SEACOAST UTILITY AUTHORITY
ANNUAL REPORT OF THE EXECUTIVE DIRECTOR
FISCAL YEAR OCTOBER 1, 2008 TO SEPTEMBER 30, 2009

INTRODUCTION

Seacoast Utility Authority’s enabling documents require its Executive Director to prepare an annual summary of issues, activities and achievement.  Following is the FY 2008/2009 report, which, read as a narrative supplement to the Engineers Report on the Condition of the System and the Comprehensive Annual Financial Report (CAFR), fulfills that requirement. 

FINANCIAL SUMMARY

Operating Revenue

Seacoast’s FY 2008/2009 water sales returned to a level experienced before South Florida Water Management District (“SFWMD”) water use restrictions were implemented in March 2007.  In effect for its first full fiscal year, the May 2008 Revenue Restoration Surcharge was a primary stabilizing influence.  The table below compares budgeted revenue and actual results for the current and previous fiscal years.

 Water, Sewer and Reclaimed Water Sales
         
   Actual 2009  Budget 2009  Actual 2008  Budget 2008
         
 Water  $22,165,051  $20,772,573  $19,266,871*  $20,253,137
 Sewer  $12,970,466  $12,957,236  $12,417,000  $13,179,203
         
 Water/Sewer  $35,135,517  $33,729,809  $32,250,613  $33,432,340
 Reclaimed  $933,087  $896,025  $846,267  $686,890
 Total  $36,068,604  $34,625,834  $33,096,880  $34,119,230
         
 % Variance 2009 over 2008
         
 Water  13.08%  2.56%    
 Sewer  -0.10%  -1.68%    
         
 Water/Sewer  8.21%  0.89%    
 Reclaimed  9.30%  30.45%    
 Total  8.24%  1.48%    
         
 *Includes five months ($1,523,102) Revenue Restoration Surcharge
 
Irrigation restrictions imposed by SFWMD have clearly impacted system revenue.  These restrictions, coupled with a steep decline in new connections, resulted in 2008 sales that were 4.87% below budget projections.  However, the more conservative aggregate revenue target for fiscal 2008 appearing in the 2005 Rate Study pro forma was substantially achieved. 

SFWMD is presently planning to establish permanent, year round water use restrictions during fiscal 2009.  If SFWMD is successful, this will likely perpetuate the prevailing trend of flat or declining water revenue.  Coupled with escalating operating, capital project, and interest costs, these forces will exert significant upward pressure on rates.

Operating Expense
  
Excluding depreciation and interest expense, normal operating costs were $20,507,978, 7.5% more than the previous year. This increase is attributable primarily to sharply rising chemical and residual (lime sludge) removal costs of approximately $1.2 million dollars.

Debt Service

Debt service payments follow a fixed schedule established when bonds are issued.  At the close of fiscal 2009, Seacoast’s outstanding bond principal indebtedness was $64,322,205.  Seacoast paid $4,421,549 principal debt and $3,282,395 in interest during FY 2008/2009.

System Growth
 
Beginning with the 1999 sale of remaining developable MacArthur Foundation properties, Seacoast’s service area experienced a burst of growth that peaked in 2004 and 2005.  New meter installations fell to a historical low in 2008, and then rebounded slightly during 2009.  The following table reflects new meter installations for each of the past ten fiscal years:

 2000 392 
 2001 781
 2002 707
 2003 1,083
 2004 1,226
 2005 1,441
 2006 816
 2007 266
 2008 128
 2009 169

Seacoast served 35,012 metered accounts as of September 30, 2009.

Including an agreement for the “Scripps II” project, four new developer agreements reserving capacity for 594 equivalent residential connections (ERC) were approved by Seacoast’s Board in fiscal 2009. While this appears to compare quite favorably to the 279 ERCs reserved the previous fiscal year, it must be noted that 582 of the ERCs reserved are for the Scripps II project.  As of September 30, 2009, Seacoast had executed developer agreements that will add 1,255 new ERCs to the system. This represents a 61.6% decline in reserved capacity over the previous two years, reflecting a continuing downturn in residential and commercial development.  Assuming a reasonable pace of economic recovery, most of the reserved ERCs will be connected within the next 8 years, though the Scripps project is likely to build out over the next 15 years.

