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2An act relating to the Apalachicola Water and Sewer
3District, Franklin County; creating and establishing
4the Apalachicola Water and Sewer District; providing a
5district charter; providing definitions; describing
6boundaries; providing for a district board; providing
7powers of the district and district board; prohibiting
8the City of Apalachicola from incurring certain
9additional obligations or indebtedness; requiring the
10city and district to enter into an interlocal
11agreement to effectuate the transfer of water and
12sewer service to the district; providing for the
13district to take certain actions if the city and the
14district do not enter an interlocal agreement;
15providing for the transfer of assets, assumption of
16all lawful debts and other obligations, and
17continuation of contracts by the district; providing
18for the status of certain employees; providing
19effective dates.
20
21Be It Enacted by the Legislature of the State of Florida:
22
23Section 1.  The Apalachicola Water and Sewer District is
24created as an independent special district in Franklin County.
25The district is organized and exists for all purposes and shall
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26    hold all powers set forth in this act and chapters 189 and 197,
27    Florida Statutes, except as otherwise provided in this act. The
28    district charter may be amended only by special act of the
29    Legislature.
30Section 2.  The charter for the Apalachicola Water and
31    Sewer District is created to read:
32Section 1.  Name and corporate status.-
33(1)     The name of the district is the "Apalachicola Water
34    and Sewer District."
35(2)     The district shall be an independent special district
36    of the State of Florida and a body corporate and politic.
37Section 2.  Definitions.-
38(1)     "Board" means the Apalachicola Water and Sewer
39    District Board.
40(2)     "District" means the Apalachicola Water and Sewer
41    District.
42(3)     "Sewer system" means plant, system, facility, or other
43    operation concerning collection, treatment, purification, or
44    disposal of sewage.
45(4)     "Water system" means waterworks or a water treatment
46    plant, or other operation concerning fresh water production,
47    distribution, or sale.
48Section 3.  District boundaries.-The area within the
49    boundaries of the City of Apalachicola and the existing
50    customers presently served by the water and sewer service of the
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51    city.
52Section 4.  Board of the district.-
53(1)     The governing body of the district shall be the
54    Apalachicola Water and Sewer District Board, consisting of five
55    members, with three members appointed by the Governor, one
56    member appointed by the Board of County Commissioners of
57    Franklin County, and one member appointed by the City Commission
58    of the City of Apalachicola. All members of the board must be
59    legal residents and water and sewer customers of the district.
60(2)     Members shall serve 4-year terms, however, the members
61    appointed by the Board of County Commissioners of Franklin
62    County and the City Commission of the City of Apalachicola shall
63    be subject to removal by those governing bodies during their
64    unexpired terms.
65(3)     Each year, the board shall hold an annual
66    organizational meeting and elect a chair, vice chair, secretary,
67    and treasurer, whose duties shall be established by resolution
68    of the board.
69(4)     The board shall meet monthly at such date, time, and
70    place as the board may from time to time designate.
71(5)     The board shall have those administrative duties set
72    forth in this charter and chapter 189, Florida Statutes.
73(6)     A quorum of the board shall be a majority of its
74    members. Official action will require a majority of those voting
75    members present.
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76(7)     Requirements for financial disclosure, meeting
77     notices, reporting, and public records maintenance shall be as
78     set forth in chapters 112, 119, 189, and 286, Florida Statutes.
79(8)     Members of the board shall serve without compensation,
80     but may be reimbursed for their expenses pursuant to s. 112.061,
81     Florida Statutes.
82Section 5.  Powers of the district and board.-
83(1)     The district, by and through the board, is authorized
84     and empowered:
85(a)     To purchase, construct, reconstruct, buy, improve,
86     extend, enlarge, equip, repair, maintain, and operate a water
87     and sewer system; to provide fresh water either within the area
88     described in section 3 or to property located outside the
89     district's boundaries if the district enters into an agreement
90     with affected property owners, or both; to operate, manage, and
91     control all such systems so purchased or constructed and all
92     properties pertaining thereto; and to furnish and supply water,
93     sewage, and disposal services to such district or adjoining area
94     and any persons, firms, or corporations, public or private, in
95     any such area.
96(b)     To issue negotiable water revenue certificates of the
97     district, payable from revenues to be derived from the operation
98     of said water or sewer system.
99(c)     To fix and collect rates and charges for water or
100    sewer furnished by said water and sewer systems and to fix and
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101    collect charges for making connections with any water or sewer
102    system.
