Okaloosa County BOCC — May 20, 2014

Agenda Okaloosa County Board of Commissioners Tuesday, May 20, 2014– 8:30 AM Water & Sewer Administration Building I. Employee Awards II. Public Information Update III. County Administrator's Update IV. Commissioner's Minute V. Public Comments Related to Current Agenda VI. Public Hearing 1. Request approval to Authorize OCWS to construct the East County Force Main and Repump Station Project. – pg. 12 VII. Visitor 1. Angela Balent, CPA, Warren Averett LLC, to address the Board with Audit Report. District: All. – pg. 19 2. Presentation by American Heart Association to Okaloosa County Emergency Medical Services (EMS) of the AHA Lifeline EMS Silver Award. – pg. 286 VIII. Consent Agenda 1. [Airports] Request approval of Supplemental Joint Participation Agreement – pg. 290 2. [CAO] Approval of Budget Resolutions & Transfers – pg. 296 3. [CAO] Request approval of Resolution by the Okaloosa County Board of County Commissioners supporting development of fishery management plan in the Gulf of Mexico. – pg. 300 4. [Non-BCC] Request approval to execute the Florida Department of Revenue federally funded grant agreement providing partial reimbursement of the cost of service of process (SOP) in child support cases. – pg. 304 5. [Non-BCC] Request approval of the submittal of an application for the FY 2014 Edward Byrne Memorial Justice Assistance Grant for the Sheriff's Office. – pg. 328 6. [PS] Request approval of and authorize the Chairman to execute a proclamation designating the week of May 18-24, 2014, as Emergency Medical Services Week. – pg. 379 Revised: 5/15/2014 1:19 PM Page 1 of 4 Regular Meeting (South) Agenda May 20, 2014 7. [PS] Request approval of and authorize the Chairman to execute a proclamation designating the week of June 1-8, 2014, as National Beach Safety Week. – pg. 381 8. [PS] Request approval of and authorize the Chairman to execute the contract renewal for the Public Safety Medical Director. – pg. 383 9. [PS] Request approval of the updated Memorandum of Agreement with 1st Special Operations Wing at Hurlburt Field. – pg. 385 10. [PS] Request approval of the Kronos contract amendment to upgrade TeleStaff software from v2.7 to v4.0 at a total cost of $8,767.50. – pg. 392 11. [PS] Request approval to award and execute the EMS Billing Contract with Intermedix Corporation. – pg. 401 12. [PS] Request approval to renew the School Bus Disaster Transportation Lease with the Okaloosa County School Board for utilization of buses for emergency transportation. – pg. 470 13. [PS] Request approval of and authorize the Chairman to execute the TLT Transport, LLC, contract renewal for the transportation of non-emergency Baker Act patients. – pg. 473 14. [PS] Request approval of the Interlocal Agreement with the West Florida Regional Planning Council. – pg. 476 15. [PS] Request approval for direct payment of the outstanding March and April 2014 Airgas invoices for a total of $5,453.76. – pg. 480 16. [PS] Request approval for the solicitation of proposals for EMS Collection Services. – pg. 558 17. [PUR] Airport Emergency Flooding Repairs – pg. 559 18. [PUR] Solicit Request for Qualifications for General Aviation Services – pg. 594 19. [PUR] Seeking approval to purchase one (1) 2014 Doosan DL300 Front End Loader (4 cy) (RFB #33-14) for Public Works. – pg. 597 20. [PUR] Request consideration for approval to award the bid for utility bill printing to Pinnacle Data Services. – pg. 612 21. [PW] Schedule a Public Hearing to vacate a portion of 7th Ave and 5th St Port Dixie – pg. 617 22. [PW] FDOT requests the Board's recommendation of the current Okaloosa County Roadway Functional Classifications Map – pg. 627 23. [PW] Request to Schedule a Public Hearing to Exchange Property and Vacate R/W – pg. 629 Okaloosa County Board of Commissioners Page 2 Printed 5/15/2014 Regular Meeting (South) Agenda May 20, 2014 24. [SOE] Request approval of and authorize the Chairman to execute a Certificate of Matching Funds for FY 2013-2014 Federal Elections Activities Plan Grant for a County 15% match of $3,239.32, submitted by the Supervisor of Elections. – pg. 645 25. [TDD] Request approval of snorkel reef permits. – pg. 669 IX. Department Business A. Elliot Kampert/Growth Management 1. Coordination/Operator Contract – pg. 746 2. Willow Creek Phase I Re-plat – pg. 763 3. Request approval of the site development plans and approval to post the Notice of Intent to Issue a Development Order signage for Courtyard - Okaloosa Island, located at the southwest corner of Santa Rosa Boulevard and Second Beach Freeway on Okaloosa Island – pg. 766 B. Ed Schroeder/Tourist Development 1. Request Approval to Extend the Expiration Date of Western Destin Beach Restoration Interlocal C12-1950-TDC – pg. 776 2. Film Commission Presentation – pg. 792 3. Visit Florida InState Magazine Advertisement – pg. 793 C. Dino Villani/Public Safety 1. Request approval of and authorize the Chairman to execute the contract renewal with Panhandle Animal Welfare Society, Inc., to provide animal control services within unincorporated areas of Okaloosa County for Fiscal Year 2015 for a total cost of $479,980.00. – pg. 795 2. Request approval to purchase and implement Emergency Police Dispatch Protocol System. – pg. 801 D. Jeff Littrell/Water & Sewer 1. Provide update on the future water supply land acquisition program and request approval to move forward with the Shoal River Reservoir Land Acquisition. – pg. 806 Okaloosa County Board of Commissioners Page 3 Printed 5/15/2014 Regular Meeting (South) Agenda May 20, 2014 2. Request approval of and authorize the Chairman to execute Change Order # 2 to Contract # C14-2160-WS with American Suncraft Construction Company to extend the contract time to repair and paint Countryview and Bluewater Tanks. – pg. 826 3. Request approval of the amendment of Harcros Chemicals Contract C13- 2072-WS to include 55 gallon drums of sodium hypochlorite. – pg. 830 E. John Hofstad/Public Works 1. Request approval of Task Order 2 for Asphalt Paving Systems C12-1960 for the work to be performed totaling not more than $232,782.84 – pg. 833 2. Request approval of Task Order 2 for Asphalt Paving Systems C12-1961 for the work to be performed totaling not more than $113,397.90 – pg. 839 3. Request approval to schedule a Public Hearing on June 3, 2014 for public comment concerning the Sylvania Heights MSBU Assessment Rate Change. – pg. 844 F. Donald Turner/Facility Maintenance 1. Request Board approval of a Change Order to the Lord & Son contract on the Shalimar Annex Project to add the asbestos abatement portion of the project. Dist: all. – pg. 850 G. Paul Lawson/Corrections 1. Request approval of the Board to authorize the Chairman to sign a memorandum of agreement for the housing of military prisoners. – pg. 861 X. Public Comments Okaloosa County adheres to the Americans with Disabilities Act and will make reasonable accommodations for access to this meeting upon request. Please call the County Administrator’s Office at (850) 651-7515 to make a request. For Hearing Impaired, Dial 1-800-955-8771 (TDD), and 1-800-955-8770 (Voice). Requests must be received at least 48 hours in advance of the meeting in order for Okaloosa County to provide the requested service. Okaloosa County Board of Commissioners Page 4 Printed 5/15/2014  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Kathy Newby, Public Information Officer SUBJECT: Public Information Officer Presentation The Public Information Officer's PowerPoint presentation is attached. Packet Pg. 5  www.okaloosafl.com Please silence all pagers & cell phones for Board of County Commission Meeting. All visitors must speak into microphone for live broadcast & give name & address. Packet Pg. 6  Evaluation is done at the end of day to see if he is recommended for job. Packet Pg. 7 What happens at Arbennie Pritchett Water Reclamation Facility? Wastewater treatment is a biological process where natural bacteria and microorganism breakdown(consume) organic material and nutrient typically found in raw wastewater. Wastewater enters into the APWRF at the pretreatment or “headworks” where grit and garbage(inorganic material) is removed. From there it enters the bio-reactor tanks(carrousels) where bacteria and microorganisms await in abundance to consume nutrient and organic rich wastewater. The complete process provides a clarified product(reclaimed water) which is sent to a golf course for irrigation and to designated absorption fields. A computer SCADA system(Supervisory Control and Data Acquisition) provide monitoring and control of the process. A state certified lab provides quality control/quality assurance testing and analytical services required by the State. Packet Pg. 8  Mosquito Control has been spot spraying Larviciding treatments and inspections have been ongoing throughout the day. Schedule is located on county website link:  http://www.co.okaloosa.fl.us/doc/dept/publi c_works/mosquito_control/mosquito_sprayin g.pdf Packet Pg. 9 FEMA ASSISTANCE: SBA INFORMATION Individuals in Escambia, Okaloosa,  Types of Disaster Loans:  Home Santa Rosa, and Walton Counties can Disaster; Business Physical Disaster register with FEMA the following Loans; Economic Injury Disaster Loans ways:  Application Filing Deadlines: Physical Apply online at Damage: July 7, 2014 Economic Injury: www.DisasterAssistance.gov. February 6, 2015 Apply via smartphone at  SBA’s Disaster Assistance Customer Service Center by calling (800) 659- m.fema.gov. 2955, emailing Constituents may call the disastercustomerservice@sba.gov, or registration phone number at 1-800- visiting SBA’s Web site at 621-3362; those who have a speech www.sba.gov/disaster. Deaf and hard- disability or hearing loss and use of-hearing individuals may call TTY, should call 1-800-462-7585  (800) 877-8339. Applicants may also directly; for those who use 711 or apply online using the Electronic Loan Video Relay Service (VRS), call 1- Application (ELA) 800-621-3362.  The SBA Business Recovery Center is If you have any questions, please open in Escambia County at the Greater feel free to contact FEMA’s Pensacola Chamber, 117 West Garden Congressional Affairs Division at Street (202) 646-4500. For your reference,  Hours: Monday – Friday from 8 a.m. to an updated declaration fact sheet is 5 p.m., until further notice provided below and attached.  Closed: Saturday and Sunday  via SBA’s secure Web site at Packet Pg. 10 https://disasterloan.sba.gov/ela. Packet Pg. 11  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Jeff Littrell SUBJECT: Approval To Authorize OCWS To Construct The East County Force Main And Repump Station Project DEPARTMENT: Water and Sewer BCC DISTRICT: ALL STATEMENT OF ISSUE: In accordance with Chapter 255, Public Property and Publicly Owned Buildings, Florida State Statues (F.S), Section 255.20, Local bids and contracts for public construction works; specification of state-produced lumber, the BCC must hold a public meeting to discuss the County’s proposal to construct a new 20 inch diameter force main and a new 4.2 million gallon per day repump station to serve the East County service area using Okaloosa County Water and Sewer Department (OCWS) staff and equipment. Specifically, the statute states that a County government may “self-perform” public works projects valued at greater than $300,000... “When the governing board of the local government, after public notice, conducts a public meeting under s. 286.011 and finds by a majority vote of the governing board that it is in the public's best interest to perform the project using its own services, employees, and equipment.” BACKGROUND: In April of 2012, OCWS entered into an interlocal agreement with the City of Niceville and City of Valparaiso to transfer its ownership and treatment capacity at the NVOC Regional Wastewater Treatment Facility. As part of this agreement, OCWS transferred its cost sharing responsibility of the NVOC facility, upon relocation of all of its flows from the East County/Bluewater Bay Service Area to the Arbennie Pritchett Water Reclamation Facility (APWRF). As part of this relocation, OCWS would need to construct a new sanitary sewer force main and repump station to convey its flows to the APWRF. The force main and repump station will convey all wastewater flows from the East County service area to the Eglin Main pump station being constructed on Eglin AFB Main Base then to the County’s APWRF. On the attached maps, this project is depicted as Phases 9 and 10. OCWS is proposing to self-perform the construction of the new force main and repump station. OCWS plans to use OCWS staff and equipment to expedite completion of the project. OCWS estimates that using their own forces and equipment to construct the project will shorten the construction schedule and will reduce the project costs over contracting with an outside construction company. OCWS has estimated the construction project to cost approximately $4,169,312.14. As stated in the attached Public Notice, a cost breakdown of the project was available for the public to view at our office anytime between the Public Notice and the Public Meeting. The cost includes material, labor (with fringe/insurance), equipment (with maintenance), and subcontracted work. OCWS has reviewed the construction requirements for the project and has determined that we have the necessary qualifications, labor and available time to complete the project. As presented Packet Pg. 12 earlier, Section 255.20 F.S., Local bids and contracts for public construction works; specification of state-produced lumber includes specific requirements for County governments that choose to construct projects valued at greater than $300,000 using their own forces and equipment. F.S. 255.20 states that before the project can be constructed using the County’s forces, the County must hold a properly advertised public meeting to discuss the project and then the BCC must vote to approve the County constructing the project using its own forces. The meeting has been advertised as required. OCWS will discuss the project, the estimated cost and timing of the project as well as issues regarding why it is in the public's best interest to perform the project using the County’s own services, employees and equipment. In short, by self-performing this project with in-house crews, staff believes we can get it done better, faster, and more economical than the alternatives. OPTIONS: Approve or deny. RECOMMENDATIONS: Staff requests BCC approval to authorize OCWS to construct the East County Force Main and Repump Station Project using OCWS staff and equipment, as supplemented in accordance with County Ordinances and State Statutes. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 13  NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN that the Board of County Commissioners of Okaloosa County, Florida, on May 20, 2014 at 9:00 A.M., or soon thereafter, at the County Commissioners meeting room, Water & Sewer Annex, 1804 Lewis Turner Blvd., 3rd Floor, Ft. Walton Beach, Florida will hold a hearing to discuss the County’s proposal to construct the East County Force Main and Repump Station Project using Okaloosa County Water and Sewer Department (OCWS) staff and equipment. The public hearing shall constitute the public meeting as required by section 225.20, Fla. Stat. The purpose of the public meeting is to consider whether it is in the public’s best interest to perform the project using the local government’s own services, employees, and equipment. The scope of work generally consists of the construction of a new 20 inch diameter sewer force main (totaling approximately 6.7 miles in length) and a new 4.2 million gallon per day sewer repump station. The estimated cost of the design-build project using OCWS staff is $4,169,312.14. ALL INTERESTED PERSONS ARE INVITED TO ATTEND AND BE HEARD REGARDING THE PUBLIC HEARING. The proposal and cost estimate breakdown may be inspected by the public at Okaloosa County Water & Sewer, 1804 Lewis Turner Blvd., 3rd floor, Engineering Office, 850-651-7504. If any person decides to appeal any decision made with respect to any matter considered at these hearings, such person will need a record of the proceeding and may need to ensure that a verbatim record of the proceeding is made which record includes the testimony and evidence upon which the appeal is to be based. Okaloosa County adheres to the American Disabilities Act and will make reasonable modifications for access to these hearings upon request. Requests may be made to the Water & Sewer offices described above and must be made at least 48 hours in advance of the hearings in order to provide the requested service. Board of County Commissioners Okaloosa County, Florida By: Don. W. Howard Clerk of Circuit Court Packet Pg. 14  4/9/2014 Preliminary Cost Estimate OCWS East County Force Main (From College Blvd./SR-85 to Eglin Repump Station Line No. Line Item Quantity Unit Unit Price Total 1 20" PVC C-905 DR18 28,805 LF $ 30.00 $ 864,150.00 2 24" HDPE DR-11 Directional Bores (Gator Boring) 6,474 LF $ 201.60 $ 1,305,158.40 3 24"/20" bore transition fittings (Gator Boring) 9 pair $ 3,600.00 $ 32,400.00 4 36" Jack and Bore with Carrier Pipe (Gator Boring) 140 LF $ 350.00 $ 49,000.00 5 20" plug valves w/ box & megalug kit 16 EA $ 8,000.00 $ 128,000.00 6 air release/vacuum valve w/ MH, GV, valve box 23 EA $ 4,500.00 $ 103,500.00 7 20" Megalug Kits 116 EA $ 200.00 $ 23,200.00 8 Tapping saddle and appurtenances for testing/filling 30 EA $ 300.00 $ 9,000.00 9 DI Fittings 1 LS $ 20,000.00 $ 20,000.00 10 14" Line Stops (EA Tapping Services) 2 EA $ 6,000.00 $ 12,000.00 11 Seeding & Mulching 20 AC $ 200.00 $ 4,000.00 12 Erosion Control: Silt Fence 3,000 LF $ 0.19 $ 570.00 13 Concrete Flume/Sidewalk Replacement 1,100 SF $ 3.00 $ 3,300.00 14 Marker Posts 40 EA $ 14.87 $ 594.80 15 OCWS in-house labor (500 LF/day) 58 days $ 3,000.00 $ 174,000.00 16 OCWS in-house equipment (500 LF/day) 58 days $ 1,000.00 $ 58,000.00 TOTAL GATOR BORING (Contract C14-2094-WS) $ 1,386,558.40 TOTAL EA TAPPING SERVICES (Contract C14-2128-WS) $ 12,000.00 TOTAL OCWS MATERIALS $ 1,156,314.80 TOTAL OCWS LABOR + EQUIP $ 232,000.00 SUBTOTAL CONSTRUCTION (Includes Contracted Services) $ 2,786,873.20 18 15% contingency on materials $ 173,447.22 19 15% admin/overhead fee on labor/mat'l (not equip or contracted) $ 199,547.22 TOTAL CONSTRUCTION $ 3,159,867.64 Packet Pg. 15 Okaloosa County Water & Sewer East County RePump Project- Contract Estimates Contract 1 Contract 2 Contract 3 Contract 4 Contract 5 Pre- Engineered Building Pumps Generator MCC/Controls Site Work Piping OCWS Material $ Cost $ 96,000.00 130,000.00 $328,000.00 $13,797.44 $196,680.00 Labor Cost $ 87,400.00 Contract Cost $ 157,567.06 CONTRACT 1 COST (Pre-Engineered Building) $157,567.06 CONTRACT 2 COST (3- 100hp Centrifugal Pumps) $ 96,000.00 CONTRACT 3 COST (550 kW Generator) $130,000.00 CONTRACT 4 COST (Motor Control & Control Panel) $328,000.00 CONTRACT 5 COST (OCWS Labor, Site Work & Mech Piping) $297,877.44 TOTAL COMBINED CONTRACTS COST $ 1,009,444.50 Packet Pg. 16  Phase 1: Rocky Bayou 16" Force Main (FM) Phase 7: Replace Meigs-Seminole Lift Station Phase 2: Rocky Bayou 16" FM Phase 8: Hwy 20 12" FM Phase 3: Rocky Bayou 16" FM Phase 9: New College Blvd Lift Station LLY Phase 4: Rocky Bayou 16" FM Phase 10: NVOC 16" FM KE Phase 5: Eglin Main 20" FM & 2 Lift Stations Phase 10a: NVOC 16" FM Alternate Phase 6: Replace 10" FM at Canal with 16" FM WOLVERINE JACKSO N E Y EG LA R LL JC CO ER ROG S STIC VAL A ANDREW 5 Y8 HW ND BO Arbennie Pritcehtt WRF R TW O BE NR GE Proposed Eglin Main Lift Station LEWIS TURNER East County Master Sewer Plan - Page 1 . MAP PROJECTION: Lambert Conformal Conic Projection Stateplane : Flo ida Nor th (0903) NAD 1983(90), NAVD 1988. Existing Phase 3 Phase 6 Phase 9 StreetCenterlines PUBLIC RECORD: This map was created by Okaloosa County GIS and is in the public domain pur uant Phase 1 Phase 4 Phase 7 Phase 10 to Chapter 119 , Florida Statutes. DISCLAIMER: Phase 2 Phase 5 Phase 10a 1 inch = 2,500 feet Okaloosa County h reby expressly disclaims Phase 8 any liability for errors or omissions in these maps, indexes or legends. Packet Pg. 17  85 Y2 UNNAME D HW Proposed College Blvd Lift Station EN BOW DOIN COL LEG E ON N E LC DIANE GARD EVER G R EE CI 48TH E FA NVOC WWTP PARKV IE AS A HART 47TH CEDAR CA GR CH JA S O N E 46TH LY RR I LL CARIE EL FIR PAL M ST CHARLES E EV K OR W NIC K M EE JE D I S VAT LT M CR COOK FF O N A JO BI ND LEWI S GO LF CO URSE AD ON 3R D ER ER HN CAMPBELL AT PARK AM BO S W TE R SO LD TWA EV S Post Office SLift WEE Station MARION DEER CO AN N Existing 14" FM IN RT 2N (To be Abandoned after Phase 9) S K 85 (Hwy 20 & Palm Blvd- VIS BLO SSO M PA D EL Y WA FOREST LY A LL HWY to be abandoned after DPhase E9) 37TH FRIAR TUCK TIN W KE MARQ UET TE WA NG IS PO VA JUNIPER LA KR RHONDA RO A SPEN ELM RUCKEL AB ST WOLVERINE CREE K AN IT HELM S HIL JO NES CEDAR M C KILCULLEN AR E S TR O CE L ALLEN E T 32ND DE EN IOWA R B A C U TT A M S 31ST YS MU Y BALLY D R N IL WA LL VE HO L K RY L GO IL OH R MCEWEN 30TH GA VE GLENDALE LI TH I NO O E 29 RE BOX ER EDG E DYER 28TH M ROC WISE IS KY B BULLOCK IDE AT JO H PINE AY O DREW Rocky Bayou Lift Station 27TH T N SI U MS S LS JA C K SO STIC MAG NO 26TH (To be Abandoned after Phase 9) STEPHEN HIL N L IA HUN KAREN QUINCE BAILEY D KE L FAIRW O O VAL A WHITE JA MARKE T REEVES NT NA 25TH TERESA NORDBERG ME TING LINCOLN BE ED REDWOO D CA S JUDITH DU UN 23RD E AC CHIC H CHRISTY AN IS EDG EWATER RE SEM IN WASHING TON 22ND NC N DR D 22ND D PAL M TO N A PINE HI EW OKALOO SA AN 21ST R 23R BAYO U A AGO NUTMEG Y8 5 20TH RILEY P D KUMQ UAT O LE JUNIPER GLEN 20TH LINDEN HW PINE Phase 1: Rocky Bayou 16" Force Main (FM) MAPLE Phase 7: E ReplaceMEI Meigs-Seminole Lift Station 18TH 19TH Y FIN IEW BA GS LE DG CK E E TV T TEE BISCAYNE E S A LS Phase 2: Rocky Bayou 16" FM NS Phase 8: Hwy 20 12" FM 17TH HARDING WE AN SU VAL PARAISO SAILBOAT SL VIRGI NIA CORAL SYCAMO RE UNION EY OU NELSON POINT OS VINE MICHIG AN Phase 9: New College Blvd Lift Station MAPLE LINDEN BAY Phase 3: Rocky Bayou 16" FM OAK PINE ROSE P OAK SHO RES ST PA RE RA 13TH R AN LANCASTER Y FLORIDA TT KV BAYSHO RE Phase 10: NVOC 16" FM DR AN Phase 4: Rocky Bayou 16" FM IE EMM ETT SHADOW GRAN D 11TH W EW REDBUD PA D E S LM N IDA COON NORTHRIDGE JOHN SIMS MISSI SSIPPI S ID LA AR Phase 5: Eglin Main 20" FM & 2 Lift Stations R Phase 10a: NVOC 16" FM Alternate E N IS V WAT E M K IEW AD PAR 7TH PIN OAK IL N 10 ED Y LO RE LL E AY B LU E Phase 6: Replace 10" FM at Canal with 16"H FM COUG AR TURT W W BAY KE AN W LE SIC Replacement of JASM INE DOLPHIN PO IN G NM I I LY HW MERMeigs-Seminole Lift Station H RANG E LA LD BLUE PINE TAL A LAKESID O I A C HAN PR B ER M U D Y 20 TS T CL UB CA YACH HICKORY CHOCTAWHATCHEE LID CEDAR C ER PINE LA O A WI N E R TT D CIL WA IB T PU R B D AU EA East County Master Sewer Plan - Page 2 . N MAP PROJECTION: Lambert Conformal Conic Projection Stateplane : Flo ida Nor th (0903) NAD 1983(90), NAVD 1988. Existing Phase 3 Phase 6 Phase 9 StreetCenterlines PUBLIC RECORD: This map was created by Okaloosa County GIS and is in the public domain pur uant Phase 1 Phase 4 Phase 7 Phase 10 to Chapter 119 , Florida Statutes. DISCLAIMER: Phase 2 Phase 5 Phase 10a 1 inch = 2,500 feet Okaloosa County h reby expressly disclaims Phase 8 any liability for errors or omissions in these maps, indexes or legends. Packet Pg. 18  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Angela Balent, CPA, Warren Averett LLC SUBJECT: Visitor - Angela Balent CPA, Warren Averett LLC Presentation of Audit Report Angela Balent, Warren Averett LLC Presentation of Audit Report. Related documents are attached. Packet Pg. 19 O KALOOSA C OUNTY, FLORIDA C O M P R E H E N S IV E A N N U A L F I N A N C I A L R E P O R T F OR THE YEAR E NDED SEPTEMBER 30, 201 3 PREPARED BY CLERK OF CIRCUIT COURT DON W. HOWARD, CLERK GARY J. STANFORD, FINANCE OFFICER Packet Pg. 20 Packet Pg. 21 Comprehensive Annual Financial Report Okaloosa County, Florida For the year ended September 30, 2013 Prepared by Clerk of Circuit Court Don W. Howard, Clerk Gary J. Stanford Finance Officer Packet Pg. 22 Packet Pg. 23 INTRODUCTORY SECTION Packet Pg. 24 Packet Pg. 25  OKALOOSA COUNTY, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT FISCAL YEAR ENDED SEPTEMBER 30, 2013 TABLE OF CONTENTS Page Exhibit INTRODUCTORY SECTION Table of Contents i Letter of Transmittal iv GFOA Certificate of Achievement xiv Organization Charts xv County Officials xvii FINANCIAL SECTION Independent Auditors' Report 1 Management's Discussion and Analysis 3 Basic Financial Statements Government-wide Financial Statements Statement of Net Position 16 I Statement of Activities 19 II-A & B Fund Financial Statements Balance Sheet - Governmental Funds 21 III-A Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Position 22 III-B Statement of Revenues, Expenditures, and Changes in Fund Balances - Governmental Funds 23 IV-A Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities 25 IV-B Statement of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual General Fund 26 V County Transportation Trust Special Revenue Fund 27 VI Tourist Developmnet Special Revenue Fund 28 VII Statement of Net Position - Proprietary Funds 29 VIII Statement of Revenues, Expenses, an Changes in Net Position - Proprietary Funds 32 IX Statement of Cash Flows - Proprietary Funds 34 X Statement of Fiduciary Net Position - Fiduciary Funds 37 XI Notes to Financial Statements 38 Required Supplementary Information Schedule of Funding Progress - Post Employment Benefits Plan 89 i Packet Pg. 26  OKALOOSA COUNTY, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT FISCAL YEAR ENDED SEPTEMBER 30, 2013 TABLE OF CONTENTS Statement/ Page Schedule Combining and Individual Fund Statements and Schedules: Combining Balance Sheet - Nonmajor Governmental Funds 90 A-1 Combining Statement of Revenues, Expenditures, and Changes in 93 A-2 Schedules of Revenues, Expenditures, and Changes in Fund Balance - Capital Outlay Construction Trust Capital Projects Fund 95 A-3 Natural Disaster Special Revenue Fund 96 A-4 Local Housing Assistance Trust Fund 97 A-5 E-911 Operations Special Revenue Fund 98 A-6 Radio Communications Special Revenue Fund 99 A-7 Law Enforcement Trust Special Revenue Fund 100 A-8 Police Academy Special Revenue Fund 101 A-9 County Public Health Special Revenue Fund 102 A-10 Municipal Services Benefit Units Special Revenue Funds 103 A-11 Unincorporated County Parks Special Revenue Fund 104 A-12 Prisoner Benefit Special Revenue Fund 105 A-13 Additional Court Costs Special Revenue Fund 106 A-14 Drug Abuse Trust Special Revenue Fund 107 A-15 Domestic Violence Trust Special Revenue Fund 108 A-16 Traffic Education Special Revenue Fund 109 A-17 Courts Special Revenue Fund 110 A-18 Public Records Modernization Trust Special Revenue Fund 111 A-19 Public Records Courts Special Revenue Fund 112 A-20 Public Records 10% Fine Special Revenue Fund 113 A-21 Federal Law Enforcement Trust Special Revenue Fund 114 A-22 Teen Driver Challenge Special Revenue Fund 115 A-23 Second Dollar Program Special Revenue Fund 116 A-24 Okaloosa Debt Service Fund 117 A-25 Road and Bridge Construction Capital Projects Fund 118 A-26 Combining Statement of Net Position - Nonmajor Enterprise Funds 119 B-1 Combining Statement of Revenues, Expenses, and Changes in Net Position - Nonmajor Enterprise Funds 121 B-2 Combing Statement of Cash Flows - Nonmajor Enterprise Funds 122 B-3 Combining Statement of Net Position - Internal Service Funds 124 C-1 Combining Statement of Revenues, Expenses, and Changes in Net Position - Internal Service Funds 126 C-2 Combining Statement of Cash Flows - Internal Service Funds 127 C-3 Combining Statement of Fiduciary Net Position - Agency Funds 129 D-1 Combining Statement of Changes in Net Position - Agency Funds 131 D-2 STATISTICAL SECTION (UNAUDITED) Page Schedule Net Assets by Category - Last Nine Fiscal Years 135 1 Changes in Net Assets - Last Nine Fiscal Years 137 2 Fund Balances - Governmental Funds - Last Ten Fiscal Years 139 3 ii Packet Pg. 27  OKALOOSA COUNTY, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT FISCAL YEAR ENDED SEPTEMBER 30, 2013 TABLE OF CONTENTS Page Schedule STATISTICAL SECTION (UNAUDITED) Changes in Fund Balances - Governmental Funds - Last Ten Fiscal Years 141 4 Governmental Tax Revenues by Source - Last Ten Fiscal Years 143 5 Taxable Assessed Value and Estimated Actual Value of Property - 145 6 Property Tax Millage Rates for Direct and Overlapping Governments - 147 7 Principal Property Tax Payers - Last Fiscal Year Compared to the Fiscal Year Nine Years Earlier 149 8 Property Tax Levies and Collections - Last Ten Fiscal Years 151 9 Ratios of Outstanding Debt by Type - Last Ten Fiscal Years 153 10 Pledged Revenue Bond Coverage 155 11 Computation of Direct and Underlying Debt 157 12 Demographic and Economic Statistics - Last Ten Years 158 13 Principal Employers - Current Year and Nine Years Ago 160 14 Full-time Equivalent Government Employees by Function - 162 15 Operating Indicators by Function/Program - Last Ten Fiscal Years 164 16 Capital Indicators by Function/Program - Last Ten Fiscal Years 165 17 SINGLE AUDIT SECTION Schedule of Expenditures of Federal Awards and State Financial Assistance 166 Notes to Schedule of Expenditures of Federal Awards and State Financial Assistance 171 Schedule of Expenditures of Passenger Facility Charges 172 Schedule of Receipts and Expenditures of Funds Related to the Deepwater Horizon Oil Spill 173 Independent Auditors' Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 174 Independent Auditor's Report on Compliance with Requirements That Could Have a Direct and Material Effect on Each Major Federal Program and State Project and on Internal Control Over Compliance in Accordance with OMB Circular A-133 and Chapter 10.550, Rules of the Auditor General and Compliance with Requirements Applicable to the Passenger Facility Charge Program and Internal Control Over Compliance 176 Schedule of Findings and Questioned Costs 178 Management Letter 182 iii Packet Pg. 28  DON W. HOWARD CLERK OF THE CIRCUIT COURT, OKALOOSA COUNTY, FLORIDA April 23, 2014 To the Citizens of Okaloosa County: The Comprehensive Annual Financial Report of Okaloosa County, Florida for the fiscal year ended September 30, 2013, is respectfully submitted. This report was prepared by the Finance Department under the supervision of the Clerk of the Circuit Court. Responsibility for both the accuracy of the presented data and the completeness and fairness of the presentation, including all disclosures, rests with the Finance Department. This report contains four major sections: the Introductory, the Financial, the Statistical and the Compliance Sections. The County prepares the basic financial statements to meet the requirements of Governmental Accounting Standards Board Statement No. 34, Basic Financial Statements - and Management’s Discussion and Analysis - for State and Local Governments (GASB 34) reporting model requiring the County to report in five parts, including, Management?s Discussion and Analysis, Government-wide Financial Statements, major Fund Financial Statements, Budgetary Comparisons for certain funds and the Notes to the Financial Statements. The report consists of management?s representations concerning the finances of the County. Consequently, management assumes full responsibility for the completeness and reliability of all of the information presented in this report. To provide a reasonable basis for making these representations, management of the County has established a comprehensive internal control framework that is designed both to protect the government?s assets from loss, theft, or misuse and to compile sufficient reliable information for the preparation of the County?s financial statements in conformity with GAAP. Because the costs of internal controls should not outweigh their benefits, the County?s comprehensive framework of internal controls has been designed to provide reasonable rather than absolute assurance that the financial statements will be free from material misstatement. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects. The County?s financial statements have been audited by the certified public accountants of the firm of Warren Averett, LLC. The goal of the independent audit was to provide reasonable assurance that the financial statements of the County for the fiscal year ended September 30, 2013, are free of material misstatement. The independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; assessing the accounting principles used and significant estimates made by management; and evaluating the overall financial statement presentation. The independent auditors concluded, based upon the audit, that there was a reasonable basis for rendering an unqualified opinion that the County?s financial statements for the fiscal year ended September 30, 2013, are fairly presented in conformity with COURTHOUSE 101 E. JAMES LEE BLVD. CRESTVIEW, FLORIDA 32536-1359 (850) 689-5000 REPLY TO: BRACKIN BUILDING 302 NORTH WILSON ST., SUITE 203 CRESTVIEW, FLORIDA 32536 (850) 689-5000 COURTHOUSE ANNEX 1250 N. EGLIN PKWY SHALIMAR, FLORIDA 32579 (850) 651-7200 ANNEX EXTENSION 1940 LEWIS TURNER BLVD FT. WALTON BEACH, FLORIDA 32547 (850) 651-7200 Visit us on the web at http://www.clerkofcourts.cc Packet Pg. 29 GAAP. The report of independent accountants is presented as the first component of the financial section of this report. Okaloosa County is a non-charter county established under the Constitution and the Laws of the State of Florida. This Comprehensive Annual Financial Report (CAFR) includes the funds of the primary government (the Board of County Commissioners, the Clerk of the Circuit Court, the Property Appraiser, the Sheriff, the Supervisor of Elections and the Tax Collector). ECONOMIC CONDITION AND OUTLOOK Okaloosa County is one of Florida's youngest counties, created in 1915 by an act of the state legislature. Okaloosa County is located in the Northwest Florida Panhandle and the City of Crestview, near its geographical center, is the County seat. The April 2013 population was 188,349, concentrated most heavily near its southern boundary on the Gulf of Mexico. Occupying a large portion of Okaloosa County is one of the world's largest military reservations. Established in 1935, Eglin Air Force Base covers over 724 square miles in Okaloosa and two neighboring counties and contains the 919th Special Operations Wing, Duke Field. Eglin Air Force Base, the Air Armament Center, is responsible for development, acquisition, testing, deployment and sustainment of all United States Air Force air-delivered weapons. Based upon Eglin's wide range of activities, Eglin will continue its major role in the defense of the United States and in the economy of Okaloosa County. Hurlburt Field, the headquarters of the Air Force Special Operations Command, is also located in Okaloosa County. Hurlburt Field occupies about 6,000 acres in the County. The military presence is the major income producing source for the County. The tourism industry is the leading private income producing source for the County. The effect of the industry on the local economy is well above $1 billion income produced annually with the employment of 20,000+ in tourism related businesses. The Tourist Development Council Convention Visitor?s Bureau (TDC / CVB) registered hundreds of thousands of inquiries throughout the year. Tourists may visit Okaloosa County?s Visitor Welcome Center for information on all local activities, area information, sightseeing and all other things to do during their visit. More than 3.0 million visitors come to the Emerald Coast annually. v Packet Pg. 30  Residents and tourists in Okaloosa County have a full range of natural attractions and recreational opportunities. Mile after mile of beautiful snow-white beaches and emerald-green waters attract boating enthusiasts, swimmers, skiers, surfers, skin-divers, and scuba divers. Some of the largest concentrations of fighting game fish congregate off Destin?s coast. Party and charter boats make daily runs to favorite fishing reefs. Piers and bridges on the Gulf of Mexico, inland bays and fresh water in lakes and streams provide excellent fishing opportunities. Golfing, at numerous magnificent courses around the area, sailing, and camping are other year-round activities. The hunter may try for deer, turkey, quail, dove, duck, and wild hog in the game management areas of the northern part of the county. The state Division of Economic Development placed the total labor force in Okaloosa County at 121,193 in 2013 and the 2013 unemployment rate at 5.2 percent. This compares favorably to the state's annual average rate of 7.2 percent and the national average of 7.4 percent. Okaloosa County's cost of living is consistently below the national average and the county has, along with its sister counties in Florida, no state income tax. Seven industrial parks have been developed with a total of over 1,100 acres available. An industrial park near Crestview has an 8,000-foot reinforced runway, capable of handling the largest aircraft, and it has complete utilities and services. A municipal industrial park at Fort Walton Beach offers complete facilities and utility services to companies supplying space-age components to the United States Air Force. Property valuation turned around and increased slightly this year after declining over the last several years. The increase continues to provide the County the opportunity to maintain one of the state?s lowest millage rates while also continuing to maintain a relatively high level of service to County residents. Property tax values increased 1.7 percent. New construction activity in 2013 increased slightly to $125 million. vi Packet Pg. 31  MAJOR FUNCTIONAL INITIATIVES General Government Initiatives The County continues to study and renovate other facility space in order to more effectively and efficiently utilize the limited governmental space available. The immediate focus, again, is on governmental space needs now that the Annex Extension facility was completed and the Shalimar Annex reverter clause issue was resolved at the very end of fiscal year 2013. About $55,750,000 was spent on General Government initiatives, or approximately 23.6% of total expenditures, throughout the year. Public Safety Initiatives The County dedicates a great deal of financial and personnel resources for public safety initiatives. The lifeguard and beach safety units were enhanced during the year with funding derived from Tourist Development taxes. The County Corrections Department and County Jail continues to deal with population increases and facility needs, also. The public safety function of the Emergency Medical activity always stays busy providing valuable countywide service, as does the 9-1-1 operation of the county. The Sheriff?s operations were active and involved in many of these public safety initiatives throughout the year. The County continued to settle into the state-of-the-art joint facility at Northwest Florida State College Emergency Operations Center(EOC) and training facility this past Fiscal Year. The facility houses emergency staff for multiple offices from several entities of the County into this modern facility to better protect the citizenry of the County in future disaster related events. The County funded approximately $87,750,000 of Public Safety initiatives, or approximately 37.1% of total expenditures, in 2013. Physical Environment Initiatives Physical environment initiatives are concentrated in the areas of water/wastewater improvements, solid waste and stormwater. The military, with its ever increasing role in our area, is utilizing the vii Packet Pg. 32 County water/wastewater countywide service to their benefit by exploring numerous partnerships for service. A number of water/wastewater projects and upgrades occurred throughout the year. Solid Waste continues to place a high priority on new ideas as the County monitors and remediates, as closure costs and long-term maintenance continue to be monitored. The County complies with State mandates for landfill activity throughout the closed landfill facilities in the County. Grant funds enhanced physical environment activity with the assistance from Florida Department of Environmental Protection. About $36,500,000 was spent, plus, as always, a great deal of capital outlay, in the area of Physical Environment initiatives, or approximately 15.4% of total expenditures, for 2013. Transportation Initiatives Transportation needs continue to be an area of vital importance to the citizens of the County. Maintenance and enhancement of existing roadways and bridges continues to be a high priority, as funds become available. Many miles of roadway were resurfaced utilizing the “Cold Mix” and “Overlay” options that continue to be more financially feasible along with some bridge conversion projects in 2013. The Local Option Gas Tax and the Constitutional State Shared Gas Tax were utilized to complete or begin construction on many projects and other maintenance, along with many Emergency Watershed Projects utilizing funds from the USDA Emergency Watershed Program. The area of mass transit continues to be addressed with additional grant-funded projects and the ongoing service of Okaloosa Coordinated Transportation(OCT), a nonprofit agency providing mass transportation opportunities for citizens countywide. The Northwest Florida Regional Airport, along with the General Aviation Airports in Destin and in Crestview at Bob Sikes, continue to be funded with fees for services, including Passenger Facility and Customer Facility Fees, along with a significant portion of State and Federal funding for construction activities. Projects abound at the airport operation, including, taxiway and building renovation around the Regional Airport and taxiway and building renovation at the Bob Sikes airport. About $32,000,000, or approximately 13.5% of total spent, was spent on transportation expenditures in 2013. Economic Environment Initiatives The tourism economy continues to recover and rebound after the area suffered greatly from the devastating oil spill disaster, but with renewed effort and changes in tourism marketing leadership record visitors travel to Okaloosa County. The 70,000 square-foot Emerald Coast Conference Center continues to provide much needed state-of-the-art meeting space in the County for a number of events. Financial assistance to countywide citizens in the form of housing assistance through the Community Development Corporation and assistance related to the many veterans located in the area also are