Utility Fixed Assets

   2007  2008  2009  % Increase (2008)
 Water        
 Water Main (miles)  463.6  471.2  471.2  0.0%
 Fire Hydrants  3,360  3,420  3,423  0.4%
 Gate Valves  6,646  6,734  6,734  0.0%
         
 Sewer        
 Gravity Sewer (miles)  277  280.4  280.7  0.1%
 Force Main (miles)  85.7  86.3  87.7  1.6%
 Lift Stations  149  150  150  0.0%
 Manholes  7,444  7,563  7,567  0.1%
 Reclaimed Water Main (miles)  24.2  24.3  24.3  0.0%
         

STAFF PERFORMANCE

Since its days as a privately owned system in 1986, Seacoast’s work force has been reduced from 144 employees to 129, 2 of whom are part-time. During that same period, the customer base has grown by more than 65%, as have the fixed assets that those employees manage and maintain. Staff believes that Seacoast’s combination of competitive pay, attractive benefits, positive work environment, and the Productivity Incentive discussed elsewhere in this report have created a remarkably productive work force.

ACTIVITIES SUMMARY

Legal Issues

In addition to providing routine assistance with a wide range of policy and contractual matters, Seacoast legal counsel worked extensively on South Florida Water Management District (“SFWMD”) regulatory issues during the year.  Seacoast General Counsel Nathan Nason persuaded the SFWMD Board to amend its draft Regional Water Availability rule and draft Year Round Irrigation rule to better serve Seacoast customer interests. 

Bond Issue; Water and Sewer Rate Adjustment

Responding to declining revenues due to SFWMD imposed water use restrictions, declining interest earnings, exceptionally high lime sludge disposal costs, persistent sluggish growth, and rapidly escalating fuel and utility costs, staff proposed a system-wide rate increase in December 2008.  Seacoast’s Board decided instead to defer rate action until after bids for major Membrane Conversion project elements were opened and until interest costs associated with the supporting bond issue were known.

Bids for the membrane water treatment plant and the concentrate injection well were received in June.  Staff and consultants worked on bond documents as rate hearings were conducted through the summer.  Following multiple workshops and public hearings, Seacoast closed on a $77 million bond issue at an average net interest rate of 4.3%, implementing a supporting rate increase of 8.3% effective October 1, 2009.  “Build America Bonds”, taxable instruments for which the United States government has pledged to rebate 35.1% of the interest cost to Seacoast, comprised approximately 85.1% of this issue.

In addition to increasing monthly water and sewer rates across the board, the implementing ordinance rescinded the May 2008 water use surcharge and authorized annual rate indexing.  The latter provision enacts annual October 1 rate adjustments based on a United States Department of Labor Water and Sewer cost index.

Engineering Consultants

In early 2009 and after more than 20 years using the same two firms, Seacoast issued Requests for Proposals for general engineering and hydrogeological services.  The board selected Holtz Consultants, Inc. and JLA Geosciences, Inc. to serve as Seacoast’s general engineering and hydogeological consultants respectively, in June 2009.

Special Programs and Safety Initiatives

Following is a summary of 2009 special programs and workplace safety initiatives:

  • provided influenza vaccinations for employees;
  • attended training on influenza pandemic;
  • completed employee safety and health committee inspections of Seacoast facilities;
  • provided TopHealth monthly newsletter to employees;
  • continued the “Safety Pays” safety incentive program making cash awards available within work groups maintaining outstanding safety records;
  • hired an instructor to present training to certify 11 employees for first aid and cardio-pulmonary resuscitation;
  • began using Cintas First Aid and Safety Corp. for first aid supplies after thorough price comparison with ZEE Medical;
  • an ergonomic work practice evaluation was performed by a representative from Seacoast’s workers’ compensation insurance carrier as a follow-up to the work station evaluation and improvements completed last year;
  • hired Municipal Safety Services to provide safety training for the new bucket truck;
  • provided hepatitis B vaccinations for certain Seacoast workgroups;
  • continued random drug and alcohol testing of A, B and C level commercial drivers licensees to comply with federal DOT regulations;
  • arranged online medical evaluations for all plant operators who may use respirators;
  • coordinated collection and disposal of regulated hazardous waste;
  • completed an effectiveness evaluation for the Seacoast Safety and Health Training Program;
  • suggestions submitted by the three (3) safety and health committees include:
    • Add safety information on power tools to Safety and Health Manuals. The Power Tools section now includes a list of the power tools at each facility and instructions for safe use of each tool.
    • Add labels showing decibel levels to equipment that is loud enough to damage hearing. Decibel labels are now attached to several items and labeling will continue.
    • Replace old self contained breathing apparatuses (SCBAs) at each of the five (5) Seacoast facilities storing chlorine. New SCBAs were purchased only for the Hood Road WTP and PGA WWTP due to planned elimination of chlorine at the other facilities.