103(d)     To acquire in the name of the district, by purchase or
104    gift, within and without such lands and rights and interests
105    therein, including lands over and under water and riparian
106    rights; to acquire such personal property as it may deem
107    necessary in connection with the construction or operation of
108    water and sewer systems; and to hold and dispose of all real and
109    personal property under its control.
110(e)     To enter into contracts with private parties or
111    interlocal agreements with governmental entities for the purpose
112    of purchasing, constructing, operating, or maintaining a water
113    system or providing water services in the area described in
114    section 3 or to areas outside the district's boundaries.
115(f)     To exercise the right and power of eminent domain,
116    pursuant to general law, over property described in section 3,
117    except municipal, county, state, special district, or federal
118    property used for a public purpose.
119(g)     To make and enter into all contracts and agreements
120    necessary or incidental to the performance of its duties and the
121    execution of its powers under this act, including a trust
122    agreement or trust agreements securing any bonds issued
123    hereunder; to employ such expert and clerical personnel as may,
124    in the judgment of the board, be deemed necessary; and to fix
125    their compensation, provided, however, that all such expenses
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126    shall be payable solely from funds made available under the
127    provisions of this act.
128(h)     To exercise jurisdiction, control, and supervision
129    over any water and sewer systems owned, operated, or maintained
130    by it; to make and enforce such rules and regulations for the
131    maintenance and operation of any such system as may in its
132    judgment be necessary or desirable for the efficient operation
133    thereof; and to accomplish the purposes of this act.
134(i)     To enter on any lands, water, or premises located
135    within the area described in section 3 or, pursuant to an
136    agreement with the property owner or interlocal agreement, land
137    located outside the district's boundaries to make surveys,
138    borings, soundings, or examinations to effectuate the purposes
139    of this act.
140(j)     To construct and operate water mains, laterals,
141    conduits, pipelines, pumping stations, lift stations, valves,
142    force mains, laterals, pressure lines, mains, and all necessary
143    appurtenances thereto, in, along, or under any street, alley,
144    highway, or other public place in the area described in section
145    3 or any other area that is subject to an agreement between the
146    district and the entity controlling the public property.
147(k)     To restrain, enjoin, or otherwise prevent any
148    political subdivision or agency and any person or corporation,
149    public or private, from discharging into any navigable or non-
150    navigable waters within the limits of the district any sewage,
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151    industrial waters, or other refuse which would contribute to the
152    pollution of such and to restrain, enjoin, or otherwise prevent
153    the violation of any provision of this act or any resolution,
154    regulation, or rule adopted pursuant to the powers granted by
155    this act.
156(l)     Subject to such provisions and restrictions as may be
157    set forth in any resolution or trust agreement authorizing or
158    securing any bonds issued under the provisions of this act, to
159    enter into contracts with the government of the United States or
160    the state or any agency or instrumentality of either thereof, or
161    with any municipality, district, private corporation, co-
162    partnership, association, or individual providing for or
163    relating to such water system or the purchase and sale of water
164    or sewer system and the disposal of sewage.
165(m)     To receive and accept from any authorized agency of
166    the Federal Government loans or grants for the planning,
167    construction, improvement, extension, enlargement,
168    reconstruction, or equipment of any water and sewer systems; to
169    enter into agreements with such agency respecting any such loans
170    or grants; and to receive and accept aid or contributions from
171    any source of either money, property, labor, or other things of
172    value, to be held, used, and applied only for the purposes for
173    which such loans, grants, or contributions be made.
174(n)     To do all acts and things necessary or convenient to
175    carry out the powers expressly granted in this act.
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176(2)     The board may fix and revise from time to time rates
177    and charges for water furnished by any water system and for
178    sewage disposal by any sewer system and charge and collect the
179    same. Any such rates and charges shall be so fixed and revised
180    as to provide funds, with other funds available for such
181    purpose, sufficient at all times:
182(a)     To pay the cost of maintaining, repairing, and
183    operating the water and sewer systems of the district, and to
184    provide reserves therefor and for replacements, depreciation,
185    and necessary extensions and enlargements.
186(b)     To pay the principal of and the interest on all
187    outstanding bonds for the payment of which such rates and
188    charges are pledged as the same shall become due and provide
189    reserves therefor.
190(c)     To provide a margin of safety for making such payments
191    and providing such reserves. Such rates and charges shall not be
192    subject to supervision or regulation by any commission, board,
193    bureau, or agency of the state or of any political subdivision
194    of the state. Such rates and charges shall be just and
195    equitable.
196(3)     The district shall have no power or authority to
197    impose or collect ad valorem taxes.