included in Economic Environmental initiatives. Community Redevelopment agencies in several cities within the County utilize portions of Ad Valorem Tax dollars to enhance economic development in those designated areas. About $5,000,000 or approximately 2.1% was spent in the area of economic environment in 2013. Human Service Initiatives The ongoing funding for human service activities by the County included mosquito control, animal welfare, health care, Medicaid, elder services, day care service, viii Packet Pg. 33 mental health services and court-related child protection services expenditures. These activities, particularly state aid for Medicare and Medicaid, account for well over half of the dollars spent in this particular functional category. A portion of the operation of the Okaloosa County Health Department is another human service initiative in the County. Over $4,000,000 or approximately 1.7% was spent in the area of Human Service activity in 2013. Culture/Recreation Initiatives Several county and city parks continue to be improved this year with MSTU park funding. These park improvements along with funds used to aid in the creation of artificial reef sights for the area fishermen were enhancements to recreational activities provided for all citizens and tourists attracted to our area. Tourist Development completed one beach renourishment project this year and continues reviewing and analyzing the beach areas needing possible renourishment in the future. An additional penny of Tourist Development Tax continues to be collected to renourish all beaches within the Tourist Development boundary area. Many national magazines proclaim the Okaloosa Island/Destin beaches as the #1 Beach in America, the #1 Beach in the South, as well as, one of the Favorite Family Vacation spots as they have for the past several years consecutively. The Countywide Library Cooperative continued to provide countywide service during this year. About $15,500,000 or approximately 6.6% was spent for culture/recreational activities throughout the year. Future Initiatives Maintaining a high level of service the citizens expect will continue to be a major challenge for the County. The allocation of limited resources for use on enhancements while continuing to provide the expected services for County residents will continue to stretch somewhat limited resources significantly. Facility and space needs continue to be a high priority for the immediate future. Since the Annex Extension facility has been completed, the County has turned its attention to the renovation of the Shalimar Annex in the south end of the County, along with the review of the Courthouse facility in the north end of the County. The primary focus of the renovation of the Annex will be in preparation to alleviate the County of rents they pay to currently house Constitutional and County offices. The County will continue to monitor stormwater needs consistent with the availability of funds. Other major improvements in transportation will be for ongoing and expanding airport projects and continued evaluation of countywide transportation systems. Quality of life issues will continue to be debated in the area of culture and recreation. Receipts from the tourist development tax will continue to provide funding for area beautification and beach ix Packet Pg. 34 maintenance, to enhance environmental protection efforts, and to promote tourism in the area. Recreation activities will continue to flourish with funding made available through tourist development and boating improvement funds, pursuing additional grant funds and any other resource the County deems applicable to this critical area of quality of life. FINANCIAL INFORMATION Readers of this report are encouraged to read Management?s Discussion and Analysis (MD&A). The MD&A provides basic financial information about the County and an overview of the County?s activities. The government-wide financial statements, consisting of a statement of net assets and a statement of activities, provide a comprehensive financial picture of the County, split between governmental activities and business-type activities. These statements are prepared using the economic resources measurement focus and the accrual basis of accounting, where all assets, liabilities, revenues, and expenses of the County are reported. The fund financial statements provide information concerning the County?s funds and are prepared from the County?s accounting records. The County?s accounting records for general governmental operations are maintained on a modified accrual basis, with revenues being recorded when available and measurable and expenditures being recorded when the services or goods are received and the liabilities are incurred. Accounting records for the County?s proprietary funds are maintained on the accrual basis. The County?s fiscal year is October 1 to September 30. Section 11.45, Florida Statutes, requires an annual audit of all County agencies. The County has directed that the annual audit be more extensive than that required by Florida Statutes by requiring that the annual audit be a single audit covering all the funds and account groups of the County. This requirement has been complied with, and the unqualified opinion of the auditors has been included in this report. AWARDS AND ACKNOWLEDGEMENTS The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the County for its Comprehensive Annual Financial Report for the fiscal year ended September 30, 2012. The Certificate of Achievement is a prestigious national award, recognizing conformance with the highest standards for presentation of state and local government financial reports. In order to be awarded a Certificate of Achievement, the County must publish an easily readable and efficiently organized comprehensive annual financial report whose contents conform to program standards, GAAP and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe our current Comprehensive Annual Financial Report conforms to the Certificate of Achievement Program requirements, and it will be submitted to the GFOA to determine its eligibility for another certificate. A comprehensive annual financial report of this nature could not have been prepared without the dedicated efforts of a considerable number of individuals. I want to especially thank the Clerk and the entire staff of the Finance Department for their invaluable assistance in the preparation of this report. I would also like to thank the members of the County?s independent external auditors. I x Packet Pg. 35 would also like to thank the Board of County Commissioners and their staff, and the other Constitutional Officers for their personal interest and dedicated support in planning and conducting the financial operations of the County in a responsible manner. Gary J. Stanford, CPFO, CGFO Finance Officer/Deputy Clerk Okaloosa County Clerk xi Packet Pg. 36 Packet Pg. 37  OKALOOSA COUNTY, FLORIDA REPORTING ORGANIZATION CITIZENS OF OKALOOSA COUNTY STATE OF FLORIDA OKALOOSA COUNTY BOARD OF COUNTY CLERK OF THE PROPERTY TAX SUPERVISOR OF SHERIFF COMMISSIONERS CIRCUIT COURT APPRAISER COLLECTOR ELECTIONS Okaloosa County Comprehensive Annual Financial Report xv Packet Pg. 38  OKALOOSA COUNTY COMMISSIONERS OKALOOSA COUNTY, FLORIDA ORGANIZATION CHART Citizens of Okaloosa County PROPERTY TAX BOARD OF COUNTY CLERK OF SUPERVISOR OF SHERIFF APPRAISER COLLECTOR COMMISSIONERS COURTS ELECTIONS LEGAL SERVICES COUNTY ADMINISTRATOR LIBRARY TOURIST COOPERATIVE DEVELOPMENT HUMAN GROWTH PUBLIC WATER & PUBLIC AIRPORTS RESOURCES MANAGEMENT WORKS SEWER SAFETY RISK ROAD EMERGENCY 911 ENGINEERING MANAGEMENT DEPARTMENT MANAGEMENT COMMUNICATIONS ENVIRONMENTAL TRAFFIC EMERGENCY PURCHASING BEACH SAFETY SERVICES OPERATIONS MEDICAL SERVICES VETERANS' COURT LAW PARKS STORMWATER SERVICES SERVICES LIBRARY FACILITY FLEET CORRECTIONS MAINTENANCE OPERATIONS COUNTY INFORMATION EXTENSION SYSTEMS xvi Packet Pg. 39  OKALOOSA COUNTY, FLORIDA COUNTY OFFICIALS AS OF SEPTEMBER 30, 2013 COUNTY COMMISSIONERS Wayne Harris District I Dave Parisot District II Nathaniel Boyles District III Don Amunds District IV Kelly Windes District V OTHER ELECTED OFFICIALS Don W. Howard Clerk of Court Larry R Ashley Sheriff Ben Anderson Tax Collector Timothy "Pete" Smith Property Appraiser Paul Lux Supervisor of Elections OTHER OFFICIALS John Dowd County Attorney Earnest Padgett County Administrator xvii Packet Pg. 40 (THIS PAGE INTENTIONALLY LEFT BLANK) Packet Pg. 41 FINANCIAL SECTION Packet Pg. 42 Packet Pg. 43 Packet Pg. 44 Packet Pg. 45  Okaloosa County, Florida Management Discussion and Analysis This discussion and analysis of Okaloosa County’s (the County) financial statements is designed to introduce the basic financial statements and provide an analytical overview of the County’s financial activities for the fiscal year ended September 30, 2013. This analysis, in conjunction with additional information provided in our letter of transmittal, should assist readers in identifying significant financial issues and changes in the County’s financial position. In this Management Discussion and Analysis (MD&A), all amounts, unless otherwise indicated, are expressed in thousands of dollars. Financial Highlights At the close of fiscal year 2013 the County’s assets exceeded its liabilities, resulting in net position of $434,618. Governmental and business-type assets exceeded its liabilities by $167,804 and $266,814, respectively. The County’s total net position increased $755, or 0.2 percent, in comparison to the prior year. The County had $25,651 of unrestricted net position at the close of this year compared to $24,147 last year that can be used to meet the County’s obligations. Total revenues decreased ($14,145), or (7.2) percent, from $195,625 to $181,480. Total expenses increased $3,143, or 1.8 percent, from $177,582 to $180,725. The County’s governmental activities reported total net position of $167,804, which is a decrease of ($7,677), or (4.4) percent, in comparison to prior year. A deficit unrestricted net asset position of less than 1 percent exists in the governmental activities. The County’s business-type activities reported total net position of $266,814, which is an increase of $8,432, or 3.3 percent, in comparison to prior year. Approximately 9.7 percent of the total, or $25,916, is unrestricted, and thus available for spending at the County’s discretion. Overview of the Financial Statements This discussion and analysis is intended to serve as an introduction to the Okaloosa County’s basic financial statements. The County basic financial statements are comprised of three components: 1) government-wide financial statements, 2) fund financial statements, and 3) notes to the financial statements, as illustrated on the following page. This report also contains other supplementary information in addition to the basic financial statements themselves. 3 Packet Pg. 46 Okaloosa County, Florida Management’s Discussion and Analysis Management?s discussion and analysis Government wide financial statements Fund financial statements ________________________________________________________ Notes to the financial statements Supplementary information Government-wide financial statements The government-wide financial statements are designed to provide readers with a broad overview of Okaloosa County’s finances, in a manner similar to a private-sector business. The statement of net position presents information on all of the County’s assets and liabilities, with the difference between the two reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the County is improving or deteriorating. The statement of activities presents information showing how the government’s net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will result in cash flows in future fiscal periods. Both of the government-wide financial statements distinguish functions of the County that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). The governmental activities of the County include general government, public safety, physical environment, transportation, economic environment, human services, culture/recreation and court-related activity. The business-type activities of the County include water/sewer services, airport services, solid waste collection/disposal, building inspection services, emergency medical service and conference center activities. The government-wide financial statements can be found on Exhibit I, II-A and II-B of this report. Fund Financial Statements The accounts of the County are organized on the basis of funds, each of which is considered a separate accounting entity. The operations of each fund are accounted for with a separate set of 4 Packet Pg. 47 Okaloosa County, Florida Management’s Discussion and Analysis self-balancing accounts that comprise its assets, liabilities, net position, revenues, and expenditures or expenses, as appropriate. Government resources are allocated to and accounted for in individual funds based upon the purpose for which they are to be spent and the means by which spending activities are controlled. The County’s funds are presented in separate fund financial statements. These funds are presented on governmental fund financial statements, proprietary fund financial statements and a fiduciary fund financial statement. The County’s major funds are presented in separate columns on the fund financial statements. The definition of a major fund is one that meets certain criteria set-forth in GASB 34. The funds that do not meet the criteria of a major fund are considered non-major funds and are combined into a single column on the fund financial statements. Governmental Fund Financial Statements Governmental fund financial statements are prepared on the modified accrual basis using current financial resources measurement focus. Under the modified accrual basis, revenues are recognized when they become measurable and available as net current assets. Although the activity of the internal service funds is reported with the governmental activities on the government-wide financial statements they are not combined on the government fund financial statements. Four of the County’s governmental funds, the General Fund, County Transportation Trust Fund, Tourist Development Trust Fund and Capital Outlay Construction Trust Fund, are classified as major funds. The County Transportation Trust and Capital Outlay Construction funds have been presented as major funds at management’s discretion. All other governmental funds are combined into a single column on the governmental fund financial statements. Individual fund data for the non-major funds is found in combining statements presented as supplemental financial data. The County adopts an annual budget for all governmental funds. A budgetary comparison has been presented for all the governmental funds, which compares not only actual results to budget but also the original adopted budget to final budget. These budgetary comparisons for the major governmental funds are presented as part of the basic financial statements. Non- major governmental fund budget comparisons are presented as supplemental financial data. Proprietary Fund Financial Statements Proprietary fund financial statements, like government-wide financial statements, are prepared on the full accrual basis. Proprietary funds record both operating and non-operating revenues and expenses. Operating revenues are those that are obtained from the operations of the proprietary fund. The County reports the Water and Sewer, Airport, Solid Waste and Convention Center as major funds in the proprietary fund financial statements. The Solid Waste and Convention Center funds have been presented as major proprietary funds at management’s discretion. These enterprise funds are used to present the same functions that are presented in the government-wide financial statements. The other enterprise funds are grouped together and 5 Packet Pg. 48 Okaloosa County, Florida Management’s Discussion and Analysis reported in a separate column entitled, “Other Enterprise Funds”. The internal service funds are combined into a single column on the proprietary fund financial statements. Individual fund data is presented in combining statements as supplemental financial data. The internal service funds are used to account for risk management, health, including other post employment benefits for retirees, dental and liability insurance, fleet management services and funding of short-term compensated absence liability on a cost reimbursement basis. Fiduciary Fund Financial Statement Data shown on the fiduciary fund financial statement is not included in the government-wide financial statements because the resources of those funds are not available to support the County’s programs. The only type of fiduciary funds the County maintains, agency funds, are used to account for assets held by the County as an agent for individuals or other governments. Notes to the financial statements The notes to the financial statements provide additional information that is useful for a more complete understanding of the data provided in the government-wide and fund financial statements. Other information In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information concerning Okaloosa County’s funding progress related to post employment benefits. This report also presents combining statements for the non-major governmental and proprietary funds and agency funds, as well as individual fund budget and actual comparison schedules for non-major governmental funds. Government-wide Financial Analysis Over time, net position may serve as the most useful indicator of a government’s financial position. At September 30, 2013, the County’s total net position or total assets less liabilities, was $434,618. A significant portion of the County’s net position, 80.4 percent, is identified as an investment in capital assets (such as land, buildings, equipment, infrastructure), less related debt outstanding that was used to acquire those assets. Since the County uses capital assets to provide services to its residents, the net position represented by “investment in capital assets, net of related debt” are not available for future spending. In fact, the payment of maintenance and debt service costs on those capital assets will themselves require governmental resources. The invested in capital assets, net of related debt balance of $349,249 decreased ($1,112) or (0.3) percent, in comparison to the prior year. Another portion of the County’s net position is restricted net assets which represent assets that are subject to constraints such as by debt covenants, grantors, laws or regulations. The 6 Packet Pg. 49 Okaloosa County, Florida Management’s Discussion and Analysis restricted net position balance of $59,718 (13.7 percent of total net position) increased $363 or 0.6 percent, in comparison to prior year, mainly due to decreased debt restrictions and increased Economic Environment and increased Culture/Recreation restrictions for Tourist Development and Convention Center activities. Unrestricted net position is net position that is available to meet the County’s ongoing obligations to residents, creditors, and enterprise fund customers. The unrestricted net position balance of $25,651 (5.9 percent of total net position) increased $1,504, or 6.2 percent, in comparison to prior year although governmental unrestricted balance decreased due to increased actuarial claim liabilities in the Self Insurance Internal Service Fund and more restrictions, business-type activities increased due to increased activity and reduced liabilities, especially related to debt. The deficit in unrestricted net position in the Self Insurance Fund will be reduced significantly by approximately $3.7 million of insurance refunds received in Fiscal Year 2014 as disclosed in Note 20 of the financial statements. As shown on the following chart, the County reported increased balances at September 30, 2013. The components of total Net Position increased mainly due to the significant improvement in economic activity in the business-type function related to Convention Center early repayment of debt and overall general improvement of all business-type activities. The following is a condensed summary of net position for the primary government for fiscal years 2013 and 2012. Governmental Business-type Total 2013 2012 2013 2012 2013 2012 Current and Other Assets $ 61,348 $ 64,911 $ 77,060 $ 78,336 $ 138,408 $ 143,247 Captial Assets 163,245 164,780 318,754 318,252 481,999 483,032 Total Assets 224,593 229,691 395,814 396,588 620,407 626,279 Current and Other Liabilities 15,200 15,669 15,929 18,413 31,129 34,082 Long-term Liabilities 41,589 38,541 113,071 119,793 154,660 158,334 Total Liabilities 56,789 54,210 129,000 138,206 185,789 192,416 Net Position: Investment in Capital Assets, Net of Related Debt 134,735 135,627 214,514 214,734 349,249 350,361 Restricted for Debt Service 463 994 9,496 10,262 9,959 11,256 Grants 630 587 - - 630 587 Capital Projects 590 569 - - 590 569 Public Safety 2,207 2,315 - - 2,207 2,315 Transportation 11,039 11,202 9,214 9,007 20,253 20,209 Eco Environment 10,182 13,804 7,674 2,766 17,856 16,570 Culture Recreation 4,771 4,675 - - 4,771 4,675 Court-Related 3,452 3,174 - - 3,452 3,174 Unrestricted (265) 2,534 25,916 21,613 25,651 24,147 Total Net Position $ 167,804 $ 175,481 $ 266,814 $ 258,382 $ 434,618 $ 433,863 7 Packet Pg. 50 Okaloosa County, Florida Management’s Discussion and Analysis The following schedule compares the revenues and expenses for the primary government for the current and previous fiscal years: Okaloosa County, Florida Summary of Revenues and Expenses As September 30, 2013 and 2012 Governmental Business-type Activities Activities Total 2013 2012 2013 2012 2013 2012 Revenues: Program Revenues: Charges for Services $ 25,468 $ 25,696 $ 55,954 $ 54,211 $ 81,422 $ 79,907 Operating Grants and Contributions 5,845 8,354 528 338 6,373 8,692 Capital Grants and Contributions 1,249 6,240 4,720 10,292 5,969 16,532 General Revenues: - - Taxes 58,010 58,759 6,709 6,780 64,719 65,539 State Shared Revenue 17,801 17,041 - - 17,801 17,041 Grant and Contributions not Restricted Specific Programs 124 360 - - 124 360 Other 4,390 5,584 682 1,970 5,072 7,554 Total Revenues 112,887 122,034 68,593 73,591 181,480 195,625 Expenses: Program Activities: General Government 28,715 30,552 - - 28,715 30,552 Public Safety 45,296 46,360 - - 45,296 46,360 Physical Environment 1,502 933 - - 1,502 933 Transportation 14,632 16,245 - - 14,632 16,245 Economic Environment 4,983 5,563 - - 4,983 5,563 Human Services 4,500 4,352 - - 4,500 4,352 Culture and Recreation 11,997 5,902 - - 11,997 5,902 Court-Related 7,589 6,634 - - 7,589 6,634 Interest and Fiscal Charges 1,745 1,692 - - 1,745 1,692 Business-type Activities: Water and Sewer - - 27,657 26,149 27,657 26,149 Airport - - 12,450 12,928 12,450 12,928 Solid Waste - - 7,684 7,438 7,684 7,438 Inspections - - 1,588 1,600 1,588 1,600 Emergency Medical - - 7,234 6,933 7,234 6,933 Convention Center - - 3,153 4,301 3,153 4,301 Total Expenses 120,959 118,233 59,766 59,349 180,725 177,582 Inc in Net Position Before Trf (8,072) 3,801 8,827 14,242 755 18,043 Special Item - (2,007) - (2,458) - (4,465) Transfers 395 663 (395) (663) - - Inc/(Dec) in Net Position (7,677) 2,457 8,432 11,121 755 13,578 Net Position October 1 175,481 173,024 258,382 247,261 433,863 420,285 Net Position September 30 $ 167,804 $ 175,481 $ 266,814 $ 258,382 $ 434,618 $ 433,863 Revenues decreased by ($9,147) or (7.5) percent in Governmental activities, due primarily to 8 Packet Pg. 51 Okaloosa County, Florida Management’s Discussion and Analysis the reduction of Operating and Capital grant activities related to housing assistance in General Government and mass transit in Transportation. Revenues in business-type activity decreased by ($4,998) or (6.8) percent from the prior year, mainly due to reduced capital grants and contributions from the prior year associated with the Airport. Expenses increased by $2,726 or 2.3 percent in Governmental activities, due primarily to increased Culture/Recreation activity for Tourist Development activity related to contributions to the City of Destin for beach renourishment. Expenses in business-type expenses increased slightly $417 or 0.7 percent due mainly to increased costs related to expanded activities for Emergency Medical Services operations. Revenues in 2013 decreased from 2012 and expenses increased for the year which caused the net position to increase slightly by 0.2 percent, from $433,863 in 2012 to $434,618 in 2013. Governmental activities The focus of Okaloosa County governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the County’s financing requirements. In particular, unreserved fund balance may serve as a useful measure of a government’s net resources available for spending at fiscal year end. As of September 30, 2013, the County governmental funds reported combined fund balances of $48,333, a decrease of ($1,611) over the prior year balances, due mainly to the use of one- time balances in the General Fund for much needed capital, operating needs and certain unfunded mandates utilized in order to fund those needs in the annual budget along with the continued use of certain transportation funds for much needed capital projects. The General Fund is the chief operating fund of the County. At September 30, 2013, total fund balance in the general fund was $6,968 of which $6,595 was unassigned. The general fund expenditures for the fiscal year exceeded revenues by $3,478, due to the continued decline in ad valorem tax revenue and the one-time sale of property in the prior year. The Net change in Fund Balance for the General Fund for fiscal year 2013 amounted to a decrease of ($1,455), while the prior year showed an increase of $4,487. The decrease in fiscal year 2013 was mainly due to the slight reduction in recurring revenue and the slight uptick in most all of the expenditure functional categories spending pattern from the prior year. The County Transportation Trust Fund is a special revenue fund that is used to account for revenues and expenditures related to transportation expenditures in the County. The County Transportation Trust Fund balance decreased ($899) from the prior year. The decrease in fund balance occurred primarily because of the decline in local and state shared revenue support along with an increase in transportation expenditures for reactionary capital items. The Tourist Development Trust Fund is a special revenue fund that is used to account for the revenues and expenditures of a portion of the Tourist Development Tax that is collected on short-term rentals in Okaloosa County. The Tourist Development Trust Fund balance increased over the prior year by $1,132. The increase in fund balance is primarily due to borrowing funds for beach restoration along with a slight uptick in tax revenue and marketing and advertising activity somewhat returning to normal trends and patterns. The Capital Outlay Construction Fund is a capital fund that contains all general government related capital projects related to government facilities, public safety facilities and culture and recreation facilities. Capital Outlay’s fund balance decreased by ($273). The fund had a slight 9 Packet Pg. 52  Okaloosa County, Florida Management’s Discussion and Analysis decrease due to the recurring revenue for the fund diminishing to very little although the project activity for the year decreased after many years of increased activity. The following is a chart of all Governmental Fund Balances for the fiscal years 2012 and 2013. Governmental Fund Balance Comparison $30,000 $23,417 $23,533 $25,000 $20,000 $14,329$13,197 $15,000 $6,968 $8,423 $10,000 $3,426 $3,699 $5,000 $193 $1,092 $0 General CTTF Tourist Dev Capital Outlay Other 2013 2012 $58,010 $58,759 Governmental Revenues By Source Comparison $60,000 $50,000 $40,000 $34,752 $30,863 $30,000 $18,655 $18,067 $20,000 $10,000 $6,602 $1,335 $3,308 $816 $477 $465 $0 Taxes L&P Intgovt Chgs Fines Misc 2013 2012 Governmental Expenditures By Function Comparison $44,072 $43,331 $45,000 $40,000 $35,000 $28,153 $30,000 $26,836 $25,000 $20,000 $15,000 $11,660 $12,404 $11,418 $10,304 $10,000 $7,159 $6,795 $5,428 $4,942 $5,077 $5,331 $4,657 $4,186 $4,021 $5,000 $2,381 $1,052 $1,012 $0 Gen Govt Pub Saf Phys Env Trans Econ Env Hum Svc Cult Rec Crt Relat Cap Outlay Debt 2013 2012 Proprietary Activities Okaloosa County’s proprietary funds provide the same type of information found in the government-wide financial statements, but in more detail, and on a fund basis for the enterprise funds and internal service funds. 10 Packet Pg. 53 Okaloosa County, Florida Management’s Discussion and Analysis Enterprise Funds at September 30, 2013, total net position amounted to $266,814 for enterprise funds as compared to $258,382 at September 30, 2012. Net Position balances are primarily the result of operations and capital contributions in the Water & Sewer and Airport Enterprise funds. Business-type activities increased the County’s total net position by $8,432. Major components of this increase are as follows: The Water and Sewer Fund increased its net position by $711. Operating income was $4,958 during the year which was greater than last year. Operating revenues increased during the year, mainly related to the increased partnerships developed with the military and other governmental agencies, while operating expenses, excluding depreciation declined. The Airport Fund increased its net position by $3,580. The Airport again had a significant amount of capital contributions from grant and financing capital activities, while operating income decreased slightly due mainly to operating revenues increasing from the prior year and operating expenses decreasing significantly. The Convention Center Fund increased its net position by $2,677. Convention Center Operating Income increased due to slight increase in operating revenues and tourist development tax collections increased over the prior year producing net income. The net operating income of the enterprise funds for fiscal years 2013 and 2012, is as follows: Enterprise Net Operating Income (Loss) 2013 2012 Water and Sewer $4,598 $3,936 Airport (1,613) (2,372) Solid Waste 481 618 Inspections 41 (133) Emergency Medical Services (596) (955) Convention Center (2,167) (3,282) $744 ($2,188) 11 Packet Pg. 54  Okaloosa County, Florida Management’s Discussion and Analysis Proprietary Fund Operating Revenue by Source Comparison $73,324 $70,627 $80,000 $70,000 $60,000 $50,000 $40,000 $30,000 $20,000 $1,431 $1,278 $0 $1,441 $10,000 $0 $406 $0 Lic&P Chgs Fines Misc 2013 2012 Proprietary Fund Operating Expense by Program Comparison $29,888 $29,616 $30,000 $23,469 $22,883 $25,000 $20,000 $15,000 $11,031 $11,581 $8,684 $8,526 $10,000 $4,037 $2,972 $5,000 $0 Gen Govt Pub Saf Phys Env Trans Econ Env 2013 2012 Budgetary Highlights A Budget to actual statement is provided for the General Fund, along with each of the other major special revenue funds as part of the basic financial statements. A budget column for both the original budget adopted for fiscal year 2013 as well as the final budget is presented. A comparison of the General Fund revenues original to the final operating budget shows an increase of $17,118. The main area increased was a $10,332 rise in intergovernmental revenue funded primarily from additional state and federal grants, especially related to housing assistance, mass transit and recovery efforts assistance in economic development. A significant portion of the increase in grants was not received or expended during the fiscal year making the variance large. The expenditures incurred during the year were generally below budget, except for the services primarily impacted by the need for citizen services, like physical and economic environment. The major difference between actual and final budget totals in expenditures were due to grants budgeted in accordance with executed documents for these general government, public safety, capital outlay for recovery assistance and transportation, especially related to mass transit. 12 Packet Pg. 55 Okaloosa County, Florida Management’s Discussion and Analysis Capital Asset and Debt Administration Capital Assets. Okaloosa County’s investment in capital assets for its governmental and business-type activities as of September 30, 2013 amounts to $482,000 (net of accumulated depreciation). This investment in capital assets includes land, buildings, roads, bridges and other improvements, machinery and equipment and park facilities. The decrease in Okaloosa County’s governmental activities investment in capital assets for the current fiscal year amounted to ($1,535) or (1.0) percent decrease, which was mainly due to increased accumulated depreciation related to new infrastructure improvements. The business-type activities capital assets amounted to $318,755 or an increase of $503 or 0.2 percent, mainly increasing in the area of infrastructure related to Water and Sewer and Airport rehabilitation expansion. The following schedule compares capital assets for the primary government for the current and previous fiscal years: Okaloosa County, Florida Capital Assets September 30, 2013 and 2012 Governmental Business-type Activities Activities Total 2013 2012 2013 2012 2013 2012 Land $ 11,558 $ 9,958 $ 11,318 $ 11,318 $ 22,876 $ 21,276 Buildings 72,332 70,862 88,401 88,224 160,733 159,086 Improvements other than buildings 32,840 32,500 308 309 33,148 32,809 Intangibles 2,933 2,877 867 887 3,800 3,764 Mach/Equipment 52,277 54,496 20,771 21,004 73,048 75,500 Const in Progress 2,083 2,884 7,415 16,596 9,498 19,480 Infrastructure 147,485 144,436 329,386 309,343 476,871 453,779 Art - - 99 99 99 99 Total Capital Assets 321,508 318,013 458,565 447,780 780,073 765,793 Accum Deprec (158,263) (153,233) (139,810) (129,528) (298,073) (282,761) Total $ 163,245 $ 164,780 $ 318,755 $ 318,252 $ 482,000 $ 483,032 Additional information on Okaloosa County’s capital assets can be found in notes to the financial statements (Note 5). Long-term debt. At the end of the current fiscal year, the primary government, Okaloosa County, had bonded and revolving loans long-term debt outstanding of $149,237. Of this amount, $34,192 comprises governmental activities bonds payable while the remaining 13 Packet Pg. 56 Okaloosa County, Florida Management’s Discussion and Analysis $87,514 in revenue bonds and $27,531 in revolving loans and a revenue note is secured solely by specified revenue sources in business-type activities. Okaloosa County, Florida Outstanding Debt September 30, 2013 and 2012 Govenmental Busines-type Activities Activities Total 2013 2012 2013 2012 2013 2012 Governmental Loans $ - $ - $ - $ - $ - $ - Revenue Bonds 29,192 29,905 87,514 93,044 116,706 122,949 Revolv & Comm Loan 5,000 - 27,531 28,621 32,531 28,621 Total $ 34,192 $ 29,905 $ 115,045 $ 121,665 $ 149,237 $ 151,570 Additional information on Okaloosa County’s long-term debt can be found in notes to the financial statements (Note 10). Okaloosa County, Florida, Debt Ratings at September 30, 2013 Type of Debt Issue: S&P Fitch/Moody’s 2009 Sales Tax Rev Bonds AA AA- Cap Imprv Rev Bonds, Ser 2011 Not rated Not rated Water and Sewer System Enterprise revenue bonds: 1985 Subordinated Not rated Not rated 2004 Series AAA Aaa 2006 Series AAA Aaa 2000 Tourist Develop Tax AAA Aa2 Revenue 2003 Airport Revenue Bonds A Not Rated Taxable Airport Rev Bond 2007 AA Not Rated Highest rating: AAA/Aaa Investment grade ratings: AAA/Aaa through BBB-/Baa- Lowest rating: C 14 Packet Pg. 57 Okaloosa County, Florida Management’s Discussion and Analysis Economic Factors Local, national, and international economic factors influence the County’s revenues in a variety of ways. Positive economic growth is correlated with increased revenues from property taxes, state sales taxes, fuel taxes, charges for services, state revenue sharing as well as state and federal grants, while negative economic growth generally has the opposite reaction. Economic growth may be measured by a variety of indicators such as employment growth, unemployment, new construction and assessed values, diversification of the property tax base, and Enterprise Fund revenue and net asset growth. The Florida Research and Economic Database reported that the number of employed Okaloosa County civilian residents increased from 93,597 in 2012 to 94,042 in 2013, an increase of approximately 0.5 percent. Increasing labor force coupled with somewhat improving economic times led to the County’s unemployment rate falling to 5.2 percent in 2013 compared to 6.1% for 2012. The County’s unemployment rate still remains extremely favorable compared to the state and national rates of 7.2 percent and 7.4 percent, respectively, for 2013. The assessed value of real property located in the County after exemptions shrank from $13.067 billion in 2012 to $12.805 billion, while the total assessed value of the County decreased from $13.781 billion to $13.566 billion in 2013. This represented a decrease of ($.215) billion or (1.6) percent in property valuation. Okaloosa County has a diversified property tax base. The ten largest property tax payers in the County represent approximately only 3.82 percent of the total ad valorem property tax levy. During 2013, total value of new residential construction in the County was valued at $121 million and total value of new non-residential construction was valued at $30 million for a total of just $151 million in new construction. The total construction figure for 2013 represented a $34 million increase from 2012. More information on economic factors is provided in the Statistical Section. Request for information This financial report is designed to provide the reader an overview of the County. Questions regarding any information provided in this report should be directed to: Finance Department 302 N Wilson Street, Suite 203 Crestview, Florida, 32536. 15 Packet Pg. 58 (THIS PAGE INTENTIONALLY LEFT BLANK) Packet Pg. 59 Basic Financial Statements Packet Pg. 60 Packet Pg. 61  Exhibit I Okaloosa County, Florida STATEMENT OF NET POSITION September 30, 2013 Primary Government Governmental Business-type Total Activities Activities ASSETS Current Assets Cash and Cash Equivalents $ 29,243,043 $ 23,610,150 $ 52,853,193 Investments 25,084,962 9,317,723 34,402,685 Receivables, Net of Allowance for Uncollectibles 1,379,800 8,406,481 9,786,281 Internal Balances (187,841) 187,841 - Due from Other Governments 5,089,918 1,986,774 7,076,692 Inventories 297,228 1,701,785 1,999,013 Prepaid Expenses 441,755 132,584 574,339 Restricted Assets Cash and Cash Equivalents Customer Deposits - 1,396,154 1,396,154 Other Deposits - 11,327,466 11,327,466 Investments - 18,992,708 18,992,708 Total Current Assets 61,348,865 77,059,666 138,408,531 Noncurrent Assets Capital Assets (Net of Accumulated Depreciation) Land 11,558,076 11,317,940 22,876,016 Buildings 49,247,391 69,030,835 118,278,226 Improvements Other Than Buildings 23,695,092 138,389 23,833,481 Intangibles 1,365,248 131,171 1,496,419 Machinery and Equipment 8,483,694 3,381,094 11,864,788 Construction in Progress 2,082,658 7,414,812 9,497,470 Infrastructure 66,812,907 227,241,336 294,054,243 Works of Art - 99,060 99,060 Total Noncurrent Assets 163,245,066 318,754,637 481,999,703 Total Assets $ 224,593,931 $ 395,814,303 $ 620,408,234 LIABILITIES Current Liabilities Accounts Payable and Other Accrued Liabilities 6,213,204 3,141,902 9,355,106 Due to Other Governments 302,119 26,802 328,921 Unearned Revenue 1,343,027 2,921,838 4,264,865 Due to Depositors 160,075 - 160,075 Continued… 16 Packet Pg. 62  Exhibit I Okaloosa County, Florida STATEMENT OF NET POSITION September 30, 2013 Primary Government Governmental Business-type Total Activities Activities Current Liabilities (Continued) Liabilities Payable from Restricted Assets Customer Deposits - 1,508,893 1,508,893 Interest Payable - 1,622,336 1,622,336 Loans and Revenue Bonds Payable - 4,992,295 4,992,295 Current Portion of Long-term Obligations Compensated Absences 3,312,560 972,808 4,285,368 Closure Costs Payable - 249,692 249,692 Claims and Judgments 2,540,030 - 2,540,030 Notes Payable 591,000 432,190 1,023,190 Revenue Bonds Payable 738,000 60,809 798,809 Total Current Liabilities 15,200,015 15,929,565 31,129,580 Noncurrent Liabilities Noncurrent Portion of Long-term Obligations Compensated Absences 2,330,532 739,441 3,069,973 Closure Costs Payable - 3,151,516 3,151,516 Claims and Judgments 2,613,782 - 2,613,782 Notes Payable 4,382,393 20,096,841 24,479,234 Loans and Bonds Payable, Net of Unamortized Loan costs 27,772,203 88,798,188 116,570,391 Other Post Employment Benefits 4,490,462 284,986 4,775,448 Total Noncurrent Liabilities 41,589,372 113,070,972 154,660,344 Total Liabilities 56,789,387 129,000,537 185,789,924 Continued… 17 Packet Pg. 63  Exhibit I Okaloosa County, Florida STATEMENT OF NET POSITION September 30, 2013 Primary Government Governmental Business-type Total Activities Activities NET POSITION Investment in Capital Assets, Net of Related Debt 134,734,863 214,514,009 349,248,872 Restricted for Debt Service 463,354 9,496,296 9,959,650 Grants 630,254 - 630,254 Capital Projects 589,960 - 589,960 Public Safety 2,207,053 - 2,207,053 Transportation 11,039,403 9,213,893 20,253,296 Economic Environment 10,181,564 7,673,873 17,855,437 Culture and Recreation 4,770,768 - 4,770,768 Court-Related 3,452,041 - 3,452,041 Unrestricted (Deficit) (264,716) 25,915,695 25,650,979 Total Net Position 167,804,544 266,813,766 434,618,310 Total Liabilities and Net Position $ 224,593,931 $ 395,814,303 $ 620,408,234 The notes to the financial statements are an integral part of this statement. 