OPERATIONS DIVISION

Water Department

Seacoast filed for renewal of its SFWMD water use permit in April 2005.  Though Seacoast seeks only modest allocation increases from its Palm Beach Gardens, North Palm Beach and Burma Road well fields and no increase at all for the more controversial Hood Road well field, SFWMD’s review process has been excruciatingly slow.  SFWMD staff has hypothesized that Hood Road well field operations have and/or will harm area wetlands and the Bent Tree community’s storm water management lake banks. Seacoast believes that it has demonstrated that this is not the case.  SFWMD is presently reviewing supporting technical evaluations provided by Seacoast’s professional consultants.
 
Among many significant FY 2008/2009 Water Department projects were the following:

Richard Road Water Treatment Plant

  • completed rehabilitation of Richard Road well no. 7;
  • completed rehabilitation of Richard Road well no. 8;
  • awarded $489,575 contract for replacement of Hood Road well no. 1 and Richard Road Well no. 4;
  • awarded a $69,694 contract for replacement of a lime slaker;
  • completed predictive maintenance infrared imaging of electric panels.

Hood Road Water Treatment Plant

  • supervised ongoing $2.025 million construction of a 2.0 million gallon Hood Road Water Plant ground storage tank;
  • completed Rehabilitation of Lilac Street Well no. 12;
  • completed $44,256 contract for replacement of high service pump no. 5;
  • completed $36,000 contract for rehabilitation of the south Accelator (lime softening) treatment unit;
  • awarded $608,750 contract for construction of 1.0 million gallon Lilac Street ground storage tank;
  • awarded $41,460 engineering services contract for replacement of Hood Road WTP 1400 kilowatt generator;
  • executed agreement with Waste Management for lime sludge tipping fees at Okeechobee landfill;
  • awarded contract for trucking lime sludge to Okeechobee landfill;
  • completed the final of three Floridan aquifer test production wells at a cost of $700,000;
  • completed installation of Floridan aquifer well no. 2 pump, piping, metering and controls, thus allowing temporary use of this well to supplement Seacoast’s reclaimed water supply;
  • completed predictive maintenance infrared imaging of electric panels.

Membrane Conversion Project

Responding to a June 2005 staff memorandum, Seacoast’s Board authorized the firm LBFH, Inc. (AECOM Engineering) to evaluate the feasibility of replacing Seacoast’s existing lime softening water treatment process with membrane (nanofiltration, reverse osmosis) processes.  Staff had expressed concern that increasingly stringent water quality standards and limited lime sludge disposal options will soon render lime softening obsolete.  The engineer’s report was presented to the board in December 2005.

In January 2006, Seacoast’s Board adopted an $88 million capital improvements plan that included the following elements:

  • construct a single 30 million gallon per day (MGD) combination nanofiltration/reverse osmosis water treatment plant at the Hood Road Water Plant (WTP) site;
  • construct a series of Floridan aquifer water supply wells on or near the Hood Road WTP property;
  • construct deep injection well brine waste disposal facilities at the Hood Road WTP site;
  • construct such raw and finished water pumping and transmission pipeline facilities as are required to allow decommissioning of the Richard Road WTP and delivery of that facility’s raw water supply to the proposed Hood Road WTP membrane plant.

