Background
The conversion from a septic and well utility system to a municipal water and central sewer for several early developments in Estero is a collective effort that faces numerous significant challenges. In some places, the Village will also install fire hydrants, adding to the complexity of the task.
It is of utmost importance to recognize that while the Village of Estero may not directly own or control potable water, reclaimed water, or the sanitary sewer system, our community’s active involvement is crucial in ensuring these utilities’ efficient use and maintenance. This underscores our community’s significant role in the Utilities Expansion Program, emphasizing its importance and the need for our collective support.
For most new Estero area communities constructed over the past 20 years, the developer was responsible for installing a sanitary sewer system with lift stations within the community from each home and building. They also installed a potable water service in each house and building, and fire hydrants were installed using the fire code. The developer typically had a clean slate to install utilities and did not require right-of-way acquisition or land leases.
Written and researched by Mark Novitski and James Root, consultants to Engage Estero; edited by Allan Bowditch, Chief Communications Officer.
The Village of Estero, in contrast to most new communities in the area over the past 20 years, did not have the luxury of a blank slate for utility installation. Instead, it had to retrofit already developed communities to have sanitary sewers, potable water, fire hydrants, roads, and stormwater management. This unique and complex situation, which we all are a part of, has presented significant challenges that require our collective support and understanding.
The Village Council Meeting Final Action Agenda/Minutes – July 10, 2019, Page 3 of 7, contained the following items relevant to our discussion on the Utilities Expansion Program.
“… (d) Florida Gulf Coast University (FGCU) Estero River Monitoring Contract
Presentation by: Dr. Greg Tolley, Professor of Marine Science and Chair of the Department of Marine and Ecological Sciences at Florida Gulf Coast University.
Motion: Move to 1) Approve the contract with FGCU to provide water quality monitoring and bacteria/nutrient source identification services. 2) Authorize the Village Manager to execute the contract on behalf of the Village of Estero.
Vote: (Roll call) Aye: Councilmembers Levitan, McLain, Boesch, Batos, Wilson, Vice Mayor Errington, and Mayor Ribble.”
In the summer of 2019, the Estero Village Council approved a Florida Gulf Coast University (FGCU) research project to help identify the source of bacteria in the Estero River. The study was implemented to test for human waste, nitrogen compounds, and bacteria. Dr Don Duke, FGCU’s Water School Professor, stated that fecal bacteria was found in the Estero River, although the exact source could not be pinpointed.
While the kind of bacteria isn’t exclusive to humans, the team involved had strong evidence suggesting it could be. Duke stated, “It’s not safe for human contact recreation. I wouldn’t suggest you swim in the Estero River. If you do, will you get sick? It’s hard to say; it’s a probabilistic thing. But the regulations say that you should not. Can you boat on the Estero River? Probably.” This is partly why the Village of Estero is looking at different projects to improve water quality in the Estero River.
The following is from the Village Council Meeting Final Action Agenda/Minutes – September 4, 2019, Page 6 of 8.
ACTION ITEMS: (a) Water and Sewer Expansion, Staff Presentation/Comments: Village Manager Sarkozy; Public Works Director Willems.
Motion: Move to approve Supplemental Task Authorization (STA)-l under CN 2018-02 Miscellaneous Professional Services to Banks Engineering to perform a suite of design services for the Water and Sewer Expansion Project.
Motion by: Councilmember Batos, Seconded by: Vice Mayor Errington
Vote: (Roll call), Aye: Councilmembers Levitan, McLain, Boesch, Bates, Wilson, Vice Mayor Errington, and Mayor Ribble
The Village of Estero contracted with Banks Engineering to prepare this preliminary feasibility study for the Village Utilities Expansion Program: connect homes and lots (including layout, sizing, and capacity), potable water, and the cost of building this new infrastructure.
Banks Engineering published its design and provided a rough estimate of the total cost for each phase (Please see Attachment 1) and a rough individual price for each homeowner. The math is the total cost divided by the number of homes. The contracted results released in late 2021 identified the costs at $70M.