198(4)     No funds of the district shall be used for any purpose
199    other than those defined in this section and the administration
200    of the affairs and business of the district, or the purpose,
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201    acquisition, construction, expansion, care, maintenance, upkeep,
202    and operation of a fresh water system and sewer system in the
203    district as the board may determine to be for the best interest
204    of the district and inhabitants thereof.
205(5)     The board may provide in the resolution authorizing
206    the issuance of bonds under this act or in any trust agreement
207    securing such bonds that if any water or sewer rates shall not
208    be paid within 30 days from the rendition of any such bills, the
209    district shall discontinue furnishing water to such premises and
210    may disconnect the same from the water system. Any such
211    resolution or trust agreement may include any or all of the
212    following provisions, and may require the board to adopt such
213    resolutions or to take such other lawful action as shall be
214    necessary to effectuate such provisions, and the board is hereby
215    authorized to adopt such resolutions and to take such other
216    action.
217(a)     The district may require the owner, tenant, or
218    occupant of each lot or parcel of land within the district who
219    is obligated to pay water or sewer rates to the district; to
220    make a reasonable deposit with the district in advance; to
221    ensure the payment of such rates or charges; and to be subject
222    to application to the payment thereof if and when delinquent.
223(b)     If any water or sewer rates charges payable to the
224    district shall not be paid within 30 days after the same shall
225    become due and payable, the district may at the expiration of
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226    such 30 days period disconnect the premises from the water
227    system and the district may proceed to recover the amount of any
228    such delinquent rates or charges, with interest at the highest
229    legal rate, in any court having jurisdiction over claims for
230    money damages.
231(6)     The powers, functions, and duties of the district
232    relating to bond issuance, other revenue-raising capabilities,
233    budget preparation and approval, liens and foreclosure of liens,
234    use of tax deeds and tax certificates as appropriate for non-ad
235    valorem assessments, and contractual agreements, and the methods
236    for financing the district and for collecting non-ad valorem
237    assessments, fees, or service charges, to the extent authorized
238    by this act, shall be as forth in this charter, in chapters 170,
239    189, and 197, Florida Statutes, and in any applicable general or
240    special law.
241(7)     The district's planning requirements shall be as set
242    forth in this act and chapter 189, Florida Statutes.
243(8)     The procedures for conducting any district elections
244    or referenda authorized by general law, as well the
245    qualification for electors for any district elections or
246    referenda, shall be pursuant to chapter 189, Florida Statutes.
247Section 3.  Effective upon this act becoming a law, the
248    City of Apalachicola may not incur any additional obligations or
249    indebtedness related to the operation of its water and sewer
250    utility other than expenses incurred in the ordinary course of
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251    business and shall avoid wasting its assets. The City of
252    Apalachicola and the Apalachicola Water and Sewer District must
253    enter into an interlocal agreement by the latter of July 1,
254    2026, or 30 days after the Governor makes initial appointments
255    to the board to effectuate the transfer of water and sewer
256    service from the city to the district. Such agreement shall
257    include provisions concerning an assessment of all assets
258    currently held by the city for providing water and sewer
259    service, cooperation in meeting regulatory and permitting
260    requirements for the transfer of the water and sewer utility,
261    the transition of assets and liabilities from the city to the
262    district, and membership of district employees in the Florida
263    Retirement System, as well as any other terms and conditions
264    mutually agreed to by the parties. Notwithstanding any other
265    provision of law, if the city and the district do not enter into
266    an interlocal agreement by the deadline established by this
267    section, the district shall have the sole authority to make all
268    determinations necessary to effectuate the transfer of water and
269    sewer service, which are binding on both the city and the
270    district.
271Section 4.  On December 1, 2026, all property, whether
272    real, personal, or mixed, that is owned, possessed, or
273    controlled by the City of Apalachicola for the purposes of
274    providing water and sewer systems, as well as all other assets,
275    contracts, obligations, and liabilities of the City of
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276    Apalachicola for such purposes, are hereby transferred and
277    vested in the Apalachicola Water and Sewer District. All
278    contracts and obligations of the City of Apalachicola for water
279    and sewer systems existing on the effective date of this act
280    shall remain in full force and effect, and this act shall in no
281    way affect the validity of such contracts or obligations.
282    Current employees of the city employed for the purpose of
283    providing water and sewer service shall become employees of the
284    district pursuant to the interlocal agreement or other
285    determinations made pursuant to section 3 of this act, provided
286    that the district shall ensure that employees continue
287    membership in the Florida Retirement System.
288Section 5.  Except as otherwise expressly provided in this
289    act, this act shall take effect upon becoming a law.
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