A request for engineering services proposals was published in June 2006, and the board selected engineers for project components in September 2006.  By the close of fiscal 2009, Seacoast’s engineers, planners, surveyors, and technical staff had secured regulatory, site plan and easement approvals for all project elements.  All three Hood Road Floridan aquifer wells had been completed. Construction bids for the Hood Road Membrane Treatment Plant and concentrate disposal well, and for Hood Road/Richard Road WTP interconnecting finished water piping had been received.  Bids for these project elements were substantially less than projected by the project engineers.  Reynolds, Inc. was the low bidder for the membrane water treatment plant at $49.5 million (engineer’s pre-bid estimate was over $70 million); Youngquist Brothers, Inc. was the low bidder for the concentrate disposal well at $4.8 million (engineer’s pre-bid estimate was over $7 Million); and Centerline Utilities, Inc. was the low bidder for the Hood Road/Richard Road WTP interconnecting finished water main at $2.2 million (engineer’s preliminary estimate was $6 million).

Water Distribution

FY 2008/2009 activities included:

  • continued routine “above grade” pipeline coating program for meters, backflows, fire lines, canal crossings, and other exposed piping;
  • replaced large below grade meters with above grade installations to allow better access;
  • replaced meters reaching certain aggregate flow or “years in service” criteria to assure meter accuracy;
  • continued installation and operation of automated meter reading system.  Newly installed meters transmit readings via radio signals to Seacoast’s Hood Road administrative site where this information is used for customer service and billing purposes.

Wastewater Department

At the direction of the Florida Department of Environmental Protection (FDEP), Seacoast has exhaustively tested, analyzed, and evaluated its PGA WWTP Class I deep injection well. As the agency responsible for enforcing federal injection well regulations in Florida, FDEP was concerned that injected effluent may have migrated upward from the boulder zone (3,000 feet below land surface) to a depth of 1,800 feet.  Since the Class I injection well regulations in effect when the well was permitted required injected fluid to be contained within a strictly defined strata (below 3,000 feet in this case), effluent at the higher elevation would represent a technical violation. 

The United States Environmental Protection Agency (USEPA) recently revised its regulations to authorize continued operation of wells for which confinement had not been demonstrated, provided that injected effluent is treated to reclaimed water quality standards. USEPA’s amended rule allowed affected utilities up to 5 years to achieve compliance.  Seacoast’s recently completed PGA WWTP reclaimed water system improvements were designed with this potential regulatory development in mind.  Having completed this project in fiscal 2007, Seacoast presently treats its full plant capacity to reclaimed water standards and is thus in full compliance with applicable regulations.  It is therefore anticipated that FDEP will respond to Seacoast’s 2004 request by issuing a full operating permit for the injection well in 2010. 
Significant Wastewater Department activities during FY 2008/2009 include:

PGA Wastewater Treatment Plant (PGA WWTP)

PGA WWTP Project Summary

  • completed a $235,200 construction contract to refurbish the interior of the operations building;
  • completed a $311,000 contract for replacement of anoxic tank mixers;
  • completed $90,000 contract to replace deteriorated ductwork on the odor control system with corrosion resistant fiberglass reinforced pipe;
  • began $410,000 construction project to replace the existing influent bar screen with two new bar screens;
  • completed installation of new VFD Drives and motors for the waste pumps;
  • completed design and awarded $600,000 project to upgrade the telemetry and control systems;
  • purchased piping and materials to replace approx 1,600 ft of existing effluent gravity pipe line to on site storage ponds. This project also includes modification of existing reclaimed piping to eliminate poor hydraulic conditions that restrict reclaimed pumping capacity. Deevan Inc. will install piping under competitively bid Annual Contract Improvements agreement;
  • completed rebuild of the PGA sludge thickener used for initial dewatering of PGA sludge;
  • completed service and inspection of all electrical control cabinets and emergency generators; 
  • completed major service and repair to the PGA nitrified sludge recycle pumps, filter feed pumps, aeration and digester blower motors;
  • completed scheduled painting,  repaired leak in the anoxic basin structure; 
  • received and installed new reclaimed water control panel for Eastpointe Golf and Racquet and Eastpointe Country Club.