18 Packet Pg. 64  Exhibit II-A Okaloosa County, Florida STATEMENT OF ACTIVITIES For the Fiscal Year Ended September 30, 2013 Program Revenues Net Operating Capital (Expense) Charges for Grants and Grants and Revenue Expenses Services Contributions Contributions (To Ex II-B) Primary Government Governmental Activities General Government $ 28,714,989 $ 11,377,533 $ 607,295 $ - $ (16,730,161) Public Safety 45,295,768 4,208,921 1,295,877 5,386 (39,785,584) Physical Environment 1,502,535 12,038 - 80,703 (1,409,794) Transportation 14,632,387 3,305,390 3,127,221 801,460 (7,398,316) Economic Environment 4,982,830 314,697 310,166 - (4,357,967) Human Services 4,500,022 562,185 41,802 - (3,896,035) Culture and Recreation 11,996,659 557,754 184,308 361,478 (10,893,119) Court-Related 7,589,522 5,129,921 277,869 - (2,181,732) Interest and Fiscal Charges 1,744,767 - - - (1,744,767) Total Governmental Activities 120,959,479 25,468,439 5,844,538 1,249,027 (88,397,475) Business-type Activities Water & Sewer 27,657,376 26,777,786 95,279 1,220,124 435,813 Airport 12,449,533 12,083,562 228,100 3,498,413 3,360,542 Solid Waste 7,684,184 8,164,966 174,506 - 655,288 Conference Center 3,153,064 804,314 - - (2,348,750) Other Programs 8,823,294 8,123,476 30,940 1,175 (667,703) Total Business- type Activities 59,767,451 55,954,104 528,825 4,719,712 1,435,190 Total Primary Government $ 180,726,930 $ 81,422,543 $ 6,373,363 $ 5,968,739 $ (86,962,285) 19 Packet Pg. 65  Exhibit II-B Okaloosa County, Florida STATEMENT OF ACTIVITIES (CONTINUED) For the Fiscal Year Ended September 30, 2013 Primary Government Governmental Business-type Activities Activities Total Changes in Net Position Net (Expenses) Revenue (From Exhibit II-A) $ (88,397,475) $ 1,435,190 $ (86,962,285) Unrestricted General Revenues Taxes Ad Valorem Tax 43,046,678 1,301,342 44,348,020 Tourist Development Tax 8,112,010 5,408,007 13,520,017 Local Option Fuel Tax 3,559,220 - 3,559,220 Communication Services Tax 1,956,905 - 1,956,905 Ninth-Cent Voted Fuel Tax 1,066,902 - 1,066,902 Local Business Tax 268,190 - 268,190 State Revenue Sharing Miscellaneous Revenue 5,163,568 - 5,163,568 Local Government Sales Tax 12,637,597 - 12,637,597 Contributions Not Restricted to Specific Programs Contributions from Other Governments 3,398 - 3,398 Other Donations 121,131 - 121,131 Investment Earnings (Loss) (92,680) (139,198) (231,878) Miscellaneous 4,482,298 821,794 5,304,092 Transfers - Internal Activities 395,126 (395,126) - Total Unrestricted-General Revenues and Transfers 80,720,343 6,996,819 87,717,162 Change in Net Position (7,677,132) 8,432,009 754,877 Net Position - Beginning 175,481,676 258,381,757 433,863,433 Net Position - Ending $ 167,804,544 $ 266,813,766 $ 434,618,310 The notes to the financial statements are an integral part of this statement. 20 Packet Pg. 66  Okaloosa County, Florida BALANCE SHEET GOVERNMENTAL FUNDS September 30, 2013 County Transportation Trust Special Revenue General Fund Fund ASSETS Cash and Cash Equivalents $ 2,725,331 $ 3,383 Investments 3,956,755 752 Receivables 213,936 275 Due from Other Funds 733,640 50,000 Due from Other Elected Officials 2,057,991 - Due from Other Governments 2,785,454 430,707 Prepaids 346,136 21,380 Total Assets $ 12,819,243 $ 506,497 LIABILITIES AND FUND BALANCES Liabilities Accounts Payable $ 523,170 $ 29,789 Contracts Payable 679,046 10,770 Other Accrued Liabilities 1,866,736 212,945 Due to Other Funds 82,725 - Due to Other Elected Officials 2,109,642 - Due to Other Governments 139,121 - Due to Depositors 40,415 60,095 Deferred Revenue 410,401 - Total Liabilities 5,851,256 313,599 Fund Balances Nonspendable 346,136 21,380 Restricted - - Committed 26,808 - Assigned - 171,518 Unassigned 6,595,043 - Total Fund Balances 6,967,987 192,898 Total Liabilities and Fund Balances $ 12,819,243 $ 506,497 Packet Pg. 67  Exhibit III-A Capital Outlay Other Total Tourist Development Construction Trust Governmental Governmental Special Revenue Fund Capital Projects Fund Funds Funds $ 6,169,095 $ 2,981,572 $ 11,922,785 $ 23,802,166 8,656,586 313,867 12,133,167 25,061,127 1,076,463 24 10,984 1,301,682 - 40,000 314,621 1,138,261 431 119,180 119,189 2,296,791 211,263 - 1,143,153 4,570,577 8,798 - 59,316 435,630 $ 16,122,636 $ 3,454,643 $ 25,703,215 $ 58,606,234 $ 14,948 $ 519 $ 126,543 $ 694,969 1,204,687 27,914 312,027 2,234,444 24,779 - 107,253 2,211,713 426,307 - 62,983 572,015 28,000 - 27 2,137,669 69,578 - 93,245 301,944 25,000 - 34,565 160,075 - - 1,549,522 1,959,923 1,793,299 28,433 2,286,165 10,272,752 8,798 - 59,316 435,630 14,329,337 589,960 22,758,238 37,677,535 - 71,660 490,939 589,407 - 2,764,590 167,873 3,103,981 (8,798) - (59,316) 6,526,929 14,329,337 3,426,210 23,417,050 48,333,482 $ 16,122,636 $ 3,454,643 $ 25,703,215 $ 58,606,234 The notes to the financial statements are an integral part of this statement. 21 Packet Pg. 68  Exhibit III-B Okaloosa County, Florida RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET TO THE STATEMENT OF NET POSITION September 30, 2013 Fund balances - total governmental funds (Exhibit III-A) $ 48,333,482 Amounts reported for governmental activities in the statement of net position are different because: Capital assets used in governmental activities are not financial resources and therefore are not reported in the governmental funds. Those assets consist of: Land $ 11,241,215 Construction in progress 2,082,658 Buildings, net of $22,398,522 accumulated depreciation 49,032,908 Improvements other than buildings, net of $8,888,061 accumulated depreciation 23,695,092 Intangibles, net of $1,567,756 accumulated amortization 1,365,248 Machinery and equipment, net of $40,985,079 accumulated depreciation 8,473,636 Infrastructure, net of $80,672,237 accumulated depreciation 66,812,907 162,703,664 Other long-term assets are not available to pay for current-period expenditures and, therefore, are deferred in the funds. 630,254 Internal service funds (see Exhibit VIII) are used by management to charge the costs of certain activities, such as insurance, compensated absences and fleet maintenance, to individual funds. The assets and liabilities of the internal service funds are included in governmental activities in the statement of net assets. Internal service fund net assets are: (5,082,244) Long-term liabilities, including bonds payable, are not due and payable in the current period and therefore are not reported in the governmental funds. Interest on long-term debt is not accrued in governmental funds, but rather is recognized as an expenditure when due. All liabilities, both current and long-term are reported in the statement of net position. Balances changed at September 30, 2013 are: Accrued interest on bonds (832,558) Revenue bonds payable $ (29,192,000) Notes payable (5,000,000) Deferred Charges - Debt Issuance 708,404 Compensated absences (3,821,005) Other Post Employment Benefits (643,453) Total long-term liabilities (37,948,054) Net position of governmental activities (Exhibit I) $ 167,804,544 The notes to the financial statements are an integral part of this statement. 22 Packet Pg. 69 Packet Pg. 70  Okaloosa County, Florida STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS For the Fiscal Year Ended September 30, 2013 County Transportation Trust Special Revenue General Fund Fund Revenues Taxes $ 43,495,408 $ 2,846,512 Licenses and Permits 13,400 - Intergovernmental 17,571,645 1,902,565 Charges for Services 14,686,409 248,947 Fines 7,944 - Miscellaneous 1,671,241 794 Total Revenues 77,446,047 4,998,818 Expenditures Current General Government 26,593,508 - Public Safety 41,995,485 - Physical Environment 354,555 697,773 Transportation 2,356,103 7,525,894 Economic Environment 1,396,976 - Human Services 3,546,449 - Culture and Recreation 1,153,861 - Court-Related 1,981,845 - Capital Outlay 1,545,644 369,415 Debt Service Principal - - Interest - - Other Debt Service Costs - - Total Expenditures 80,924,426 8,593,082 Excess (Deficiency) of Revenues Over (Under) Expenditures (3,478,379) (3,594,264) Packet Pg. 71  Exhibit IV-A Capital Outlay Construction Trust Other Total Tourist Development Capital Projects Governmental Governmental Special Revenue Fund Fund Funds Funds $ 8,112,010 $ 1,481 $ 3,554,493 $ 58,009,904 361,478 - 441,416 816,294 436,429 199,881 10,752,644 30,863,164 - - 3,719,910 18,655,266 - - 468,617 476,561 915,946 36,744 683,007 3,307,732 9,825,863 238,106 19,620,087 112,128,921 - - 242,982 26,836,490 - - 2,076,571 44,072,056 - - - 1,052,328 299,996 - 1,478,292 11,660,285 3,434,195 - 110,587 4,941,758 - - 639,169 4,185,618 9,308,253 111,320 845,029 11,418,463 - - 5,176,993 7,158,838 53,313 839,536 2,619,987 5,427,895 - - 713,000 713,000 - - 1,626,624 1,626,624 - - 41,210 41,210 13,095,757 950,856 15,570,444 119,134,565 (3,269,894) (712,750) 4,049,643 (7,005,644) Continued… 23 Packet Pg. 72  Okaloosa County, Florida STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS For the Fiscal Year Ended September 30, 2013 County Transportation Trust Special Revenue General Fund Fund Other Financing Sources (Uses) Transfers In 2,165,162 2,695,383 Transfers Out (140,000) - Transfers Among Constitutional Officers (2,107) - Issuance of Debt - - Total Other Financing Sources (Uses) 2,023,055 2,695,383 Net Change in Fund Balances (1,455,324) (898,881) Fund Balances - Beginning 8,423,311 1,091,779 Fund Balances - Ending $ 6,967,987 $ 192,898 Packet Pg. 73  Exhibit IV-A Capital Outlay Construction Trust Other Total Tourist Development Capital Projects Governmental Governmental Special Revenue Fund Fund Funds Funds - 749,200 724,217 6,333,962 (598,118) (309,500) (4,891,218) (5,938,836) 431 - 1,676 - 5,000,000 - - 5,000,000 4,402,313 439,700 (4,165,325) 5,395,126 1,132,419 (273,050) (115,682) (1,610,518) 13,196,918 3,699,260 23,532,732 49,944,000 $ 14,329,337 $ 3,426,210 $ 23,417,050 $ 48,333,482 The notes to the financial statements are an integral part of this statement. 24 Packet Pg. 74  Exhibit IV-B Okaloosa County, Florida RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES For the Fiscal Year Ended September 30, 2013 Net change in fund balances - total governmental funds (Exhibit IV-A) $ (1,610,518) Amounts reported for governmental activities in the statement of activities are different because: Governmental funds report capital outlays as expenditures. However, in the statement of activities, the cost of those assets is allocated over their estimated useful lives as depreciation expense. This is the amount by which capital outlays ($5,427,895) exceed depreciation/amortization ($8,875,916) in the current period. (See Note 5.) (3,448,021) Revenues in the statement of activities that do not provide current financial resources are not reported as revenues in the governmental funds. Grant Revenue $ 630,254 Reversal of Prior Year Deferred Revenues (691,336) Capital Contributions 2,346,776 Gain/Loss on Disposal of Capital Assets (367,946) Net adjustment 1,917,748 Under the modified accrual basis of accounting used in the governmental funds, expenditures are not recognized for transactions that are not normally paid with expendable available financial resources. In the statement of activities, however, which is presented on the accrual basis, expenses and liabilities are reported regardless of when financial resources are available. In addition, interest on long-term debt is not recognized under the modified accrual basis of accounting until due, rather than as it accrues. This adjustment combines the net changes of the following balances: Accrued interest on bonds $ (832,558) Reversal of prior year accural of interest on bonds 799,023 Deferred debt issuance costs 39,038 Amortized deferred debt issuance costs (82,436) Claims payable 1,474,077 Compensated Absences (67,401) Other Post Employment Benefits (46,774) Net adjustment 1,282,969 Some capital additions were financed through notes. In governmental funds, note proceeds are considered a source of financing, but in the statement of net assets, note obligations are reported as liabilities. (See Note 10.) (5,000,000) Repayment of principal on bonds and other long-term debt is an expenditure in the governmental funds, but the repayment reduces long-term liabilities in the statement of net assets. (See Note 10.) 713,000 Internal service funds (See Exhibit IX) are used by the County to charge the costs of certain activities, such as insurance, compensated absences and fleet maintenance to individual funds. The net revenue or expense of the internal service funds is reported with governmental activities. (1,532,310) Change in net position of governmental activities (Exhibit II-B) $ (7,677,132) The notes to the financial statements are an integral part of this statement. 25 Packet Pg. 75  Exhibit V Okaloosa County, Florida GENERAL FUND STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Taxes $ 42,748,660 $ 43,438,660 $ 43,495,408 $ 56,748 Licenses and Permits 17,500 17,500 13,400 (4,100) Intergovernmental 13,397,586 27,903,848 17,571,645 (10,332,203) Charges for Services 13,177,627 14,227,675 14,686,409 458,734 Fines 1,500 5,518 7,944 2,426 Miscellaneous 1,305,488 2,173,506 1,671,241 (502,265) Total Revenues 70,648,361 87,766,707 77,446,047 (10,320,660) Expenditures Current General Government 27,949,706 30,099,319 26,593,508 3,505,811 Public Safety 44,648,941 47,187,250 41,995,485 5,191,765 Physical Environment 351,932 351,932 354,555 (2,623) Transportation 315,775 5,750,026 2,356,103 3,393,923 Economic Environment 1,394,601 1,394,601 1,396,976 (2,375) Human Services 3,749,168 4,025,685 3,546,449 479,236 Culture and Recreation 1,228,676 1,341,475 1,153,861 187,614 Court-Related 1,894,676 2,342,932 1,981,845 361,087 Capital Outlay 725,095 5,733,880 1,545,644 4,188,236 Total Expenditures 82,258,570 98,227,100 80,924,426 17,302,674 Excess (Deficiency) of Revenues Over (Under) Expenditures (11,610,209) (10,460,393) (3,478,379) 6,982,014 Other Financing Sources (Uses) Transfers In 2,150,257 2,193,897 2,165,162 (28,735) Transfers Out - (140,000) (140,000) - Transfers Among Constitutional Officers 733,348 (320,108) (2,107) 318,001 Total Other Financing Sources (Uses) 2,883,605 1,733,789 2,023,055 289,266 Net Change in Fund Balance (8,726,604) (8,726,604) (1,455,324) 7,271,280 Fund Balance - Beginning 8,726,604 8,726,604 8,423,311 (303,293) Fund Balance - Ending $ - $ - $ 6,967,987 $ 6,967,987 The notes to the financial statements are an integral part of this statement. 26 Packet Pg. 76  Exhibit VI Okaloosa County, Florida COUNTY TRANSPORTATION TRUST SPECIAL REVENUE FUND STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Taxes $ 2,900,000 $ 2,900,000 $ 2,846,512 $ (53,488) Intergovernmental 1,594,685 2,781,374 1,902,565 (878,809) Charges for Services 227,744 227,744 248,947 21,203 Miscellaneous 31,000 31,000 794 (30,206) Total Revenues 4,753,429 5,940,118 4,998,818 (941,300) Expenditures Current Physical Environment 736,564 736,910 697,773 39,137 Transportation 7,897,163 7,995,208 7,525,894 469,314 Capital Outlay 401,400 1,489,698 369,415 1,120,283 Total Expenditures 9,035,127 10,221,816 8,593,082 1,628,734 Excess (Deficiency) of Revenues Over (Under) Expenditures (4,281,698) (4,281,698) (3,594,264) 687,434 Other Financing Sources (Uses) Transfers In 1,895,383 1,895,383 2,695,383 (800,000) Total Other Financing Sources (Uses) 1,895,383 1,895,383 2,695,383 (800,000) Net Change in Fund Balance (2,386,315) (2,386,315) (898,881) 1,487,434 Fund Balance - Beginning 2,386,315 2,386,315 1,091,779 (1,294,536) Fund Balance - Ending $ - $ - $ 192,898 $ 192,898 27 Packet Pg. 77  Exhibit VII Board of County Commissioners Okaloosa County, Florida TOURIST DEVELOPMENT SPECIAL REVENUE FUND STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Taxes $ 6,300,000 $ 7,902,780 $ 8,112,010 $ 209,230 Licenses and Permits 390,473 390,473 361,478 (28,995) Intergovernmental - 963,560 436,429 (527,131) Miscellaneous 255,000 1,858,127 915,946 (942,181) Total Revenues 6,945,473 11,114,940 9,825,863 (1,289,077) Expenditures Current Transportation - 413,560 299,996 113,564 Economic Environment 5,489,055 9,263,354 3,434,195 5,829,159 Culture and Recreation 11,497,792 17,614,201 9,308,253 8,305,948 Capital Outlay 530,500 1,418,500 53,313 1,365,187 Total Expenditures 17,517,347 28,709,615 13,095,757 15,613,858 Excess (Deficiency) of Revenues Over (Under) Expenditures (10,571,874) (17,594,675) (3,269,894) 14,324,781 Other Financing Sources (Uses) Transfers Out (428,126) (602,243) (598,118) 4,125 Transfers Among Constitutional Officers - - 431 431 Issuance of Debt - 5,000,000 5,000,000 - Total Other Financing (428,126) 4,397,757 4,402,313 4,556 Net Change in Fund Balance (11,000,000) (13,196,918) 1,132,419 14,329,337 Fund Balance - Beginning 11,000,000 13,196,918 13,196,918 - Fund Balance - Ending $ - $ - $ 14,329,337 $ 14,329,337 The notes to the financial statements are an integral part of this statement. 28 Packet Pg. 78  Okaloosa County, Florida STATEMENT OF NET POSITION PROPRIETARY FUNDS September 30, 2013 Business-type Water and Sewer Airport Solid Waste Enterprise Fund Enterprise Fund Enterprise Fund ASSETS Current Assets Cash and Cash Equivalents $ 8,580,151 $ 10,167,422 $ 987,566 Investments 5,075,613 284,403 511,058 Receivables, Net of Allowance for Uncollectibles 2,120,432 930,137 677,277 Due from Other Funds 50,000 - - Due from Other Elected Officials - - - Due from Other Governments 543,439 1,411,463 31,872 Inventory 1,580,386 121,399 - Prepaids 112,692 13,751 - Restricted Assets Cash and Cash Equivalents Customer Deposits 1,374,146 - 22,008 Other Deposits 8,111,737 2,222,854 - Investments 8,977,990 10,014,718 - Total Restricted Assets 18,463,873 12,237,572 22,008 Total Current Assets 36,526,586 25,166,147 2,229,781 Noncurrent Assets Capital Assets Land 4,802,033 6,382,606 133,301 Buildings 6,069,770 63,888,724 115,363 Improvements Other Than Buildings - - 276,776 Intangibles 675,860 94,400 - Machinery and Equipment 10,109,562 2,459,826 2,196,088 Construction in Progress 6,744,894 396,489 - Infrastructure 243,811,284 85,210,888 - Works of Art - 69,865 - Less Accumulated Depreciation/Amortization (97,735,079) (30,199,560) (2,423,005) Total Capital Assets (Net of Accumulated Depreciation/Amortization) 174,478,324 128,303,238 298,523 Total Noncurrent Assets 174,478,324 128,303,238 298,523 Total Assets $ 211,004,910 $ 153,469,385 $ 2,528,304 Packet Pg. 79  Exhibit VIII Activities Governmental Activities -- Convention Center Other Total Internal Enterprise Fund Enterprise Funds Enterprise Funds Service Funds $ 3,647,873 $ 227,138 $ 23,610,150 $ 5,293,488 3,275,086 171,563 9,317,723 23,834 707 4,677,928 8,406,481 78,118 426,307 81,918 558,225 - - 8 8 79 - - 1,986,774 519,341 - - 1,701,785 297,228 3,789 2,352 132,584 6,126 - - 1,396,154 - 992,875 - 11,327,466 - - - 18,992,708 - 992,875 - 31,716,328 - 8,346,637 5,160,907 77,430,058 6,218,214 - - 11,317,940 316,861 18,327,812 - 88,401,669 900,466 31,822 - 308,598 257,345 23,840 72,575 866,675 - 1,126,220 4,878,877 20,770,573 2,817,880 273,429 - 7,414,812 - 363,670 - 329,385,842 - 29,195 - 99,060 - (5,803,490) (3,649,398) (139,810,532) (3,751,150) 14,372,498 1,302,054 318,754,637 541,402 14,372,498 1,302,054 318,754,637 541,402 $ 22,719,135 $ 6,462,961 $ 396,184,695 $ 6,759,616 Continued… 29 Packet Pg. 80  Okaloosa County, Florida STATEMENT OF NET POSITION PROPRIETARY FUNDS September 30, 2013 Business-type Water and Sewer Airport Solid Waste Enterprise Fund Enterprise Fund Enterprise Fund LIABILITIES AND NET POSITION Liabilities Current Liabilities Accounts Payable $ 734,509 $ 134,148 $ 71,883 Contracts Payable 499,835 263,134 375,620 Accrued Liabilities Compensated Absences 475,553 102,837 48,032 Closure Costs Payable - - 249,692 Claims and Judgments - - - Other Accrued Liabilities 249,112 78,524 24,848 Due to Other Funds - - - Due to Other Elected Officials 44 219 - Due to Other Governments 154 18,218 - Notes Payable 50,000 382,190 - Revenue Bonds Payable 60,809 - - Deferred Revenue 2,472,619 401,606 - Current Liabilities Payable from Restricted Assets Customer Deposits Payable 1,486,885 - 22,008 Interest Payable 961,415 656,736 - Loan - State of Florida 727,295 - - Revenue Bonds Payable 3,535,000 575,000 - Total Current Liabilities Payable from Restricted Assets 6,710,595 1,231,736 22,008 Total Current Liabilities 11,253,230 2,612,612 792,083 Packet Pg. 81  Exhibit VIII Activities Governmental Activities -- Convention Center Other Total Internal Enterprise Fund Enterprise Funds Enterprise Funds Service Funds $ 75,985 $ 28,469 $ 1,044,994 $ 181,935 241,152 44,630 1,424,371 6,333 58,995 287,391 972,808 1,735,993 - - 249,692 - - - - 2,540,030 34,487 285,566 672,537 51,252 - 351,462 351,462 765,900 18,667 - 18,930 - 2,314 6,116 26,802 174 - - 432,190 - - - 60,809 - 29,153 18,460 2,921,838 13,358 - - 1,508,893 - 4,185 - 1,622,336 - - - 727,295 - 155,000 - 4,265,000 - 159,185 - 8,123,524 - 619,938 1,022,094 16,299,957 5,294,975 Continued… 30 Packet Pg. 82  Okaloosa County, Florida STATEMENT OF NET POSITION PROPRIETARY FUNDS September 30, 2013 Business-type Water and Sewer Airport Solid Waste Enterprise Fund Enterprise Fund Enterprise Fund Noncurrent Liabilities Compensated Absences 432,218 77,544 45,245 Closure Costs Payable - - 3,151,516 Claims and Judgments - - - Notes Payable (Net of Unamortized Discounts) 15,275,710 4,821,131 - Loan- State of Florida (Net of Unamortized Discounts) 6,131,012 - - Revenue Bonds Payable (Net of Unamortized Discounts and Deferred Amount on Refunding) 66,209,874 16,457,302 - Other Post Employment Benefits 115,597 22,859 12,600 Total Noncurrent Liabilities 88,164,411 21,378,836 3,209,361 Total Liabilities 99,417,641 23,991,448 4,001,444 Net Position Invested in Capital Assets, Net of Related Debt 92,628,318 106,067,615 298,523 Restricted for Debt Service 7,118,442 2,222,854 - Restricted for Other Purposes - 9,213,893 - Unrestricted 11,840,509 11,973,575 (1,771,663) Total Net Position 111,587,269 129,477,937 (1,473,140) Total Liabilities and Net Position $ 211,004,910 $ 153,469,385 $ 2,528,304 Packet Pg. 83  Exhibit VIII Activities Governmental Activities -- Convention Center Other Total Internal Enterprise Fund Enterprise Funds Enterprise Funds Service Funds 34,742 149,692 739,441 86,094 - - 3,151,516 - - - - 2,613,782 - - 20,096,841 - - - 6,131,012 - - - 82,667,176 - 18,083 115,847 284,986 3,847,009 52,825 265,539 113,070,972 6,546,885 672,763 1,287,633 129,370,929 11,841,860 14,217,499 1,302,054 214,514,009 541,401 155,000 - 9,496,296 - 7,673,873 - 16,887,766 - - 3,873,274 25,915,695 (5,623,645) 22,046,372 5,175,328 266,813,766 (5,082,244) $ 22,719,135 $ 6,462,961 $ 396,184,695 $ 6,759,616 The notes to the financial statements are an integral part of this statement. 31 Packet Pg. 84  Okaloosa County, Florida STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION PROPRIETARY FUNDS For the Fiscal Year Ended September 30, 2013 Business-type Water and Sewer Airport Solid Waste Enterprise Fund Enterprise Fund Enterprise Fund Operating Revenues Licenses and Permits $ - $ - $ - Charges for Services 26,777,786 9,128,918 8,164,967 Miscellaneous 24,514 289,226 545 Total Operating Revenues 26,802,300 9,418,144 8,165,512 Operating Expenses Personal Services 5,657,692 2,062,950 667,206 Contractual Services 3,555,018 2,019,837 5,704,870 Supplies 889,497 802,572 135,352 Insurance Premiums and Claims - - - Utilities 1,611,801 796,080 24,069 Other Operating Expenses 3,581,906 1,436,061 1,092,699 Depreciation/Amortization 6,907,955 3,913,963 59,988 Total Operating Expenses 22,203,869 11,031,463 7,684,184 Operating Income (Loss) 4,598,431 (1,613,319) 481,328 Nonoperating Revenues (Expenses) Taxes - - - Intergovernmental 95,279 228,101 174,506 Investment Income (Loss) (117,192) (83,839) 10,482 Other Non-Operating Revenue 330,723 12,000 - Interest Expenses (3,903,069) (1,235,061) - Other Debt Service Costs (27,666) (151,196) - Gain/(Loss) on Disposal of Capital Assets 12,131 (29,092) 115,850 Contribution to Other Governments (1,497,480) - - Passenger and Customer Facility Charges - 2,954,642 - Administrative Charges - - - Total Nonoperating Revenues (Expenses) (5,107,274) 1,695,555 300,838 Income (Loss) Before Contributions and Transfers (508,843) 82,236 782,166 Packet Pg. 85  Exhibit IX Activities Governmental Activities -- Convention Center Other Total Internal Enterprise Fund Enterprise Funds Enterprise Funds Service Funds $ - $ 1,431,427 $ 1,431,427 $ - 804,315 6,692,051 51,568,037 21,756,431 288 5,255 319,828 86,666 804,603 8,128,733 53,319,292 21,843,097 912,066 6,100,519 15,400,433 1,576,704 390,345 979,127 12,649,197 363,369 114,589 698,144 2,640,154 4,411,604 - - - 16,731,523 298,143 26,369 2,756,462 5,418 722,287 469,735 7,302,688 332,148 534,477 410,107 11,826,490 48,053 2,971,907 8,684,001 52,575,424 23,468,819 (2,167,304) (555,268) 743,868 (1,625,722) 5,408,007 1,301,342 6,709,349 - - 30,940 528,826 - 45,955 5,396 (139,198) 5,767 - - 342,723 - (8,370) - (5,146,500) - - - (178,862) - - (136,046) (37,157) 44,820 - - (1,497,480) - - - 2,954,642 - (172,788) - (172,788) - 5,272,804 1,201,632 3,363,555 50,587 3,105,500 646,364 4,107,423 (1,575,135) Continued… 32 Packet Pg. 86  Okaloosa County, Florida STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION PROPRIETARY FUNDS For the Fiscal Year Ended September 30, 2013 Business-type Water and Sewer Airport Solid Waste Enterprise Fund Enterprise Fund Enterprise Fund Capital Contributions 1,220,124 3,498,413 - Transfers In - - - Transfers Out - - - Change in Net Position 711,281 3,580,649 782,166 Total Net Position - Beginning 110,875,988 125,897,288 (2,255,306) Total Net Position - Ending $ 111,587,269 $ 129,477,937 $ (1,473,140) Packet Pg. 87  Exhibit IX Activities Governmental Activities -- Convention Center Other Total Internal Enterprise Fund Enterprise Funds Enterprise Funds Service Funds - 1,175 4,719,712 42,825 - 33,000 33,000 - (428,126) - (428,126) - 2,677,374 680,539 8,432,009 (1,532,310) 19,368,998 4,494,789 258,381,757 (3,549,934) $ 22,046,372 $ 5,175,328 $ 266,813,766 $ (5,082,244) The notes to the financial statements are an integral part of this statement. 33 Packet Pg. 88  Okaloosa County, Florida STATEMENT OF CASH FLOWS PROPRIETARY FUNDS For the Fiscal Year Ended September 30, 2013 Business-type Activities Water and Sewer Airport System Enterprise Solid Waste CASH FLOWS FROM OPERATING ACTIVITIES Receipts from Customers $ 27,685,803 $ 12,262,472 $ 8,202,567 Receipts from Interfund Services Provided - - - Payments to Suppliers (9,510,111) (7,272,485) (7,600,243) Payments to Employees (5,636,923) (2,064,741) (667,839) Payments for Other Revenues 330,723 12,000 - Net Cash Provided (Used) by Operating Activities 12,869,492 2,937,246 (65,515) CASH FLOWS FROM NON-CAPITAL FINANCING ACTIVITIES Operating Subsidy - Taxes - - - Operating Subsidy - Intergovernmental Revenue 95,279 228,101 183,851 Transfers In - - - Transfers (Out) (50,000) - - Net Interfund Activity - - - Net Cash Provided (Used) by Non-capital Financing Activities 45,279 228,101 183,851 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Purchase of Capital Assets (6,997,361) (4,562,438) - Passenger and Customer Facility Charges - 2,954,642 - Proceeds from Disposal of Capital Assets 55,603 43,455 115,851 Contribution to Other Government (1,497,480) - - Net Borrowing (Repayments) Principal Paid on Capital Debt (4,157,536) (985,229) - Interest Paid on Capital Debt (3,936,702) (1,212,862) - Capital Contributions 1,220,124 3,210,803 - Net cash provided (used) by capital and related Financing Activities (15,313,352) (551,629) 115,851 Packet Pg. 89  Exhibit X - Enterprise Funds Governmental Other Activities Convention Enterprise Internal Center Funds Total Service Funds $ 776,323 $ 7,659,801 $ 56,586,966 $ 18,128,040 - - - 4,279,875 (1,356,850) (2,503,745) (28,243,434) (21,784,812) (916,989) (6,037,984) (15,324,476) (1,325,010) - - 342,723 - (1,497,516) (881,928) 13,361,779 (701,907) 5,233,948 1,301,342 6,535,290 - - 30,940 538,171 - - 33,000 33,000 - (428,126) - (478,126) - - 269,544 269,544 - 4,805,822 1,634,826 6,897,879 - (150,060) (625,482) (12,335,341) (3,441) - - 2,954,642 - - 41,408 256,317 66,582 - - (1,497,480) - (1,530,000) - (6,672,765) - (49,945) - (5,199,509) - - 1,175 4,432,102 42,825 (1,730,005) (582,899) (18,062,034) 105,966 Continued… 34 Packet Pg. 90  Okaloosa County, Florida STATEMENT OF CASH FLOWS PROPRIETARY FUNDS For the Fiscal Year Ended September 30, 2013 Business-type Activities Water and Sewer Airport System Enterprise Solid Waste NET CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from Sale and Maturities of Investments 16,495,654 7,312,714 353,195 Interest Income 348,090 273,814 10,482 Purchases of Investments - - - Net Cash Provided (Used) by Investing Activities 16,843,744 7,586,528 363,677 Net Increase (Decrease) in Cash and Cash Equivalents 14,445,163 10,200,246 597,864 Cash and Cash Equivalents - Beginning of Year 3,620,871 2,190,030 411,710 Cash and Cash Equivalents - End of Year $ 18,066,034 $ 12,390,276 $ 1,009,574 Cash and Cash Equivalents at End of Year Consist of: Current Assets $ 8,580,151 $ 10,167,422 $ 987,566 Restricted Assets 9,485,883 2,222,854 22,008 Total $ 18,066,034 $ 12,390,276 $ 1,009,574 Reconciliation of Operating Income (Loss) to Net Cash Provided (Used) by Operating Activities Operating Income (Loss) $ 4,598,431 $ (1,613,319) $ 481,328 Adjustments to Reconcile Operating Income to Net Cash Provided (Used) by Operating Activities Depreciation/Amortization 6,907,955 3,913,963 59,988 Other revenue 330,723 12,000 - Decrease (Increase) in Assets Accounts Receivable 313,608 (13,494) 39,727 Due from Other Funds - - - Due from Other Elected Officials 2,788 - - Due from Other Governments 708,715 2,433,819 - Inventories (5,592) (33,349) - Prepaid Expenses 92,432 7,069 - Packet Pg. 91  Exhibit X - Enterprise Funds Governmental Other Activities Convention Enterprise Internal Center Funds Total Service Funds 2,660,397 (70,264) 26,751,696 1,059,524 45,955 5,396 683,737 13,372 - - - (8,759) 2,706,352 (64,868) 27,435,433 1,064,137 4,284,653 105,131 29,633,057 468,196 356,095 122,007 6,700,713 4,825,292 $ 4,640,748 $ 227,138 $ 36,333,770 $ 5,293,488 $ 3,647,873 $ 227,138 $ 23,610,150 $ 5,293,488 992,875 - 12,723,620 - $ 4,640,748 $ 227,138 $ 36,333,770 $ 5,293,488 $ (2,167,304) $ (555,268) $ 743,868 $ (1,625,722) 534,477 410,107 11,826,490 48,053 - - 342,723 - (657) (441,660) (102,476) 3,671 - - - 8,286 - (2) 2,786 158 - - 3,142,534 58,441 - - (38,941) 14,705 4,028 (2,142) 101,387 18,743 Continued… 35 Packet Pg. 92  Okaloosa County, Florida STATEMENT OF CASH FLOWS PROPRIETARY FUNDS For the Fiscal Year Ended September 30, 2013 Business-type Activities Water and Sewer Airport System Enterprise Solid Waste Adjustments to Reconcile Operating Income to Net Cash Provided (Used) by Operating Activities - Continued Increase (Decrease) in Liabilities Accounts Payable 457,240 (5,928) 54,937 Service Contracts Payable (417,805) (1,670,028) (520,049) Due to Other Funds - - - Due to Other Elected Officials 44 219 - Due to Other Governments (996) 2,867 (35) Compensated Absences Payable (1,497) (5,201) (1,943) Closure Cost Payable - - (178,106) Claims and Judgments Payable - - - Other Accrued Liabilities 14,457 786 523 Deposits 26,334 - (2,672) Deferred Revenue (165,154) (94,782) - Other Post Employment Benefits 7,809 2,624 787 Total Adjustments 8,271,061 4,550,565 (546,843) Net Cash Provided (Used) by Operating Activities $ 12,869,492 $ 2,937,246 $ (65,515) Noncash Investing, Capital, and Financing Activities: Improvements Acquired Through Contributions $ - $ 287,610 $ - Packet Pg. 93  Exhibit X - Enterprise Funds Governmental Other Activities Convention Enterprise Internal Center Funds Total Service Funds 36,609 (332,211) 210,647 (234,494) 126,518 8,243 (2,473,121) 1,269 - - - 765,900 1,759 - 2,022 - (400) (4,258) (2,822) 174 (5,090) 4,729 (9,002) (8,571) - - (178,106) - - - - (3,611) (1,211) 49,736 64,291 2,302 - - 23,662 - (27,623) (27,272) (314,831) 4,055 1,378 8,070 20,668 244,734 669,788 (326,660) 12,617,911 923,815 $ (1,497,516) $ (881,928) $ 13,361,779 $ (701,907) $ - $ - $ 287,610 $ - The notes to the financial statements are an integral part of this statement. 36 Packet Pg. 94  Exhibit XI Okaloosa County, Florida STATEMENT OF FIDUCIARY NET POSITION FIDUCIARY FUNDS September 30, 2013 Agency Funds ASSETS Cash and Cash Equivalents $ 5,112,110 Account Receivables 15,757 Due from Other Funds 669 Due from Other Elected Officials 340 Total Assets 5,128,876 LIABILITIES Liabilities Due to Other Funds $ 7,778 Due to Other Elected Officials 140,619 Due to Other Governments 400,469 Due to Depositors 3,242,479 Taxes Collected in Advance for Other Governments 1,337,531 Total Liabilities 5,128,876 NET POSITION $ - The notes to the financial statements are an integral part of this statement. 37 Packet Pg. 95  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The financial statements of Okaloosa County, Florida (hereinafter referred to as County) have been prepared in conformity with accounting principles generally accepted in the United States (GAAP) as applied to governments. The Governmental Accounting Standards Board (GASB) is the accepted standard- setting body for governmental accounting and financial reporting. The County uses the Uniform Accounting System mandated by Chapter 218.33, Florida Statutes. The following is a summary of the more significant accounting policies of the County. A. The Reporting Entity Okaloosa County is a political subdivision of the State of Florida, governed by a five member Board of County Commissioners, each elected by the citizenry at large for four-year terms. The Board has no powers other than those expressly vested in it by State Statute and their governmental powers cannot be delegated. In addition, the Clerk of the Circuit Court, Sheriff, Tax Collector, Property Appraiser and Supervisor of Elections are elected by the citizenry at-large and function independently of the Board. As required by accounting principles generally accepted in the United States of America, these financial statements present the Board of County Commissioners of Okaloosa County (the primary government). In evaluating the Board as a reporting entity, management has considered all potential component units for which the Board may or may not be financially accountable and, as such, be included within the Board's financial statements. Management utilized criteria set forth in GASB No. 61 for determining financial accountability of potential component units in evaluating all potential component units. In accordance with GASB No. 61, the Board (primary government) is financially accountable if it appoints a voting majority of the potential component unit's governing board and 1) it is able to impose its will on the organization or 2) there is a potential for the organization to provide specific financial benefit to or impose specific financial burden on the Board. In addition, component units can be other organizations for which the nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entity's financial statements to be misleading or incomplete. The Board evaluated the Emerald Coast Bridge Authority (authority) in accordance with GASB No. 61. The Authority has been dormant for several years. The Board does not believe it is financially accountable with respect to the Authority or that financial burden relationship exists based on an evaluation of GASB No. 61. As such, the Authority is not included as part of the Board’s reporting entity. B. Government-Wide and Fund Financial Statements 1. Government-Wide Statements The government-wide financial statements include the statement of net assets and the statement of activities. These statements display information on all of the non-fiduciary activities of the primary government and its component unit. The primary government and the component unit are reported separately with the focus of the statements being the primary government. Individual funds are not displayed. Governmental activities, which normally are supported by taxes, intergovernmental revenues, and other non-exchange transactions, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support. The statement of activities presents a comparison between direct expenses and program revenues for each function of the County’s governmental activities and for the different business-type activities of the County. A function is an assembly of similar activities and may include portions of a fund or summarize more than one fund to report the expenses and program revenues associated with a 38 Packet Pg. 96  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – CONTINUED B. Government-Wide and Fund Financial Statements - Continued 1. Government-Wide Statements - Continued distinct functional activity. Direct expenses are those that are clearly identifiable with a specific function or segment. The County does not allocate indirect expenses to functions in the statement of activities. Program revenues include 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by the programs of the County and 2) grants and contributions that are restricted to meeting the operational activities or the construction, acquisition, or rehabilitation of capital assets required by a particular program. These revenues are subject to externally imposed restrictions to these program uses. The determining factor for identifying to which function program revenue pertains is which function generated the revenue in the case of charges for service. For grants and contributions, the determining factor is to which function the revenues are restricted. Taxes and other items not properly included among program revenues are reported instead as general revenues of the County. The comparison of direct expense with program revenues in the statement of activities identifies the extent to which each governmental function and each business activity is self-financing and how much they draw from the general revenues of the County. 2. Fund Financial Statements During the year, transactions related to certain functions or activities are segregated into separate funds in order to aid financial management and to demonstrate legal compliance. A fund is a fiscal and accounting entity with a self-balancing set of accounts. The fund financial statements are designed to present detail information about the County’s financial activities. Separate financial statements are provided for governmental funds, proprietary funds and fiduciary funds, even though the latter are excluded from the government-wide financial statements. The emphasis of fund financial statements is on major governmental and enterprise funds, each displayed in a separate column. All remaining governmental and enterprise funds are aggregated and reported as nonmajor funds. C. Measurement Focus, Basis of Accounting, and Financial Statement Presentation 1. Exchange and Non-exchange Transactions Exchange transactions are those in which each party receives and gives up essentially equal values. An example of an exchange transaction is a charge for service, rent, in exchange for a specific service, use of a County building. Non-exchange transactions are those in which the County gives (or receives) value without directly receiving (or giving) equal value in exchange. An example of a non-exchange transaction is property tax revenue received by the County which is used to fund various general governmental services. The revenue from these exchange and non-exchange transactions is recognized in the financial statements in varying ways depending on the basis of accounting used. 39 Packet Pg. 97  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – CONTINUED C. Measurement Focus, Basis of Accounting, and Financial Statement Presentation - Continued 2. Government-Wide and Fiduciary Fund Financial Statements The government-wide financial statements are reported using the economic resources measurement focus. All assets and all liabilities associated with the operation of the County are included on the statement of net assets. The statement of activities reports all revenues and expenses. Fiduciary funds are excluded from the government-wide financial statements. The statement of fiduciary assets and liabilities reports all assets and liabilities associated with the agency funds of the County. Agency funds are the only type of fiduciary fund used by the County. Government-wide financial statements are reported using the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded at the time liabilities are incurred, regardless of when the related cash flows take place. Nonexchange transactions include property taxes, grants, entitlements, and donations. On an accrual basis, revenue from property taxes is recognized in the fiscal year for which the taxes are levied. Revenue from grants, entitlements, and donations is recognized in the fiscal year in which all eligibility requirements have been satisfied. The agency funds of the County use the accrual basis of accounting to recognize the receivables and payables recorded in those funds. The effect of interfund activity has been eliminated from the government-wide financial statements except for interfund services provided and used. Elimination of those charges would distort the direct costs and program revenues reported for the various functions concerned on the statement of activities. 3. Governmental Fund Financial Statements All governmental funds are accounted for using a flow of current financial resources measurement focus. With this measurement focus, only current assets and current liabilities generally are included on the balance sheet. The statement of revenues, expenditures and changes in fund balances reports the sources (i.e., revenues and other financing sources) and uses (i.e., expenditures and other financing uses) of current financial resources. This approach differs from the manner in which the governmental activities of the government-wide financial statements are prepared. Governmental fund financial statements therefore include reconciliations with brief explanations to better identify the relationship between the government-wide statements and the governmental fund statements. Governmental fund financial statements are reported using the modified accrual basis of accounting. Under this method, revenues are recognized when susceptible to accrual (i.e., when they become both measurable and available). “Measurable” means the amount of the transaction can be determined and “available” means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. The County considers all revenues reported in the governmental funds to be available if the revenues are collected within sixty days after year-end. Those revenues susceptible to accrual are sales tax, gasoline taxes and other intergovernmental revenues collected and held by the state at year end on behalf of the County, special assessments, licenses, interest revenue and charges for service. Current year property taxes uncollected at the end of the fiscal year are generally immaterial in amount and highly susceptible to uncollectibility and are not recorded as a receivable on the balance sheet. All other revenue items are considered to be measurable and available only when the government receives cash. 40 Packet Pg. 98  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – CONTINUED C. Measurement Focus, Basis of Accounting, and Financial Statement Presentation – Continued 3. Governmental Fund Financial Statements - Continued Expenditures are recorded when the related fund liability is incurred. Principal and interest on general long-term debt are recorded as fund liabilities when due or when amounts have been accumulated in the debt service fund for payments to be made in the following year. General capital asset acquisitions are reported as expenditures in governmental funds. Proceeds of general long- term debt and acquisitions under capital leases are reported as other financing sources. 