rsuadir,1 effect toward our
contemplat cia.,e of the said wat;.r ;. ,.r_bution system,
however, ._foment, the most conducive f° anon lies in the
fact thatty of Cape Canaveral has a vertised for bids
and tentat .. , rravarded its contract for a city street 'paving
protect to c 'mme'ced within the reiati re'.y near future.
From a 'practical s tai:dpoint, it is the opinion of we the under-
signed,;; the improvements to the present water distribtuion
system mentioned above, must be installed prior to the inauger-
ation Of the City of Cape Canaveral' s street paving program so
as not .to later cut and damage paved streets for installation
of the :required improvements to the said water distribution
system.
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___ __The Honorable Joseph R. Moss, and September 4, 1966
.": :Members of the .City Council
_. . Several Months ago, this City requested of Briley, Wild and
Associates of Daytona Beach, the City's consulting engineers,
. the preparation of a feasibility study relative to the purchase n .
by this City of the water distribution system located within !,
. this city and owned by the .City of Cocoa. The feasibility study
•has •been completed and recently delivered to the undersigned. :1
Although the said study does not reveal' that the purchase and
} operation. of •Cocoa's said water distribution system by the City
. of Cape Canaveral to be a "money making proposition", the feasi- ' r
. . bility ' study does evidence the fact that purchase and operation.
of thesaid water distribution system by this City would enable is
the City of Cape Canaveral to install the much needed improve- j; .
- ments to the present water system as outlined in Paragraph 2 of ' ,,. •
this Letter on a"break even proposition" . At the same time that
the feasibility study was requested of our consulting engineers
• a request was made . to the City Attorney for an opinion relative
to the : right • of the City of Cape Canaveral to purchase the said ;;
. water distribution system located within the City of Cape •
' ' Canaveral owned by the City of Cocoa. This opinion has been •
• ' rendered to the .undersigned and is to the effect that under the
authority granted to this municipality by special act of the
Legislature, the City of Cape Canaveral has the power to secure
by eminent domain the water distribution system owned by the
: City of Cocoa and located within the City of Cape Canaveral.
Having .the right and authority to purchase via condemnation the
water distribution system, the next question which arises • is
• "What rates for water would the City of Cape Canaveral be re-
quired % to pay to the City of Cocoa?" It is provided in the .
water franchise agreement between the City of Cocoa and the
City of Cape Canaveral that in the event the City of Cape
Canaveral purchases the water distribution system owned by the
City of Cocoa and located within the City of Cape Canaveral,
then the rates for future water sales would be negotiated be-
tween the said municipalities. We are advised by our city
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attorney, that since the rates for water are prescribed: in the
bond validation resolution of the City of Cocoa, it would be in r!
derogation of the rights of the bondholders for the City of
Cocoa to charge an amount less than the rate prescribed in the
said bond validation resolution. From this reasoning it would
likewise appear to be equitable that the City of Cape Canaveral
• could be charged no higher rate than prescribed in the said •
bond validation resolution. This is to make inquiry of you
' that in the event your water distribution system located within
the City of Cape Canaveral were purchased either by judicial
. action or by negotiation between our Cities, what rates would
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-:—.-.- The Honorable Joseph R. Moss, and : - September 4, 1966 li
. • '.' • Members of the City Council ;.
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1 . would the City of Cape Canaveral be expected to pay to the
'I • . City of Cocoa for water?
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This is to further request that you advise the City of Cape .' •
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Canaveral the sale price of your water distribution system
.1 —: 7 - ..' • • ' : located within the City of Cape Canaveral, after having caused '
d• : to be blade an estimate of the cost of said system. . • .
With best wishes and warm regards, we are • . A
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CCOC/hp Respectfully' - : •
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