Reclaimed Water System

Seacoast’s reclaimed water system continues to operate at full capacity and in compliance with all regulatory requirements.  During fiscal 2008/2009, Seacoast delivered an average of 7.88 million gallons per day (MGD) to reclaimed water customers.  Assisted by Seacoast’s SFWMD supplemental reclaimed water allocation, this represents a 90% recycling rate. 

As of June 30, 2009, Seacoast is contracted to provide up to 10.773 MGD of reclaimed irrigation water to a total of 30 separate sites.  This total includes .168 MGD of class “B”, non-guaranteed agreements.  While staff anticipates a modest increase in average daily flow in the near term, there will not be sufficient wastewater flow available to meet the full contracted 10.773 MGD commitment for several years.  Accordingly, Seacoast has developed an interim “supplemental” reclaimed water source program, drawing water from wells and surface water sources to fill the gap.  This program, described below, has received accolades, financial support and permitting approval from SFWMD.

Supplemental Reclaimed Water Program

Seacoast’s Board approved a variation of Seacoast’s standard reclaimed water agreement for the projects known as Frenchman’s Reserve (2001), the Isles (2002), PGA Boulevard Streetscape, the MacArthur Regional Center (2003) and Paloma (2005).  Combined, these sites required 2.04 MGD of irrigation water, but having committed 100% of its available flow to other customers, Seacoast could not guarantee uninterrupted reclaimed water delivery.  Rather than allow these owners and several who came later to secure irrigation water well or surface water withdrawal permits and perhaps avoid using reclaimed water even when it becomes available, Seacoast agreed to pay for and operate supplemental irrigation wells and surface water pump stations, using these sources only when reclaimed water is not available.  As dwelling units are connected and wastewater flow increases, reclaimed water will become the primary irrigation source and the supplemental sources a backup. 

Since the inception of the program, Seacoast has expanded its supplemental reclaimed water concept several times.   In 2004 a surface water pump station that withdraws water from the C-17 basin was added, and in 2009, supplemental water withdrawn from Hood Road Floridan aquifer Well No. F-2 was incorporated.  Coupling these projects with a separate “force main to reclaimed main” pipeline conversion, the PGA WWTP Filter Expansion project mentioned earlier, and two other Floridan aquifer water supply well grants, SFWMD has issued a total of $1.2 million in “Alternative Water Supply” grant support to Seacoast.  All these grant funded projects were completed by the end of FY 2008/2009.

New/Amended Reclaimed Water Agreements

During FY 2008/2009, Seacoast offered all class “B” reclaimed water customers the opportunity to convert to class “A” agreements.  To date, only Mirasol Walk and Waterway Terrace Condominium have done so.

Wastewater Collection System

  • Following is a summary of significant FY 2008/2009 wastewater collection and pumping system projects, activities and acquisitions:
  • continued GIS mapping of all system valves and manholes, making significant progress in establishing an electronic database identifying every pipeline segment and collection system structure and electronically logging the date and type of maintenance done for each component;
  • continued scheduled maintenance on lift stations and components, air release valves, gate and plug valves, generators and quarterly grease trap inspections;
  • cleaned and TV inspected approximately 196,000 feet of gravity sewer pipeline, slip lined 8,776 feet, down from the customary 20,000 to 30,000 feet completed in previous years.  Over half of the gravity sewer system in service when the utility was acquired in 1988 has since been repaired, replaced or slip lined;
  • approximately 1,878 feet of deteriorated gravity sewer main was replaced in Lake Park. Progress was slow; attributable primarily to the condition of the rear easements in which most of the work was done.  Removal of vegetation, relocation of fences and structures, and essential coordination activities added substantial time and complexity;
  • awarded $1.03 million contract for “cured in place” or “slip” lining gravity sewer lines;
  • completed $83,500 rehabilitation of two lift stations and five manholes;
  • completed predictive maintenance infrared imaging of electric panels;
  • three replacement lift station control panels were installed by Seacoast crews.

Utility Services Department

This department provides building, grounds, and fleet support services. 