4. Proprietary Fund Financial Statements The proprietary fund financial statements are reported using the economic resources measurement focus. Under this measurement focus, all assets and all liabilities associated with the operation of the fund are included on the balance sheet. The statement of revenue, expenses and changes in equity reports revenues and expenses. The proprietary funds are reported using the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded at the time liabilities are incurred, regardless of when the related cash flows take place. Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund’s principal ongoing operations. All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses. Proprietary fund operating revenues, such as charges for services, result from exchange transactions associated with the principal activity of the fund. The principal operating revenues for the proprietary funds are fees and charges for water and sewer, airports, solid waste, inspection services, emergency medical services, convention center, self-insurance, compensated absence debt service and fleet internal service operations. Operating expenses for the enterprise funds, and the internal service funds, include the cost of sales and services, administrative expenses and depreciation of capital assets. Non-operating revenues, such as subsidies and investment earnings, result from nonexchange transactions or ancillary activities. They include property taxes, grants, entitlements, donations and capital contributions. On an accrual basis, revenue from property taxes is recognized in the fiscal year for which the taxes are levied. Revenue from grants, entitlements, and donations is recognized in the fiscal year in which all eligibility requirements have been satisfied. Contributions of capital in proprietary fund financial statements arise from internal and external contributions of capital assets or from grants or outside contribution of resources restricted to capital acquisition and construction. 41 Packet Pg. 99  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – CONTINUED C. Measurement Focus, Basis of Accounting, and Financial Statement Presentation – Continued 5. Other Financial Statement Presentation Information The County currently employs an indirect allocation system. An administrative service fee is charged by the General Fund, at the direction of the Board of County Commissioners, to several special revenue and enterprise funds to address General Fund services (finance, personnel, purchasing, legal, technology management, etc.) provided. As a general rule, the effect of interfund activity has been eliminated from the government-wide financial statements. An exception to this general rule is the charge back of services, such as insurance costs, vehicle maintenance, and central costs. Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned. The County reports the following major governmental funds: General Fund This is the County’s primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. County Transportation Special Revenue Fund This fund is used to account for maintenance and in-house construction of Okaloosa County roads. These activities include road maintenance, traffic control, engineering, right-of-way acquisition, and construction of new roadways. Funds are provided from state shared revenue and certain gasoline taxes collected and distributed by the State of Florida. Tourist Development Special Revenue Fund This fund is used to account for funds received from imposition of the 5% tourist development tax for the purpose of improving Okaloosa County’s tourist industry as authorized by 125.0104, F.S., and Okaloosa County Ordinance No. 89-23 as amended by 91- 20, 92-52, 95-10, 99-07, 07-58, 12-21, 13-19, and 13-20. Capital Outlay Construction Trust Capital Projects Fund This fund is used to account for proceeds of bond issues, federal and state grants, and local appropriations for major capital projects. At the end of the fiscal year, completed projects are capitalized and reported on the government-wide financial statements of Okaloosa County, Florida. The County reports the following major enterprise funds: Water and Sewer Enterprise Fund This fund is used to account for the user charges and expenses associated with the provision of water and sewer services to residents of the unincorporated areas of Okaloosa County. 42 Packet Pg. 100  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – CONTINUED C. Measurement Focus, Basis of Accounting, and Financial Statement Presentation – Continued 5. Other Financial Statement Presentation Information – Continued Airport Enterprise Fund This fund is used to account for the operation of three Okaloosa County airports. Revenue sources include federal and state grants, fees from concessionaires and other fees and charges for services to tenants and airport users. Solid Waste Enterprise Fund This fund is used to account for the revenues and expenses associated with the provision of solid waste management within Okaloosa County. Convention Center Enterprise Fund This fund is used to account for the general operation of the Convention Center. This fund also accounts for the debt service on the Fourth Cent Tourist Development Tax Revenue Bonds, Series 2000, issued to fund construction of the Convention Center. The County reports the following fund types: Internal Service Funds These funds account for insurance coverage (including other post employment benefits for retirees), fleet management services, and funding of compensated absence debt provided to other departments or agencies of the government, or to other governments, on a cost reimbursement basis. Agency Funds These funds account for monies held on behalf of individuals and companies that use the County as a depository; property taxes, fines, court costs, licenses and fees collected on behalf of other governments; and surety bonds and performance deposits. D. Assets, Liabilities, and Net Position or Balance 1. Deposits and Investments Sections 28.33, 218.415, and 219.075, Florida Statutes, require the investment of surplus public funds and prescribe the instruments in which those investments are authorized, specifically the State of Florida Local Government Surplus Funds Trust Fund; SEC registered money market funds with the highest credit quality rating; interest-bearing time deposits or savings accounts in qualified public depositories as defined in s. 280.02; direct obligations of the United States Treasury, federal agencies and instrumentalities; and securities of or other interest in certain investment companies or investment trusts the portfolio of which is limited to obligations of the United States Government or any agency or instrumentality thereof and to repurchase agreements fully collateralized by such obligations. Because the County has adopted written investment policies as provided in subsection (1) through (15) of s. 218.415, other investments may be authorized by resolution or ordinance. Currently authorized are investments in term repurchase agreements with primary broker/dealers collateralized in the County’s name by securities of the United States Government or any agency or instrumentality thereof; overnight repurchase agreements with collateral held by the custodian bank or its trust department; tax exempt bonds, notes or obligations rated in the two highest classifications; inventory-based domestic bankers’ acceptances eligible to qualify for use as collateral at the Federal Reserve Bank; SEC registered open-end mutual funds whose portfolios consist of United States Government securities and repurchase agreements secured by such securities; and Florida Local Government Investment Trust. The County adheres strictly to the provisions of those cited Statutes and investments authorized by resolution or ordinance, as well as with Chapter 517, Florida Statutes, which establishes registration procedures for securities and dealers. 43 Packet Pg. 101  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – CONTINUED D. Assets, Liabilities, and Net Position or Balance - Continued 1. Deposits and Investments - Continued The Board of County Commissioners maintains a cash and investment pool available for use by all funds of the Board. Earnings from such investments are allocated to the respective funds based on applicable cash participation by each fund. In addition, certificates of deposits, money market accounts and debt securities can be separately maintained by several Board funds. Other elected officials maintain similar pooled cash accounts or individual cash accounts through which their office activities are managed. Each fund’s portion of the pooled cash and individual deposit type investments are displayed on the balance sheet as “cash and cash equivalents.” For purposes of these statements, all highly liquid investments (including restricted assets) with maturity of ninety days or less when purchased are considered to be cash equivalents. U.S. Treasury and agency obligations with maturities of one year or less when purchased are reported on the balance sheet at their amortized cost. Nonparticipating investment contracts, generally certificates of deposit, are reported at cost. All other investments are reported at fair value. The State of Florida provides regulatory oversight for the external investment pools in which the County invests. The pools either meet the “2A-7 like” criteria of GASB 31 or value investments at fair value. Therefore, fair value of the position in these pools is the same as the value of the pool shares. During 2009, the Tax Collector participated in the Florida Surplus Asset Fund Trust (“FLSAFE”) that was established under authority of, and in conformity with, Florida Statutes 163-01; et seq. FLSAFE began operations in February 2008 and was formed by and for Florida local governmental entities as a means of investing funds. The State of Florida provides regulatory oversight over FLSAFE, and FLSAFE is not registered with the U.S. Securities and Exchange Commission. FLSAFE is an external investment pool, and may invest in U.S. government treasury securities, U.S. government agency securities, commercial paper and repurchase agreements with securities valued in excess of the repurchase agreement amount. No monies were held in the FLSAFE account during the fiscal year ended September 30, 2011 or September 30, 2012. 2. Receivables and Payables During the course of operations, numerous transactions occur between individual funds for goods provided or services rendered. These receivables and payables are classified as “due from other funds or elected officials” or “due to other funds or elected officials” on the fund statement balance sheets. Short-term interfund loans are also classified as “interfund receivables/payables.” Non- current portions of long-term interfund loan receivables are reported as advances and are offset equally by a fund balance reserve account that indicates that they do not constitute expendable available financial resources and therefore are not available for appropriation. Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as “internal balances.” The Emergency Medical Services Enterprise, Airport, Solid Waste, and Water and Sewer Enterprise Funds are the only funds of Okaloosa County that provide for an allowance for doubtful accounts for trade accounts receivables. All other funds accounts receivable write offs are insignificant. 44 Packet Pg. 102  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – CONTINUED D. Assets, Liabilities, and Net Position or Balance – Continued 2. Receivables and Payables - Continued Property taxes attach as an enforceable lien on property as of the date of assessment and remain in effect until discharge by payment. Taxes are payable when levied (on November 1, or as soon thereafter as the assessment roll becomes available to the Tax Collector). The County bills and collects its own property taxes, as well as taxes for the County School District and taxes for municipalities and special districts within the County in accordance with the laws of the State of Florida. No accrual has been made for 2013 ad valorem taxes because property taxes are not legally due until subsequent to the end of the fiscal year. Collection of taxes and remittance of them to other governmental agencies are accounted for in the Disbursements Agency Fund of the Tax Collector. The following is the current property tax calendar. Lien Date January 1, 2013 Levy Date November 1, 2013 Due Date November 1, 2013 Delinquent Date April 1, 2014 Discounts of 1% for each month taxes are paid prior to March 2014 are granted. Revenue recognition criteria for property taxes under the Governmental Accounting Standards Board requires that property taxes expected to be collected within 60 days of the current period be accrued. Current year taxes that are uncollected as of the end of the fiscal year are generally immaterial in amount and highly susceptible to uncollectibility and, therefore, are not recorded as a receivable on the balance sheet date. 3. Inventories and Prepaid Items Inventory is valued at cost (first-in, first-out) in the governmental funds and at lower of cost (first-in, first-out) or market in the proprietary funds. The consumption method is used to account for the inventory. Under the consumption method, inventory items are recorded as expenditures during the period inventory is used. Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements. The consumption method is used to account for the prepaid items. Under the consumption method, prepaid items are recorded as expenditures during the period in which they are used. 4. Restricted Assets Certain proceeds of the Water and Sewer System Enterprise Fund revenue bonds, the Airport Enterprise Fund revenue bonds and the Convention Center Enterprise Fund revenue bonds, the Governmental Sales Tax Revenue Bonds, as well as certain resources set aside for their repayment, are classified as restricted assets on the balance sheet because their use is limited by applicable bond covenants. In addition, restricted assets include funds set aside for repayment of customer deposits in several enterprise funds. 45 Packet Pg. 103  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – CONTINUED D. Assets, Liabilities, and Net Position or Balance – Continued 5. Capital Assets Capital assets are not capitalized in the governmental funds used to acquire or construct them. Instead, capital acquisition and construction are reflected as expenditures in governmental funds, and the related assets are reported on the government-wide statement of net assets of Okaloosa County. Capital assets acquired by proprietary funds are reported in those funds. Property, plant and equipment purchased or acquired is carried at historical cost or estimated historical cost. Contributed assets are recorded at fair market value as of the date received. The County’s capitalization levels are $1,000 on tangible personal property and $5,000 on buildings, improvements other than buildings and infrastructure. The Sheriff maintains a tangible personal property inventory and uses a $1,000 capitalization level. Other costs incurred for repairs and maintenance are expensed as incurred. General infrastructure assets acquired prior to July 1, 1980 are included in the capital asset inventory and are reported at estimated historical cost using deflated replacement cost. Depreciation on all assets is provided on the straight-line basis over the following estimated useful lives: Assets Years Buildings 10-50 Improvements Other Than Buildings 7-25 Intangibles 5 Equipment 3-7 Vehicles 2-15 Roads and Bridges 10-75 Wastewater Lines and Pump Stations 10-50 Other Infrastructure 10-50 6. Compensated Absences The liability for compensated absences reported in the government-wide and proprietary fund statements consists of unpaid, accumulated annual and sick leave or compensatory time balances. The liability is accrued when incurred in the government-wide and proprietary fund financial statements. A liability for these amounts is reported in governmental funds financial statements only if they have matured, for example, as a result of employee resignations and retirements. 7. Accrued Liabilities and Long-Term Obligations All payables, accrued liabilities and long-term obligations are reported in the government-wide financial statements and the proprietary fund financial statements. In general, governmental fund payables and accrued liabilities that, once incurred, are paid in a timely manner and in full from current financial resources are reported as obligation of these funds. However, compensated absences and claims that will be paid from governmental funds are reported as a liability in the fund financial statements only to the extent that they are “due for payment” during the current year. Bonds and capital leases are recognized as a liability in the governmental fund financial statements when due. At the inception of capital leases reported in governmental funds, expenditures and an “Other Financing Source” of an equal amount are reported at the net present value of future minimum lease payments. 46 Packet Pg. 104  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – CONTINUED D. Assets, Liabilities, and Net Position or Balance – Continued 8. Bond Premiums, Discounts and Issuance Costs On the government-wide statement of net assets and the proprietary fund type statement of net assets, bond premiums and discounts, as well as issuance costs, are deferred and amortized over the life of the bonds using the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are reported as deferred charges and amortized over the term of the related debt. Unamortized losses on bonds are presented as a reduction of the face amount of bonds payable. The Water and Sewer Enterprise Fund is the only fund that has unamortized losses on bonds. The County has no unamortized losses on bonds as of September 30, 2013. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures. 9. Fund Balance In the fund financial statements, GASB Statement 54 establishes fund balance classifications that comprise a hierarchy based primarily on the extent to which a government is bound to observe constraints imposed up on the use of the resources reported in governmental funds. Fund balance classifications under GASB 54 are nonspendable, restricted, committed, assigned and unassigned. These classifications reflect not only the nature of funds but also provide clarity to the level of restriction placed upon fund balance. Fund balance can have different levels of restraint, such as external versus internal compliance requirements. Nonspendable – Comprised of amounts that are (a) not in spendable form or (b) legally or contractually required to be maintained intact. “Not in spendable form” includes items that are not expected to be converted to cash (such as inventories and prepaid amounts) and items such as long- term amount of loans and notes receivable, as well as property acquired for resale. The corpus (or principal) of a permanent fund is an example of an amount that is legally or contractually required to be maintained intact. Restricted – Component consists of amounts constrained for a specific purpose by external parties, constitutional provision, or enabling legislation. Committed – Component consists of amounts that can be used only for the specific purposes determined by a formal action, in the form of ordinances, of the Board, the highest level of decision making authority. Commitments may be changed or lifted only by the board taking the same formal action that imposed the constraint originally. Assigned – Component consists of amounts that are constrained by the County’s intent to be used for specific purposes, but are neither restricted nor committed. Intent is expressed by (a) the Board of County Commissioners or (b) a body (for example: a budget or finance committee) or official to which the County has delegated the authority to assign amounts to be used for specific purposes. This indicates that resources in those funds are at a minimum, intended to be used for the purposes of that fund. The Board has delegated to the County Administrator and Finance Officer in accordance with the County’s fund balance policy. 47 Packet Pg. 105  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – CONTINUED D. Assets, Liabilities, and Net Position or Balance – Continued 9. Fund Balance - Continued Unassigned – Unassigned fund balance is the residual classification of the general fund. This classification represents spendable fund balance that has not been assigned to other funds and that has not been restricted, committed, or assigned to specific purposes within the general fund. Unassigned fund balance may also include negative balances for any governmental fund if expenditures exceed amounts restricted, committed, or assigned for those specific purposes. Designations of fund balance, if any, represent tentative management plans that are subject to change. When both restricted and unrestricted resources are available for use, it is the policy of the Board to use restricted resources first, and then unrestricted resources as they are needed. In circumstances when an expenditure is made for a purpose for which amounts are available in multiple fund balance classifications, fund balance is generally depleted in the order of restricted, committed, assigned, and unassigned. The County does not have a formal minimum fund balance policy. However, the Board does target 10% of the General Fund budget to set aside for reserves during the annual Budget Policy meeting. 10. Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. NOTE 2 – STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY A. BUDGETARY INFORMATION Budgets are adopted on a basis consistent with generally accepted accounting principles. Annual appropriated budgets are adopted for all governmental and proprietary funds; however, budgets for proprietary funds are not required to be reported on and are not included in these financial statements. All appropriations lapse at fiscal year-end. Budgetary data reflected in the financial statements are established by the following Board procedures. On or about June 1 of each year, proposed budgets are received by the Board of County Commissioners from its department heads, from all other constitutional officers, and from other agencies requesting funding for the ensuing fiscal year. These proposed expenditures, along with all estimated receipts, taxes to be levied, and balances expected to be brought forward are considered by the Board of County Commissioners in a series of workshops beginning on or after July 15. The Board of County Commissioners requires such changes as deemed necessary, sets proposed millages and establishes dates for tentative and final public budget hearings as prescribed by Florida Statutes. Proposed budgets are advertised in a newspaper of general circulation in the County. Public hearings are conducted in Crestview and Shalimar for the purpose of receiving input, responding to complaints and providing reasons and explanations for intended actions to all citizens participating. In the event the final budget has not been adopted by October 1, the beginning of the fiscal year, Florida Statutes provide for expenditures based on the adopted tentative budget or the Board re-adopts its prior year’s adopted final budget, as amended, and expends monies based on that budget until such time as its tentative budget is adopted pursuant to law. The final appropriations budget is adopted by resolution of the Board of County Commissioners. 48 Packet Pg. 106  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 2 – STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY – CONTINUED A. BUDGETARY INFORMATION - CONTINUED Florida Statutes require that the individual budgets of several of the constitutional officers must be approved by the State of Florida. The “fee” portion of these budgets is not a part of the appropriations budget passed by the Board of County Commissioners. The budgetary information shown in these financial statements includes the entire budget for each constitutional office. The level of budgetary control (that is the level at which expenditures cannot legally exceed appropriations) has been established at the fund level. The County Administrator is authorized to transfer budgeted amounts within departments of a fund and between departments of a fund; however, the Board of County Commissioners must approve any revisions that alter the total expenditures of any fund. Each constitutional officer is authorized to make line item transfers but must request approval from the Board for increases in appropriations. Budget amounts are originally adopted amounts as amended by action of the Board of County Commissioners by revision of fund totals. Supplemental budgetary appropriations of $20,048,779 representing a 10.10 % increase over the original adopted budget were necessary during the fiscal year. All amendments to originally adopted amounts were made in a legally permissible manner. Encumbrance accounting, under which purchase orders, encumber contracts and other commitments for the expenditure of resources are recorded in order to reserve that portion of the applicable appropriation, is employed in the governmental funds. Encumbrances at fiscal year-end do not constitute expenditures since the commitments will be honored during the subsequent year. B. DEFICIT FUND BALANCE/NET POSITION The Solid Waste Enterprise Fund reported deficit net position of $1,473,140 as of September 30, 2013. The deficit is caused by changes in reporting closure costs and long-term care costs for the solid waste landfills of the County. Further description of these costs and methods of funding them are discussed in Note 7. The Self Insurance Internal Service Fund reported deficit net position of $4,363,695. Claim liabilities for workers’ compensation, general and automobile liabilities and property damage are funded by actuarially projected budget requirements for expected yearly cash payouts. This funding method results in a deficit fund equity which will be charged back to the other funds over a reasonable period of time so that service fund revenues and expenses will be equal. The Sheriff’s Self-Insurance Fund is reflecting a deficit net position of $955,902. This is the result of the implementation of GASB 45 which requires the unfunded liability for future employee benefits (OPEB) to be recorded at September 30, 2013. NOTE 3 – DEPOSITS AND INVESTMENTS Deposits The County maintains a cash and investment management pool in which each fund participates on a dollar equivalent and daily transaction basis. The County’s cash and investment management pool is considered to be cash equivalent for reporting purposes because it is an internally managed fund, which allows individual funds to, at any time, deposit additional cash or make withdrawals without prior notice or penalty. The County’s cash and investment management pool includes pooled cash maintained in interest- bearing demand deposit accounts, certificates of deposit, and pooled investments of the Local Government 49 Packet Pg. 107  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 3 – DEPOSITS AND INVESTMENTS - CONTINUED Deposits - Continued Surplus Trust Fund. Interest income (which includes unrealized gains and losses) is distributed monthly based on balance at date of distribution. Custodial Credit Risk. The County maintains its deposits only with qualified public depositories as defined in Chapter 280, Florida Statutes. The provisions of this statute generally require public funds to be deposited in a bank or savings association designated by the State Chief Financial Officer as a “Qualified Public Depository”. All qualified public depositories must maintain deposit insurance. They also must place with or in the name of the Chief Financial Officer of the State of Florida, collateral in the amount of the greater of the average daily balance of public deposits multiplied by the average monthly balance of public deposits or 125 percent of the average daily balance of public deposits greater than capital. Collateral requirements may be increased according to statute if specified conditions exist. Eligible collateral includes federal, federally-guaranteed, state and local government obligations and corporate bonds. In the event of default by a qualified public depository excess losses over insurance and collateral will be recovered through assessments to all qualified public depositories of the same type as the depository in default. Under this method, all County deposits, including certificates of deposit, are considered fully insured. Investments As of September 30, 2013 the County had the following investments: Investment Type and Quantity Par/Principal Value Fair Value Maturity Repurchase Agreement $ 800,825 $ 800,825 10/1/2013 Florida Local Government Surplus Funds Trust investment pool - Fund B 538,569 609,995 As Available* Florida Local Government Investment Trust investment pool 28,518,035 28,518,035 On Demand Federal Home Loan Bank (3) 2,650,000 2,473,960 7/23/2027 2,045,000 1,918,190 8/22/2022 2,000,000 1,844,820 10/25/2024 Federal National Mortgage Assoc. (13) 1,469,356 1,375,291 4/1/2014 1,014,740 968,104 4/1/2017 1,851,447 1,710,791 12/1/2033 1,300,199 1,198,896 12/1/2021 1,102,855 1,032,685 7/1/2020 2,173,094 2,117,616 6/1/2017 803,990 783,822 2/1/2018 1,537,196 1,495,575 5/1/2018 1,228,405 1,264,863 8/25/2037 1,349,379 1,313,790 11/25/2018 245,389 2,201,491 9/25/2027 731,414 649,343 10/25/2027 253,086 226,154 10/25/2027 Government National Mortgage Assoc. (1) 893,774 891,146 9/16/2033 Total investments $ 52,506,753 $ 53,395,392 50 Packet Pg. 108  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 3 – DEPOSITS AND INVESTMENTS - CONTINUED Investments - Continued * Fund B cash holdings are being distributed to participants as they become available from maturities, sales and received income. The investment objective for Fund B is to maximize the present value of the distributions. State Statutes and the formal investments and portfolio policies adopted by the Board of County Commissioners restrict the types of investments that can be made by the County. A description of the requirements and the types of investments allowed as well as information about valuation and other investment policies can be found in Note 1.D.1. The investment policy manual details the methods used to manage the risks inherent to the investment process. The authority for investment of County funds rests with the Clerk of the Circuit Court who has delegated management of the investment program to the Finance Director. Investments can only be made by majority vote of the investment committee appointed by the Clerk. Although the policies allow investments in many types of instruments, the investment committee has chosen to limit investment risks by investing mainly in allowed investment pools. The pools are 2a7-like investment pools and manage interest rate risk by limiting the weighted average maturity of their portfolios, manage credit risk by investing in mainly governmental and other highly rated securities, manage concentration of credit risk by limiting investment in any one issuer to less than 5% of the portfolio and manage custodial credit risk by requiring collateral for investments held by counterparties. Interest rate risk. In accordance with the investment policy, the exposure to declines in fair value of investments outside of the pools is managed by matching the investments to a specific cash flow requirement. The repurchase agreement and instrumentalities are matched to the timing of required debt service payments. On November 29, 2007, the State Board of Administration implemented a temporary freeze on the assets held in the Florida Local Government Investment Trust Pool due to an unprecedented amount of withdrawals from the Fund coupled with the absence of market liquidity for certain securities within the Pool. On December 4, 2007, based on recommendations from an outside financial advisor, the State Board of Administration restructured the Pool into two separate pools. Pool A consisted of all money market appropriated assets, and Pool B consisted of assets that either defaulted on a payment, paid more slowly than expected, and/or had any significant credit and liquidity risk. Credit risk. As of September 30, 2012, Standard & Poor’s rated the investment in Florida Local Government Investment Trust investment pool AAAf, Florida Local Government Investment Day to Day AAAm, Florida Local Government Surplus Fund Trust AAAm, and STI Classic Institutional Cash Management AAAm. The Florida Local Government Surplus Fund Trust Fund B investment pool was not rated by any nationally recognized statistical rating agency as of September 2013. As of September 30, 2013 all U.S. Instrumentalities held by the County were rated AAA. The investment policies of the County manage credit risk by limiting investments in U. S. Instrumentalities to the two highest ratings issued by nationally recognized statistical rating organization. Concentration of credit risk. The investment policies of the County diversify the portfolio by limiting the maximum percentage of various types of investments that can be purchased. The investment policy maximum percentages for the current portfolio are 50% for U.S. agencies and instrumentalities and 50% for repurchase agreements. More than 5% of the County’s investments are in the Federal Home Loan 51 Packet Pg. 109  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 3 – DEPOSITS AND INVESTMENTS - CONTINUED Investments - Continued Bank, Federal National Mortgage Association, and Government National Mortgage Association. These investments are 12%, 31%, and 2% respectively, of the County’s total investments. Custodial credit risk. Okaloosa County has a perfected first security interest in the collateral underlying the repurchase agreement. STI Classic Institutional Cash Management, U.S. Treasury bills, and U.S. instrumentalities are held by the County’s agent in the County’s name in accordance with the Okaloosa County Investment Policy requiring third party custody and safekeeping. NOTE 4 – RECEIVABLES / DEFERRED REVENUE Receivables as of September 30, 2013 for the government’s individual major funds and nonmajor, internal service, and fiduciary funds in the aggregate, including the applicable allowances for uncollectible accounts, are as follows: Due From Less: Net Total Other Total Allowance for Receivables Funds Accounts Governments Receivables Doubtful Accounts Sept. 30, 2013 General $ 213,936 $ 2,785,454 $ 2,999,390 $ - $ 2,999,390 County Transportation 275 430,707 430,982 - 430,982 Tourist Development 1,076,463 211,263 1,287,726 - 1,287,726 Capital Outlay 24 - 24 - 24 Water and Sewer 2,310,432 543,439 2,853,871 (190,000) 2,663,871 Airport 1,487,232 1,411,463 2,898,695 (557,095) 2,341,600 Solid Waste 677,277 31,872 709,149 - 709,149 Conference Center 707 - 707 - 707 Nonmajor and Other Funds 9,810,096 1,662,494 11,472,590 (5,027,309) 6,445,281 Total $ 15,576,442 $ 7,076,692 $ 22,653,134 $ (5,774,404) $ 16,878,730 Governmental funds report deferred revenue in connection with receivables for revenues that are not considered to be available to liquidate liabilities of the current period. Governmental funds also defer revenue recognition in connection with resources that have been received, but not yet earned. At the end of the current fiscal year, the various components of deferred revenue and unearned revenue reported in the governmental funds were as follows. Unavailable Unearned General Fund Grant Revenue $ 99,963 $ 36,878 Rent/Commissions Received in Advance - 273,560 Nonmajor Funds Grant Revenue 530,291 - Federal Forfeitures - 645,480 Courts Special Revenue - 373,751 Total deferred/unearned revenue for governmental funds $ 630,254 $ 1,329,669 52 Packet Pg. 110  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 5 – CAPITAL ASSETS Capital asset activity for the year ended September 30, 2013 was as follows: Beginning Ending Balance Increases Decreases Balance Governmental activities: Capital assets, not being depreciated/amortized: Land $ 9,958,076 $ 1,600,000 $ - $ 11,558,076 Intangibles 1,146,905 - - 1,146,905 Construction in progress 2,884,441 1,322,581 (2,124,364) 2,082,658 Total capital assets, not being depreciated/amortized 13,989,422 2,922,581 (2,124,364) 14,787,639 Capital assets, being depreciated/amortized: Buildings 70,861,891 1,470,005 - 72,331,896 Improvements other than buildings 32,499,693 340,805 - 32,840,498 Intangibles 1,729,905 56,194 - 1,786,099 Machinery and equipment 54,496,467 1,672,789 (3,892,661) 52,276,595 Infrastructure 144,436,012 3,049,132 - 147,485,144 Total capital assets being depreciated/amortized 304,023,968 6,588,925 (3,892,661) 306,720,232 Less accumulated depreciation/amortization for: Buildings (21,234,307) (1,850,198) - (23,084,505) Improvements other than buildings (8,255,414) (889,992) - (9,145,406) Intangibles (1,362,161) (205,595) - (1,567,756) Machinery and equipment (43,698,925) (3,987,901) 3,893,925 (43,792,901) Infrastructure (78,681,953) (1,990,284) - (80,672,237) Total accumulated depreciation/amortization (153,232,760) (8,923,970) 3,893,925 (158,262,805) Total capital assets, being depreciated/amortized, net 150,791,208 (2,335,045) 1,264 148,457,427 Governmental activities capital assets, net $ 164,780,630 $ 587,536 $ (2,123,100) $ 163,245,066 Note: The “Increases” column includes transfers of assets purchased in prior years from business-type activities to governmental activities as well as reclassifications from completed multiyear construction projects. Therefore the amounts in the column will not be equal to capital outlay. 53 Packet Pg. 111  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 5 – CAPITAL ASSETS - CONTINUED Beginning Ending Balance Increases Decreases Balance Business-type activities Capital assets, not being depreciated/amortized: Land $ 11,317,940 $ - $ - $ 11,317,940 Construction in progress 16,596,394 4,976,790 (14,158,372) 7,414,812 Works of art 99,060 - - 99,060 Total capital assets, not being depreciated/amortized 28,013,394 4,976,790 (14,158,372) 18,831,812 Capital assets, being depreciated/amortized: Buildings 88,224,000 177,669 - 88,401,669 Improvements other than buildings 308,598 - - 308,598 Intangibles 887,391 20,404 (41,120) 866,675 Machinery and equipment 21,003,707 1,549,942 (1,783,076) 20,770,573 Infrastructure 309,342,930 20,118,989 (76,077) 329,385,842 Total capital assets being depreciated/amortized 419,766,626 21,867,004 (1,900,273) 439,733,357 Less accumulated depreciation/amortization for: Buildings (17,118,443) (2,252,391) - (19,370,834) Improvements other than buildings (157,802) (12,407) - (170,209) Intangibles (637,622) (106,791) 8,909 (735,504) Machinery and equipment (17,832,292) (1,160,312) 1,603,125 (17,389,479) Infrastructure (93,782,211) (8,365,154) 2,859 (102,144,506) Total accumulated depreciation/amortization (129,528,370) (11,897,055) 1,614,893 (139,810,532) Total capital assets, being depreciated/amortized, net 290,238,256 9,969,949 (285,380) 299,922,825 Business-type activities capital assets, net $ 318,251,650 $ 14,946,739 $ (14,443,752) $ 318,754,637 Depreciation expense was charged to functions/programs as follows. 54 Packet Pg. 112  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 5 – CAPITAL ASSETS - CONTINUED Depreciation Amortization Governmental activities: General government $ 1,789,381 $ 82,235 Public safety 2,700,173 6,537 Physical environment 76,771 - Transportation, including depreciation of general infrastructure assets 2,928,621 9,800 Economic environment 32,948 - Human services 317,041 - Culture and recreation 572,558 - Court related 252,828 107,023 Capital assets held by the government's internal service funds are charged to the various functions based on their usage of the assets 48,054 - Total depreciation expense - governmental activities $ 8,718,375 $ 205,595 Depreciation Amortization Business-type activities: Water and sewer $ 6,812,177 $ 95,778 Airport 3,902,950 11,013 Solid waste 59,988 - Convention center 534,477 - Other enterprise funds 410,107 - Total depreciation expense - governmental activities $ 11,719,699 $ 106,791 Construction Commitments Road and Other Infrastructure Improvements The Board has entered into contracts to improve parks and other infrastructure at various locations throughout the County. The contracts total $1,064,465. Cumulative expenditures total $60,504, with $1,003,961 remaining liability outstanding at September 30, 2013. Water and Sewer Expansion and Renovation The Water and Sewer System is continuing significant expansion and renovations throughout the County. Based on the fiscal year 2014 capital budget, total expenditures will approximate $8,000,000 on contracted projects, plus an additional $2,000,000 for in-house construction. Construction at Northwest Florida Regional Airport The Airport has begun design of projects to renovate the checked baggage area at the Northwest Florida Regional Airport and to construct the ARFF firefighting building on Eglin. Expenditures to date on these two projects are approximately $375,000, and current estimates place the cost of both projects over $5,000,000. 