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HomeMy WebLinkAboutCity of Tamarac Resolution R-2013-063TR 12374 June 26, 2013 Page 1 of 5 CITY OF TAMARAC-, FLORID RESOLUTION NO. R- 2013 - A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF T A M A R A C, FLORIDA AUTHORIZING A LAWSUIT TO BE FILED AGAINST BROWARD COUNTY RELATING TO THE DISTRIBUTION OF ASSETS OF THE BROWARD SOLID WASTE DISPOSAL DISTRICT; WAIVING THE CONFLICT RESOLUTION PROCEDURES SET FORTH IN CHAPTER 164, FLORIDA STATUTES; PROVIDING FOR CONFLICTS; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Contract Communities (26 municipalities) and Broward County ("County") are parties to an Interlocal Agreement for Solid Waste Disposal Services, as amended, ("Interlocal Agreement"); and WHEREAS, the City of Tamarac is one of the Contract Communities; and WHEREAS, the Interlocal Agreement expires on July 2, 2013; and WHEREAS, Section 15.2 of the Interlocal Agreement provides for the equitable distribution of the assets and liabilities of the Broward Solid Waste Disposal District ("District") to the Contract Communities, unincorporated County and County at expiration of the Interlocal Agreement, and further provides that any perpetual maintenance responsibilities of the County should be considered; and WHEREAS, the Contract Communities and County disagree as to the identification and distribution of the assets; and WHEREAS, the County has asserted that the District's real property assets are owned by the County; and WHEREAS, a legal analysis of the District's assets performed by TR 12374 June 26, 2013 Page 2 of 5 Special Counsel to the Resource Recovery Board ("RRB") concluded that the revenue generating capabilities of the District made the County's acquisition, improvement and maintenance of the real property possible; that the District and its Contract Communities paid for the real property; and that the real property should be subject to equitable distribution; and WHEREAS, the Interim Report on the Resource Recovery System Audit dated April 11, 2013, based on documentation provided by the County, identified the following, among other issues: 1) The County's understatement of the unrestricted net assets in the amount of $23,345,000 (since corrected); 2) The County's set aside of $22,059,072 of the assets for future landfill costs which have not yet been incurred; 3) The County's failure to include over $26 million of assets from the South Plant/Ash Monofill site; 4) The County's diversion of the $1,000,000 annual lease payment from Wheelabrator from the RRB to the County; and 5) The County's failure to record the revenue and receivable due from Wheelabrator under the lease terms for the eventual closure of the Ash Monofill site; and WHEREAS, on June 4, 2013, the County took action to direct that a restrictive covenant be placed on the District's real property that could impair the ability to sell real property at its maximum price before distribution to the Contract Communities; and WHEREAS, the City believes that the District's assets to be distributed are substantially in excess of the $15.4 million in cash that the County has approved to distribute and also includes the value of the real property that the TR 12374 June 26, 2013 Page 3of5 County has not included; and WHEREAS, based on the County's actions and the RRB audit, the City is concerned that the County could take other action on or before July 3, 2013 to dissipate the District's assets; and WHEREAS, Chapter 164, Florida Statutes, requires a local government entity to follow a dispute resolution process unless the governmental entity by three -fourths vote of its governing body waives the provisions of Chapter 164 after determining that significant legal rights will be compromised if a court proceeding does not take place before the provisions of Chapter 164 are complied; and WHEREAS, effective July 3, 2013, the County has announced its intention to have the Board of County Commissioners serve as the governing board of the District and the District may take other action at that time which affects the distribution of assets; and WHEREAS, the City Commission finds that significant legal rights of- the City, and all of the Contract Communities, will be compromised if a court proceeding against the County is not filed on or before July 2, 2013; and WHEREAS, because of this danger, the City determines that no notice or public meeting or other proceeding as provided by Chapter 164 shall be required before a court proceeding. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA, THAT: Section 1. The foregoing "WHEREAS" clauses are hereby ratified and TR 12374 June 26, 2013 Page 4 of 5 confirmed as being true and correct and are incorporated herein by this reference. Section 2. The City Commission authorizes and directs the City Attorney, or Special Counsel, to file a lawsuit against Broward County with regards to identification, valuation and distribution of the District's assets, and authorizes the City Attorney, or Special Counsel, to hire necessary experts. Section 3. The City Commission encourages other Communities to join in the lawsuit bearing a pro rata share of the and costs based on the participating Contract Communities' contribution of processable waste for fiscal year2012. Contract legal fees tonnage Section 4. The City Commission finds, by no less than a three -fourths vote, that significant legal rights will be compromised if a court proceeding does not take place before the provisions of the Florida Government Conflict Resolution Act are complied with. The City determines that no notice or public meeting or other proceeding as provided by Chapter 164 shall be required before a court proceeding is initiated against the County. Section 5. The appropriate City officials are authorized to execute all necessary documents and to take any necessary action to effectuate the intent of this Resolution. Section 6. All resolutions or parts of resolutions in conflict herewith, be and the same are repealed to the extent of such conflict. Section 7. If any Section, sentence, clause or phrase of this Resolution is held to be invalid or unconstitutional by any court of competent jurisdiction, then said holding shall in no way affect the validity of the remaining portions of this TR 12374 June 26, 2013 Page 5 of 5 Resolution. Section 8. This Resolution shall become effective immediately upon its passage and adoption. PASSED AND ADOPTED BY HE CITY COMMISSION OF THE CITY OF TAMARAC, FLORIDA THIS DAY OF , 2013. A T: PATRICIA TEUFELP6 INTERIM CITY CLERK HEREBY CERTIFY THAT I HAVE APEmOVED THIS RESOLUTION AS`Q FORMS, 1 � SAMUS. GOREN CITY kTORNEY CITY OF TAMARAC FLORIDA BETH T BISCID, MAYLOR RECORD OF COMMISSION VOTE: MAYOR TALABISCO DIST 1: COMM. BUSHNELL DIST 2: COMM. ATKINSGRAD DIST 3: COMM. GLASSER "ood DIST 4: V/M. DRESSLER r,tZy