1. Wakulla County Sewer Project Eutaw Utilities Presentation April 7, 2011

2. It all began with Wakulla Gardens

3. Citizens wanted roads paved, but needed to put in infrastructure prior to paving roads. Citizens heard at BOCC meetings describing their polluted wells and difficulty with costs of remedy (Talquin Water service does not service all parts of Wakulla Gardens). Already over 900 homes built with potential of areas with 8 septic tanks per acre. Cost of performance based septic systems ($8K to $12K) vs. the cost to connect to County Sewer ($3.9K). Ongoing litigation with City of Tallahassee due to their sprayfield’s influence on Wakulla County groundwater. Wakulla Gardens

4. Ordinance 2006-58 Additionally, on October 2, 2006, Wakulla County BOCC passed ordinance #2006-58:  Requires the County’s treatment plant to produce effluent of a higher grade than existing plant’s capability. The ordinance requires effluent meeting 5-5-3-1 standards.

5. Eutaw Utilities Eutaw Utilities was hired in February 2006 to develop a Wastewater Facility Plan and to design improvements to address wastewater collection in Wakulla Gardens, sewer transmission and upgrades to the Wastewater Treatment Plant. Financing of the project was to be through low interest loans with the FDEP State Revolving Fund.

6. Facility Plan and Project Scope Eutaw Utilities prepared the necessary Facility Plan, which was accepted and approved by Wakulla County in February 2007. Facility Plan was based upon current sewer commitments and planned growth in Wakulla County. Additional Agreements were necessary with City of Sopchoppy, Talquin Electric Cooperative, Wakulla County School Board, P.A.W.S., Wildwood CC (disposal). Loan Repayments were based upon future growth, connection of existing customers within service areas, rate adjustments, connections of ‘large’ customers, including Talquin and Sopchoppy.

7. Original Scope A gravity collection system of Wakulla Gardens Lift Stations and Force Main from Wakulla Gardens to Treatment Plant Upgrading current treatment plant to AWT standards Upsizing treatment plant to 1.6 mgd to accommodate:  Wakulla Gardens (625,000 GPD)  Talquin Oyster Bay customers (60,000 GPD)  City of Sopchoppy (50,000 GPD)  Current committed flows (450,000 GPD) The Original Project and Adopted Facilities Plan called for :

8. Where Are We Now? – Wakulla Gardens Collection System The design and construction documents for all five phases of Wakulla Gardens have been completed. Phases 2 and 5 have been permitted. Phases 1, 3, and 4 have not been permitted due to time stipulations on the FDEP permits. Designs include all gravity lines to collect sewer and internal lift stations to pump to a master station within Wakulla Gardens. (LS-2 in current Wakulla Forcemain Project.) Estimated Construction Costs for all Phases - $10M

9. Original Scope - Forcemain The initial design work for the project included gravity sewer in Wakulla Gardens Units 2 and 5, and the construction of a forcemain from Wakulla Gardens along Lower Bridge Road to the County’s forcemain on US 319. A Loan Application was prepared in the amount of $8,600,000 with FDEP through the SRF program to provide financing for the collection and transmission project. FDEP placed Wakulla County on the fundable list. The Loan Application was never executed. The County declined to pass the necessary resolution and prepare the legal opinion to complete the application.

10. Scope Changes - Forcemain After the plans and specifications for Units #2 and #5 of Wakulla Gardens and a Force Main down Lower Bridge Road were designed, permitted and ready to go out to bid, it was determined that the flow from four existing lift stations should be collected by the new forcemain, and the forcemain should be re-directed away from Crawfordville and instead go down Spring Creek Highway and US 98.

11. Scope Changes - Forcemain New Route was surveyed. New Plans and Specs for the revised Forcemain were designed and permitted. Eutaw Utilities performed the redesign and re-permitting for no additional fee. The previous SRF Loan Application was amended to $2,818,000 for reduced scope of the Forcemain Project. The County then signed the Loan Agreement with FDEP. The revised project was advertised twice in 2010 with the most recent bids received in January 2011.

12. Where We Are Now? - Forcemain Due to budget concerns, the County requested Eutaw Utilities to develop a reduced scope project. Eutaw has been working with Public Works to develop this scope, which currently includes:  A Lift Station near the corner of Spring Creek Highway and US 98 to satisfy current commitments to Talquin and anticipated growth.  A forcemain to run from US98 / Spring Creek to the existing forcemain at US 319.  Rehabilitation of the Medart Lift Station.