Following are examples of this year’s activities and special projects:

  • maintained entire Seacoast fleet including all vehicles and maintenance equipment;
  • replaced Seacoast vehicles that had reached the end of their useful lives;
  • provided routine testing, maintenance and repair services for all treatment plant and pumping station standby generators;
  • transported and load tested 1 megawatt portable generator at all treatment plant locations;
  • provided operational training for 4,000 gallon diesel fuel transport ;
  • installed automated meter reading system tower at Richard Road WTP;
  • hauled and placed fill material to stabilize access to Burma Road wellfield;
  • staff electrician assisted with permitting, installation, and inspection of numerous lift station electrical upgrades;
  • repaired and maintained landscape and irrigation systems at several Seacoast locations, including Hood Road WTP lime sludge dust control system;
  • received and evaluated bids, administered contracts for fuel, uniform services, landscape maintenance, pest control and alarm systems utility-wide;
  • provided extensive contract maintenance services for First Park South Florida water and wastewater systems;
  • administered annual surplus equipment sale.

Construction Department

Seacoast’s Construction Department is responsible for subdivision plan review, developer agreements, inspections, line locations, coordinating new meter sets, web site and central files.  All new water distribution, wastewater collection and reclaimed water main projects discussed elsewhere in this report were coordinated, start to finish, by the Construction Department.

To assist with an increasingly varied workload, departmental personnel have been cross-trained to handle multiple tasks including line locations, routine inspection work, plan review, and project tracking and management responsibilities. With declining land development activity, Construction Department personnel have offered considerable interdepartmental assistance in such areas as customer service calls, hydrant flushing, and other critically important Seacoast functions.  One Construction Department staff member has been assigned full-time to the Hood Road Membrane Water Treatment Plant project, and four others have been assigned part-time to various membrane conversion component projects.     

Other FY 2008/2009 Construction Department activities included:

  • plan review, construction management and observation for several projects including:
    • Palm Beach Gardens High School
    • Flamingo Drive Low Pressure Force Main
    • North Palm Beach Mercedes
    • PGA Corporate Center
    • Gardens Pointe
    • The Estates
    • Riverside Commerce Park
    • Legends Commercial Track
    • US 1 & PGA Blvd water  and sewer main replacements associated with intersection and drainage improvements
  • added GIS functionality to Seacoast’s billing database, enabling customer service representatives to view a map of the customer’s property from his/her work station.  This allows the phone representative to evaluate potential sources of high water consumption and to see the exact GPS location of the water meter and or sewer cleanouts;
  • integrated Seacoast’s system maintenance software with its customer billing database, thus allowing a customer service representative to view maintenance records for a particular account. This allows a phone representative to immediately determine whether a backflow device exists and when it was last tested, whether a grease trap has been properly maintained, etc.;
  • developed and implemented a water supply program that permits water treatment plant staff to view current and past production flows of any particular well. Within the next two years, radio read meters will be installed for all Seacoast water supply wells, thus eliminating the need for daily site visits to read wellhead meters. This will also allow management personnel real time access to wellfield operation data;
  • continued Seacoast’s program to GPS all water meter locations
  • coordinated Little Lake Worth Bridge water/sewer force main relocation engineering design and environmental permitting.

ADMINISTRATION DIVISION

Finance Department

Seacoast’s Finance Department is responsible for the Accounting/Payroll, MIS and Warehouse/Purchasing functions.

In September 2009, the Finance Department was awarded the Government Finance Officers Association’s Certificate of Achievement for Excellence in Financial Report for the FY 2007/08 annual report.  This certificate is the highest form of recognition in the area of governmental accounting and financial reporting.  Seacoast has received this award for fiscal years 1999, 2004, 2005, 2006, 2007 and 2008.

Seacoast’s fiscal 2008 audit report included one management letter comment and a “clean opinion” on the Authority’s financial statements.

The Warehouse continues to remain a model of efficiency with an annual year-end inventory adjustment of less than 1%.

Other significant Administration and Finance activities included:

  • solicited and evaluated proposals for underwriting services and successfully coordinated Seacoast’s October 2009 $77 million bond issue;
  • cash funded Seacoast’s debt service surety requirement, necessitated by Moody’s downgrading of FGIC, Seacoast’s bond insurer;
  • amended the Authority’s investment policy to address audit management letter comment and to provide clarification;
  • jointly, with the Billing and Customer Service Department,  implemented a new credit card payment system through Seacoast’s website and via phone, integrating the billing system with the banking system;
  • working with Seacoast’s Billing and Customer Service Department, implemented an electronic deposit system for customer payments – Image Cash Letter;
  • converted existing computer servers to a virtual server system;
  • began implementation of a version upgrade to Seacoast’s billing software system.