55 Packet Pg. 113  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 6 – COMPENSATED ABSENCES Each constitutional officer’s policy for compensated absences is summarized below. Board of County Commissioners and Supervisor of Elections The policy of the Board of County Commissioners and the Supervisor of Elections for annual and sick leave and compensatory time is as follows: Employees may accrue an unlimited amount of annual and sick leave. The employees earn leave at varying rates per month based on their work schedules. Years of 40 hours/ 45 hours/ 24 hours on/ Service week week 48 hours off Annual Leave Full time employees 0-5 8 hours 9 hours 11 hours 6-10 10 hours 11 hours 14 hours 11-15 12 hours 14 hours 17 hours 16-20 14 hours 16 hours 20 hours 21-25 16 hours 18 hours 22 hours 26+ 18 hours 20 hours 25 hours Part time employees 1 4 hours Maximum amount paid upon separation from service 240 hours 270 hours 336 hours Sick Leave Full time employees 8 hours 9 hours 11 hours Part time employees 0 hours Unused sick leave will be paid to employees having ten consecutive years of service upon termination or retirement at varying percentages based on the total unused hours: 50% for the first 480 hours; 25% for the second 480 hours and 20% for all hours over 960. Compensatory Time Compensatory time is available only to hourly (non-exempt) employees. Most employees may accrue up to 240 hours except for law enforcement and correctional officers who can accrue up to 480 hours. Unused amounts will be paid upon termination or retirement. Clerk of the Circuit Court The policy of the Clerk of the Circuit Court for annual and sick leave is that full-time employees earn four hours of annual leave (five hours if employed five years or longer) and four hours of sick leave per biweekly pay period. The employee can accumulate a maximum of 240 hours of annual leave and an unlimited amount of sick leave. Annual leave earned in excess of 240 hours is credited to sick leave. Upon retirement or termination, the employee may be paid a maximum of 240 hours accumulated annual leave. Unused sick leave will be paid as follows upon termination (provided the employee has 160 hours accrued and 24 months of service). 56 Packet Pg. 114  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 6 – COMPENSATED ABSENCES – CONTINUED Clerk of the Circuit Court - Continued 2 years service - 20% of all sick leave accrued 5 years service - 25% of all sick leave accrued 10 years service - 30% of all sick leave accrued 15 years service - 40% of all sick leave accrued 20 years+ service - 50% of all sick leave accrued Upon retirement from the Florida Retirement System with 30 years of service, of which the last 20 years of service must have been served with the Clerk’s office, employees will be paid for 100% of their accrued sick leave balance. Sheriff The Sheriff maintains a policy providing for annual vacation and sick leave pay for all full-time non- exempt employees. Employees are allowed to accumulate unlimited time; however, upon separation the employee will receive compensation only for any unused annual leave up to a maximum of 240 hours. Annual vacation leave for full-time non-exempt employees is calculated as follows: Years of Service Accrual Rate Less than five (5) years (8) hours per calendar month Five (5) to ten (10) years (10) hours per calendar month Ten (10) and more years (12) hours per calendar month Sick leave for non-exempt employees is accrued at eight hours per month. Unused accrued leave is carried over from year to year. Employees terminating after ten years of service are compensated for unused sick leave up to a maximum of 100 hours. Vacation leave for exempt employees is accrued at 176 hours annually and sick leave for exempt employees is accrued at 104 hours annually. An employee who meets eligibility requirements receives up to 12 weeks of leave, paid and /or unpaid in accordance with the federal Family Medical Leave Act of 1993 guidelines. Tax Collector The policy of the Tax Collector for Paid Time Off (PTO) is that employees are entitled to accrue leave each pay period based on an employee’s hire date. Below is a breakdown of how leave will be earned: 57 Packet Pg. 115  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 6 – COMPENSATED ABSENCES – CONTINUED – CONTINUED Tax Collector – Continued Years of Service # Hours Earned (based on hire date) Weeks PTO per Pay Period 1 year 3 weeks 4.62 2 - 5 years 4.4 weeks 6.77 6 - 10 years 5.4 weeks 8.31 11 - 15 years 6 weeks 9.23 16 - 20 years 6.5 weeks 10.00 21+ years 7 weeks 10.77 Upon separation of employment form the Tax Collector, the maximum unused hours paid at termination are based upon years of service. Maximum unused hours paid for employees with 1 – 10 years of service or in DROP are 300 hours and 500 hours for 10 plus years of service. Property Appraiser The Property Appraiser’s policy provides for “paid days off” (a combination of sick and annual leave) which may be used at the employee’s discretion. Paid days off accumulate ratably during each year of employment at the following rates based on years of employment. 1 to 5 years 192 hours per year 5 to 10 years 216 hours per year Over 10 years 240 hours per year Employees are allowed to accumulate up to 360 hours of paid days off for which they will be paid upon termination of employment. Paid days off accumulated in excess of 360 hours at the end of the calendar year are lost except for employees planning retirement. Employees planning retirement within the following year may increase the accrued paid days off to a maximum of 500 hours. The total amounts of accumulated annual leave and other compensated absences for all elected officials as of September 30, 2013 follow: Current Long-Term Elected Official Portion Portion Totals Board of County Commissioners $ 2,600,898 $ 1,930,141 $ 4,531,039 Clerk of the Circuit Court 269,338 561,586 830,924 Sheriff 1,369,600 148,132 1,517,732 Tax Collector - 221,509 221,509 Property Appraiser - 157,193 157,193 Supervisor of Elections 45,532 51,412 96,944 Totals $ 4,285,368 $ 3,069,973 $ 7,355,341 The total current and long-term portions of compensated absences are shown on the face of the government wide statement of net assets using the full accrual method of accounting. 58 Packet Pg. 116  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 7 - LANDFILL CLOSURE AND POST CLOSURE CARE COSTS The Board is required to study, estimate, and certify to the U.S. Environmental Protection Agency through the Florida Department of Environmental Protection the estimated cost to close and to perform certain maintenance and monitoring functions at Baker Landfill and Wright Landfill for thirty years after closure and Niceville Landfill for twenty years after closure. One hundred percent of the landfill capacity has been used in the landfills and they have all been permanently closed. The Florida Department of Environmental Protection approved termination of long-term care at the permanently closed Laurel Hill Landfill effective September 25, 2006. The Board is required by state and federal laws and regulations to develop its estimates using rates normal to commercial contracting firms and is based on the amount of the landfill capacity used to date, 100%. The landfill closure and post closure costs are reevaluated each year. The estimate is subject to changes resulting from inflation, deflation, technology, or changes in applicable laws or regulations. The effect of this change in estimates has been reflected in the operations of the Solid Waste Enterprise Fund and has increased net income by $178,106. The estimated liability for landfill closure and post closure care costs has a balance of $3,401,208 as of September 30, 2013. 59 Packet Pg. 117  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 8 – INTERFUND BALANCES AND ACTIVITY The composition of interfund balances as of September 30, 2013 is as follows: Receivable Fund Payable Fund Amount Purpose General Tourist Development $ 28,000 Fees General Nonmajor Governmental 27 Fees General Nonmajor Governmental 45,495 Interfund loan General Water and Sewer 44 Fees General Airport 219 Fees General Convention Center 18,667 Fees General Nonmajor Enterprise 150,000 Cost allocation General Nonmajor Enterprise 201,462 Interfund loan General Internal Service 317,671 Interfund loan General Internal Service 13,229 Internal Services General Fiduciary Fund Type 14,674 Court fees General Fiduciary Fund Type 5,783 Fees collected General Fiduciary Fund Type 8,443 Collected fines and fees County Transportation Internal Service 50,000 Interfund loan Tourist Development Fund General 431 Excess Fees Capital Outlay General 2 Interest Capital Outlay General 119,178 Vessel commissions Capital Outlay Internal Service 40,000 Interfund loan Nonmajor Governmental General 1,677 Excess Fees Nonmajor Governmental General 10 Interest Nonmajor Governmental General 40,138 Restricted fees Nonmajor Governmental Nonmajor Governmental 17,488 Fees collected Nonmajor Governmental Internal Service 255,000 Interfund loan Nonmajor Governmental Fiduciary Fund Type 117,502 Collected fines and fees Nonmajor Governmental Fiduciary Fund Type 1,995 Online fees Water and Sewer Internal Service 50,000 Interfund loan Convention Center Tourist Development Fund 426,307 Tax allocation Nonmajor Enterprise General 8 Interest Nonmajor Enterprise General 41,918 Baker Acts Nonmajor Enterprise Internal Service 40,000 Interfund loan Internal Service General 79 Fuel and maintenance Fiduciary Fund Type General 340 Fees Fiduciary Fund Type General 669 Restricted fees Total $ 2,006,456 60 Packet Pg. 118  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 8 – INTERFUND BALANCES AND ACTIVITY – CONTINUED Interfund transfers: Transfer In Transfer Out Amount Purpose General Tourist Development $ 516,719 Beach safety support General Capital Outlay 309,500 Allocation of tax revenues General Nonmajor Governmental 57,464 Transfer additioanl funding General Nonmajor Governmental 18,640 Transfer additioanl funding General Nonmajor Governmental 806,713 Allocation of tax revenues General Nonmajor Governmental 28,000 Allocation of racing monies General Convention Center 428,126 Beach safety support County Transportation Trust Nonmajor Governmental 2,695,383 Allocatin of state revenue sharing Tourist Development General 431 Excess fees Capital Outlay General 140,000 Transfer additioanl funding Captial Outlay Nonmajor Governmental 609,200 Transfer additioanl funding Nonmajor Governmental General 1,676 Excess fees Nonmajor Governmental Tourist Development 81,399 Debt service transfer Nonmajor Governmental Nonmajor Governmental 638,818 Debt service transfer Nonmajor Governmental Nonmajor Governmental 4,000 Allocation of racing monies Nonmajor Enterprise Nonmajor Governmental 33,000 Allocation of racing monies Total $ 6,369,069 NOTE 9 - LEASES Operating Leases – Lessor The Board of County Commissioners leases three county-owned parks and park buildings located on Okaloosa Island to outside parties. Capitalized investment in these assets is $6,588,730. Accumulated depreciation of $2,152,262 has been recorded as of September 30, 2013. All of the leases were for a 25- year period. However, two of the leases have been renegotiated and the period extended to thirty years. Three of the leases contain a 20% rent increase every five years. The first renegotiated lease contains a fixed rental through 2029. The second renegotiated lease contains a contingent rent fee of 15% of gross revenue if that amount is greater than the set rent amount through 2012. To date, the contingent rent option has not been needed. The remaining terms of the leases range from 1 to 17 years. The Board of County Commissioners leases land and a building to a convenience store company. Capitalized investment in the building is $132,488. Accumulated depreciation of $48,027 has been recorded as of September 30, 2013. The lease was renegotiated to a five year lease with four five-year renewals beginning in 2008. The rent will increase at the beginning of each option period by the consumer price index. These option periods extend through 2032. The Board of County Commissioners leases space in a building to six (6) leases. Capitalized investment in the building is $546,688. The one year leases may have two (2) one year renewals through 2013. Rental fees total $3,025 monthly. The Board of County Commissioners has leased space on a water tower to a wireless communication company. The five year lease can be renewed for five five-year periods through 2038. Monthly rental fees begin at $833 and increase at each renewal to an amount equal to one hundred two percent of the monthly rent in effect immediately prior. There is no capitalized investment related to this lease. 61 Packet Pg. 119  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 9 – LEASES - CONTINUED Operating Leases – Lessor - Continued The Board of County Commissioners has leased space on a telecommunications tower and the parcel of land on which it is located to a wireless communication company. The five year lease can be renewed for four five-year periods through 2031. Monthly rental fees begin at $1,900 and increase at each renewal period by 15% to $3,324 in the final renewal period. There is no capitalized investment related to this lease. The Board of County Commissioners has entered into operating leases with various lessees and concessionaires for lease of space and facilities at the Okaloosa County Air Terminal, the Bob Sikes Airport and the Destin Airport. Lease periods vary with expiration dates through 2048. Capitalized investment in assets associated with these leases is $42,805,455. Accumulated depreciation of $7,299,803 has been recorded as of September 30, 2013. The Board of County Commissioners leases land on Okaloosa Island to a company to operate a marine life center. The 10 year lease can be renewed for four (4) optional 10 year periods through 2062. Annual rental fees begin at $75,000 with annual consumer price index increase. The Board of County Commissioners leases land on Okaloosa Island to a company to operate a Wild Willy's Adventure Island. The 10 year lease can be renewed for four (2) optional 10 year periods through 2042. Annual rental fees begin at $65,000 with annual consumer price index increase. The Board of County Commissioners leases office space at the Fort Walton Beach Water and Sewer building. Capitalized investment in these assets is $2,995,873. Accumulated depreciation of $1,535,590 has been recorded as of September 30, 2013. In June 2013, the first of two (2) year optional extensions was exercised. Rental fees total $22,604 annually. Total minimum future rentals for material operating leases in which the Board of County Commissioners is the lessor are as follows: Fiscal Year Ended September 30 2014 $ 1,516,035 2015 1,474,076 2016 1,472,973 2017 1,472,155 2018 1,449,384 Thereafter 13,918,009 $ 21,302,632 Operating Leases – Lessee 1. The Board of County Commissioners leases the land on which the airport facilities are located from the United States Government under a thirty-year lease agreement expiring in February 2031. The lease was renegotiated in 2008 adding an additional 22.6 acres for the rental car facilities under a twenty- five year lease expiring in September 2032. The land lease agreement contains a built in rent increase of 3% for annual escalation factor. The lease has an option for renewal at the end of the current lease period. The future minimum lease payments total $9,537,095 over the life time of the lease. Lease expense for fiscal year 2013 was $368,649. 62 Packet Pg. 120  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 9 – LEASES - CONTINUED Operating Leases – Lessee - Continued 2. The Board of County Commissioners leases the land on which Water and Sewer's Water Reclamation Facility is located from the United States Government under a 30 year lease agreement expiring in September 2037. The lease agreement contains a built in rent increase of 3% for annual escalation factor. The lease has an option of renewal at the end of the current lease period. The future minimum lease payments total $11,723,180 over the life time of the lease. Lease expense for fiscal year 2013 was $358,826. 3. The Board of County Commissioners leases office space used by the Tax Collector and the Property Appraiser through September 30, 2014. The rent is based on $33,147 per month plus a proportionate amount of any annual Consumer Price Index increase beginning in year three (3). The first of three (3) one year renewals was exercised in 2012. Based on assumed increases of 3%, future minimum lease payments total $1,726,335. Lease expenditure for fiscal year 2013 was $515,235. 4. The Board of County Commissioners leases eight Volvo G930 Motor Graders used by public works department for the Board through January 2014. The two three (3) year leases are based on monthly payments of $6,790 at 4.31% interest with a balloon payment of $480,000 in June 2013 and $6,249 with a balloon payment of $483,232 in January 2015. Future lease payments total $18,746 for the remaining term of the lease. Lease expenditure for fiscal year 2013 was $129,306. 5. The Board of County Commissioners leases 10 Airport fleet vehicles from Enterprise Leasing under a lease agreement expiring 24 months from the date of delivery. The lease rates range from $297 to $430 per vehicle per month with future minimum lease payment of $37,258. Lease expenditure for fiscal year 2013 was $45,681. 6. The Clerk of Circuit Court leases copier equipment under a non-cancelable operating lease effective for 48 months. Monthly payments under the lease are $4,414. Future minimum lease payments for the equipment lease total $13,242 through December 2013. Lease expenditure for the fiscal year ended September 30, 2013 was $53,535. 7. The Clerk of Circuit Court leases postal equipment for the Crestview office under a non-cancelable operating lease effective for 48 months. Monthly payments under the lease are $596. Future minimum lease payments for the equipment lease totals $1,788 through December 2013. Total lease expenditure for fiscal year ended September 30, 2013 was $7,152. 8. The Clerk of Circuit Court leases postal equipment for the Shalimar office under a non-cancelable operating lease effective for 60 months. Monthly payments under the lease are $410. Future minimum lease payments for the equipment lease totals $6,150 through December 2015. Total lease expenditure for fiscal year ended September 30, 2013 was $4,920. 9. The Clerk of Circuit Court leases postal equipment for the Shalimar office under a non-cancelable operating lease effective for 5 years. Monthly payments under the lease are $90. Future minimum lease payments for the equipment lease totals $3,240 through September 2016. Total lease expenditure for fiscal year ended September 30, 2013 was $1,080. 10. The Sheriff rents office space under an operating lease which expires in December, 2012. Monthly lease payments are $10,500. The lease expenditure for fiscal year ended September 30, 2013 was $132418. The Sheriff has continued to lease the space under the same rate in 2013. No formal renewal noted. 63 Packet Pg. 121  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 9 – LEASES - CONTINUED Operating Leases – Lessee - Continued 11. The Tax Collector rents office space for a decentralized location to accommodate residents in a certain area of the County. The twenty-year lease expires in 2025. As of October 1, 2013, the yearly rental is $234,031 with minimum lease payments for years 2014 through 2025 of $3,523,333. Total lease expenditure for fiscal year ended September 30, 2013 was $242,279. Total lease expenditure/expense for material operating leases in which the County is the lessee for fiscal year ended September 30, 2013 amounted to $1,859,081. Future minimum lease payments for these leases are as follows: Fiscal Year Ended September 30 2014 $ 1,493,001 2015 1,444,436 2016 1,482,736 2017 1,522,297 2018 1,102,957 2019-2023 5,967,934 2024-2028 5,708,340 2029-2033 5,038,391 2034-2038 2,830,275 $ 26,590,367 NOTE 10 – LONG-TERM DEBT Primary Government The following debt issues are outstanding for September 30, 2013. Governmental Activities: REVENUE BONDS $26,615,000 Sales Tax Revenue Bonds, Series 2009, serial and term bonds with stated interest rates ranging from 3.0 percent to 6.375 percent compounded semi-annually through October 1, 2039; issued in denominations of $5,000 maturity value due in annual installments of $315,000 to $1,495,000 from October 1, 2011 through October 1, 2039. Sales tax revenues along with any direct federal subsidy payments received with respect to the Taxable Series 2009B Bonds (Direct Payment Build America Bonds) are pledged for payment of the bonds. Proceeds of the bonds are being used to finance the construction of a new judicial center complex in the County. This issue is subject to federal arbitrage regulations. $25,725,000 64 Packet Pg. 122  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 10 – LONG-TERM DEBT - CONTINUED Primary Government - Continued Governmental Activities - Continued: REVENUE BONDS - CONTINUED $3,600,000 Capital improvement Revenue Bond, Series 2011, serial bonds with stated interest rate of 3.72 percent compounded semi-annually through October 1, 2030; issued in denominations of $5,000 maturity value due in annual installments of $133,000 to $259,000 from October 1, 2012 through October 1, 2030. General governmental revenues are pledged for the payment of the bonds. Proceeds of the bonds have been used to finance the purchase of the Newman C. Brackin Building to be used for office space. This issue is subject to federal arbitrage regulations. 3,467,000 Total Governmental Activities Revenue Bonds 29,192,000 LOANS AND NOTES $5,000,000 Private Bank Loan from Hancock Bank with fixed interest rate of 1.79 percent compounded semi-annually through October 1, 2020; principal due in annual installments of $591,000 and $664,000 from October 1, 2013 to October 1, 2020. The loan finances the County's portion of a joint beach renourishment project with the City of Destin and is payable from a special assessment levied for beach renourishment as well as Tourist Development taxes. 5,000,000 Total Governmental Activities Loans and Notes $ 5,000,000 Business-type Activities: REVENUE BONDS Airport $10,860,000 Airport Revenue Bonds, Series 2003, serial and term bonds with stated interest rates ranging from 2.4 percent to 6.0 percent compounded semi-annually through October 1, 2030; issued in denominations of $5,000 maturity value due in annual installments of $225,000 to $750,000 from October 1, 2003 through October 1, 2030. Net revenues derived from the operation of the Airport System and the Passenger Facility Charges imposed per enplaned passenger at the Northwest Florida Regional Airport are pledged for payment of the bonds. Proceeds from the bonds were used to finance a portion of the cost of the Terminal Development Program and to repay a commercial paper loan that provided partial temporary financing for the project. This issue is subject to federal arbitrage regulations. $8,845,000 $9,980,000 Taxable Airport Revenue Bonds, Series 2007, term bonds with stated interest rates ranging from 6.0 percent to 7.0 percent compounded semi-annually through October 1, 2030; issued in denominations of $5,000 maturity value due in annual installments of $220,000 to $830,000 from October 1, 2009 through October 1, 2030. Net revenue derived from the operation of the Airport System and the Customer Facility Charges imposed per rental car transaction day at the Northwest Florida Regional Airport are pledged for payment of the bonds. Proceeds from the bonds were used to finance a portion of the cost of the East Side Development Program. This issue is not subject to federal arbitrage regulations 9,015,000 65 Packet Pg. 123  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 10 – LONG-TERM DEBT - CONTINUED Primary Government - Continued Business-type Activities - Continued: REVENUE BONDS - CONTINUED Convention Center $13,450,000 Fourth Cent Tourist Development Tax Revenue Bonds, Series 2000, serial and term bonds with stated interest rates ranging from 4.6 percent to 5.75 percent compounded semi-annually through October 1, 2030; issued in denominations of $5,000 maturity value due in annual installments of $215,000 to $940,000 from October 1, 2003 through October 1, 2030. The Bonds are subject to special mandatory redemption on October 1 of each year, commencing October 1, 2010, in inverse order of maturities and by lot within a maturity at the redemption price of par plus accrued interest to the redemption date plus applicable redemption premiums. Fourth Cent Tourist Development Tax monies are pledged for payment of these special obligation revenue bonds. Proceeds from the bonds were used to finance the costs of acquisition and construction of the Okaloosa County Conference Center. This issue is subject to federal arbitrage regulations. 155,000 Water and Sewer The following parity bonds are secured by a pledge of the net revenues from the operation of the water and sewer system. $650,000 Subordinated Revenue Bond, Series 1985, term bond due in semi-annual installments of $34,338 beginning July 1, 1985 through January 2, 2015; interest at 10.0 percent per annum. Proceeds from the bonds were used to finance constructing and acquiring additions, extensions and improvements to the County Water and Sewer System. 93,512 $31,170,000 Water and Sewer Revenue Bonds, Series 2004, due in annual installments of $300,000 to $3,680,000 through July 1, 2016; interest ranging from 1.017 percent to 3.61 percent per annum. Proceeds from the bond were used to refund Water and Sewer Revenue Refunding Bonds, Series 1993 and Water and Sewer Refunding Revenue Bonds, Series 1998 as well as constructing and acquiring additions, extensions and improvements to the County Water and Sewer System. This issue is subject to federal arbitrage regulations. 8,530,000 $65,150,000 Water and Sewer Revenue Bonds, Series 2006, beginning July 1, 2016, due in annual installments of $525,000 to $4,500,000 through July 1, 2036; interest ranging from 4.00 percent to 5.00 percent per annum. Proceeds from the bond were used to refund Water and Sewer Revenue Bonds, Series 1992 as well as construct the Arbennie Pritchett Water Reclamation Facility. This issue is subject to federal arbitrage regulations. 60,875,000 Total Business-type Revenue Bonds $ 87,513,512 The following loans from the State of Florida were obtained for construction of extensions and improvements to the County sewer system. Water and Sewer revenue net of operating costs and debt service are pledged for repayment of these loans. LOANS - STATE OF FLORIDA $1,458,000 State of Florida Department of Environmental Protection Revolving Loan Fund; semi-annual payments of $46,776 including interest at 2.59% and 3.24% beginning December 30, 1994 through June 30, 2014. $ 91,698 66 Packet Pg. 124  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 10 – LONG-TERM DEBT – CONTINUED Primary Government – Continued Business-type Activities - Continued: LOANS - STATE OF FLORIDA - CONTINUED $729,744 State of Florida Department of Environmental Protection Revolving Loan Fund; semi-annual payments including capitalized interest of $22,230 at 2.59% beginning October 10, 1995 through April 10, 2015. 86,112 $1,949,795 State of Florida Department of Environmental Protection Revolving Loan Fund; semi-annual payments including capitalized interest of $74,622 at 3.28% and 2.63% beginning April 1, 1997 reducing to $58,007 beginning April 1, 2001 through October 1, 2016. 382,523 $1,768,312 State of Florida Department of Environmental Protection Revolving Loan Fund; semi-annual payments including capitalized interest of $59,870 at 2.63% and 2.99% beginning September 15, 1999 reducing to $56,219 beginning September 15, 1999 through March 15, 2017. 372,958 $351,895 State of Florida Department of Environmental Protection Revolving Loan Fund; semi-annual payments including capitalized interest of $23,204 at 3.18% beginning February 15, 2000 reducing to $11,073 beginning February 15, 2001 through August 15, 2019. 120,105 $8,168,888 State of Florida Department of Environmental Protection Revolving Loan Fund; semi-annual payments including capitalized interest of $291,598 at 2.71% and 3.00% beginning June 15, 2007 reducing to $263,938 beginning December 15, 2008 through December 15, 2023. 5,909,997 Total Loans - State of Florida 6,963,393 OTHER LOANS $2,000,000 Commercial Paper Loan from the Florida Local Government Finance Commission Pooled Commercial Paper Loan Program; interest and fee payments are made monthly beginning July 1, 2008; the entire principal balance of the loan is due on December 5, 2017. The loan finances construction at Northwest Florida Regional Airport and Bob Sikes Airport and is payable from net revenues of the Airport. $ 2,000,000 $819,000 State Infrastructure Bank Loan; annual principal and interest payments of $132,500 beginning October 1, 2012 through October 1, 2018; The loan finances the purchase of property to provide direct highway access for the Bob Sikes Airport in Crestview; the debt service on the loan is payable from net revenues of the Airport. 711,209 $3,000,000 State Infrastructure Bank Loan; annual principal and interest payments of $351,692 beginning October 1, 2012 through October 1, 2021; The loan finances the construction of infrastructure improvements at the Bob Sikes Airport in Crestview; The debt service on the loan is payable from the net revenues of the Airport. 2,492,112 $15,605,000 Water and Sewer Revenue Note, Series 2012, due in annual installments beginning July 1, 2014 of $50,000 to $1,685,000 through July 1, 2026; interest rate of 3.17%. Proceeds from the note will be used to fund several major projects on the five years Capital Improvement Plan and debt service reserves for the 2004 and 2006 Revenue Bonds. This issue is subject to federal arbitrage regulations. 15,365,000 Total Buisness-type Loans and Notes $ 27,531,714 67 Packet Pg. 125  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 10 – LONG-TERM DEBT – CONTINUED Primary Government – Continued The following is a summary of the changes in long-term debt of the Board of County Commissioners for the fiscal year ended September 30, 2013. Balance Due Balance Due October September Due Within 1. 2012 Increases Decreases 30, 2013 One Year Governmental Activities: Revenue Bonds Sales Tax Revenue Bonds, Series 2009 $ 26,305,000 $ - $ (580,000) $ 25,725,000 600,000 Series 2011 3,600,000 - (133,000) 3,467,000 138,000 Less deferred amounts For issuance discounts/premiums (751,802) - 70,005 (681,797) - Total Revenue Bonds 29,153,198 - (642,995) 28,510,203 738,000 Loans and Notes Private bank note - 5,000,000 - 5,000,000 591,000 Less deferred amounts For issuance discounts/premiums - (39,038) 12,431 (26,607) - - 4,960,962 12,431 4,973,393 591,000 Accrued compensated absences 5,584,262 509,336 (450,506) 5,643,092 3,312,560 Estimated claims payable 6,631,500 490,362 (1,968,050) 5,153,812 2,540,030 Other post employment benefits 4,198,954 605,188 (313,680) 4,490,462 - Total Governmental Activities $ 45,567,914 $ 6,565,848 $ (3,362,800) $ 48,770,962 $ 7,181,590 Business-type Activities: Revenue Bonds Airport Revenue Bonds, Series 2003 $ 9,130,000 $ - $ (285,000) $ 8,845,000 $ 300,000 Airport Taxable Revenue Bonds, Series 2007 9,280,000 - (265,000) 9,015,000 275,000 Fourth Cent Tourist Development Tax Revenue Bonds, Series 2000 1,685,000 - (1,530,000) 155,000 155,000 Subordinated Revenue Bonds, Series 1985 148,667 - (55,155) 93,512 60,809 Water and Sewer Revenue, Series 2004 11,925,000 - (3,395,000) 8,530,000 3,535,000 Water and Sewer Revenue, Series 2006 60,875,000 - - 60,875,000 - Less deferred amounts For issuance discounts/premiums (626,622) (94,180) 200,275 (520,527) - Total Revenue Bonds 92,417,045 (94,180) (5,329,880) 86,992,985 4,325,809 68 Packet Pg. 126  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 10 – LONG-TERM DEBT – CONTINUED Primary Government – Continued Balance Due Balance Due October September Due Within 1. 2012 Increases Decreases 30, 2013 One Year Business-type Activities - Continued: Loans and Notes State of Florida Revolving Loan Fund, December 30, 1994 through June 30, 2014 180,950 - (89,252) 91,698 91,698 State of Florida Revolving Loan Fund, October 10, 1995 through April 10, 2015 127,534 - (41,422) 86,112 42,502 State of Florida Revolving Loan Fund, April 1, 2001 through October 1, 2016 484,625 - (102,102) 382,523 105,217 State of Florida Revolving Loan Fund, September 15, 1999 through March 15, 2017 473,195 - (100,237) 372,958 102,983 State of Florida Revolving Loan Fund, February 15, 2001 through August 15, 2019 138,004 - (17,899) 120,105 18,472 State of Florida Revolving Loan Fund, beginning June 15, 2007 through December 15, 2023 6,266,466 - (356,469) 5,909,997 366,423 Commercial Paper Loan 2,000,000 - - 2,000,000 - State Infrastructure Bank Loan 819,000 - (107,791) 711,209 111,164 State Infrastructure Bank Loan 2,766,407 36,844 (311,139) 2,492,112 271,026 Water and Sewer Revenue Note, Series 2012 15,365,000 - - 15,365,000 50,000 Less deferred amounts For issuance discounts (162,247) - 17,871 (144,376) - Total Loans and Notes 28,458,934 36,844 (1,108,440) 27,387,338 1,159,485 Accrued compensated absences 1,721,251 50,537 (59,539) 1,712,249 972,808 Estimated closure costs payable 3,579,314 - (178,106) 3,401,208 249,692 Other post employment benefits 264,318 107,935 (87,267) 284,986 - Total Business-type Activities $ 126,440,862 $ 101,136 $ (6,763,232) $ 119,778,766 $ 6,707,794 Internal service funds predominantly serve the governmental funds. Accordingly, long-term liabilities for them are included as part of the above totals for governmental activities. At year-end, $1,822,087 of internal service funds compensated absences, $5,153,812 of estimated claims, and $3,847,009 of other post-employment benefits are included in the above amounts. Compensated absences and other post-employment benefits are liquidated in the general and other governmental funds. Claims liabilities are liquidated in the internal service fund. 69 Packet Pg. 127  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 10 – LONG-TERM DEBT – CONTINUED Primary Government – Continued Debt service requirements to maturity on long-term debt at September 30, 2013 are as follows. Governmental Activities Revenue Bonds Loans and Notes Principal Interest Principal Interest Year Ending September 30, 2014 738,000 1,554,662 591,000 84,211 2015 758,000 1,530,913 597,000 73,578 2016 784,000 1,506,671 608,000 62,793 2017 809,000 1,472,805 618,000 51,821 2018 835,000 1,436,509 629,000 40,660 2019-2023 4,581,000 6,560,860 1,957,000 52,957 2024-2028 5,412,000 5,312,530 - - 2029-2033 5,975,000 3,668,793 - - 2034-2038 6,370,000 1,777,419 - - 2039-2040 2,930,000 95,306 - - $ 29,192,000 $ 24,916,468 $ 5,000,000 $ 366,020 Business-type Activities Revenue Bonds Loans and Notes Landfill ClosureCosts Principal Interest Principal Interest Principal Interest Year Ending September 30, 2014 4,325,809 4,207,220 1,159,486 782,477 249,692 - 2015 4,322,703 4,052,841 1,337,221 749,593 249,692 - 2016 2,490,000 3,888,895 1,377,760 710,400 249,692 - 2017 2,590,000 3,781,994 2,218,535 669,463 249,692 2018 2,705,000 3,663,370 4,170,224 600,137 249,692 2019-2023 15,690,000 16,109,969 10,624,350 1,980,322 1,248,460 - 2024-2028 20,180,000 11,512,406 6,644,138 412,098 773,368 - 2029-2033 22,345,000 6,057,081 - - 130,920 - 2034-2038 12,865,000 1,307,500 - - - - $ 87,513,512 $ 54,581,276 $ 27,531,714 $ 5,904,490 $ 3,401,208 $ - NOTE 11 - CONDUIT DEBT Since 1984, the Okaloosa County has authorized eight industrial development revenue bond issues that are still outstanding. The original issues totaled $55,814,025 and as of September 30, 2013, $33,594,025 was the principal liability. These bonds do not constitute an indebtedness of the County and are not a charge against its general credit or taxing powers. The bonds are payable solely from revenues of the respective industries to which these bond proceeds were remitted. 70 Packet Pg. 128  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 12 - FUND BALANCES/RESTRICTED BALANCE A schedule of the governmental fund balances for September 30, 2013 is provided below. Major Funds General County Tourist Capital Fund Transportation Development Outlay Other Total Fund Balnces: Nonspendable: Prepaids $ 346,136 $ 21,380 $ 8,798 $ - $ 59,316 $ 435,630 Restricted for: Tourist Development BP Projects - - 596,590 - - 596,590 Tourist Development 1st Cent - - 8,514,141 - - 8,514,141 Tourist Development 2nd Cent - - 2,223,259 - - 2,223,259 Tourist Development 5th Cent - - 2,995,347 - - 2,995,347 Florida Boating Improvements - - - 589,960 - 589,960 Emergency and Disaster Relief - - - - 518,694 518,694 Housing and Urban Development - - - - 306,925 306,925 E-911 Operations - - - - 1,439,283 1,439,283 Radio Communications - - - - 81,219 81,219 Law Enforcement Trust Fund - - - - 21,866 21,866 Police Academy - - - - 48,233 48,233 Park Projects - - - - 4,770,768 4,770,768 Prisoner Benefit Fund - - - - 511,170 511,170 Judicial Innovations - - - - 515,452 515,452 Law Library - - - - 15,658 15,658 Teen Court - - - - 85,980 85,980 Drug Abuse Trust Fund - - - - 40,466 40,466 Domestic Violence Trust Fund - - - - 245,818 245,818 Family Mediation - - - - 5,255 5,255 Traffic Education - - - - 100,027 100,027 Public Records - - - - 2,548,667 2,548,667 Debt Service - - - - 463,354 463,354 Transportation Projects - - - - 11,039,403 11,039,403 Committed to: Planning Projects 26,808 - - - - 26,808 Park Development Projects - - - 71,660 - 71,660 Municipal Benefits Service Units - - - - 490,939 490,939 Assigned to: Capital Projects - - - 2,764,590 - 2,764,590 Transportation Projects - 171,518 - - - 171,518 Emergency and Disaster Relief - - - - 164,705 164,705 Health Department - - - - 3,168 3,168 Unassigned: Unassigned 6,595,043 - (8,798) - (59,316) 6,526,929 Total Fund Balances $ 6,967,987 $ 192,898 $ 14,329,337 $ 3,426,210 $ 23,417,050 $ 48,333,482 The proprietary fund balance sheet contains the line item “Net Assets Restricted for Other Purposes”. Following is a list of the detail balances contained in that line item for September 30, 2013. Fund Amount Purpose Airport Enterprise Fund $ 6,986,254 Passenger Facility Charges Program Airport Enterprise Fund 2,227,639 Customer Facility Charges Program Convention Center Enterprise Fund 7,673,873 Tourist Development Tax Total Net Assets Restricted for Other Purposes $ 16,887,766 71 Packet Pg. 129  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 13 – ENCUMBRANCES The amount of encumbrances outstanding as of September 30, 2013, is as follows: Amount Governmental Funds General Fund $ 22,678 County Transportation Trust 23,926 Tourist Development 1,825 Other Governmental 45,775 Total $ 94,204 Encumbrances at year end do not constitute expenditures or liabilities; therefore, they are not reflected in the financial statements. NOTE 14 - PENSION PLAN Florida Retirement System Plan Description Okaloosa County contributes to the Florida Retirement System (FRS), a cost-sharing multiple-employer defined benefit pension plan administered by the State of Florida Division of Retirement, Department of Management Services. The FRS provides retirement, disability or death benefits to plan members or their designated beneficiaries. Florida Statutes Chapter 121 provides the authority under which benefit provisions are established. The provisions may only be amended by legislative action. Beginning in 2002, a defined contribution plan alternative to the existing defined benefit plan known as the Public Employee Optional Retirement Program or the FRS Investment Plan became available to FRS members. Members in either plan who have reached normal retirement age may retire and continue employment with the County for up to 60 months. During that period the member’s retirement benefits accumulate in the FRS Trust Fund increased by a cost-of-living adjustment each July and earned interest at an annual rate of 6.5%. The FRS issues a publicly available financial report that includes financial statements and required supplementary information. That report may be obtained on the State of Florida Department of Management Services website at www.dms.myflorida.com. FRS Plan Changes Effective July 1, 2011, the Florida Legislature passed Senate Bill 2100 that made substantive changes to the Florida Retirement System (FRS). The new Bill requires all FRS Investment and Pension Plan members (except those in Deferred Retirement Option Program, DROP) to now pay a 3% employee contribution, on a pretax basis, beginning on or after July 1, 2011. Cost of living adjustments (COLA) on or after July 1, 2011 are not automatic at 3%, but based on total years of service earned prior to July 1, 2011 to total years of service at retirement, multiplied by 3%. New members enrolling into FRS for the first time after July 1, 2011 will be subject to additional changes including 1) an increased vesting period from 6 years to 8 years, 2) a change calculation of benefits using Average Final Compensation (AFC) on the highest eight years of compensation as compared to highest five years. In addition, the normal retirement date for Regular, Senior Management Service, Elected Officers’, and Special Risk Administrative Support Classes was modified to be age 65, with 8 years of service or 33 years of service regardless of age. Normal retirement for Special Risk Class members now at age 60, with 8 years of service, or 30 years of special risk class service or age 57, with 30 years of combined special risk class service and military service. For those members participating in the DROP program, the Legislature reduced the annual interest rate used for benefits from 6.5% to 1.3%. The funding policy relative to the FRS plan is disclosed below. 