This estimate did not include the cost to homeowners connecting from the street to their homes (~$3K) or Lee County Utilities (LCU) connection and meter fees (~$6.2K). (https://www.leegov.com/utilities/customer-resource-center/rates-fees/new-construction)
A Package Plant, also known as a package wastewater treatment plant (PWTP), is a prefabricated system that uses biological extended aeration to treat wastewater from individual properties or small communities (typically mobile home communities).
Package Plants use the same treatment technologies as traditional wastewater treatment plants, including activated sludge, chlorination, and clarification. The Village has three communities with Package Plants.
The Village currently has 820 residences/lots on Package Plants and 811 residences/lots on septic systems (please see Attachment 2), for a total of 1631 residences/lots.
The Village of Estero Fiscal Year starts October 1st and runs through September 30th annually. Funds identified in the Fiscal Year 2019-2020 ($39,130) and Fiscal Year 2020-2021 ($257,400) Village (Please see Attachment 3) budgets.
Funding for the Village Utilities Expansion Program continued in the Fiscal Year 2021-2022 budget. The Capital Improvement Program was included in the Fiscal Year 2021-2022 budget. The 5-year (FY2021-2022 through FY2025-2026) Capital Improvement Program (CIP) identified almost $1.4M over the 5-year (Please see Attachment 4) period.
Although the Village Fiscal Year 2021-2022 CIP and budget identified funding, only $31k of the $2,840k (1.0971%) of funds expended in the 2021-2022 fiscal year, as shown in the Fiscal Year 2021-2022 budget (Please see Attachment 5) execution (income and expenses) for the end of the Fiscal Year (September 30th, 2022). These expenditures were for permits, testing, fees, etc.
The Fiscal Year 2022-2023 Capital Improvement Program (Please see Attachment 6) identifies the funding for the three communities using Package Plants ($5.3M) and Broadway East ($.9M) and Broadway West ($.9M) Utilities Expansion Program.
The Fiscal Year 2022-2023 budget identified funding for the Village Utilities Expansion Program, specifically for the three Package Plant communities and the Broadway East and Broadway West areas.
Although the Village Fiscal Year 2022-2023 Capital Improvement Program and Budget identified funding, only $1.2M of the $1.9M of funds expended in Fiscal Year 2022-2023, as shown in the Fiscal Year 2022-2023 (Please see Attachment 7) Budget execution (income and expenses) for the end of the Fiscal Year (September 30th, 2023). Only 1% of the Package Plants conversion, 62% of Broadway West, and 74% of the Broad East funds were expended. These expenditures were for design, permits, testing, fees, etc.
The November 1st, 2023, VILLAGE COUNCIL MEETING, item 6(c), action item, identified Fiscal Year 2024-2025 State Legislative Priorities—staff Presentation by Steve Sarkozy, Village Manager and David Willems, Public Works Director.
Motion by: Council Member Fayhee, Seconded by: Councilmember Ward
Action: Approved the fiscal year 2024-2025. Village of Estero legislative priorities are to be included.
- Highlands Ave. Septic-to-Sewer
- Sunny Groves UEP
- Estero Bay Village UEP
- Cypress Bend UEP
- Broadway Ave. West Improvements
- River Oaks Preserve
Vote: Aye: Councilmembers Fayhee, Ward, Zalucki, Vice Mayor Ribble, and Mayor McLain.
The Village Fiscal Year 2023-2024 (Please see Attachment 8) Budget identified over $24M in Physical Environment (Capital Improvement). The Fiscal Year 2023-2024 Capital Improvement Program, approved by Village Resolution 2023-11, identifies over $14M for “Utility”. Some or all of these funds are for the Village Utilities Expansion Program.