Customer Relations/Billing Department

The ninth annual Consumer Confidence Report (CCR) was distributed to all Seacoast customers in April 2009. A copy of the CCR is posted on Seacoast’s web site, http://www.sua.com/.

Additional FY 2008/2009 Customer Relations and Billing Department activities include:

  • rescinded the Revenue Restoration Surcharge in September 30, 2009;
  • implemented new water/sewer rates on October 1, 2009;
  • sent approximately 2,130 ebills per month - enrolled customers receive monthly bills via email;
  • began accepting credit card and epayments in August 2009. An average of 1,406 credit card payments and 2,091 epayments were received per month during fiscal 2008/2009;
  • approximately 1/3 of all customers billed now utilize Seacoast’s various electronic bill payment options as opposed to US mail or lobby remittances;
  • Seacoast’s Board authorized FY 2008 bad debt write off of $54,739., down from $73,916, the previous year and less than 0.2% of billed revenue.  A large portion of the write off is attributed to bankruptcies and foreclosures;
  • Seacoast’s automated meter reading (AMR) program consists of a total of 3,686 meters to date;
  • Seacoast’s Identify Theft Prevention program, including several “red flag” rules prompting staff to assist in the detection and mitigation of attempted identity theft, was implemented during FY 2008/2009;
  • Several community service agencies benefited from the Seacoast Bill Message/Insert program. Constituent governments, particularly the City of Palm Beach Gardens and the Village of North Palm Beach, are regular users of Seacoast’s bill message program. There were 12 Public Services Announcements (PSA’s) and 2 Public Notices relating to the 2009 rate increase.

Web site (http://www.sua.com/)

Seacoast customers continue to access important drinking water quality information by viewing Seacoast’s annual Consumer Confidence Report posted on the website.

Seacoast’s website provides a link to SFWMD’s Water Use Restrictions web page.  This connection allows customers to quickly access information on watering days and times.

A feature entitled “Hurricanes and You” was added to Seacoast’s website.  This feature addresses frequently asked questions and provides a link to http://www.floridadisaster.org/.  During hurricane season, Seacoast’s website also provided weather and tracking resources for its customers.

Finally, Seacoast now offers its customers the option of completing service and electronic funds transfer applications on line via website link or by fax.  

Professional/Community Activities

Seacoast personnel continued their support for numerous professional and public service organizations.  Among the agencies benefiting from employee volunteerism during FY 2008/2009 were:
 
Florida Water and Pollution Control Operators Assoc
United Way  
American Water Works Association
PBG Police & Fire Dept Joy Drive
NPB Workers on Watch (WOW) Program
American Heart Association
POA/HOA Community Meetings
Operation Hope 
Florida Water Environment Association
Florida’s Blood Centers
PBG Workers on Watch (WOW) Program
Boy Scouts of America 
Various Palm Beach Gardens Events
Girl Scouts
Hurricane Awareness “Weather the Storm”
Seagull Industries
Palm Beach County Sheriff’s Food Drive Event
PB County School Science Fair
City of PB Gardens Holiday Food & Toy Drive
American Cancer Society

HUMAN RESOURCES

Among the more notable FY 2008/2009 activities and developments:

  • Several sections of the Seacoast Utility Authority Employee Handbook were updated, specifically the provisions dealing with Attendance and Punctuality Standards, Employee Education Reimbursement, Employee Grievance Procedures, Family Medical Leave, and the Employment Process;
  • In December 2008, Seacoast hosted its 9th Annual Employee Benefits Fair, offering information and enrollment opportunities for Seacoast’s many benefits programs;
  • Seacoast began extending certain employee benefits programs to domestic partners January 1, 2009.