72 Packet Pg. 130  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 14 - PENSION PLAN - CONTINUED Funding Policy Contribution requirements of the plan are established in Florida Statutes Chapter 121 and may only be amended by legislative action. Effective July 1, 2011, the Florida Legislature passed Senate Bill 2100 requiring all employee members to contribute 3% to the Plan. Formerly, only employers were required to contribute to the FRS Plan. The FRS funding policy now provides for monthly employer and employee contributions at actuarially determined rates that, expressed as percentages of annual covered payroll are adequate to accumulate sufficient assets to pay benefits when due. Level percentages of payroll employer contribution rates, established by state law, are determined using the entry-age actuarial funding method. If an unfunded actuarial liability re-emerges as a result of future plan benefit changes, assumption changes, or methodology changes, it is assumed any unfunded actuarial liability would be amortized over 30 years, using level dollar amounts. Except for gains reserved for rate stabilization, it is anticipated future actuarial gains and losses are amortized on a rolling 10% basis, as a level dollar amount. In July 2002, the Florida Legislature established a uniform contribution rate system for the FRS, which remained in effect with the passage of Senate Bill 2100. The uniform contribution system covers both the FRS Pension Plan and the FRS Investment Plan. Employers and employees contribute a percentage of the total payroll for each class of FRS membership. The current actuarially determined contribution rates expressed as a percentage of covered payrolls are for regular employees 6.95%, special risk employees 19.06%, special risk administrative support 35.96%, elected judges 28.28%, elected county officers 33.03%, senior management service class 18.31%, and 12.84% for the Deferred Retirement Option Program (DROP). The County’s contributions to the plan for the years ended September 30, 2013, 2012, and 2011, listed below were equal to the required contributions for the year. Years Ended September 30, Elected Officials 2013 2012 2011 Board of County Commissioners $ 2,754,506 $ $ 2,297,942 $ $ 3,898,716 Clerk of the Circuit Court 366,186 325,565 450,543 Sheriff 2,153,332 2,017,147 2,887,232 Tax Collector 291,150 241,744 351,338 Property Appraiser 113,642 92,366 161,656 Supervisor of Elections 52,022 40,678 72,291 Total Contributions $ 5,730,838 $ 5,015,442 $ 7,821,776 1 Effective July 1, 2013, the Florida Legislature passed Senate Bill 1810 that sets the employer-paid contribution rates for both FRS and HIS system. The employer-paid contribution rate to pay the normal costs and amortization of the unfunded actuarial liability of the FRS increased. The established rates are based on the rates recommended in the “Blended Rate Study” associated with the 2012 Actuarial Valuation of the FRS. The “Blended Rate Study” covers a thirty-year period, with rates adjusted annually. The contributions will be deposited into the FRS Trust Fund to fund retirement benefits to members participating in the FRS. 73 Packet Pg. 131  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 14 - PENSION PLAN - CONTINUED Health Insurance Subsidy – Continued Health Insurance Subsidy Plan Description The Board of County Commissioners contributes to the Florida Retirement System Health Insurance Subsidy (FRSHIS), a cost-sharing multiple-employer defined benefit pension plan administered by the State of Florida Division of Retirement, Department of Management Services. Florida Statutes provides the authority under which benefit provisions are established. The provisions may only be amended by legislative action. The FRS issues a publicly available financial report that includes financial statements and required supplementary information. That report may be obtained on the State of Florida Department of Management Services website at www.dms.myflorida.com. The FRS provides assistance to retirees of all state-administered retirement systems in paying health insurance costs. Eligible retirees received an extra $5 per month for each year of creditable service completed at the time of retirement with a minimum monthly payment of $30 and a maximum payment of $150. To be eligible to receive the Health Insurance Subsidy (HIS), a retiree under any state-administered retirement must provide proof of health insurance coverage, which can include Medicare. Any spouse or financial dependent who receives a monthly retirement benefit may also receive the HIS. Funding Policy The HIS program is funded by required contributions from FRS participating employers. According to the FRS actuarial valuation of HIS completed July 1, 2012, the unfunded actuarial liability of the HIS program was $8.8 billion. The annual required contribution (ARC) calculated in July, 2012, for the fiscal year ending June 30, 2013 is 1.71% of active payroll. Effective July 1, 2013, with the passage of Senate Bill 1810, the employer-paid contribution rate for the HIS program increased from 1.11% of the employer’s payroll to 1.20% of the employer’s payroll. This contribution is added to the amount submitted for retirement contributions but is deposited in a separate trust fund (The Retiree Health Insurance Subsidy Trust Fund) from which Health Insurance Subsidy payments are authorized. If these contributions fail to provide full subsidy benefits to all participants, the subsidy payments may be reduced or canceled. NOTE 15 - POSTEMPLOYMENT BENEFITS Board of County Commissioners Plan Description In addition to providing the pension benefits described, the Board of County Commissioners and all other elected officials except for the Sheriff (County) provides post-employment health care and dental insurance benefits (OPEB) for eligible retired employees and their spouses through a single-employer defined benefit plan administered by Blue Cross Blue Shield of Florida (BCBSFL). Pursuant to the provision of Section 112.0801, Florida Statues, employees who retire from the County and eligible dependents, may continue to participate in the group insurance plan. Retirees and their eligible dependents shall be offered the same health and hospitalization insurance coverage as is offered to active employees at a premium cost of no more than the premium cost applicable to active employees. The County subsidizes the premium rates paid by the retirees by allowing them to participate in the plan at blended group (implicitly subsidized) premium rates for both active and retired employees. These rates provide an implicit subsidy for retirees because, on an actuarial basis, their current and future claims are expected to result in higher costs to the plan on average than those of active employees. Benefits, benefit levels, employee contributions and employer contributions are governed and amended through its personnel manual by the County’s Self Insurance Fund with approval by the Board. The plan does not issue a separate report. 74 Packet Pg. 132  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 15 - POSTEMPLOYMENT BENEFITS - CONTINUED Board of County Commissioners - Continued Benefits Provided The County provides post-employment health care and dental benefits to its retirees. To be eligible for benefits an employee must retire under the County’s retirement plan and must have been covered under the medical plan as an active employee immediately prior to retirement. Elected officials are not eligible for benefits if they qualify for retirement. All health care benefits are provided through the County’s health care provider, BCBSFL. The benefit levels are the same as those afforded to active employees. Benefits include general inpatient and outpatient medical services; dental care; and prescriptions. Upon a retiree reaching age 65 years of age, Medicare becomes the primary insurer and the County’s plan becomes secondary. Membership At September 30, 2013, membership consisted of: Retirees and Beneficiaries Currently Receiving Benefits 50 Terminated Employees Entitled to Benefits But Not Yet Receiving Them - Active Employees 736 Total 786 Participating Employers 1 Funding Policy The County contracted Insurance Broker negotiates the premium rates with BCBSFL. The County has not advance-funded or established a funding methodology for the annual OPEB costs or the net OPBE obligation. Rather, the required contribution is based on pay-as-you-go financing requirements. Retirees and beneficiaries currently receiving benefits are required to contribute 100% of their current premium costs which for fiscal year 2013 was $484,392. The County contributes the remainder to cover the costs of providing the benefits to the retirees via the insured plan. Active employees do not contribute to the plan until retirement. Annual OPEB Costs and Net OPEB Obligation The County annual OPEB cost (expense) is calculated based on the annual required contribution of the employer (ARC) amount actuarially determined in accordance with the parameters of GASB Statement 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial liabilities (or funding excess) over a closed period not to exceed 30 years. The following shows the components of the County’s net OPEB obligation: 75 Packet Pg. 133  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 15 – POST EMPLOYMENT BENEFITS – CONTINUED Board of County Commissioners – Continued Annual OPEB Costs and Net OPEB Obligation – Continued Annual Required Contribution $ 375,103 Interest on Prior Year Net OPEB Obligation 35,152 Adjustment to Annual Required Contribution (50,821) Annual OPEB Costs 359,434 Estimated Employer Contributions made (290,614) Increase (Decrease) in Net OPEB Obligation 68,820 Net OPEB Obligation , Beginning of Year 878,801 Estimated Net OPEB Obligation, End of Year $ 947,621 The County first had an actuarial valuation performed for the plan as of September 30, 2013 to determine the employer’s ARC for the fiscal year ended September 30, 2013. The County’s annual OPEB cost (expense) of $290,143 was equal to the ARC for the fiscal year, as the transition liability was set at zero as of October 31, 2007. The County’s annual OPEB cost, the percentage of annual OPEB cost contributed to the plan and the net OPEB obligation for 2013 and the prior two (2) years were as follows: Percentage of UAAL as a Fiscal Annual OPEB Cost Net OPEB Annual Covered Percentage of Year Ended OPEB Costs Contributed Obligation Payroll Covered Payroll 9/30/2011 $ 401,963 45.28% $ 828,569 $ 31,547,282 11.40% 9/30/2012 $ 354,810 85.90% $ 878,801 $ 31,617,251 12.00% 9/30/2013 $ 359,434 80.90% $ 947,621 $ 31,108,775 12.20% Funded Status and Funding Progress As of September 30, 2013, the most recent actuarial valuation date, the plan was 0% funded. The actuarial accrued liability (AAL) for benefits was $3,788,681 and the actuarial value of assets was $0, resulting in an unfunded actuarial accrued liability (UAAL) of $3,788,681. Actuarial valuation of an ongoing plan involves estimates of the value of reported amounts and assumptions about the probability of occurrence of events far into the future. Examples include assumptions about future employment, mortality, and the healthcare cost trend. Amounts determined regarding the funded status of the plan and the ARCs of the employer are subject to continual revision as actual results are compared with past expectations and new estimates are made about the future. The schedule of funding progress, presented as required supplementary information following the notes to financial statements in the government-wide financial statements of Okaloosa County, Florida, presents multi-year trend information that shows whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits. Actuarial methods and Assumptions Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employer and the plan members) and include the types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between the employer and plan members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce the effects of short-term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long-term perspective of the calculations. 76 Packet Pg. 134  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 15 – POST EMPLOYMENT BENEFITS – CONTINUED Board of County Commissioners – Continued Actuarial methods and Assumptions – Continued In the September 30, 2013, actuarial valuation, the projected unit credit actuarial cost method was used. The actuarial assumptions included a 4.0% investment rate of return, which is a blended rate of the expected long-term investment returns on the employer’s own investments calculated based on the funded level of the plan at the valuation date, and an annual healthcare cost trend rate of 6.1% initially, reduced by decrements to an ultimate rate of 4.7% in 2082. The Unfunded Actuarial Liability (UAAL) is being amortized using an open amortization period of 30 level annual payments. The remaining amortization period at September 30, 2013, was 24 years. Sheriff Background Certain Other Post Employment Benefits (OPEB) are available to all employees eligible for disability, early or normal retirement after terminating employment with Okaloosa County Sheriff’s Office (OCSO). The OPEB benefits include lifetime coverage for the retiree and dependents in the medical/prescription plans as well as participation in the dental group plan sponsored by the Sheriff’s Office for employees. Beginning in fiscal year 2008, the Sheriff implemented Governmental Accounting Standards Board (GASB) Statement No. 45 for the OPEB offered to retirees. This standard addresses how local governments should account for and report their costs related to post-employment health care and other non-pension benefits, such as the Sheriff’s retiree health benefit subsidy. Historically, the Sheriff’s subsidy was funded on a pay- as-you-go basis but GASB 45 requires the Sheriff to accrue the cost of the retiree health subsidy and other post-employment benefits during the period of employees’ active employment, while the benefits are being earned, and disclose the unfunded actuarial accrued liability in order to accurately account for the total future cost of post-employment benefits and the financial impact on the Sheriff. Plan Description The OCSO administers a single-employer defined benefit healthcare plan (“the Plan”). The Plan provides healthcare insurance for eligible retirees and their spouses through the Sheriff’s group health insurance plan, which covers both active and retired members. Employer contribution rates for retirees vary based on the type of retirement, years of service, and type of coverage. The Plan does not issue a publicly available financial report but OPEB expenses are reflected in the Sheriff’s internal service fund within the County’s Comprehensive Annual Financial Report (CAFR). Benefits Provided Eligible retirees may choose among the same medical plan options available for active employees of the employer. Dependents of retirees may be covered, at the retiree’s option, the same as dependents of active employees. Prescription drug coverage is automatically extended to retirees and their dependents who continue coverage under any one of the medical plan options. Covered retirees and their dependents are subject to all the same medical and prescription benefits and rules for coverage as are active employees. Retirees and their dependents are eligible to participate in the employer-sponsored dental plans. Retirees may elect any combination of plans (i.e. only dental, medical/prescription, etc.). Retirees and their dependents that are over age 65 must enroll for Parts A and B under Medicare in order to remain covered under the program. All post-65 medical coverage is secondary to Medicare. 77 Packet Pg. 135  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 15 – POST EMPLOYMENT BENEFITS – CONTINUED Sheriff – Continued Membership At September 30, 2012, membership consisted of: Retirees and Beneficiaries Currently Receiving Benefits 35 Terminated Employees Entitled to Benefits But Not Yet Receiving Them - Active Employees 340 Total 375 Participating Employers 1 Funding Policy Retirees and beneficiaries currently receiving medical/prescription benefits are required to make monthly premium contributions in order to maintain their coverage. The single retiree premium is paid by the OCSO for retirees with at least 20 years of service, until the retiree reaches age 65. Effective October 1, 2010 that benefit is no longer available except to retirees that met the criteria as of September 30, 2010. Effective June 2011 the OCSO instituted a policy whereby retiring members with thirty years of service with the agency will receive a 50% premium subsidy on their retired employee coverage. This subsidy is limited to five years from their retirement date or until they reach age 65, whichever comes first. Dependent coverage is paid by the retiree. The amount of the premium contribution may change from time to time. Surviving spouses of retirees are eligible to continue coverage under the plan, but must continue to pay the full premium. However, the premiums for health coverage for surviving spouses and any dependent children of officers who had sustained catastrophic injuries or death in the line of duty are paid fully by the OCSO as prescribed by FS Sec 112.19(g) and 112.19(h)1. Annual OPEB Costs and Net OPEB Obligation The Sheriff’s annual OPEB cost (expense) is the actuarially required contribution (ARC) of the employer determined in accordance with the provisions of GASB Statement 45. The ARC represents a level of funding that, if paid on an on going basis, is projected to cover normal cost each year and amortize any unfunded actuarial liabilities (or funding excess) over a closed period not to exceed 25 years. The following shows the components of the Sheriff’s net OPEB obligation as of September 30, 2013: Annual Required Contribution $ 374,212 Interest on Prior Year Net OPEB Obligation 143,379 Adjustment to Annual Required Contribution (137,864) Annual OPEB Costs 379,727 Estimated Employer Contributions made (136,371) Increase (Decrease) in Net OPEB Obligation 243,356 Net OPEB Obligation , Beginning of Year 3,584,471 Estimated Net OPEB Obligation, End of Year $ 3,827,827 The Sheriff’s annual OPEB cost (expense) was $379,727 for the year ended September 30, 2013. The Sheriff’s annual OPEB cost, the percentage of annual OPEB cost contributed to the plan and the net OPEB obligation for 2013 and the prior two (2) years were as follows: 78 Packet Pg. 136  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 15 – POST EMPLOYMENT BENEFITS – CONTINUED Sheriff – Continued Annual OPEB Costs and Net OPEB Obligation - Continued Percentage UAAL as a Estimated of Annual Percentage Fiscal Annual Amount OPEB Cost Net OPEB Covered of Covered Year Ended OPEB Costs Contributed Contributed Obligation Payroll Payroll 9/30/2011 $334,074 $222,448 66.59% $3,341,450 $16,183,193 19.90% 9/30/2012 $360,200 $117,179 32.53% $3,584,471 $17,517,844 20.50% 9/30/2013 $379,727 $136,371 35.91% $3,827,827 $16,531,416 23.20% Funded Status and Funding Progress As of July 1, 2011, the most recent actuarial valuation date, the actuarial accrued liability of benefits of $2,873,292 was unfunded. Actuarial valuation of an ongoing plan involves estimates of the value of reported amounts and assumptions about the probability of occurrence of events far into the future. Examples include assumptions about future employment, mortality, and the healthcare cost trend. Amounts determined regarding the funded status of the plan and the ARCs of the employer are subject to continual revision as actual results are compared with past expectations and new estimates are made about the future. The schedule of funding progress, presented as required supplementary information following the notes to financial statements in the government-wide financial statements of Okaloosa County, Florida, presents multi-year trend information that shows whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits. Actuarial methods and Assumptions Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employer and the plan members) and include the types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between the employer and plan members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce the effects of short-term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long-term perspective of the calculations. In the July 1, 2011, actuarial valuation, the individual entry age normal cost method was used. The actuarial assumptions included a 4.0% investment rate of return, which is a blended rate of the expected long-term investment returns on the employer’s own investments calculated based on the funded level of the plan at the valuation date, and an annual healthcare cost trend rate of 8.5% initially, reduced by decrements to an ultimate rate of 5.5% in 2020. The Unfunded Actuarial Liability (UAAL) is being amortized assuming 30 level annual payments. The remaining amortization period at September 30, 2013, was 25 years. NOTE 16 - RISK MANAGEMENT The County is exposed to risk of loss for claims and judgments for public liability, workers’ compensation, employee medical benefits and other special risks. The County uses the Self Insurance Internal Services Fund to account for all risks from workers’ compensation loss, general liability, and medical benefit claims for all County employees except those of the Sheriff, from catastrophic damage to real and tangible property and from special risk policies for the Board. A mixture of commercial insurance coverage and self-insurance, which is described below, manages the risk to the County. There has been no significant reduction in insurance coverage from the prior fiscal year, and insurance coverage has been sufficient to cover all claims made in the prior three fiscal years. 79 Packet Pg. 137  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 16 - RISK MANAGEMENT - CONTINUED A. Method of Risk Management Public Liability Florida Statutes 768.28(5) limits the maximum County liability for claims and judgments by any one person and any one incident to $200,000 and $300,000, respectively. The County self-insures public liability claims for automobile, general and professional liability. A third party administrator manages claims. Currently, the County retains the risk for the first $100,000 ($50,000 for automobile liability, $5,000 for hired automobile physical damage) of each claim or incident. In 2013, the County elected not to renew a Stop Loss Aggregate insurance policy which covered losses over $2,200,000 ($50,000 for automobile liability, $1,000 for physical damage. The Sheriff maintains a commercial insurance policy for public liability and bears no risk of loss under this type of coverage. Property Insurance The County self-insures the risk of physical loss to its real property, business property and equipment. The County retains the risk of the first $50,000 of physical damage to County property. In the case of a named storm, the self-insurance retention changes to a 3% deductible on each structure with a minimum deductible of $100,000 on all damaged structures for a capped deductible of $5,000,000 per storm. Excess insurance is purchased to cover the physical damage exposure over the self-insured retention amount. Workers’ Compensation The County contracts with a Third Party Administrator to have its workers’ compensation claims processed. The County retains risk for all claims up to $350,000 per incident. Excess insurance is purchased to cover losses up to a statutory limit for workers’ compensation and $1,000,000 for employers’ liability. The County retains no liability for claims that have been settled by purchase of annuity contracts. The Sheriff participates in the Florida Sheriff’s Association Workers’ Compensation Program. It is a fully insured, guaranteed cost program with a deductible trust fund and insurance with a commercial carrier. The Sheriff retains no risk. Employee Medical Benefits The Board of County Commissioners and all other elected officials of Okaloosa County, except the Sheriff, use a fully insured commercial insurance plan to fund employee medical benefits. The Board of County Commissioners or elected official pays the premiums for the employees while the individual pays for dependent and retiree coverage. The County bears no risk of loss under this type of coverage. The Sheriff utilizes a self-funded health plan to provide comprehensive medical benefits to the employees, retirees and their dependents. It is funded by contributions from the Sheriff’s Office and employees. In compliance with Florida Statute, Section 112.08, an actuarial review of the Plan demonstrates that the current rate structure of the Plan plus the current net assets available for benefits appears adequate to support current outstanding claims as well as those projected claims and expenses for the next plan year. Excess insurance is purchased from a commercial carrier to provide a specific claim and aggregate limits coverage. Specific claim coverage benefits the covered individual by providing unlimited coverage to begin when a specific claim exceeds $95,000 plus an 80 Packet Pg. 138  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 16 - RISK MANAGEMENT - CONTINUED A. Method of Risk Management - Continued Employee Medical Benefits - Continued additional corridor of $125,000. Aggregate limits coverage limits the Sheriff’s total risk exposure. This coverage provides the Sheriff with an additional $1,000,000 in coverage for the coverage year when total claims paid less the total paid under the specific claim excess coverage exceeds 125% of the expected claims for the current plan year. The Sheriff uses an internal service fund to account for risks from medical benefit claims. Claim expenditures and liabilities are reported when it is probable that a loss has occurred and the amount of that loss can be reasonably estimated. At September 30, 2013, the amount of these liabilities was $658,809. This liability has been determined based on an actuarial evaluation of all claims reported and all claims incurred but not reported (IBNR) as of September 30, 2013. Claim liabilities are calculated considering the effects of inflation, recent claim settlement trends including frequency and amount of payouts and other economic and social factors. Reconciliation of Claims Liablities for Medical Benefits As of As of Okaloosa County Sheriff September 30, 2013 September 30, 2012 Unpaid claims and adjustment expenses at beginning of year $ 1,152,782 $ 654,793 Incurred claims and claim adjustment expenses A) Provision for insured events of current fiscal year 3,402,850 4,583,682 B) Increases (decreases) in provision for insured events of prior fiscal years - - Total incurred claims and claim adjustment expenses 4,555,632 5,238,475 Payments A) Claims and claim adjustment expenses attributable to insured events of current fiscal year 3,896,823 4,085,693 B) Claims and claim adjustment expenses attributable to insured events of prior fiscal year - - Total payments 3,896,823 4,085,693 Unpaid claims and claim adjustment at end of year $ 658,809 $ 1,152,782 Special Risk Policies The Board of County Commissioners purchases commercial crime coverage against theft of money and securities with a $25,000 deductible. All of the other elected officials, except the Sheriff, are covered under the policy. Florida Statute requires certain classes of employees (law enforcement) be provided with a special death and disability benefit. The Board of 81 Packet Pg. 139  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 16 - RISK MANAGEMENT - CONTINUED A. Method of Risk Management Special Risk Policies - Continued County Commissioners purchases a commercial policy. The County bears no risk of loss under this type of coverage. The Sheriff insures this exposure separately. B. Claim Liabilities for Retained Risk Claim liabilities for workers’ compensation, general liabilities (including errors and omissions), and auto liability (both bodily injury and property damage) have been determined based on an actuarial evaluation of all claims reported and all claims incurred but not reported (IBNR) as of September 30, 2013. Claim liabilities are calculated considering the effects of inflation, recent claim settlement trends including frequency and amount of payouts and other economic and social factors. The actuarial estimation of ultimate losses does not include any future recoveries from the Florida Special Disability Fund, subrogation or third party liens, etc. except to the degree they are implicitly included in the trending process of estimating ultimate losses. The ultimate loss calculation does take into consideration specific excess reinsurance recoverable. Claims liabilities recognized in the Self Insurance Fund of the Board of County Commissioners at September 30, 2013 were as follows: Current Long-term Total Workers' compensation $ 1,133,245 $ 1,414,985 $ 2,548,230 General liability 691,516 1,192,005 1,883,521 Auto liability 15,284 6,792 22,076 Property 41,176 - 41,176 Total claims liability recognized $ 1,881,221 $ 2,613,782 $ 4,495,003 C. Funding of Claims Liabilities The Self Insurance Fund charges the other funds of the Board and other participating elected officials for the cost of claim liabilities based on actuarially projected budget requirements for expected yearly cash payouts. This funding method results in a deficit fund balance that will be charged back to the other funds over a reasonable period of time so that service fund revenues and expenses will be approximately equal. 82 Packet Pg. 140  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 16 - RISK MANAGEMENT - CONTINUED D. Reconciliation of Claims Liabilities As of September 30, 2013 As of September 30, 2012 Workers' Workers' Compensation Liability Property Total Compensation Liability Property Total Unpaid claims and adjustment expenses at beginning of year $ 2,975,931 $ 1,020,210 $ 8,500 $ 4,004,641 $ 2,852,811 $ 729,115 $ - $ 3,581,926 Incurred claims and claim adjustment expenses A) Provision for insured events of current fiscal year 762,011 1,411,577 71,707 2,245,295 1,071,551 668,214 8,500 1,748,265 B) Increases (decreases) in provision for insured events of prior fiscal years (331,257) (221,086) 54,636 (497,707) 121,283 (260,820) - (139,537) Total incurred claims and claim adjustment expenses 430,754 1,190,491 126,343 1,747,588 1,192,834 407,394 8,500 1,608,728 Payments A) Claims and claim adjustment expenses attributable to insured events of current fiscal year 203,613 248,564 30,531 482,708 254,864 19,090 - 273,954 B) Claims and claim adjustment expenses attributable to insured events of prior fiscal year 654,842 56,540 63,136 774,518 814,850 97,209 - 912,059 Total payments 858,455 305,104 93,667 1,257,226 1,069,714 116,299 - 1,186,013 Unpaid claims and claim adjustment expenses at end of year $ 2,548,230 $ 1,905,597 $ 41,176 $ 4,495,003 $ 2,975,931 $ 1,020,210 $ 8,500 $ 4,004,641 83 Packet Pg. 141  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 17 – COMMITMENTS AND CONTINGENCIES Wastewater Service Interlocal Agreement with Fort Walton Beach In 2009, the Board adopted the Wastewater Service Interlocal Agreement with the City of Fort Walton Beach (Agreement). The Agreement outlines a long-term association for the treatment of the City’s influent wastewater flow at a set percentage of the County’s base sewer rate plus a locked-in annual rate escalator. The agreement provides other ancillary benefits to the City such as the provision of “no cost” tertiary treated effluent for use as irrigation water at the City’s 36-hole municipal Golf Club. The Agreement is effective for 30 years and can be automatically extended for up to two additional terms for a period of ten years for each extension term. The City will be billed monthly at a rate equal to $2.46 per each 1,000 gallons of wastewater flow. Additionally, the City will pay to the County the Sewer Readiness to Serve Fee, which is equal to $3,750 per month. Beginning March 2011, and each year thereafter, the Readiness to Serve Fee will increase by 3% annually. Service to the City began March 2010. Fees of $2,331,997 paid by the City during 2013 are reflected as Charges for Services in the Water and Sewer fund. The minimum commitment to the County under the Agreement is as follows: Fiscal Year Ending September 30, Payment 2014 $ 49,910 2015 51,407 2016 52,949 2017 54,537 2018 56,173 2019-2023 307,177 2024-2028 356,106 2028-2032 412,830 2033-2038 478,584 2039 104,501 Total $ 1,924,174 Convention Center Expansion Okaloosa County contracted with a company for construction of additional boat ramp parking and an outdoor exhibit area for $1,064,464. The Convention Center will expand the outdoors facilities by adding a fenced 30,000 square feet concrete pad with a small building to provide utilities and audio services. The Convention Center’s $974,577 portion of the project will be provided by Tourist Development Tax Revenue. The project began in 2013 with $46,649 reported in construction in progress. The project is scheduled to be completed in April 2014. Customer Facility Charge Agreement As of December 1, 2004, the County entered into a Customer Facility Charge Agreement with the on- airport rental car companies. In accordance with Ordinance No. 04-64, the County imposes and the rental car companies collect on behalf of the County, a Customer Facility Charge (CFC). Effective July 2007, Ordinance 04-64 was amended to increase the CFC charge from two dollars and fifty cents ($2.50) to three dollars and twenty-five cents ($3.25) per rental car transaction day on all rental car contracts. In December 2010, Ordinance 10-16 was implemented increasing the CFC charge from three dollars and 84 Packet Pg. 142  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 17 – COMMITMENTS AND CONTINGENCIES - CONTINUED Customer Facility Charge Agreement - Continued twenty-five cents ($3.25) to three dollars and seventy-five cents ($3.75). CFC revenue will be utilized by the County to construct, operate and maintain facilities and services for the rental car operators and their customers at the Northwest Florida Regional Airport. The facilities were completed and began operations in fiscal year 2009. CFC collections for the year ended September 30, 2013 were $1,570,156 and will be used for debt service on the Series 2007 taxable airport revenue bonds. In fiscal year 2013, the Airport used $518,767 of CFC revenue generated from the rental car companies for abatement of certain facility rent. Emergency Operations Center Okaloosa County and Northwest Florida State College executed a memorandum of understanding in 2005 for a joint use facility which would house the College’s Community Life, Safety and Military Science programs, and the County’s Public Safety Administration, Emergency Operation Center, and the 911 Dispatch Center. The facility also may serve as a hurricane evacuation shelter. The County’s rent is $10 per year for the facility located on the College’s Niceville, Florida campus. The County funded approximately $7,000,000 in contributions to the project. The joint use facility was completed and operations began in December 2010. Grants Amounts received or receivable from grant agencies are subject to audit and adjustment by grantor agencies, principally the federal government. Any disallowed claims, including amounts already collected, may constitute a liability of the applicable funds. The amount, if any, of expenditures which may be disallowed by the grantor cannot be determined at this time although the Board expects such amount, if any, to be immaterial. Lawsuits The Board is a defendant in various lawsuits. Although the outcome of these lawsuits is not presently determinable, it is the opinion of the Board’s management that resolution of most of these matters will not have a material adverse effect on the financial condition of the Board. Arbitrage Rebate Section 148(f) of the Internal Revenue Code of 1986, as amended, and the proposed and temporary regulations issued by the Internal Revenue Service on May 15, 1989, and made final effective May 18, 1992, require the rebate to the United States government of the excess of earnings on non-purpose investments over earnings which would have been made on such investments if they had been made at bond yield, together with earnings on all future rebate amounts. Although rebates need not be remitted until five years after issuance of the bonds and each five (5) years thereafter, computations must be made annually to show financial position at fiscal year end. Okaloosa County has six bond issues and one note falling within the purview of the above directives - $26,615,000 Sales Tax Revenue Bonds, Series 2009; $3,600,000 Capital Improvement Revenue Bond, Series 2011; $13,450,000 Fourth Cent Tourist Development Tax Revenue Bonds, Series 2000; $10,860,000 Airport Revenue Bonds, Series 2003; $31,170,000 Water and Sewer Revenue Bonds, Series 2004; $65,150,000 Water and Sewer Revenue Bond, Series 2006; and $15,605,000 Water and Sewer Revenue Note Series 2012. According to the calculations, the Board has no rebate liability with respect to the bonds at September 30, 2013. This determination reflects the liability on that date only and does not represent any amount that may be due at the end of the five-year period from the delivery date of the bonds. 85 Packet Pg. 143  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 17 – COMMITMENTS AND CONTINGENCIES - CONTINUED Florida Department of Juvenile Justice Reconciliation The State of Florida Department of Juvenile Justice changed the manner in which it shared costs with Counties for juvenile detention in FY08-09 and as a result a greater share of costs were passed on to the Counties. Various counties, including Okaloosa County, have filed administrative challenges to the reconciliations of the Department of Juvenile Justice. Rule challenges have been filed to the Department’s reconciliation for FY09-10 through 11-12. The rule challenges were affirmed on appeal and Okaloosa County has overpaid the Department of Juvenile Justice $2,415,023 for the three years at issue. The Department has admitted that this overpayment calculation is correct but has taken the position that there is no legislative funding for this overpayment, and therefore it cannot credit or refund Okaloosa County for this amount. An additional credit for FY-12-13 has been calculated at $682,841; however the Department has taken the same position. No amounts have been recorded in the financial statement for these credits or refunds since realization is uncertain. Medicaid County Billing Retrospective In accordance with section 409.915, F.S., Okaloosa County must contribute a portion of the cost for State Medicaid for county “resident” Medicaid patients. House Bill 5301 pledged the Agency for Health Care Administration (AHCA) would certify and identify the county costs of unpaid retroactive amounts owed from November 2001 thru April 2012 and allow the County to either pay or petition for hearing. July 2012, AHCA certified open claims of $839,540 with net payments, credits, and transfers of $562,436 resulting in a preliminary certification of $277,104. After final certifications, AHCA certified the County’s portion of the retroactive amounts to be $265,850. The Board approved the final certification of $265,850 resulting in reduction of the State Revenue Sharing of $6,277 per month for 2013 and $3,139 per month for the following four (4) year period. NOTE 18 – RELATED ORGANIZATION Library Cooperative The Okaloosa County Board of County Commissioners entered into an inter-local agreement with six (6) municipalities located within Okaloosa County, Florida to provide for operation of a countywide public library system. The governing body of the cooperative is the Okaloosa County Public Library Cooperative Board made up of one appointee from each municipality and the County. Capital assets remain the property of the participating municipalities. Under the agreement, the County agreed to provide annual funding to the cooperative. The current agreement was effective October 1, 2012 and ended on December 31, 2013and is subject to renewal or revision December 2013. The Okaloosa County Board of County Commissioners’ contribution to the library cooperative for the year ended September 30, 2013 was $513,600. In addition, approximately $81,274 of allocable indirect costs was charged to the fund. These charges were treated as an in-kind contribution by the County during the year ended September 30, 2013. The future commitment to the library cooperative in 2014 is $513,600. 86 Packet Pg. 144  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 19 – NON-RECURRING TRANSACIONS Tourist Development Special Revenue Fund In 2013, the Board contributed $6,395,000 to the City of Destin for the beach restoration project. The funds contributed were provided by the Tourist Development Funds’ Special Assessment and tourist development taxes. The expenditure is included as part of culture and recreation costs in the Tourist Development Special Revenue fund. The Board recovered $598,590 of illegally used British Petroleum monies by its former Tourist Development Director during the year ended September 30, 2013. Other physical assets such as furniture and motorcycles held by Okaloosa County are planned to be sold at auction in 2014. British Petroleum has confirmed the Company does not want a refund of any illegal purchases made using oil spill dollars and requested they be used for their original purpose of area promotion. The remaining unspent British Petroleum monies of $589,960 are restricted in the Tourist Development Fund at September 30, 2013 and are projected to be spent in 2014. Water and Sewer Enterprise Fund In accordance with an interlocal agreement with the City of Fort Walton Beach, Florida, the Board contributed 50% of the common costs for the replacement of a thirty inch pre-stressed concrete cylinder pressure force main. The capital contribution of $1,497,480 is reported as contribution to other government in the water and sewer fund. The asset will be owned and operated by the City of Fort Walton Beach, Florida for twenty years and then possession of the asset will transfer to Okaloosa County. NOTE 20 – SUBSEQUENT EVENTS 7th Special Forces Group Fiber Optic Contract October 2013 Okaloosa County entered into an agreement with 96th Communications Squadron from Eglin Air Force Base to provide a 36 strand single mode fiber path between Building 4545 at the 7th Special Forces Group Airborne compound on Duke Field to Building 44 on Eglin Air Force Base. The agreement will result in a one-time fee to the County of $1,343,135. Airport Refunding Revenue Bond Issue Okaloosa County authorized refinancing of the County’s Series 2003 Airport Revenue Bonds and repayment of $1.2 million of the existing $2 million loan with the Florida Local Government Finance Commission through a negotiated sale with Compass Mortgage Corporation. In January 2014, the County issued a Airport Revenue Refunding Bond, Series 2014 for $8,920,000 with average coupon rate of 3.15%. The debt will be repaid with annual installments ranging from $360,000 to $740,000 from October 1, 2014 to October 1, 2028. Renovation of Shalimar Annex and Crestview Courthouse In 2013, Okaloosa County began Phase I of the renovations to the Shalimar Annex. Phase I of the two phase project will cover design, build and architectural services. The County reached a $1,600,000 agreement regarding the reverter clause at the Annex with the first installment beginning in September 2014. The liability for the settlement agreement has been recorded in the Self Insurance Fund as of September, 30, 2013. In November the contractor was given direction to move forward with Phase II of the design process which includes refining the space planning data, developing the conceptual drawings, 87 Packet Pg. 145  Okaloosa County, Florida NOTES TO FINANCIAL STATEMENTS Fiscal Year Ended September 30, 2013 NOTE 20 – SUBSEQUENT EVENTS Renovation of Shalimar Annex and Crestview Courthouse - Continued and developing 100% construction drawings. At March, 2014, the project design was near 35% and demolition of the current structure is slated to being May, 2014. As part of this project certain space in the Annex used by the Okaloosa County Sheriff’s Office is required to be vacated. Improvements/renovations will be made to the Sheriff’s Administration Building to allow consolidation due to the space lost. Okaloosa County selected a design-build firm in March, 2014 to oversee the renovations of the Crestview Courthouse. The County will be funding these projects with one debt issuance not to exceed $20 million. Merger of Convention Center Enterprise Fund into Tourist Development Special Revenue Fund Effective October 2013, Okaloosa County Convention Center paid the Tourist Development Tax 4th Cent Bonds, Series 2000 remaining balance of $155,000. With payment of the debt, the Convention Center no longer qualifies as an Enterprise fund and was collapsed into the Tourist Development Special Revenue Fund for reporting purposes. Health Insurance Reimbursement In April, 2014 the BCC received approximately $3,709,000 from Blue Cross/Blue Shield of Florida for refunds relating to its health insurance program for the period of October 1, 2011 to September 30, 2013. The refunds are based on an agreement with the Company that provides a look back comparison of earned premium to incurred claims. The County did not estimate a refund based on the volatility and uncertainty associated with predicting health insurance claims incurred. The refund will be recorded in the self- insurance fund during FY14. 