13. Where We Are Now? - Forcemain Current Estimates for Lift Station and Forcemain - $550,000 to $700,000. The Lift Station and Forcemain need to be redesigned and re- permitted to develop a Final Cost Proposal from Low Bidder. Current Estimates for Medart Lift Station - $250,000 to $300,000. The Medart Lift Station was not included in the permitted design, but will require a permit. The Lift Station will need to be designed, permitted and construction plans created to develop Final Cost Proposal from Low Bidder. FDEP SRF has agreed to allow the project modifications.

14. Where Are We Going? - Forcemain We need clear direction on the scope of the forcemain project:  Is the Medart Lift Station to be included in the project? Do we want to include an odor control system due to current complaints from surrounding residents? Cost for odor control between $35 – $70k, depending on final design.  Current design on the forcemain includes an 8” forcemain from the new lift station to US 319. We are working to address connection issues and pressures within the existing and proposed system.  If this project is going to move forward, the County will need to amend the existing agreement with FDEP SRF and amend the Facility Plan to include the Medart Lift Station.

15. Original Scope - WWTP The Facility Plan for the WWTP Upgrades included upgrading from 0.6 MGD to 1.6 MGD and increasing treatment levels to meet Wakulla County Standards. The Project was initially to be funded through the FDEP SRF Loan program. Due to per capita income in Wakulla County, FDEP SRF monies were to be 100% Loan, with no Grant Component.

16. Scope Changes - WWTP In 2009, USDA Rural Development made presentation to County regarding their funding opportunities. USDA RD noted that their financing MAY contain up to 40% Grant Funding. The County instructed Eutaw Utilities to pursue USDA Rural Development funding for the WWTP upgrades. Eutaw Utilities has prepared and submitted the Environmental Report (ER), Preliminary Engineering Report (PER), and Application to RD for the WWTP upgrades. Submittals are based upon capacity of 1.6 MGD and County’s 5-5-3-1 Treatment Levels.

17. Where Are We Now? - WWTP The Environmental Report has been reviewed and approved. The Preliminary Engineering Report has been reviewed and a Request for Additional Information (RAI) has been prepared by USDA RD. The RAI requests information on the proposed capacity of the plant and the status of sewer improvements in Wakulla Gardens. The capacity of the proposed plant needs to be clearly defined. Of the 1.0 MGD expansion, 0.6 MGD was designated for Wakulla Gardens. An additional 0.4 MGD was designated for developments in Wakulla County.

18. Where Are We Now? - WWTP The Design of the WWTP improvements is approximately 50% complete. The design includes upgrading to 1.6 MGD and the capability to meet the 5-5-3-1 requirements. The estimated construction cost for the WWTP Upgrades is approximately $7.5M - $8.0M. This includes utilization of existing tankage to the extent possible and adding necessary tankage and process equipment. It is estimated that the 5-5-3-1 process equipment adds approximately 10-15% to the construction cost of the project and an additional 20-25% operating costs to meet the effluent standards.

19. Where Are We Going? - WWTP We need clear direction on the WWTP.  Is Wakulla Gardens to be included in the design of the WWTP Capacity?  Are current committed flows to be included in the design of the WWTP Capacity?  Does the County want to continue designing to the 5-5-3-1 effluent criteria?  Do we want to continue pursuing USDA RD Funding?

20. Where Are We Going? - WWTP Original Capacity Existing 0.40 Committed 0.45 Sopchoppy 0.05 Talquin0.06 Wakulla Gardens0.63 Total 1.59 Alternate Capacity Existing 0.40 Sopchoppy0.05 Talquin0.06 Total0.51 Projected at 3% Growth for 20 Yrs = 0.92 MGD

21. Where Are We Going? - WWTP Wakulla County Standard CBOD5 mg/l TSS5 mg/l Nitrate3 mg/l Phosphorus1 mg/l State Standard for Public Access Reuse CBOD20 mg/l TSS5 mg/l Nitrate10 mg/l PhosphorousN/A

22. Where Are We Going? - WWTP USDA RD Funding  If Capacity Changes, PER will need to be resubmitted.  If Treatment Level Changes, PER will need to be modified.  If No Changes, RAI needs to be resolved. General Funding Issues  Interim Financing During Construction  Grant Component Determined After PER and Application Approved  Terms – 40 Years at 2.8% - 3.4%

23. What WWTP does the County want to Implement? 1.6 MGD and 5-5-3-1 1.6 MGD and 20-5-10 1.1 MGD and 5-5-3-1 1.1 MGD and 20-5-10