Statistical Summary

Full-time Employees:
127 on 9/30/09
127 on 9/30/08
130 on 9/30/07
121 on 9/30/06
116 on 9/30/05
115 on 9/30/04
115 on 9/30/03
114 on 9/30/02
114 on 9/30/01
115 on 9/30/00
116 on 9/30/99 

New Employees:
4 (2008-2009)
9 (2007-2008)
15 (2006-2007)
6 (2005-2006)
8 (2004-2005)
4 (2003-2004)
8 (2002-2003)
11 (2001-2002)
12 (2000-2001)
10 (1999-2000)
10 (1998-1999)

Promotions:
0 (2008-2009)
0 (2007-2008)
4 (2006-2007)
6 (2005-2006)
4 (2004-2005)
2 (2003-2004)
1 (2002-2003)
1 (2001-2002)
1 (2000-2001)
0 (1999-2000)
5 (1998-1999)

Reclassifications:
1 (2008-2009)
2 (2007-2008)
6 (2006-2007)
3 (2005-2006)
0 (2004-2005)
3 (2003-2004)
3 (2002-2003)
2 (2001-2002)
4 (2000-2001)
14 (1999-2000)
0 (1998-1999)

New Certifications/Licenses:
1 (2008-2009)
0 (2007-2008)
5 (2006-2007)
2 (2005-2006)
2 (2004-2005)
1 (2003-2004)
1 (2002-2003)
1 (2001-2002)
10 (2000-2001)
3 (1999-2000)
4 (1998-1999)

Career Part Time Employees:
2 (2008-2009)
3 (2007-2008)
3 (2006-2007)
3 (2005-2006)
3 (2004-2005)
3 (2003-2004)
4 (2002-2003)
6 (2001-2002)
6 (2000-2001)
2 (1999-2000)
2 (1998-1999)

Retired/Terminated/Resigned:
1 (2008-2009)
12 (2007-2008)
10 (2006-2007)
10 (2005-2006)
10 (2004-2005)
4 (2003-2004)
10 (2002-2003)
5 (2001-2002)
13 (2000-2001)
11 (1999-2000)
11 (1998-1999)

Workers Compensation Claims:
9 (2008-2009)
5 (2007-2008)
4 (2006-2007)
8 (2005-2006)
7 (2004-2005)
2 (2003-2004)
1 (2002-2003)
1 (2001-2002)
7 (2000-2001)
2 (1999-2000)
2 (1998-1999)

Family Medical Leave (FMLA):
8 (2008-2009)
4 (2007-2008)
5 (2006-2007)
6 (2005-2006)
11 (2004-2005)
12 (2003-2004)
4 (2002-2003)
2 (2001-2002)
17 (2000-2001)
19 (1999-2000)
15 (1998-1999)

Productivity Incentive

Seacoast’s Board adopted this innovative “bonus” program late in fiscal 1999.  Its purpose is to reward personnel for absorbing workload associated with a growing customer base.  For each new equivalent residential connection, Seacoast sets aside $20 in a bonus pool.  At the end of the fiscal year, the cost of any net new positions created is subtracted from this pool, and the balance is divided equally among personnel having completed at least one year of employment and having achieved a satisfactory or higher performance rating.  Supporting documentation projects that this program could save Seacoast’s customers over one million dollars in wages and benefits in the next decade, simultaneously rewarding existing Seacoast personnel for accepting additional workload.  Because Seacoast created and filled a number of new positions during fiscal 2006, and because growth has slowed to a crawl, employees received no Productivity Incentive payment for FY 2006, 2007 or 2009. 

SUMMARY

FY 2008/2009 will be remembered as the year in which Seacoast firmly and irrevocably committed to its new water supply and treatment future.  Components of the Membrane Conversion Project, first presented to the board in 2005, have now been designed, permitted, bid and financed.  A supporting indexed rate structure has been implemented, and issuance of the related SFWMD water use permit is on the horizon. 

Seacoast’s timing has been fortuitous – both construction bid prices and interest rates are lower than they have been in many years.  Coupled with these economic advantages, membrane treatment offers indisputable aesthetic and public health benefits, an end to the lime sludge disposal dilemma, expanded recycling opportunities and access to alternate brackish water resources.  It is clear that Seacoast has wisely secured its customers’ water supply future.