88 Packet Pg. 146 (THIS PAGE INTENTIONALLY LEFT BLANK) Packet Pg. 147 Required Supplementary Information Packet Pg. 148 Packet Pg. 149  Okaloosa County, Florida Post Employment Benefits Plans Schedule of Funding Progress September 30, 2013 Board of County Commissioners Unfunded UAAL as a Actuarial Actuarial Actuarial Actuarial Percentage of Valuation Value Liabilities Liabilities Funded Covered Covered Date of Assets (AAL)(1) (UAAL)(2) Ratio Payroll (3) Payroll (3) October 1, 2010 - $ 3,587,969 $ 3,487,969 0.0% $ 31,547,282 11.4% October 1, 2011 - $ 3,788,681 $ 3,788,681 0.0% $ 31,617,251 12.0% October 1, 2012 - $ 3,780,041 $ 3,780,041 0.0% $ 31,108,775 12.2% (1) Actuarial liability determined under the unit credit cost method. (2) Actuarial liability less actuarial value of assets, if any. (3) Medical benefits are not tied to the size of payroll and advised costs as a percentage of payroll does not raise GASB 45 costs. Approach revised in 2011. Sheriff Unfunded UAAL as a Actuarial Actuarial Percentage of Actuarial Actuarial Liabilities Liabilities Funded Covered Covered Valuation Value (AAL) (UAAL)(3) Ratio Payroll Payroll Date of Assets (a) (b) (b-a) (a/b) (c) ([b-a]/c) October 1, 2011 - $ 3,341,450 $ 3,341,450 0.0% $ 16,813,193 19.90% October 1, 2012 - $ 3,584,471 $ 3,584,471 0.0% $ 17,517,844 20.50% October 1, 2013 - $ 3,827,827 $ 3,827,827 0.0% $ 16,531,416 23.20% (3) Actuarial liability determined under the individual entry age normal cost method. 89 Packet Pg. 150 (THIS PAGE INTENTIONALLY LEFT BLANK) Packet Pg. 151  Nonmajor Governmental Funds SPECIAL REVENUE FUNDS Special revenue funds are used to account for specific revenues that are legally restricted to expenditure for particular purposes. Board of County Commissioners Natural Disaster Fund This fund is used to account for disaster funding and expenditures not considered normal recurring operating activity of the County. Local Housing Assistance Trust Fund This fund is used to account for funds received from the State Housing Initiatives Partnership Program for implementing and administrating the local housing assistance plan. E-911 Operations Fund This fund is used to account for E911 revenues collected exclusively for costs associated with developing and maintaining E911 systems and networks. Radio Communications Fund This fund is used to account for surcharges collected to fund the acquisition of equipment, software, and engineering, administrative, and maintenance services to construct, operate, and maintain a statewide radio system. Law Enforcement Trust Fund This fund is used to account for the revenues received as a result of criminal or forfeiture proceedings and used for school resource officer, crime prevention, safe neighborhood, drug abuse education and preventions programs, or for other law enforcement purposes. Police Academy Fund This fund is used to account for an additional $2 assessed by the County for criminal justice education degree programs and training courses. County Public Health Fund This fund is used to account for funds appropriated by Okaloosa County for or on behalf of the county public health unit, such as capital projects costs. Municipal Services Benefit Units Fund This fund is used to account for the assessments levied against benefiting properties for providing street lighting, street and drainage improvements and maintenance. Unincorporated County Parks Fund This fund is used to account for ad valorem tax proceeds levied on property in the unincorporated areas of Okaloosa County for the maintenance of parks in those areas. Prisoner Benefit Fund This fund is used to account for profits from the detention facility's commissary and expenses involved in the commissary operation. Additional Court Cost Fund This fund is used to account for the $65 additional court costs imposed by the County to fund innovations, legal aid, law library, and teen court operations. Drug Abuse Trust Fund This fund is used to account for an additional assessment collected for the purpose of providing assistance for alcohol and other drug abuse treatment or education programs. Domestic Violence Trust Fund This fund is used to account for the $85 surcharge imposed on domestic violence offenses and is used to provide additional training to law enforcement personnel in combating domestic violence. Packet Pg. 152  Nonmajor Governmental Funds (Continued) SPECIAL REVENUE FUNDS (Continued) Traffic Education Trust Fund This fund is used to account for the additional $5 surcharge imposed on each traffic penalty and is used to fund driver education programs in public and non-public schools. Clerk of the Circuit Court Courts Special Revenue Fund This fund is used to account for the statutory fines, fees, service charges and costs collected by the Clerk related to the performance of court-related activities. All excess funds over the amount of the Clerk's operating budget for this fund, approved by the Clerks of Court Operations Corporation, are remitted to the Florida Department of Revenue. Public Records Modernization Trust Fund This fund is used to account for recording fees collected by the Clerk of the Circuit Court under Florida Statute 28.24(12)(d). The fund is used exclusively for equipment, personnel training, and technical assistance in modernizing the public records system. Public Records Courts Special Revenue Fund This fund is used to account for recording fees collected by the Clerk of the Circuit Court under Florida Statute 28.24(12)(e). The fund is used exclusively for court-related technology needs. Public Records 10% Fine Special Revenue Fund This fund is used to account for recording fees collected by the Clerk of the Circuit Court under Florida Statute 28.24(12)(e). The fund is used exclusively for court-related technology needs. Sheriff Federal Law Enforcement Trust Fund This fund is used to account for revenues received as a result of criminal, administrative, or civil forfeitures proceedings. Teen Challenge Driver Fund This fund is used to account for revenues restricted by the Florida Sheriffs Association and is expended to support a new safety program for teen drivers. Funds cannot be used for normal operating expenses. Second Dollar Program Fund This fund is used to account for revenues restricted from local County moving violation tickets and is expended to support a new safety program for teen drivers. Funds cannot be used for normal operating expenses. DEBT SERVICE FUND Debt Service funds are used to account for the accumulation of resources and payment of special obligation bond principal and interest from governmental resources when Okaloosa County is obligated in some manner for the payment. Board of County Commissioners Okaloosa Debt Service Fund This fund is used to account for accumulation of resources and payment of bond debt for Capital Improvement Revenue Bonds, Series 1991. CAPITAL PROJECTS FUNDS Capital projects funds are used to account for the acquisition and construction of major capital facilities other than those financed by proprietary funds. Board of County Commissioners Road and Bridge Construction Fund This fund is used to account for constitutional gasoline tax revenues and balances on hand, as well as a portion of the County's Local Option Gasoline Tax revenue, all available for capital improvements. All improvements from this fund are restricted to the construction of roads and bridges within Okaloosa County. Packet Pg. 153 Packet Pg. 154  Okaloosa County, Florida COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS September 30, 2013 Natural Local Housing Radio Disaster Assistance Special E-911 Operation Communications Special Revenue Fund Revenue Fund Special Revenue Fund Special Revenue Fund ASSETS Cash and Cash Equivalents $ 23,227 $ 429,247 $ 863,665 $ 11,057 Investments 44,304 352,969 560,118 582 Accounts Receivable - - - 9,864 Due from Other Funds - 55,000 - 50,000 Due from Other Elected Officials - - - 6,406 Due from Other Governments 615,868 - - - Prepaids - - 37,246 5,332 Total Assets $ 683,399 $ 837,216 $ 1,461,029 $ 83,241 LIABILITIES AND FUND BALANCES Liabilities Accounts Payable $ - $ - $ 11,909 $ - Contracts Payable - - 317 1,995 Other Accrued Liabilities - - 9,520 - Due to Other Funds - - - - Due to Other Elected Officials - - - 27 Due to Other Governments - - - - Due to Depositors - - - - Deferred Revenue - 530,291 - - Total Liabilities - 530,291 21,746 2,022 Fund Balances Nonspendable - - 37,246 5,332 Restricted 518,694 306,925 1,439,283 81,219 Committed - - - - Assigned 164,705 - - - Unassigned - - (37,246) (5,332) Total Fund Balances 683,399 306,925 1,439,283 81,219 Total Liabilities and Fund Balances $ 683,399 $ 837,216 $ 1,461,029 $ 83,241 Packet Pg. 155  Statement A-1 County Municipal Unincorporated Public Health Service Benefit County Parks Law Enforcement Police Academy Special Units Special Special Special Revenue Fund Special Revenue Fund Revenue Fund Revenue Fund Revenue Fund $ 20,523 $ 46,780 $ 3,499 $ 383,965 $ 2,543,712 1,343 703 - 42,519 2,265,648 - - 995 - 125 - - - 80,000 - - 1,679 8 335 1,344 - - 49,957 1,253 - - - - 3,957 12,568 $ 21,866 $ 49,162 $ 54,459 $ 512,029 $ 4,823,397 $ - $ 929 $ - $ 21,090 $ 30,422 - - 5,796 - 1,720 - - - - 20,487 - - 45,495 - - - - - - - - - - - - - - - - - - - - - - - 929 51,291 21,090 52,629 - - - 3,957 12,568 21,866 48,233 - - 4,770,768 - - - 490,939 - - - 3,168 - - - - - (3,957) (12,568) 21,866 48,233 3,168 490,939 4,770,768 $ 21,866 $ 49,162 $ 54,459 $ 512,029 $ 4,823,397 Continued… 90 Packet Pg. 156  Okaloosa County, Florida COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS September 30, 2013 Additional Court Domestic Violence Prisoner Benefit Costs Special Revenue Drug Abuse Trust Trust Special Revenue Special Revenue Fund Fund Special Revenue Fund Fund ASSETS Cash and Cash Equivalents $ 60,696 $ 24,536 $ 40,395 $ 198,815 Investments 502,557 559,050 416 51,573 Accounts Receivable - - - - Due from Other Funds - - - - Due from Other Elected Officials - 100,813 9 1,920 Due from Other Governments - - - - Prepaids - 213 - - Total Assets $ 563,253 $ 684,612 $ 40,820 $ 252,308 LIABILITIES AND FUND BALANCES Liabilities Accounts Payable $ 1,495 $ 543 $ 354 $ - Contracts Payable 12,562 29,020 - - Accrued Liabilities 5,961 6,113 - 1,235 Due to Other Funds - - - - Due to Other Elected Officials - - - - Due to Other Governments - 31,846 - - Due to Depositors 32,065 - - - Deferred Revenue - - - - Total Liabilities 52,083 67,522 354 1,235 Fund Balances Nonspendable - 213 - - Restricted 511,170 617,090 40,466 251,073 Committed - - - - Assigned - - - - Unassigned - (213) - - Total Fund Balances 511,170 617,090 40,466 251,073 Total Liabilities and Fund Balances $ 563,253 $ 684,612 $ 40,820 $ 252,308 Packet Pg. 157  Statement A-1 Public Records Public Records 10% Traffic Education Courts Special Modernization Trust Public Records Courts Fine Special Revenue Special Revenue Fund Revenue Fund Special Revenue Fund Special Revenue Fund Fund $ 93,120 $ 515,318 $ 1,020,423 $ 1,081,206 $ 392,094 232 - - - - - - - - - - 1,995 9,896 30,242 17,488 6,675 - - - - - - - - - - - - - - $ 100,027 $ 517,313 $ 1,030,319 $ 1,111,448 $ 409,582 $ - $ 738 $ - $ - $ 2,682 - - - - - - 63,937 - - - - 17,488 - - - - - - - - - 61,399 - - - - - - - - - 373,751 - - - - 517,313 - - 2,682 - - - - - 100,027 - 1,030,319 1,111,448 406,900 - - - - - - - - - - - - - - - 100,027 - 1,030,319 1,111,448 406,900 $ 100,027 $ 517,313 $ 1,030,319 $ 1,111,448 $ 409,582 Continued… 91 Packet Pg. 158  Okaloosa County, Florida COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS September 30, 2013 Federal Law Second Dollar Enforcement Trust Teen Driver Challenge Program Special Okaloosa Debt Service Special Revenue Fund Special Revenue Fund Revenue Fund Fund ASSETS Cash and Cash Equivalents $ 645,480 $ - $ - $ 195,935 Investments - - - 197,419 Accounts Receivable - - - - Due from Other Funds - - - 70,000 Due from Other Elected Officials - - - - Due from Other Governments - - - - Prepaids - - - - Total Assets $ 645,480 $ - $ - $ 463,354 LIABILITIES AND Liabilities Accounts Payable $ - $ - $ - $ - Contracts Payable - - - - Accrued Liabilities - - - - Due to Other Funds - - - - Due to Other Elected Officials - - - - Due to Other Governments - - - - Due to Depositors - - - - Deferred Revenue 645,480 - - - Total Liabilities 645,480 - - - Fund Balances Nonspendable - - - - Restricted - - - 463,354 Committed - - - - Assigned - - - - Unassigned - - - - Total Fund Balances - - - 463,354 Total Liabilities and Fund Balances $ 645,480 $ - $ - $ 463,354 Packet Pg. 159  Statement A-1 Total Nonmajor Road and Bridge Governmental Constructions Capital Funds Projects Fund (Exhibit III-A) $ 3,329,092 $ 11,922,785 7,553,734 12,133,167 - 10,984 - 314,621 - 119,189 476,075 1,143,153 - 59,316 $ 11,358,901 $ 25,703,215 $ 56,381 $ 126,543 260,617 312,027 - 107,253 - 62,983 - 27 - 93,245 2,500 34,565 - 1,549,522 319,498 2,286,165 - 59,316 11,039,403 22,758,238 - 490,939 - 167,873 - (59,316) 11,039,403 23,417,050 $ 11,358,901 $ 25,703,215 92 Packet Pg. 160  Okaloosa County, Florida COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS For the Fiscal Year Ended September 30, 2013 Natural Local Housing Radio Disaster Assistance Special E-911 Operation Communications Special Revenue Fund Revenue Fund Special Revenue Fund Special Revenue Fund Revenues Taxes $ - $ - $ - $ - Licenses and Permits - - - - Intergovernmental 193,565 110,587 1,061,252 - Charges for Services - - 3,590 9,864 Fines - - - 94,210 Miscellaneous 2,930 3,517 18,932 1,186 Total Revenues 196,495 114,104 1,083,774 105,260 Expenditures Current General Government - - - - Public Safety - - 944,335 109,203 Transportation - - - - Economic Environment - 110,587 - - Human Services - - - - Culture and Recreation - - - - Court-Related - - - - Capital Outlay 3,755 - - 39,341 Debt Service Principal - - - - Interest - - - - Other Debt Service Costs - - - - Total Expenditures 3,755 110,587 944,335 148,544 Excess (Deficiency) of Revenues Over (Under) Expenditures 192,740 3,517 139,439 (43,284) Other Financing Sources (Uses) Transfers In - - - - Transfers Out (666,664) - - - Transfers Among Constitutional Officers - - - - Total Other Financing Sources (Uses) (666,664) - - - Net Change in Fund Balances (473,924) 3,517 139,439 (43,284) Fund Balances - Beginning 1,157,323 303,408 1,299,844 124,503 Fund Balances - Ending $ 683,399 $ 306,925 $ 1,439,283 $ 81,219 Packet Pg. 161  Statement A-2 County Municipal Unincorporated Public Health Service Benefit County Parks Law Enforcement Police Academy Special Units Special Special Special Revenue Fund Special Revenue Fund Revenue Fund Revenue Fund Revenue Fund $ - $ - $ 651,521 $ - $ 1,123,362 - - - 441,416 - - - - - - - 24,442 - - 9,032 24,730 - - - - 398 944 52,467 9,939 32,202 25,128 25,386 703,988 451,355 1,164,596 - - - - - - 14,311 - - - - - - 468,990 - - - - - - - - 639,169 - - - - - - 845,029 - - - - - - - 49,957 - 225,473 - - - - - - - - - - - - - - - - 14,311 689,126 468,990 1,070,502 25,128 11,075 14,862 (17,635) 94,094 - - 4,000 - - - - (18,640) - - (272,227) (70,814) - 335 1,341 (272,227) (70,814) (14,640) 335 1,341 (247,099) (59,739) 222 (17,300) 95,435 268,965 107,972 2,946 508,239 4,675,333 $ 21,866 $ 48,233 $ 3,168 $ 490,939 $ 4,770,768 Continued… 93 Packet Pg. 162  Okaloosa County, Florida COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS For the Fiscal Year Ended September 30, 2013 Additional Court Domestic Violence Prisoner Benefit Costs Special Revenue Drug Abuse Trust Trust Special Revenue Special Revenue Fund Fund Special Revenue Fund Fund Revenues Taxes $ - $ - $ - $ - Licenses and Permits - - - - Intergovernmental - - - - Charges for Services 623,245 1,453,445 - - Fines - - 13,759 26,675 Miscellaneous 5,090 25,663 507 2,438 Total Revenues 628,335 1,479,108 14,266 29,113 Expenditures Current General Government - - - - Public Safety 554,745 - - - Transportation - - - - Economic Environment - - - - Human Services - - - - Culture and Recreation - - - - Court-Related - 867,839 33,998 39,712 Capital Outlay - - - - Debt Service Principal - - - - Interest - - - - Other Debt Service Costs - - - - Total Expenditures 554,745 867,839 33,998 39,712 Excess (Deficiency) of Revenues Over (Under) Expenditures 73,590 611,269 (19,732) (10,599) Other Financing Sources (Uses) Transfers In - - - - Transfers Out - (638,818) - - Transfers Among Constitutional Officers - - - - Total Other Financing Sources (Uses) - (638,818) - - Net Change in Fund Balances 73,590 (27,549) (19,732) (10,599) Fund Balance - Beginning 437,580 644,639 60,198 261,672 Fund Balances - Ending $ 511,170 $ 617,090 $ 40,466 $ 251,073 Packet Pg. 163  Statement A-2 Public Records Public Records 10% Traffic Education Courts Special Modernization Trust Public Records Courts Fine Special Revenue Special Revenue Fund Revenue Fund Special Revenue Fund Special Revenue Fund Fund $ - $ - $ - $ - $ - - - - - - - 2,896,390 - - - - 776,428 143,343 442,440 204,081 92,198 217,045 - - - 5,741 - 1,457 1,611 - 97,939 3,889,863 144,800 444,051 204,081 - - 52,232 - - - - - - - - - - - - - - - - - - - - - - - - - - - - 3,887,134 - 316,774 31,536 - 2,729 - - 56,194 - - - - - - - - - - - - - - - - - - 3,889,863 52,232 316,774 87,730 97,939 - 92,568 127,277 116,351 - - - - - - - - - - (68,790) - - - - (68,790) - - - - 29,149 - 92,568 127,277 116,351 70,878 - 937,751 984,171 290,549 $ 100,027 $ - $ 1,030,319 $ 1,111,448 $ 406,900 94 Packet Pg. 164  Okaloosa County, Florida COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS For the Fiscal Year Ended September 30, 2013 Federal Law Second Dollar Enforcement Trust Teen Driver Challenge Program Special Okaloosa Debt Service Special Revenue Fund Special Revenue Fund Revenue Fund Fund Revenues Taxes $ - $ - $ - $ - Licenses and Permits - - - - Intergovernmental - - - 4,426,843 Charges for Services - - - - Fines - - - - Miscellaneous 74,243 - - 460,167 Total Revenues 74,243 - - 4,887,010 Expenditures Current General Government - - - 190,750 Public Safety 335,271 47,892 70,814 - Transportation - - - - Economic Environment - - - - Human Services - - - - Culture and Recreation - - - - Court-Related - - - - Capital Outlay 11,199 20,898 - - Debt Service Principal - - - 713,000 Interest - - - 1,626,624 Other Debt Service Costs - - - 41,210 Total Expenditures 346,470 68,790 70,814 2,571,584 Excess (Deficiency) of Revenues Over (Under) Expenditures (272,227) (68,790) (70,814) 2,315,426 Other Financing Sources (Uses) Transfers In - - - 720,217 Transfers Out - - - (2,767,096) Transfers Among Constitutional Officers 272,227 68,790 70,814 - Total Other Financing 272,227 68,790 70,814 (2,046,879) Net Change in - - - 268,547 Fund Balances - Beginning - - - 194,807 Fund Balances - Ending $ - $ - $ - $ 463,354 Packet Pg. 165  Statement A-2 Total Nonmajor Road and Bridge Governmental Constructions Capital Funds Projects Fund (Exhibit IV-A) $ 1,779,610 $ 3,554,493 - 441,416 2,064,007 10,752,644 30,000 3,719,910 - 468,617 (16,425) 683,007 3,857,192 19,620,087 - 242,982 - 2,076,571 1,009,302 1,478,292 - 110,587 - 639,169 - 845,029 - 5,176,993 2,210,441 2,619,987 - 713,000 - 1,626,624 - 41,210 3,219,743 15,570,444 637,449 4,049,643 - 724,217 (800,000) (4,891,218) - 1,676 (800,000) (4,165,325) (162,551) (115,682) 11,201,954 23,532,732 $ 11,039,403 $ 23,417,050 95 Packet Pg. 166  Schedule A-3 Okaloosa County, Florida CAPITAL OUTLAY CONSTRUCTION TRUST CAPITAL PROJECTS FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Taxes $ - $ - $ 1,481 $ 1,481 Intergovernmental 110,000 190,703 199,881 9,178 Miscellaneous 80,000 80,000 36,744 (43,256) Total Revenues 190,000 270,703 238,106 (32,597) Expenditures Current General Government 3,840,500 3,284,091 - 3,284,091 Culture and Recreation 371,685 413,660 111,320 302,340 Capital Outlay 478,000 1,016,511 839,536 176,975 Total Expenditures 4,690,185 4,714,262 950,856 3,763,406 Excess (Deficiency) of Revenues Over (Under) Expenditures (4,500,185) (4,443,559) (712,750) 3,730,809 Other Financing Sources (Uses) Transfers In 913,801 1,053,801 749,200 (304,601) Transfers Out (309,500) (309,500) (309,500) - Total Other Financing Sources (Uses) 604,301 744,301 439,700 (304,601) Net Change in Fund Balance (3,895,884) (3,699,258) (273,050) 3,426,208 Fund Balance - Beginning 3,895,884 3,699,258 3,699,260 2 Fund Balance - Ending $ - $ - $ 3,426,210 $ 3,426,210 95 Packet Pg. 167  Schedule A-4 Okaloosa County, Florida NATURAL DISASTER SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Intergovernmental $ - $ 89,056 $ 193,565 $ 104,509 Miscellaneous - - 2,930 2,930 Total Revenues - 89,056 196,495 107,439 Expenditures Current Capital Outlay - 101,778 3,755 98,023 Total Expenditures - 101,778 3,755 98,023 Excess (Deficiency) of Revenues Over (Under) Expenditures - (12,722) 192,740 205,462 Other Financing Sources (Uses) Transfers Out (1,000,000) (1,000,000) (666,664) 333,336 Total Other Financing Sources (Uses) (1,000,000) (1,000,000) (666,664) 333,336 Net Change in Fund Balance (1,000,000) (1,012,722) (473,924) 538,798 Fund Balance - Beginning 1,000,000 1,012,722 1,157,323 144,601 Fund Balance - Ending $ - $ - $ 683,399 $ 683,399 96 Packet Pg. 168  Schedule A-5 Okaloosa County, Florida LOCAL HOUSING ASSISTANCE SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Intergovernmental $ - $ 636,053 $ 110,587 $ (525,466) Miscellaneous - 2,722 3,517 795 Total Revenues - 638,775 114,104 (524,671) Expenditures Current Economic Environment 400,000 942,182 110,587 831,595 Total Expenditures 400,000 942,182 110,587 831,595 Excess (Deficiency) of Revenues Over (Under) Expenditures (400,000) (303,407) 3,517 306,924 Net Change in Fund Balance (400,000) (303,407) 3,517 306,924 Fund Balances - Beginning 400,000 303,407 303,408 1 Fund Balance - Ending $ - $ - $ 306,925 $ 306,925 97 Packet Pg. 169  Schedule A-6 Okaloosa County, Florida E-911 OPERATIONS SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Intergovernmental $ 950,000 $ 1,067,827 $ 1,061,252 $ (6,575) Charges for Services 3,200 3,200 3,590 390 Miscellaneous 12,500 19,584 18,932 (652) Total Revenues 965,700 1,090,611 1,083,774 (6,837) Expenditures Current Public Safety 2,165,700 2,390,454 944,335 1,446,119 Total Expenditures 2,165,700 2,390,454 944,335 1,446,119 Excess (Deficiency) of Revenues Over (Under) Expenditures (1,200,000) (1,299,843) 139,439 1,439,282 Net Change in Fund Balance (1,200,000) (1,299,843) 139,439 1,439,282 Fund Balances - Beginning 1,200,000 1,299,843 1,299,844 1 Fund Balance - Ending $ - $ - $ 1,439,283 $ 1,439,283 98 Packet Pg. 170  Schedule A-7 Okaloosa County, Florida RADIO COMMUNICATIONS SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Charges for Services $ - $ - $ 9,864 $ (9,864) Fines 110,000 110,000 94,210 (15,790) Miscellaneous - - 1,186 1,186 Total Revenues 110,000 110,000 105,260 (24,468) Expenditures Current Public Safety 170,000 194,719 109,203 85,516 Capital Outlay 40,000 39,784 39,341 443 Total Expenditures 210,000 234,503 148,544 85,959 Excess (Deficiency) of Revenues Over (Under) Expenditures (100,000) (124,503) (43,284) 81,219 Net Change in Fund Balance (100,000) (124,503) (43,284) 81,219 Fund Balances - Beginning 100,000 124,503 124,503 - Fund Balance - Ending $ - $ - $ 81,219 $ 81,219 99 Packet Pg. 171  Schedule A-8 Okaloosa County, Florida LAW ENFORCEMENT TRUST SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Fines $ - $ 24,730 $ 24,730 $ - Miscellaneous - - 398 398 Total Revenues - 24,730 25,128 398 Expenditures Current Public Safety - - - - Total Expenditures - - - - Excess (Deficiency) of Revenues Over (Under) Expenditures - 24,730 25,128 398 Other Financing Sources (Uses) Transfers Among Constitutional Officers (25,000) (293,694) (272,227) 21,467 Total Other Financing Sources (Uses) (25,000) (293,694) (272,227) 21,467 Net Change in Fund Balance (25,000) (268,964) (247,099) 21,865 Fund Balances - Beginning 25,000 268,964 268,965 1 Fund Balance - Ending $ - $ - $ 21,866 $ 21,866 100 Packet Pg. 172  Schedule A-9 Okaloosa County, Florida POLICE ACADEMY SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Charges for Services $ 35,000 $ 35,000 $ 24,442 $ (10,558) Miscellaneous 750 750 944 194 Total Revenues 35,750 35,750 25,386 (10,364) Expenditures Current Public Safety 155,750 143,721 14,311 129,410 Total Expenditures 155,750 143,721 14,311 129,410 Excess (Deficiency) of Revenues Over (Under) Expenditures (120,000) (107,971) 11,075 119,046 Other Financing Sources (Uses) Transfers Among Constitutional Officers - - (70,814) (70,814) Total Other Financing Sources (Uses) - - (70,814) (70,814) Net Change in Fund Balance (120,000) (107,971) (59,739) 48,232 Fund Balances - Beginning 120,000 107,971 107,972 1 Fund Balance - Ending $ - $ - $ 48,233 $ 48,233 101 Packet Pg. 173  Schedule A-10 Okaloosa County, Florida COUNTY PUBLIC HEALTH SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Taxes $ 666,599 $ 666,599 $ 651,521 $ (15,078) Miscellaneous 3,500 53,457 52,467 (990) Total Revenues 670,099 720,056 703,988 (16,068) Expenditures Current Human Services 676,599 658,405 639,169 19,236 Capital Outlay - 49,957 49,957 - Total Expenditures 676,599 708,362 689,126 19,236 Excess (Deficiency) of Revenues Over (Under) Expenditures (6,500) 11,694 14,862 3,168 Other Financing Sources (Uses) Transfers In 4,000 4,000 4,000 - Transfers Out - (18,640) (18,640) - Total Other Financing Sources (Uses) 4,000 (14,640) (14,640) - Net Change in Fund Balance (2,500) (2,946) 222 3,168 Fund Balance - Beginning 2,500 2,946 2,946 - Fund Balance - Ending $ - $ - $ 3,168 $ 3,168 102 Packet Pg. 174  Schedule A-11 Okaloosa County, Florida MUNICIPAL SERVICES BENEFIT UNIT SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Licenses and Permits $ 438,385 $ 445,418 $ 441,416 (4,002) Miscellaneous - 4,544 9,939 5,395 Total Revenues 438,385 449,962 451,355 1,393 Expenditures Current Transportation 827,571 891,527 468,990 422,537 Capital Outlay 66,025 66,674 - 66,674 Total Expenditures 893,596 958,201 468,990 489,211 Excess (Deficiency) of Revenues Over (Under) Expenditures (455,211) (508,239) (17,635) 490,604 Other Financing Sources (Uses) Transfers Among Constitutional Officers - - 335 335 Total Other Financing Sources (Uses) - - 335 335 Net Change in Fund Balance (455,211) (508,239) (17,300) 490,939 Fund Balance - Beginning 455,211 508,239 508,239 - Fund Balance - Ending $ - $ - $ 490,939 $ 490,939 103 Packet Pg. 175  Schedule A-12 Okaloosa County, Florida UNINCORPORATED COUNTY PARKS SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Taxes $ 1,105,425 $ 1,161,966 $ 1,123,362 $ (38,604) Charges for Services 8,000 8,000 9,032 1,032 Miscellaneous 80,000 53,633 32,202 (21,431) Total Revenues 1,193,425 1,223,599 1,164,596 (59,003) Expenditures Current Culture and Recreation 4,996,168 5,201,675 845,029 4,356,646 Capital Outlay 697,257 697,257 225,473 471,784 Total Expenditures 5,693,425 5,898,932 1,070,502 4,828,430 Excess (Deficiency) of Revenues Over (Under) Expenditures (4,500,000) (4,675,333) 94,094 4,769,427 Other Financing Sources (Uses) Transfers Among Constitutional Officers - - 1,341 1,341 Total Other Financing Sources (Uses) - - 1,341 1,341 Net Change in Fund Balance (4,500,000) (4,675,333) 95,435 4,770,768 Fund Balance - Beginning 4,500,000 4,675,333 4,675,333 - Fund Balance - Ending $ - $ - $ 4,770,768 $ 4,770,768 104 Packet Pg. 176  Schedule A-13 Okaloosa County, Florida PRISONER BENEFIT SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Charges for Services $ 385,000 $ 603,000 $ 623,245 $ 20,245 Miscellaneous 3,500 3,500 5,090 1,590 Total Revenues 388,500 606,500 628,335 21,835 Expenditures Current Public Safety 738,500 1,044,080 554,745 489,335 Total Expenditures 738,500 1,044,080 554,745 489,335 Excess (Deficiency) of Revenues Over (Under) Expenditures (350,000) (437,580) 73,590 511,170 Net Change in Fund Balance (350,000) (437,580) 73,590 511,170 Fund Balances - Beginning 350,000 437,580 437,580 - Fund Balance - Ending $ - $ - $ 511,170 $ 511,170 105 Packet Pg. 177  Schedule A-14 Okaloosa County, Florida ADDITIONAL COURT COST SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Charges for Services $ 1,334,500 $ 1,534,500 $ 1,453,445 $ (81,055) Miscellaneous - - 25,663 25,663 Total Revenues 1,334,500 1,534,500 1,479,108 (55,392) Expenditures Current Court-Related 1,380,966 1,479,138 867,839 611,299 Capital Outlay 14,000 - - - Total Expenditures 1,394,966 1,479,138 867,839 611,299 Excess (Deficiency) of Revenues Over (Under) Expenditures (60,466) 55,362 611,269 555,907 Other Financing Sources (Uses) Transfers Out (700,000) (700,000) (638,818) 61,182 Total Other Financing Sources (Uses) (700,000) (700,000) (638,818) 61,182 Net Change in Fund Balance (760,466) (644,638) (27,549) 617,089 Fund Balances - Beginning 760,466 644,638 644,639 1 Fund Balance - Ending $ - $ - $ 617,090 $ 617,090 106 Packet Pg. 178  Schedule A-15 Okaloosa County, Florida DRUG ABUSE TRUST SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Fines 15,000 15,000 13,759 (1,241) Miscellaneous - - 507 507 Total Revenues 15,000 15,000 14,266 (734) Expenditures Current Court-Related 75,000 75,197 33,998 41,199 Total Expenditures 75,000 75,197 33,998 41,199 Excess (Deficiency) of Revenues Over (Under) Expenditures (60,000) (60,197) (19,732) 40,465 Net Change in Fund Balance (60,000) (60,197) (19,732) 40,465 Fund Balances - Beginning 60,000 60,197 60,198 1 Fund Balance - Ending $ - $ - $ 40,466 $ 40,466 107 Packet Pg. 179  Schedule A-16 Okaloosa County, Florida DOMESTIC VIOLENCE TRUST SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Fines $ 25,000 $ 25,000 $ 26,675 $ 1,675 Miscellaneous - - 2,438 2,438 Total Revenues 25,000 25,000 29,113 4,113 Expenditures Current Court-Related 278,755 286,671 39,712 246,959 Total Expenditures 278,755 286,671 39,712 246,959 Excess (Deficiency) of Revenues Over (Under) Expenditures (253,755) (261,671) (10,599) 251,072 Net Change in Fund Balance (253,755) (261,671) (10,599) 251,072 Fund Balances - Beginning 253,755 261,671 261,672 1 Fund Balance - Ending $ - $ - $ 251,073 $ 251,073 108 Packet Pg. 180  Schedule A-17 Okaloosa County, Florida TRAFFIC EDUCATION SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Fines $ 66,000 $ 85,522 $ 92,198 $ 6,676 Miscellaneous - 5,000 5,741 741 Total Revenues 66,000 90,522 97,939 7,417 Expenditures Current Court-Related - 80,700 - 80,700 Total Expenditures - 80,700 - 80,700 Excess (Deficiency) of Revenues Over (Under) Expenditures 66,000 9,822 97,939 88,117 Other Financing Sources (Uses) Transfers Among Constitutional Officers (66,000) (80,700) (68,790) 11,910 Total Other Financing Sources (Uses) (66,000) (80,700) (68,790) 11,910 Net Change in Fund Balance - (70,878) 29,149 100,027 Fund Balances - Beginning - 70,878 70,878 - Fund Balance - Ending $ - $ - $ 100,027 $ 100,027 109 Packet Pg. 181  Schedule A-18 Okaloosa County, Florida COURTS SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Intergovernmental $ 3,746,242 $ 2,958,727 $ 2,896,390 $ (62,337) Charges for Services - 736,086 776,428 40,342 Fines - 195,050 217,045 21,995 Total Revenues 3,746,242 3,889,863 3,889,863 - Expenditures Current Court-Related 3,746,242 3,887,133 3,887,134 (1) Capital Outlay - 2,730 2,729 1 Total Expenditures 3,746,242 3,889,863 3,889,863 - Excess (Deficiency) of Revenues Over (Under) Expenditures - - - - Fund Balance - Beginning - - - - Fund Balance - Ending $ - $ - $ - $ - 110 Packet Pg. 182  Schedule A-19 Okaloosa County, Florida PUBLIC RECORDS MODERNIZATION TRUST SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Charges for Services $ 120,000 $ 120,000 $ 143,343 $ 23,343 Miscellaneous 936,500 936,500 1,457 (935,043) Total Revenues 1,056,500 1,056,500 144,800 (911,700) Expenditures Current General Government - 52,250 52,232 18 Capital Outlay 1,056,500 1,004,250 - 1,004,250 Total Expenditures 1,056,500 1,056,500 52,232 1,004,268 Excess (Deficiency) of Revenues Over (Under) Expenditures - - 92,568 92,568 Net Change in Fund Balance - - 92,568 92,568 Fund Balance - Beginning - - 937,751 937,751 Fund Balance - Ending $ - $ - $ 1,030,319 $ 1,030,319 111 Packet Pg. 183  Schedule A-20 Okaloosa County, Florida PUBLIC RECORDS COURTS SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Charges for Services $ 360,000 $ 360,000 $ 442,440 $ 82,440 Miscellaneous 986,500 986,500 1,611 (984,889) Total Revenues 1,346,500 1,346,500 444,051 (902,449) Expenditures Current Court-Related - 271,400 316,774 (45,374) Capital Outlay 1,346,500 1,075,100 - 1,075,100 Total Expenditures 1,346,500 1,346,500 316,774 1,029,726 Excess (Deficiency) of Revenues Over (Under) Expenditures - - 127,277 127,277 Net Change in Fund Balance - - 127,277 127,277 Fund Balance - Beginning - - 984,171 984,171 Fund Balance - Ending $ - $ - $ 1,111,448 $ 1,111,448 112 Packet Pg. 184  Schedule A-21 Okaloosa County, Florida PUBLIC RECORDS 10% FINE SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Charges for Services $ 180,000 $ 180,000 $ 204,081 $ 24,081 Fines 288,500 288,500 - (288,500) Total Revenues 468,500 468,500 204,081 (264,419) Expenditures Current Court-Related - 31,550 31,536 14 Capital Outlay 468,500 436,950 56,194 380,756 Total Expenditures 468,500 468,500 87,730 380,770 Excess (Deficiency) of Revenues Over (Under) Expenditures - - 116,351 116,351 Net Change in Fund Balance - - 116,351 116,351 Fund Balance - Beginning - - 290,549 290,549 Fund Balance - Ending $ - $ - $ 406,900 $ 406,900 113 Packet Pg. 185  Schedule A-22 Okaloosa County, Florida FEDERAL LAW ENFORCEMENT TRUST SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Miscellaneous $ 74,242 $ 74,242 $ 74,243 $ 1 Total Revenues 74,242 74,242 74,243 1 Expenditures Current Public Safety 335,270 335,270 335,271 (1) Capital Outlay 11,199 11,199 11,199 - Total Expenditures 346,469 346,469 346,470 (1) Excess (Deficiency) of Revenues Over (Under) Expenditures (272,227) (272,227) (272,227) - Other Financing Sources (Uses) Transfers Among Constitutional Officers 272,227 272,227 272,227 - Total Other Financing Sources (Uses) 272,227 272,227 272,227 - Net Change in Fund Balance - - - - Fund Balances - Beginning - - - - Fund Balance - Ending $ - $ - $ - $ - 114 Packet Pg. 186  Schedule A-23 Okaloosa County, Florida TEEN DRIVER CHALLENGE SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Intergovernmental $ - $ - $ - $ - Total Revenues - - - - Expenditures Current Public Safety 47,892 47,892 47,892 - Capital Outlay 20,898 20,898 20,898 - Total Expenditures 68,790 68,790 68,790 - Excess (Deficiency) of Revenues Over (Under) Expenditures (68,790) (68,790) (68,790) - Other Financing Sources (Uses) Transfers Among Constitutional Officers 68,790 68,790 68,790 - Total Other Financing Sources (Uses) 68,790 68,790 68,790 - Net Change in Fund Balance - - - - Fund Balances - Beginning - - - - Fund Balance - Ending $ - $ - $ - $ - 115 Packet Pg. 187  Schedule A-24 Okaloosa County, Florida SECOND DOLLAR PROGRAM SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Intergovernmental $ - $ - $ - $ - Total Revenues - - - - Expenditures Current Public Safety 70,814 70,814 70,814 - Total Expenditures 70,814 70,814 70,814 - Excess (Deficiency) of Revenues Over (Under) Expenditures (70,814) (70,814) (70,814) - Other Financing Sources (Uses) Transfers Among Constitutional Officers 70,814 70,814 70,814 - Total Other Financing Sources (Uses) 70,814 70,814 70,814 - Net Change in Fund Balance - - - - Fund Balances - Beginning - - - - Fund Balance - Ending $ - $ - $ - $ - 116 Packet Pg. 188  Schedule A-25 Okaloosa County, Florida OKALOOSA DEBT SERVICE FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Intergovernmental $ 4,071,500 $ 4,071,500 $ 4,426,843 $ 355,343 Miscellaneous 486,148 486,148 460,167 (25,981) Total Revenues 4,557,648 4,557,648 4,887,010 329,362 Expenditures Current General Government 394,444 384,250 190,750 193,500 Debt Service Principal 713,000 713,000 713,000 - Interest 1,586,473 1,626,997 1,626,624 373 Other Debt Service Costs 1,635 46,635 41,210 5,425 Total Expenditures 2,695,552 2,770,882 2,571,584 199,298 Excess (Deficiency) of Revenues Over (Under) Expenditures 1,862,096 1,786,766 2,315,426 528,660 Other Financing Sources (Uses) Transfers In 700,000 785,524 720,217 (65,307) Transfers Out (2,767,096) (2,767,096) (2,767,096) - Total Other Financing Sources (Uses) (2,067,096) (1,981,572) (2,046,879) (65,307) Net Change in Fund Balance (205,000) (194,806) 268,547 463,353 Fund Balance - Beginning 205,000 194,806 194,807 1 Fund Balance - Ending $ - $ - $ 463,354 $ 463,354 117 Packet Pg. 189  Schedule A-26 Okaloosa County, Florida ROAD AND BRIDGE CONSTRUCTION CAPITAL PROJECTS FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL For the Fiscal Year Ended September 30, 2013 Variance With Final Budget Budgeted Amounts Positive Original Final Actual Amounts (Negative) Revenues Taxes $ 1,800,000 $ 1,800,000 $ 1,779,610 $ (20,390) Intergovernmental 1,830,000 2,484,583 2,064,007 (420,576) Charges for Services - 30,000 30,000 - Miscellaneous 125,000 229,421 (16,425) (245,846) Total Revenues 3,755,000 4,544,004 3,857,192 (686,812) Expenditures Current Transportation 4,405,000 7,896,206 1,009,302 6,886,904 Capital Outlay 6,350,000 7,849,749 2,210,441 5,639,308 Total Expenditures 10,755,000 15,745,955 3,219,743 12,526,212 Excess (Deficiency) of Revenues Over (Under) Expenditures (7,000,000) (11,201,951) 637,449 11,839,400 Other Financing Sources (Uses) Transfers Out - - (800,000) (800,000) Total Other Financing Sources (Uses) - - (800,000) (800,000) Net Change in Fund Balance (7,000,000) (11,201,951) (162,551) 11,039,400 Fund Balance - Beginning 7,000,000 11,201,951 11,201,954 3 Fund Balance - Ending $ - $ - $ 11,039,403 $ 11,039,403 118 Packet Pg. 190 (THIS PAGE INTENTIONALLY LEFT BLANK) Packet Pg. 191  NONMAJOR ENTERPRISE FUNDS Enterprise Funds are used to account for operations that are financed and operated in a manner similar to private business enterprises - where the intent of the Board of County Commissioner of Okaloosa County is that the costs of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges; or where the Board has decided that periodic determination of net income is appropriate for accountability purposes. Board of County Commissioners Inspection and Code Enforcement Fund This fund is used to account for the license, permit and inspection fees and related expenses for the provision of inspection and code enforcement services to residents of the unincorporated areas of Okaloosa County. Emergency Medical Services Fund This fund is used to account for the operation of a county-wide emergency medical technician and paramedic service. Revenue sources include ad valorem property tax subsidy, user charges, and private donations. Packet Pg. 192 Packet Pg. 193  Statement B-1 Okaloosa County, Florida COMBINING NET POSITION NONMAJOR ENTERPRISE FUNDS September 30, 2013 Business-type Activities Total Inspection and Emergency Nonmajor Code Medical Enterprise Funds Enforcement Services (Exhibit VIII) ASSETS Current Assets Cash and Cash Equivalents $ 226,547 $ 591 $ 227,138 Investments 171,304 259 171,563 Receivables, Net of Allowance for Uncollectibles 35,807 4,642,121 4,677,928 Due from Other Funds 40,000 41,918 81,918 Due from Other Elected Officials - 8 8 Prepaids - 2,352 2,352 Total Current Assets 473,658 4,687,249 5,160,907 Noncurrent Assets Capital Assets Intangible 42,425 30,150 72,575 Machinery and Equipment 341,405 4,537,472 4,878,877 Less Accumulated Depreciation (358,968) (3,290,430) (3,649,398) Total Capital Assets (Net of Accumulated Depreciation) 24,862 1,277,192 1,302,054 Total Noncurrent Assets 24,862 1,277,192 1,302,054 Total Assets $ 498,520 $ 5,964,441 $ 6,462,961 Continued… 119 Packet Pg. 194  Statement B-1 Okaloosa County, Florida COMBINING NET POSITION NONMAJOR ENTERPRISE FUNDS September 30, 2013 Business-type Activities Total Inspection and Emergency Nonmajor Code Medical Enterprise Funds Enforcement Services (Exhibit VIII) LIABILITIES AND NET POSITION Liabilities Current Liabilities Accounts Payable $ 12,082 $ 16,387 $ 28,469 Contracts Payable 32 44,598 44,630 Accrued Liabilities Compensated Absences 81,273 206,118 287,391 Other Accrued Liabilities 39,635 245,931 285,566 Due to Other Funds 150,000 201,462 351,462 Due to Other Governments 5,906 210 6,116 Deferred Revenue 18,433 27 18,460 Total Current Liabilities 307,361 714,733 1,022,094 Noncurrent Liabilities Compensated Absences 59,363 90,329 149,692 Other Post Employment Benefits 12,685 103,162 115,847 Total Noncurrent Liabilities 72,048 193,491 265,539 Total Liabilities 379,409 908,224 1,287,633 Net Position Invested in Capital Assets, Net of Related Debt 24,862 1,277,192 1,302,054 Unrestricted 94,249 3,779,025 3,873,274 Total Net Position 119,111 5,056,217 5,175,328 Total Liabilities and Net Position $ 498,520 $ 5,964,441 $ 6,462,961 120 Packet Pg. 195  Statement B-2 Okaloosa County, Florida COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGE IN NET POSITION NONMAJOR ENTERPRISE FUNDS For the Fiscal Year Ended September 30, 2013 Business-type Activities Total Inspection and Emergency Nonmajor Code Medical Enterprise Funds