Although the Village Fiscal Year 2023-2024 Capital Improvement Program and Budget identified funding, only $196K of the $14,000K of funds expended in the 2023-2024 fiscal year (as of January 31st, 2024), as shown in the FY 2023-2024 (Please see Attachment 9) Budget execution (income and expenses). These expenditures included design, permits, testing, program management, fees, etc. The document lists the spending (the latest information from the Village as of this writing).
In 5 years of effort, not a shovel of dirt has been turned. Multiple Village contracts were awarded to support the Utilities Expansion Program. The current Village Enterprise Resource Planning (ERP) and Budget execution systems cannot produce a report. Progress is underway as funds are expended and identified by the Fiscal Year.
A Naples Daily News Opinion Letter, published on April 26, 2024, Visionary leadership on clean water, identifies “… Florida State Senator Kathleen Passidomo (R) worked with the visionary city manager of Estero, Mr. Steve Sarkozy, to get millions of dollars to connect homes with septic tanks to sewer lines and when millions more were needed, she continued to work towards getting additional funds…”
Funding has been received from County, State, or Federal sources for the Village Utilities Expansion Program. Additional grants are expected over time. Exactly how much in grants, provided by which level of government, and when (Fiscal Year or not-to-exceed date) the funds must be expended is difficult to extract from the Budget execution reports. The current Village Enterprise Resource Planning (ERP) and Budget execution systems cannot produce a report identifying individual grants.
The monthly Budget execution reports, buried in the Village Council meeting agendas and unavailable on the Village website, only identify the total grant (Please see Attachment 10) funds received.
Editor’s note: The Village is implementing a new ERP. We hope this new system will provide the citizens of Estero with reports necessary for fiscal management transparency.
An AGENDA ITEM SUMMARY SHEET from the VILLAGE COUNCIL MEETING May 15, 2024
Agenda Item: Ordinance No. 2024-06, the Annual Capital Improvement Program
Motion to Pass First Reading of Ordinance No. 2024-06 and set second reading for June 5, 2024.
Background:
The Village Charter Section 8 (7)(b) requires two public hearings and approval by the Capital Improvement Program resolution for each fiscal year.
The Capital Improvement Program will fund the Village Capital Improvement project for Fiscal Year 2024-2025 and provide a priorities plan for the next five years. A summary of the proposed capital expenditures for the upcoming fiscal year is as follows:
Roadway $ 13,447,200
Intersection $ 2,500,000
Bicycle and Pedestrian $ 6,500,000
Landscaping and Beautification $ 4,600,000
Parks and Recreation $ 29,670,000
Stormwater $ 725,106
Utility $ 22,426,608
—————-
Total Capital Program $ 79,868,914
The Village Capital Improvement Program for Fiscal Year 2024/2025 identifies $20,601,625 in grant funding for the Village Utilities Expansion Program.
The Village Capital Improvement Program is a plan, and the Village annual Budget is the intent of the Village Council to spend Village funds. The Village Council approves all contracts to spend Village funds. For this reason, amounts may change as the Village Utilities Expansion Program goes through the planning, budgeting, and spending process.
The Village has been doing extensive research and planning for this project. They have budgeted funds for the last three years but do not always spend them when planned or budgeted. The project’s perceived slowness is not due to a lack of funds to pay but the project’s complexity and the desire to access significant grant money.
Part 4 of the series will focus on the schedule.
Appendix
Attachment 1 – Banks Report
Attachment 2 – By the Numbers
Attachment 4 – Capital Improvement Program 2021-2022
Attachment 5 – Village 30 September 2022 Budget Execution Report
Attachment 6 – Fiscal Year 2022-2023 Capital Improvement Program
Attachment 7 – Village 30 September 2023 Budget Execution Report
Attachment 8 – Adopted Budget Fiscal Year 2023-2024
Attachment 9 – FY 2023-2024 Budget execution (as/of EOM Jan 2024)
Attachment 10 – Village Grants Received
The information in this article was researched by Mark Novitski and James Root, Consultants to Engage Estero and Allan Bowditch Chief Communications Officer.