Enforcement Services (Exhibit IX) Operating Revenues Licenses and Permits $ 1,431,427 $ - $ 1,431,427 Charges for Services 191,641 6,500,410 6,692,051 Miscellaneous 5,016 239 5,255 Total Operating Revenues 1,628,084 6,500,649 8,128,733 Operating Expenses Personal Services 1,038,466 5,062,053 6,100,519 Contractual Services 438,326 540,801 979,127 Supplies 40,474 657,670 698,144 Utilities - 26,369 26,369 Other Operating Expenses 61,087 408,648 469,735 Depreciation/Amortization 8,524 401,583 410,107 Total Operating Expenses 1,586,877 7,097,124 8,684,001 Operating Income (Loss) 41,207 (596,475) (555,268) Nonoperating Revenues (Expenses) Taxes - 1,301,342 1,301,342 Intergovernmental - 30,940 30,940 Investment Income 1,661 3,735 5,396 Gain/Loss on Disposal of Capital Assets - (136,046) (136,046) Total Nonoperating Revenues (Expenses) 1,661 1,199,971 1,201,632 Income (Loss) Before Contributions and Transfers 42,868 603,496 646,364 Capital Contributions 1,175 - 1,175 Transfers In - 33,000 33,000 Change in Net Position 44,043 636,496 680,539 Total Net Position - Beginning 75,068 4,419,721 4,494,789 Total Net Position - Ending $ 119,111 $ 5,056,217 $ 5,175,328 121 Packet Pg. 196  Statement B-3 Okaloosa County, Florida COMBINING STATEMENT OF CASH FLOWS NONMAJOR ENTERPRISE FUNDS For the Fiscal Year Ended September 30, 2013 Business-type Activities Total Inspection Emergency Nonmajor and Code Medical Enterprise Funds Enforcement Services (Exhibit X) CASH FLOWS FROM OPERATING ACTIVITIES Receipts from Customers $ 1,623,830 $ 6,035,971 $ 7,659,801 Payments to Suppliers (533,431) (1,970,314) (2,503,745) Payments to Employees (1,026,727) (5,011,257) (6,037,984) Net Cash Provided (Used) by Operating Activities 63,672 (945,600) (881,928) CASH FLOWS FROM NON-CAPITAL FINANCING ACTIVITIES Operating Subsidy - Taxes - 1,301,342 1,301,342 Operating Subsidy - Intergovernmental Revenue - 30,940 30,940 Transfers In - 33,000 33,000 Net interfund Activity 110,000 159,544 269,544 Net Cash Provided (Used) by Non-capital Financing Activities 110,000 1,524,826 1,634,826 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Purchase of Capital Assets (35,859) (589,623) (625,482) Proceeds from Disposal of Capital Assets 34,684 6,724 41,408 Capital Contributions 1,175 - 1,175 Net Cash Provided (Used) by Capital and Related Financing Activities - (582,899) (582,899) NET CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from Sale and Maturities of Investments (70,198) (66) (70,264) Interest Income 1,661 3,735 5,396 Net Cash Provided (Used) by Investing Activities (68,537) 3,669 (64,868) Net Increase (Decrease) in Cash and Cash Equivalents 105,135 (4) 105,131 Cash and Cash Equivalents - Beginning of Year 121,412 595 122,007 Cash and Cash Equivalents - End of Year $ 226,547 $ 591 $ 227,138 Continued… 122 Packet Pg. 197  Statement B-3 Okaloosa County, Florida COMBINING STATEMENT OF CASH FLOWS NONMAJOR ENTERPRISE FUNDS For the Fiscal Year Ended September 30, 2013 Business-type Activities Total Inspection Emergency Nonmajor and Code Medical Enterprise Funds Enforcement Services (Exhibit X) Cash and Cash Equivalents at End of Year Consist of: Current assets $ 226,547 $ 591 $ 227,138 Total $ 226,547 $ 591 $ 227,138 Reconciliation of Operating Income (Loss) to Net Cash Provided (Used) by Operating Activities Operating Income (Loss) $ 41,207 $ (596,475) $ (555,268) Adjustments to Reconcile Operating Income to Net Cash Provided (Used) by Operating Activities Depreciation/Amortization 8,524 401,583 410,107 Decrease (Increase) in Assets Accounts Receivable (7,932) (433,728) (441,660) Due from Other Elected Officials - (2) (2) Prepaid Expenses - (2,142) (2,142) Increase (Decrease) in Liabilities Accounts Payable 11,005 (343,216) (332,211) Service Contracts Payable (319) 8,562 8,243 Due to Other Governments (4,230) (28) (4,258) Compensated Absences Payable 10,537 (5,808) 4,729 Other Accrued Liabilities 414 49,322 49,736 Deferred Revenue 3,678 (30,950) (27,272) Other Post Employment Benefits 788 7,282 8,070 Total Adjustments 22,465 (349,125) (326,660) Net Cash Provided (Used) by Operating Activities $ 63,672 $ (945,600) $ (881,928) 123 Packet Pg. 198 (THIS PAGE INTENTIONALLY LEFT BLANK) Packet Pg. 199  INTERNAL SERVICE FUNDS Internal service funds are used to account for the financing of goods or services provided by one department or agency to other departments or agencies of Okaloosa County and to other government units, on a cost reimbursement basis. Board of County Commissioners Self Insurance This fund is used to account for premiums and claims associated with the provision of self-insurance programs for Okaloosa County. Garage Service Fund This fund is used to account for user charges and expenses associated with vehicle maintenance and the centralized distribution of gasoline and special fuel to various Okaloosa County departments as well as other County agencies. Clerk of the Circuit Court Compensated Absences Fund This fund is used to accumulate and fund the short-term portion of compensated absence liability for the Clerk of the Circuit Court. Sheriff Compensated Absences Fund This fund is used to accumulate and fund the short-term portion of compensated absence liability for the Sheriff. Health Benefits Self Insurance Fund This fund is used to account for premiums and claims associated with the provision of self-insurance of health benefits for the Sheriff and to record the liability for other post employment benefits provided to retirees of the Sheriff. Packet Pg. 200 Packet Pg. 201 Packet Pg. 202  Okaloosa County, Florida COMBINING STATEMENT OF NET POSITION INTERNAL SERVICE FUNDS September 30, 2013 Governmental Clerk of Court Compensated Self Insurance Garage Services Absences ASSETS Current Assets Cash and Cash Equivalents $ 111,142 $ 314 $ 269,338 Investments 22,474 1,360 - Receivables, Net of Allowance for Uncollectibles 75,948 2,170 - Due from Other Elected Officials - 79 - Due from Other Governments - 518,472 - Inventory - 297,228 - Prepaids - 6,126 - Total Current Assets 209,564 825,749 269,338 Noncurrent Assets Capital Assets Land - 316,861 - Buildings - 900,466 - Improvements Other Than Buildings - 257,345 - Machinery and Equipment 23,272 2,794,608 - Less Accumulated Depreciation (23,272) (3,727,878) - Total Capital Assets (Net of Accumulated Depreciation) - 541,402 - Total Noncurrent Assets - 541,402 - Total Assets $ 209,564 $ 1,367,151 $ 269,338 Packet Pg. 203  Statement C-1 Activities Sheriff Sheriff Total Compensated Health Benefits Internal Service Funds Absences Self Insurance (Exhibit VIII) $ 1,382,829 $ 3,529,865 $ 5,293,488 - - 23,834 - - 78,118 - - 79 - 869 519,341 - - 297,228 - - 6,126 1,382,829 3,530,734 6,218,214 - - 316,861 - - 900,466 - - 257,345 - - 2,817,880 - - (3,751,150) - - 541,402 - - 541,402 $ 1,382,829 $ 3,530,734 $ 6,759,616 Continued… 124 Packet Pg. 204  Okaloosa County, Florida COMBINING STATEMENT OF NET POSITION INTERNAL SERVICE FUNDS September 30, 2013 Governmental Clerk of Court Compensated Self Insurance Garage Services Absences LIABILITIES AND NET POSITION Liabilities Current Liabilities Accounts Payable $ 18,396 $ 163,539 $ - Contracts Payable 1,347 4,986 - Accrued Liabilities Compensated Absences 14,971 82,084 269,338 Claims and Judgments 1,881,221 - - Other Accrued Liabilities 7,741 43,511 - Due to Other Funds 5,738 746,933 - Due to Other Governments 174 - - Deferred Revenue 13,358 - - Total Current Liabilities 1,942,946 1,041,053 269,338 Noncurrent Liabilities Compensated Absences 13,896 72,198 - Claims and Judgments 2,613,782 - - Other Post Employment Benefits 2,635 16,547 - Total Noncurrent Liabilities 2,630,313 88,745 - Total Liabilities 4,573,259 1,129,798 269,338 Net Position Invested in Capital Assets, Net of Related Debt - 541,401 - Unrestricted (4,363,695) (304,048) - Total Net Position (4,363,695) 237,353 - Total Liabilities and Net Position $ 209,564 $ 1,367,151 $ 269,338 Packet Pg. 205  Statement C-1 Activities Sheriff Sheriff Total Compensated Health Benefits Internal Service Funds Absences Self Insurance (Exhibit VIII) $ - $ - $ 181,935 - - 6,333 1,369,600 - 1,735,993 - 658,809 2,540,030 - - 51,252 13,229 - 765,900 - - 174 - - 13,358 1,382,829 658,809 5,294,975 - - 86,094 - - 2,613,782 - 3,827,827 3,847,009 - 3,827,827 6,546,885 1,382,829 4,486,636 11,841,860 - - 541,401 - (955,902) (5,623,645) - (955,902) (5,082,244) $ 1,382,829 $ 3,530,734 $ 6,759,616 125 Packet Pg. 206  Okaloosa County, Florida COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION INTERNAL SERVICE FUNDS For the Fiscal Year Ended September 30, 2013 Governmental Clerk of Court Compensated Self Insurance Garage Services Absences Operating Revenues Charges for Services $ 12,290,159 $ 5,582,527 $ 5,751 Miscellaneous 79,648 7,018 - Total Operating Revenues 12,369,807 5,589,545 5,751 Operating Expenses Personal Services 200,025 1,127,572 5,751 Contractual Services 96,380 - - Supplies 2,237 4,409,367 - Insurance Premiums and Claims 13,595,665 - - Utilities - 5,418 - Other Operating Expenses 2,159 329,989 - Depreciation/Amortization - 48,053 - Total Operating Expenses 13,896,466 5,920,399 5,751 Operating Income (Loss) (1,526,659) (330,854) - Nonoperating Revenues (Expenses) Investment Income (Loss) 9,413 (7,605) - Gain/Loss on Disposal of Capital Assets - 44,820 - Total Nonoperating Revenues (Expenses) 9,413 37,215 - Income (Loss) Before Contributions and Transfers (1,517,246) (293,639) - Capital Contributions - 42,825 - Change in Net Position (1,517,246) (250,814) - Total Net Position - Beginning (2,846,449) 488,167 - Total Net Position - Ending $ (4,363,695) $ 237,353 $ - Packet Pg. 207  Statement C-2 Activities Sheriff Sheriff Total Compensated Health Benefits Internal Service Funds Absences Self Insurance (Exhibit IX) $ - $ 3,877,994 $ 21,756,431 - - 86,666 - 3,877,994 21,843,097 - 243,356 1,576,704 - 266,989 363,369 - - 4,411,604 - 3,135,858 16,731,523 - - 5,418 - - 332,148 - - 48,053 - 3,646,203 23,468,819 - 231,791 (1,625,722) - 3,959 5,767 - - 44,820 - 3,959 50,587 - 235,750 (1,575,135) - - 42,825 - 235,750 (1,532,310) - (1,191,652) (3,549,934) $ - $ (955,902) $ (5,082,244) 126 Packet Pg. 208  Okaloosa County, Florida COMBINING STATEMENT OF CASH FLOWS INTERNAL SERVICE FUNDS For the Fiscal Year Ended September 30, 2013 Governmental Clerk of Court Compensated Self Insurance Garage Services Absences CASH FLOWS FROM OPERATING ACTIVITIES Receipts from Customers $ 12,863,280 $ 5,264,760 $ - Receipts from Interfund Services Provided - - 5,751 Payments to Suppliers (13,654,545) (4,233,444) - Payments to Employees (196,470) (1,128,540) - Net Cash Provided (Used) by Operating Activities (987,735) (97,224) 5,751 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Purchase of Capital Assets - (3,441) - Proceeds from Disposal of Capital Assets - 66,582 - Capital Contributions - 42,825 - Net Cash Provided (Used) by Capital and Related Financing Activities - 105,966 - NET CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from Sale and Maturities of Investments 1,059,524 - - Interest Income 9,413 - - Purchases of Investments - (8,759) - Net Cash Provided (Used) by Investing Activities 1,068,937 (8,759) - Net Increase (Decrease) in Cash and Cash Equivalents 81,202 (17) 5,751 Cash and Cash Equivalents - Beginning of Year 29,940 331 263,587 Cash and Cash Equivalents - End of Year $ 111,142 $ 314 $ 269,338 Cash and Cash Equivalents at End of Year Consist of: Current assets $ 111,142 $ 314 $ 269,338 Total $ 111,142 $ 314 $ 269,338 Packet Pg. 209  Statement C-3 Activities Total Sheriff Sheriff Internal Service Compensated Health Benefits Funds Absences Self Insurance (Exhibit X) $ - $ - $ 18,128,040 8,286 4,265,838 4,279,875 - (3,896,823) (21,784,812) - - (1,325,010) 8,286 369,015 (701,907) - - (3,441) - - 66,582 - - 42,825 - - 105,966 - - 1,059,524 - 3,959 13,372 - - (8,759) - 3,959 1,064,137 8,286 372,974 468,196 1,374,543 3,156,891 4,825,292 $ 1,382,829 $ 3,529,865 $ 5,293,488 $ 1,382,829 $ 3,529,865 $ 5,293,488 $ 1,382,829 $ 3,529,865 $ 5,293,488 127 Packet Pg. 210  Okaloosa County, Florida COMBINING STATEMENT OF CASH FLOWS INTERNAL SERVICE FUNDS For the Fiscal Year Ended September 30, 2013 Governmental Clerk of Court Compensated Self Insurance Garage Services Absences Reconciliation of Operating Income (Loss) to Net Cash Provided (Used) by Operating Activities Operating Income (Loss) $ (1,526,659) $ (330,854) $ - Adjustments to Reconcile Operating Income to Net Cash Provided (Used) by Operating Activities Depreciation/Amortization - 48,053 - Decrease (Increase) in Assets Accounts Receivable (944) 4,615 - Due from Other Funds - - - Due from Other Elected Officials 97 61 - Due from Other Governments - (329,400) - Inventories - 14,705 - Prepaid Expenses 24,869 (6,126) - Adjustments to Reconcile Operating Income to Net Cash Provided (Used) by Operating Activities - Continued Increase (Decrease) in Liabilities Accounts Payable 9,876 (244,370) - Service Contracts Payable 1,142 127 - Due to Other Funds 5,738 746,933 - Due to Other Governments 174 - - Compensated Absences Payable 2,743 (3,836) 5,751 Claims and Judgments Payable 490,362 - - Other Accrued Liabilities 615 1,687 - Deferred Revenue 4,055 - - Other Post Employment Benefits 197 1,181 - Total Adjustments 538,924 233,630 5,751 Net Cash Provided (Used) by Operating Activities $ (987,735) $ (97,224) $ 5,751 Packet Pg. 211  Statement C-3 Activities Total Sheriff Sheriff Internal Service Compensated Health Benefits Funds Absences Self Insurance (Exhibit X) $ - $ 231,791 $ (1,625,722) - - 48,053 - - 3,671 8,286 - 8,286 - - 158 - 387,841 58,441 - - 14,705 - - 18,743 - - (234,494) - - 1,269 13,229 - 765,900 - - 174 (13,229) - (8,571) - (493,973) (3,611) - - 2,302 - - 4,055 - 243,356 244,734 8,286 137,224 923,815 $ 8,286 $ 369,015 $ (701,907) 128 Packet Pg. 212 (THIS PAGE INTENTIONALLY LEFT BLANK) Packet Pg. 213  Agency Funds Agency funds are used to account for assets held by the Okaloosa County as agent for individuals, private organizations, other governments, and/or other funds. Clerk of Circuit Court Fine and Forfeiture Fund This fund is used to account for the collection and disbursement of fines and court costs to Okaloosa County, State of Florida, and Municipalities. These fines and costs sources are generated from traffic, misdemeanor, felony and court ordered probation. Jury and Witness Fund This fund is used to account for the juror and witness payments received from Okaloosa County and State of Florida and subsequent disbursement to jurors and witnesses for court services. Tax Deed Fund This fund is used to account for the collection and disbursement of child support and alimony payments, pursuant to orders of the court. Support Fund This fund is used to account for the collection and disbursement of child support and alimony payments, pursuant to orders of the court. Registry of Court Fund This fund is used to account for court ordered deposits that are held pending litigation and disbursed based on final disposition by the court. State Trust Fund This fund is used to account for various taxes, fees and service charges collected by the Clerk’s office and remitted to the State of Florida. Probation Fee Trust Fund This fund is used to account for collection of certain court costs on traffic and misdemeanor cases and their subsequent disbursement to Bridgeway Center, Inc. to fund education costs. Escrow Trust Fund This fund is used to account for deposits from title companies and is used to pay for monthly copy usage. These accounts are reconciled monthly and copy revenue earned is transferred to the Clerk’s General Fund. This fund also accounts for escrow funds from Circuit and County Court cases. Juvenile Trust Fund This fund is used to account for the collection and disbursement of Juvenile Restitution payments, pursuant to orders of the court. These funds are disbursed to the victim in each case. Foreclosure Escrow Trust Fund This fund is used to account for court ordered deposits from foreclosure sales until final certificates of disbursement are issued. Cash Bond Trust Fund This fund is used to account for the receipt and disbursement of cash bond monies as directed by the court. Sheriff Suspense (Levies) Fund This fund is used to account for monies collected and disbursed pursuant to levies. Tax Collector Disbursements Fund This fund is used to account for collection of current and delinquent property tax assessments as well as licenses and fees, tourist tax, and birth certificates collected on behalf of Okaloosa County, municipalities and other taxing districts. Packet Pg. 214 Packet Pg. 215  Statement D-1 Okaloosa County, Florida COMBINING STATEMENT OF FIDUCIARY NET POSITION AGENCY FUNDS September 30, 2013 Fine Jury Registry and and Tax of BCC State Probation Forfeiture Witness Deed Support Court Trust Trust Fee Trust ASSETS Cash and Cash Equivalents $ 401,741 $ 30,156 $ 166,537 $ 70,187 $ 1,845,860 $ 31,834 $ 74,379 $ 334 Investments - - - - - - - - Accounts Receivable 183 - - 3,825 - - - - Due from Other Funds - - - 669 - - - - Due from Other Elected Officials 340 - - - - - - - Due from Other Governments - - - - - - - - Total Assets $ 402,264 $ 30,156 $ 166,537 $ 74,681 $ 1,845,860 $ 31,834 $ 74,379 $ 334 LIABILITIES Liabilities Due to Other Funds $ - $ - $ - $ 5,783 $ - $ - $ - $ - Due to Other Elected Officials 94,111 - - - - 31,834 - - Due to Other Governments 308,153 - - 417 - - 74,379 - Due to Depositors - 30,156 166,537 68,481 1,845,860 - - 334 Taxes Collected in Advance - - - - - - - - Total Liabilities 402,264 30,156 166,537 74,681 1,845,860 31,834 74,379 334 NET ASSETS $ - $ - $ - $ - $ - $ - $ - $ - Continued… 129 Packet Pg. 216  Statement D-1 Okaloosa County, Florida COMBINING STATEMENT OF FIDUCIARY NET POSITION AGENCY FUNDS September 30, 2013 Foreclosure Total Escrow Juvenile Escrow Cash Bond Individual Suspense Agency Funds Trust Trust Trust Trust Depositors (Levies) Disbursements (Exhibit XI) ASSETS Cash and Cash Equivalents $ 145,391 $ 1,074 $ 709,799 $ 222,933 $ 14,674 $ 9,910 $ 1,387,301 $ 5,112,110 Investments - - - - - - - - Accounts Receivable - - - - - - 11,749 15,757 Due from Other Funds - - - - - - - 669 Due from Other Elected Officials - - - - - - - 340 Due from Other Governments - - - - - - - - Total Assets $ 145,391 $ 1,074 $ 709,799 $ 222,933 $ 14,674 $ 9,910 $ 1,399,050 $ 5,128,876 LIABILITIES Liabilities Due to Other Funds $ - $ - $ 1,995 $ - $ - $ - $ - $ 7,778 Due to Other Elected Officials - - - - 14,674 - - 140,619 Due to Other Governments - - - - - - 17,520 400,469 Due to Depositors 145,391 1,074 707,804 222,933 - 9,910 43,999 3,242,479 Taxes Collected in Advance - - - - - - 1,337,531 1,337,531 Total Liabilities 145,391 1,074 709,799 222,933 14,674 9,910 1,399,050 5,128,876 NET ASSETS $ - $ - $ - $ - $ - $ - $ - $ - 130 Packet Pg. 217  Statement D-2 Okaloosa County, Florida COMBINING STATEMENT OF CHANGES IN NET POSITION AGENCY FUNDS For the Fiscal Year Ended September 30, 2013 Balances Balances October 1, September 30, 2012 Additions Deletions 2013 FINE AND FORFEITURE AGENCY FUND* ASSETS Cash and Cash Equivalents $ 656,311 $ 9,066,474 $ 9,321,044 $ 401,741 Accounts Receivable - 2,559 2,376 183 Due from Other Elected Officials - 340 - 340 Total Assets $ 656,311 $ 9,069,373 $ 9,323,420 $ 402,264 LIABILITIES Due to Other Elected Officials $ - $ 1,361,191 $ 1,267,080 $ 94,111 Due to Other Governments 656,311 7,788,612 8,136,770 308,153 Total Liabilities $ 656,311 $ 9,149,803 $ 9,403,850 $ 402,264 JURY AND WITNESS AGENCY FUND ASSETS Cash and Cash Equivalents $ 33,330 $ 30,661 $ 33,835 $ 30,156 LIABILITIES Due to Depositors $ 33,330 $ 30,661 $ 33,835 $ 30,156 TAX DEED AGENCY FUND* ASSETS Cash and Cash Equivalents $ 240,724 $ 499,857 $ 574,044 $ 166,537 LIABILITIES Due to Depositors $ 240,724 $ 499,857 $ 574,044 $ 166,537 SUPPORT AGENCY FUND ASSETS Cash and Cash Equivalents $ 69,633 $ 4,058,744 $ 4,058,190 $ 70,187 Accounts Receivable 3,995 18,339 18,509 3,825 Due from Other Funds - 669 - 669 Total Assets $ 73,628 $ 4,077,752 $ 4,076,699 $ 74,681 LIABILITIES Due to Other Funds $ - $ 8,344 $ 2,561 $ 5,783 Due to Other Governments 438 5,995 6,016 417 Due to Depositors 73,190 4,054,512 4,059,221 68,481 Total Liabilities $ 73,628 $ 4,068,851 $ 4,067,798 $ 74,681 Continued… 131 Packet Pg. 218  Statement D-2 Okaloosa County, Florida COMBINING STATEMENT OF CHANGES IN NET POSITION AGENCY FUNDS For the Fiscal Year Ended September 30, 2013 Balances Balances October 1, September 30, 2012 Additions Deletions 2013 REGISTRY OF COURT AGENCY FUND ASSETS Cash and Cash Equivalents $ 2,808,050 $ 9,160,487 $ 10,122,677 $ 1,845,860 LIABILITIES Due to Depositors $ 2,808,050 $ 9,152,956 $ 10,115,146 $ 1,845,860 BOARD OF COUNTY COMMISSIONERS TRUST AGENCY FUND* ASSETS Cash and Cash Equivalents $ - $ 466,652 $ 434,818 $ 31,834 LIABILITIES Due to Other Elected Officials $ - $ 466,652 $ 434,818 $ 31,834 STATE TRUST AGENCY FUND ASSETS Cash and Cash Equivalents $ 369,588 $ 23,550,617 $ 23,845,826 $ 74,379 LIABILITIES Due to Other Governments $ 369,588 $ 23,550,617 $ 23,845,826 $ 74,379 PROBATION FEE TRUST FUND ASSETS Cash and Cash Equivalents $ 1,932 $ 1,175 $ 2,773 $ 334 LIABILITIES Due to Depositors $ 1,932 $ 1,175 $ 2,773 $ 334 ESCROW AGENCY FUND ASSETS Cash and Cash Equivalents $ 168,549 $ 375,461 $ 398,619 $ 145,391 LIABILITIES Due to Depositors $ 168,549 $ 375,461 $ 398,619 $ 145,391 Continued… 132 Packet Pg. 219  Statement D-2 Okaloosa County, Florida COMBINING STATEMENT OF CHANGES IN NET POSITION AGENCY FUNDS For the Fiscal Year Ended September 30, 2013 Balances Balances October 1, September 30, 2012 Additions Deletions 2013 JUVENILE TRUST AGENCY FUND* ASSETS Cash and Cash Equivalents $ 710 $ 23,783 $ 23,419 $ 1,074 LIABILITIES Due to Depositors $ 710 $ 23,879 $ 23,515 $ 1,074 FORECLOSURE ESCROW AGENCY FUND* ASSETS Cash and Cash Equivalents $ 577,120 $ 10,219,116 $ 10,086,437 $ 709,799 LIABILITIES Due to Other Funds $ - $ 1,995 $ - $ 1,995 Due to Depositors 577,120 10,198,466 10,067,782 707,804 $ 577,120 $ 10,200,461 $ 10,067,782 $ 709,799 CASH BOND TRUST AGENCY FUND ASSETS Cash and Cash Equivalents $ 139,253 $ 787,564 $ 703,884 $ 222,933 LIABILITIES Due to Depositors $ 139,253 $ 790,752 $ 707,072 $ 222,933 INDIVIDUAL DEPOSITORS AGENCY FUND* ASSETS Cash and Cash Equivalents $ - $ 16,400 $ 1,726 $ 14,674 LIABILITIES Due to Other Elected Officials $ - $ 16,400 $ 1,726 $ 14,674 SUSPENSE (LEVIES) AGENCY FUND ASSETS Cash and Cash Equivalents $ 6,303 $ 3,607 $ - $ 9,910 LIABILITIES Due to Depositors $ 6,303 $ 3,607 $ - $ 9,910 Continued… 133 Packet Pg. 220  Statement D-2 Okaloosa County, Florida COMBINING STATEMENT OF CHANGES IN NET POSITION AGENCY FUNDS For the Fiscal Year Ended September 30, 2013 Balances Balances October 1, September 30, 2012 Additions Deletions 2013 DISBURSEMENTS AGENCY FUND ASSETS Cash and Cash Equivalents $ 1,026,943 $ 218,183,247 $ 217,822,889 $ 1,387,301 Accounts Receivable 19,465 11,749 19,465 11,749 Total Assets $ 1,046,408 $ 218,194,996 $ 217,842,354 $ 1,399,050 LIABILITIES Due to Other Funds $ - $ 166,033,839 $ 166,033,839 $ - Due to Other Elected Officials - 5,043,630 5,043,630 - Due to Other Governments 29,162 44,296,365 44,308,007 17,520 Due to Depositors 46,894 43,999 46,894 43,999 Taxes Collected in Advance 970,352 2,777,163 2,409,984 1,337,531 Total Liabilities $ 1,046,408 $ 47,117,527 $ 46,764,885 $ 1,399,050 TOTAL - ALL AGENCY FUNDS ASSETS Cash and Cash Equivalents $ 6,098,446 $ 276,443,845 $ 277,430,181 $ 5,112,110 Accounts Receivable 23,460 32,647 40,350 15,757 Due from Other Funds - 669 - 669 Due from Other Elected Officials - 340 - 340 Due from Other Governments - - - - Total Assets $ 6,121,906 $ 276,477,501 $ 277,470,531 $ 5,128,876 LIABILITIES Due to Other Funds $ - $ 166,044,178 $ 166,036,400 $ 7,778 Due to Other Elected Officials - 6,871,473 6,745,528 140,619 Due to Other Governments 1,055,499 75,641,589 76,296,619 400,469 Due to Depositors 4,096,055 25,175,325 26,028,901 3,242,479 Taxes Collected in Advance 970,352 2,777,163 2,409,984 1,337,531 Total Liabilities $ 6,121,906 $ 276,509,728 $ 277,517,432 $ 5,128,876 * Reclassification to conform to current year presentation. 134 Packet Pg. 221 STATISTICAL SECTION Packet Pg. 222 Packet Pg. 223  Statistical Section This part of Okaloosa County, Florida's comprehensive annual financial report presents detailed information as a context of understanding what the information in the financial statements, note disclosures, and required supplementary information says about the government's overall financial health. The following types of schedules are included. Financial Trends These schedules contain trend information to help the reader understand how the government's financial performance and well-being have changed over time. Revenue Capacity These schedules contain information to help the reader assess the government's most significant local revenue source, the property tax. Debt Capacity These schedules present information to help the reader assess the affordability of the government's current levels of outstanding debt and the government's ability to issue additional debt in the future. The statistical schedule mandated by the GASB's Codification, Section 2800, concerning legal debt margin is omitted because the County has no established debt limitation. Demographic and Economic Information These schedules offer demographic and economic indicators to help the reader understand the environment within which the government's financial activities take place. Operating Information These schedules contain service and infrastructure data to help the reader understand how the information in the government's financial report relates to the services the government provides and the activities it performs. Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive annual financial reports for the relevant year. Packet Pg. 224 Packet Pg. 225 Packet Pg. 226 UNAUDITED SCHEDULE 1 NET POSITION BY CATEGORY - LAST NINE FISCAL YEARS * - (ACCRUAL BASIS OF ACCOUNTING ) FISCAL YEAR (amounts in thousands) 2005 2006 2007 2008 2009 2010 2011 2012 2013 GOVERNMENTAL ACTIVITIES: INVESTED IN CAPITAL ASSETS, NET OF RELATED DEBT $87,817 $104,807 $114,990 $118,399 $136,255 $133,206 $131,864 $135,627 $134,735 RESTRICTED: DEBT SERVICE $1,165 $810 $491 $467 $485 $1,174 $431 $994 $463 OTHER PURPOSES $8,793 $9,707 $11,190 $15,537 $19,153 $31,866 $38,864 $36,326 $32,871 UNRESTRICTED (DEFICIT) $22,725 $31,083 $23,766 $24,418 $18,709 $4,244 $1,865 $2,534 ($265) TOTAL GOVERNMENTAL ACTIVITIES NET POSITION $120,500 $146,407 $150,437 $158,821 $174,602 $170,490 $173,024 $175,481 $167,804 BUSINESS-TYPE ACTIVITIES INVESTED IN CAPITAL ASSETS, NET OF RELATED DEBT $142,566 $150,847 $159,248 $177,168 $180,105 $184,811 $203,224 $214,734 $214,514 RESTRICTED: DEBT SERVICE $3,409 $10,075 $8,388 $10,068 $12,650 $13,654 $7,579 $10,262 $9,496 OTHER PURPOSES $8,818 $10,092 $11,167 $10,570 $10,262 $10,249 $11,090 $11,773 $16,888 UNRESTRICTED $27,942 $23,140 $28,517 $21,632 $15,200 $17,827 $25,367 $21,613 $25,916 TOTAL BUSINESS-TYPE ACTIVITIES NET POSITION $182,735 $194,154 $207,320 $219,438 $218,217 $226,541 $247,260 $258,382 $266,814 PRIMARY GOVERNMENT INVESTED IN CAPITAL ASSETS, NET OF RELATED DEBT $230,383 $255,654 $274,238 $295,567 $316,360 $318,017 $335,088 $350,361 $349,249 RESTRICTED: DEBT SERVICE $4,574 $10,885 $8,879 $10,535 $13,135 $14,828 $8,010 $11,256 $9,959 OTHER PURPOSES $17,611 $19,799 $22,357 $26,107 $29,415 $42,115 $49,954 $48,099 $49,759 UNRESTRICTED $50,667 $54,223 $52,283 $46,050 $33,909 $22,071 $27,232 $24,147 $25,651 TOTAL PRIMARY GOVERNMENT NET POSITION $303,235 $340,561 $357,757 $378,259 $392,819 $397,031 $420,284 $433,863 $434,618 135 Packet Pg. 227  Net Position by Category Last Nine Fiscal Years $450.0 21.6 25.9 25.4 22.0 26.4 $400.0 15.2 17.8 18.7 21.6 22.9 23.9 28.5 20.6 $350.0 23.1 19.6 20.2 $300.0 27.9 214.7 12.2 203.2 214.5 180.1 184.8 177.2 $250.0 159.2 150.8 $200.0 142.6 4.2 1.9 2.5 18.7 33.0 39.3 37.3 33.3 24.4 19.6 $150.0 23.8 31.1 16.0 11.7 22.7 10.5 $100.0 10.0 136.3 133.2 131.9 135.6 134.7 115.0 118.4 104.8 87.8 $50.0 (0.3) $ 2005 2006 2007 2008 2009 2010 2011 2012 2013 $(50.0) Year Government Capital Government Restricted Government Unrestricted Business Capital Business Restricted Business Unrestricted Packet Pg. 228 UNAUDITED SCHEDULE 2 CHANGES IN NET POSITION - LAST NINE FISCAL YEARS * - (ACCRUAL BASIS OF ACCOUNTING) FISCAL YEAR (amounts in thousands) 2005 2006 2007 2008 2009 2010 2011 2012 2013 EXPENSES GOVERNMENTAL ACTIVITIES: GENERAL GOVERNMENT $25,088 $27,579 $31,202 $34,777 $31,008 $32,146 $31,726 $30,552 $28,715 PUBLIC SAFETY 38,476 41,752 47,315 49,963 53,499 47,995 45,335 46,360 45,296 PHYSICAL ENVIRONMENT 599 928 897 1,138 867 2,594 2,148 933 1,502 TRANSPORTATION 14,955 16,736 16,809 17,229 18,901 18,922 17,728 16,245 14,632 ECONOMIC ENVIRONMENT 14,182 7,966 6,581 6,471 7,456 8,980 9,290 5,563 4,983 HUMAN SERVICES 4,061 4,651 4,851 4,964 5,110 4,672 4,454 4,352 4,500 CULTURE AND RECREATION 3,426 3,695 8,496 5,069 4,500 5,031 4,007 5,902 11,997 COURT-RELATED 7,593 8,256 11,661 9,088 8,082 7,390 7,118 6,634 7,589 INTEREST AND FISCAL CHARGES 185 302 264 181 116 1,138 1,531 1,692 1,745 TOTAL GOVERNMENTAL EXPENSES $108,565 $111,865 $128,076 $128,880 $129,539 $128,868 $123,337 $118,233 $120,959 BUSINESS-TYPE ACTIVITIES: WATER AND SEWER $19,391 $20,892 $25,078 $25,057 $24,067 $25,752 $27,124 $26,149 $27,657 AIRPORT 8,632 6,832 7,649 8,363 9,804 10,575 12,527 12,928 12,450 SOLID WASTE 9,069 8,577 9,517 9,757 8,404 7,757 6,874 7,438 7,684 INSPECTIONS 2,206 2,398 2,207 1,582 1,245 7,561 1,149 1,600 1,588 EMERGENCY MEDICAL SERVICES 5,704 5,872 6,770 7,326 7,504 1,241 7,495 6,933 7,234 CONFERENCE CENTER 3,725 3,811 4,258 4,556 4,817 4,424 3,754 4,301 3,153 TOTAL BUSINESS-TYPE EXPENSES $48,727 $48,382 $55,479 $56,641 $55,841 $57,310 $58,923 $59,349 $59,766 TOTAL PRIMARY GOVERNMENT EXPENSES $157,292 $160,247 $183,555 $185,521 $185,380 $186,178 $182,260 $177,582 $180,725 PROGRAM REVENUES - GOVERNMENTAL ACTIVITIES: CHARGES FOR SERVICES GENERAL GOVERNMENTAL $11,708 $11,757 $12,503 $11,996 $10,590 $10,488 $11,002 $12,364 $11,378 OTHER 13,213 15,818 14,433 17,218 17,359 12,287 15,752 13,332 14,090 OPERATING GRANTS AND CONTRIBUTIONS 22,627 13,854 10,986 6,167 10,843 9,867 7,675 8,354 5,845 CAPITAL GRANTS AND CONTRIBUTIONS 2,271 3,323 526 579 7,611 4,287 2,611 6,240 1,249 TOTAL GOVERNMENT PROGRAM REVENUE $49,819 $44,752 $38,448 $35,960 $46,403 $36,929 $37,040 $40,290 $32,562 BUSINESS-TYPE ACTIVITIES: CHARGES FOR SERVICES WATER & SEWER $21,206 $22,387 $22,403 $24,207 $22,662 $24,107 $25,686 $26,025 $26,778 OTHER 21,791 21,915 23,750 25,857 25,613 26,086 27,742 28,186 29,176 OPERATING GRANTS AND CONTRIBUTIONS 980 868 1,081 771 584 797 548 338 528 CAPITAL GRANTS AND CONTRIBUTIONS 8,897 5,716 9,927 9,204 6,226 9,027 18,035 10,292 4,720 TOTAL BUSINESS-TYPE PROGRAM REVENUE $52,874 $50,886 $57,161 $60,039 $55,085 $60,017 $72,011 $64,841 $61,202 TOTAL PRIMARY GOVERNMENT PROGRAM REVENUES $102,693 $95,638 $95,609 $95,999 $101,488 $96,946 $109,051 $105,131 $93,764 NET (EXPENSE)/REVENUE GOVERNMENT ACTIVITIES ($58,746) ($67,113) ($89,628) ($92,920) ($83,136) ($91,939) ($86,297) ($77,943) ($88,397) BUSINESS-TYPE ACTIVITIES $4,147 $2,504 $1,682 $3,398 ($756) $2,707 $13,088 $5,492 $1,436 TOTAL PRIMARY GOVERNMENT NET EXPENSE ($54,599) ($64,609) ($87,946) ($89,522) ($83,892) ($89,232) ($73,209) ($72,451) ($86,961) GENERAL REVENUES GOVERNMENTAL ACTIVITIES: TAXES $54,145 $66,042 $73,868 $76,704 $68,952 $64,567 $61,192 $58,759 $58,010 STATE SHARED REVENUE 18,586 19,823 19,004 17,573 16,130 15,801 16,880 17,041 17,801 GRANT AND CONTRIBUTIONS NOT RESTRICTED 1,137 2,591 782 2,033 256 1,725 6,622 360 124 OTHER 2,615 4,563 4,725 3,710 3,783 5,734 4,137 4,241 4,785 TOTAL GOVERNMENTAL ACTIVITIES $76,483 $93,019 $98,379 $100,020 $89,121 $87,827 $88,831 $80,401 $80,720 BUSINESS-TYPE ACTIVITIES: TAXES $5,638 $6,497 $6,746 $6,869 $5,825 $4,830 $6,810 $6,780 $6,709 STATE SHARED REVENUE 0 0 0 0 0 0 0 0 0 GRANT AND CONTRIBUTIONS NOT RESTRICTED 8 674 (300) 96 25 0 0 0 0 OTHER 498 1,745 5,037 3,039 (6,594) 786 823 (1,151) 287 TOTAL BUSINESS-TYPE ACTIVITIES $6,144 $8,916 $11,483 $10,004 ($744) $5,616 $7,633 $5,629 $6,996 CHANGES IN NET POSITION GOVERNMENTAL ACTIVITIES $17,737 $25,906 $8,751 $7,100 $5,985 ($4,112) $2,534 $2,458 ($7,677) BUSINESS-TYPE ACTIVITIES $10,291 $11,420 $13,165 $13,402 ($1,500) $8,323 $20,721 $11,121 $8,432 TOTAL PRIMARY GOVERNMENT $28,028 $37,326 $21,916 $20,502 $4,485 $4,211 $23,255 $13,579 $755 Packet Pg. 229  Changes in Net Position Primary Government Last Nine Fiscal Years $250.0 205.5 206.0 205.5 197.6 $200.0 191.2 189.9 190.4 185.3 185.5 185.4 186.2 183.6 182.3 181.5 180.7 177.6 160.2 157.3 $150.0 $100.0 $50.0 $ 2005 2006 2007 2008 2009 2010 2011 2012 2013 Primary Govt Revenue Primary Govt Expense Packet Pg. 230 UNAUDITED SCHEDULE 3 FUND BALANCES -GOVERNMENTAL FUNDS - LAST TEN FISCAL YEARS FISCAL YEAR PRE-GASB 54 (modified accrual basis of accounting) 2004 2005 2006 2007 2008 2009 2010 GENERAL FUND RESERVED $1,097,214 $1,938,678 $1,369,275 $1,812,954 $2,797,024 $4,150,682 $2,897,805 UNRESERVED 1,029,675 2,298,682 4,748,244 5,220,535 4,937,348 2,866,210 1,879,189 TOTAL GENERAL FUND 2,126,889 4,237,360 6,117,519 7,033,489 7,734,372 7,016,892 4,776,994 ALL OTHER GOVERNMENTAL FUNDS RESERVED 9,008,718 8,853,686 8,926,974 10,205,357 12,946,707 15,218,909 35,273,294 UNRESERVED, REPORTED IN: SPECIAL REVENUE FUNDS (4,122,276) 3,062,924 11,623,002 7,136,986 6,561,536 8,143,049 10,305,647 CAPITAL OUTLAY FUNDS 13,841,110 16,694,319 18,982,709 20,060,394 19,778,366 18,039,439 14,324,892 TOTAL ALL OTHER GOVERNMENTAL FUNDS 18,727,552 28,610,929 39,532,685 37,402,737 39,286,609 41,401,397 59,903,833 TOTAL FUND BALANCES $20,854,441 $32,848,289 $45,650,204 $44,436,226 $47,020,981 $48,418,289 $64,680,827 POST-GASB 54 2011 2012 2013 GENERAL FUND NONSPENDABLE $347,376 $284,264 $346,136 RESTRICTED - - - COMMITTED 26,833 26,808 26,808 ASSIGNED - - - UNASSIGNED 3,562,434 8,112,239 6,595,043 TOTAL GENERAL FUND 3,936,643 8,423,311 6,967,987 ALL OTHER GOVERNMENTAL FUNDS NONSPENDABLE 1,064,068 644,538 89,494 RESTRICTED 38,051,645 35,934,149 37,677,535 COMMITTED 542,977 579,899 562,599 ASSIGNED 9,861,148 4,992,479 3,103,981 UNASSIGNED (1,064,068) (630,376) (68,114) TOTAL ALL OTHER GOVERNMENTAL FUNDS 48,455,770 41,520,689 41,365,495 TOTAL FUND BALANCES $52,392,413 $49,944,000 $48,333,482 Packet Pg. 231  Fund Balances Governmental Funds Last Ten Fiscal Years $70.0 64.7 59.9 $60.0 52.4 49.9 $50.0 48.5 48.4 48.3 47.0 45.7 44.4 41.4 41.5 41.4 $40.0 39.5 39.3 37.4 32.8 $30.0 28.6 $20.0 18.7 $10.0 9.0 8.4 7.7 7.0 7.0 7.0 6.1 4.8 4.2 3.9 2.1 $ Total General Fund Total All Other Governmental Total Fund Balances 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Packet Pg. 232 UNAUDITED SCHEDULE 4 CHANGES IN FUND BALANCES-GOVERNMENTAL FUNDS-LAST TEN FISCAL YEARS FISCAL YEAR 2003 2004 2006 2007 2008 2009 2010 2011 2012 2013 REVENUES TAXES $44,079,158 $48,610,746 $66,042,747 $73,867,055 $73,373,458 $72,281,816 $64,566,859 $61,193,262 $58,759,403 $58,009,904 LICENSES & PERMITS $211,365 $307,090 $284,662 $214,234 $9,100 $1,380,759 $1,327,905 $1,325,765 $1,335,069 $816,294 INTERGOVERNMENTAL $25,736,508 $29,948,522 $42,539,492 $31,531,631 $30,009,477 $35,475,825 $36,535,915 $33,113,485 $34,752,396 $30,863,164 CHARGES FOR SERVICES $16,763,572 $19,859,820 $24,735,690 $23,289,780 $22,131,456 $20,050,104 $16,832,903 $16,703,982 $18,066,625 $18,655,266 FINES & FORFEITURES $340,185 $253,841 $719,436 $2,522,536 $1,611,445 $311,933 $263,008 $366,891 $465,016 $476,561 MISCELLANEOUS $2,698,607 $1,908,070 $6,305,145 $5,359,597 $6,452,039 $4,053,181 $6,474,468 $9,896,129 $6,602,495 $3,307,732 TOTAL REVENUES $89,829,395 $100,888,089 $140,627,172 $136,784,833 $133,586,975 $133,553,618 $126,001,058 $122,599,514 $119,981,004 $112,128,921 EXPENDITURES GENERAL GOVERNMENT SERVICES $21,570,112 $22,138,458 $26,533,691 $29,818,265 $33,527,359 $31,564,827 $30,831,739 $29,385,011 $28,153,161 $26,836,490 PUBLIC SAFETY $30,967,864 $33,702,978 $39,715,240 $45,003,091 $47,406,613 $48,819,375 $44,472,469 $43,923,618 $43,331,001 $44,072,056 PHYSICAL ENVIRONMENT $984,816 $539,630 $769,308 $869,499 $952,412 $822,003 $2,267,404 $2,190,121 $1,012,021 $1,052,328 TRANSPORTATION $10,585,261 $10,757,562 $13,126,158 $12,859,021 $13,124,250 $14,177,430 $14,276,604 $13,049,151 $12,403,808 $11,660,285 ECONOMIC ENVIRONMENT $5,465,572 $12,205,205 $7,793,104 $6,387,789 $6,297,322 $7,415,472 $9,052,837 $9,158,215 $5,077,420 $4,941,758 HUMAN SERVICES $3,385,124 $3,736,433 $4,372,186 $4,538,445 $4,654,542 $4,803,243 $4,323,033 $4,111,405 $4,020,503 $4,185,618 CULTURE AND RECREATION $2,116,443 $2,464,105 $3,355,917 $8,137,562 $4,494,534 $3,887,890 $4,452,522 $3,419,210 $5,330,917 $11,418,463 COURT RELATED $6,633,646 $6,733,490 $7,947,657 $11,448,620 $8,752,790 $8,114,665 $7,102,441 $6,824,745 $6,795,357 $7,158,838 CAPITAL OUTLAY $14,274,768 $9,943,885 $26,494,998 $16,993,757 $11,226,400 $12,625,889 $18,693,921 $25,526,067 $10,304,163 $5,427,895 PRINCIPAL RETIREMENT $1,683,484 $809,166 $818,774 $1,934,681 $1,737,530 $587,575 $587,505 $582,411 $3,050,000 $713,000 INTEREST $29,792 $46,392 $48,794 $66,319 $85,381 $45,532 $435,901 $1,479,158 $1,587,593 $1,626,624 OTHER CHARGES $1,587 $1,500 $2,000 $23,699 $24,187 $22,836 $692,498 $96,448 $19,768 $41,210 TOTAL EXPENDITURES $97,698,469 $103,078,804 $130,977,827 $138,080,748 $132,283,320 $132,886,737 $137,188,874 $139,745,560 $121,085,712 $119,134,565 EXCESS OF REVENUES OVER(UNDER) EXPENDITURES ($7,869,074) ($2,190,715) $9,649,345 ($1,295,915) $1,303,655 $666,881 ($11,187,816) ($17,146,046) ($1,104,708) ($7,005,644) OTHER FINANCING SOURCES (USES) SPECIAL ITEM $0 $0 $0 $0 $0 $0 $0 $0 ($2,007,041) $0 TRANSFERS IN $5,021,377 $6,648,881 $7,908,387 $9,898,053 $9,066,308 $8,965,209 $7,963,351 $11,551,302 $11,920,643 $6,333,962 TRANSFERS OUT ($4,478,111) ($6,223,181) ($7,305,817) ($8,895,030) ($7,782,208) ($8,234,782) ($6,876,756) ($10,293,670) ($11,257,307) ($5,938,836) BUDGET TRANSFERS AMOUNG CONSTITUTIONAL OFFICERS $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 PROCEEDS FROM CAPITAL LEASES $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 EXCESS FEES DUE TO OTHER GOVERNMENTS $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 PROCEED FROM LONG-TERM-DEBT $834,257 $943,138 $2,550,000 $3,800,000 $0 $0 $26,363,759 $3,600,000 $0 $5,000,000 TOTAL OTHER FINANCING SOURCES(USES) $1,377,523 $1,368,838 $3,152,570 $4,803,023 $1,284,100 $730,427 $27,450,354 $4,857,632 ($1,343,705) $5,395,126 NET CHANGE IN FUND BALANCES ($6,491,551) ($821,877) $12,801,915 $3,507,108 $2,587,755 $1,397,308 $16,262,538 ($12,288,414) ($2,448,413) ($1,610,518) DEBT SERVICE AS A PERCENTAGE OF NONCAPITAL EXPENDITURES 1.79% 0.84% 0.67% 1.49% 1.42% 0.50% 1.27% 1.57% 4.00% 2.04% Packet Pg. 233  Changes in Fund Balances Governmental Funds Last Ten Fiscal Years $160.0 $140.0 140.6 138.1 126.0 132.9 139.7 136.8 137.2 133.6 132.3 133.6 122.6 131.0 121.1 119.1 $120.0 120.0 100.9 112.1 103.1 $100.0 97.7 89.8 $80.0 $60.0 $40.0 $20.0 16.3 12.8 3.5 2.6 1.4 (0.8) $ (1.6) (6.5) (2.4) (12.3) $(20.0) 2003 2004 2006 2007 2008 2009 2010 2011 2012 2013 Year Revenues Expenditures Change in Net Assets Packet Pg. 234 UNAUDITED SCHEDULE 5 GOVERNMENTAL TAX REVENUES BY SOURCE - LAST TEN FISCAL YEARS AD TOURIST 9TH CENT LOCAL LOCAL COMMUNICATION FISCAL VALOREM DEVELOPMENT VOTED BUSINESS OPTION SERVICE TOTAL YEAR TAX TAX FUEL TAX TAX FUEL TAX TAX TAXES 2004 $39,068,982 $3,797,314 $803,205 $0 $3,682,774 $1,258,471 $48,610,746 2005 $43,674,282 $3,680,706 $1,139,965 $0 $3,807,944 $1,842,188 $54,145,086 2006 $54,897,396 $4,023,127 $1,160,768 $0 $3,858,003 $2,103,453 $66,042,748 2007 $62,280,020 $4,293,620 $1,128,995 $0 $3,749,553 $2,414,866 $73,867,054 2008 $59,958,051 $6,285,864 $1,003,998 $350,931 $3,337,538 $2,437,077 $73,373,458 2009 $55,342,840 $6,226,986 $957,813 $252,511 $3,188,176 $6,313,490 $72,281,816 2010 $51,591,467 $5,260,031 $1,007,578 $251,035 $3,360,644 $3,096,105 $64,566,860 2011 $47,413,163 $13,092,667 $977,680 $363,365 $3,262,337 $2,894,338 $68,003,550 2012 $45,105,639 $13,128,501 $1,119,335 $241,449 $3,735,262 $2,208,919 $65,539,105 2013 $44,348,020 $13,520,017 $1,066,902 $268,190 $3,559,220 $1,956,905 $64,719,254 Packet Pg. 235 70.0 Governmental Tax Revenues by Source Fiscal Year 2013 62.3 ($65,539,105) 60.0 60.0 55.3 54.9 51.6 Local 50.0 Buisness Tax 47.4 Local Business Tax 6% 45.1 44.3 43.7 0% 9th Cent Fuel 39.1 40.0 Comm Srvc Tax Tax 2% 3% 30.0 20.0 Tourist Devt Tax 21% 13.5 13.1 13.1 Ad Valorem Tax 10.0 69% 6.3 6.3 6.2 5.3 4.3 4.0 3.9 3.8 3.8 3.7 3.7 3.7 3.7 3.6 3.4 3.3 3.3 3.2 3.1 2.9 2.4 2.4 2.2 2.1 2.0 1.8 1.3 1.2 1.1 1.1 1.1 1.1 1.0 1.0 1.0 1.0 0.8 0.4 0.4 0.3 0.3 0.2 0.3 0.0 0.0 0.0 0.0 0.0 Ad Valorem Tourist 9th Cent Local Local Comm Srvc Tax Devt Tax Fuel Tax Business Option Fuel Tax Tax Tax 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Packet Pg. 236 UNAUDITED SCHEDULE 6 TAXABLE ASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF PROPERTY - LAST TEN FISCAL YEARS ASSESSED VALUE TOTAL TOTAL ASSESSED CENTRALLY TAXABLE DIRECT ESTIMATED TO FISCAL REAL PERSONAL ASSESSED ASSESSED TAX ACTUAL ESTIMATED YEAR PROPERTY PROPERTY PROPERTY VALUE RATE VALUE (1) ACTUAL 2004 8,913,575,789 696,513,719 7,934,493 9,618,024,001 12.8094 11,315,322,354 85.00% 2005 10,027,698,523 730,162,016 10,055,839 10,767,916,378 12.8094 12,668,136,915 85.00% 2006 12,783,763,622 787,145,427 5,994,612 13,576,903,661 12.5784 15,972,827,836 85.00% 2007 17,056,877,307 840,818,749 1,672,030 17,899,368,086 11.6445 21,058,080,101 85.00% 2008 17,921,513,970 879,629,168 5,697,214 18,806,840,352 11.1721 22,125,694,532 85.00% 2009 16,605,928,228 798,827,354 5,875,411 17,410,630,993 11.1035 20,483,095,286 85.00% 2010 15,379,485,139 788,963,431 6,340,541 16,174,789,111 11.1089 19,029,163,660 85.00% 2011 13,745,152,717 748,267,784 6,451,134 14,499,871,635 11.0039 17,058,672,512 85.00% 2012 12,818,828,620 728,508,866 7,148,799 13,554,486,285 11.2389 15,946,454,453 85.00% 2013 13,032,564,179 756,588,957 7,592,401 13,796,745,537 10.9459 16,231,465,338 85.00% (1) BASED ON PROPERTY APPRAISER'S ESTIMATE OF ASSESSED PROPERTY VALUATION BEING 85% OF MARKET VALUE SOURCE: OKALOOSA COUNTY PROPERTY APPRAISER Packet Pg. 237  Taxable Assesed Value Last Ten Fiscal Years $20,000.0 5.7 1.7 879.6 5.9 $18,000.0 840.8 798.8 6.3 $16,000.0 789.0 6.5 6.0 748.3 7.6 7.1 $14,000.0 756.6 787.1 728.5 $12,000.0 10.1 7.9 730.2 $10,000.0 696.5 17,921.5 17,056.9 16,605.9 $8,000.0 15,379.5 13,745.2 12,783.8 12,818.8 13,032.6 $6,000.0 10,027.7 8,913.6 $4,000.0 $2,000.0 $ 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Year Real Property Personal Property Centrally Assessed Property Packet Pg. 238 UNAUDITED SCHEDULE 7 PROPERTY TAX MILLAGE RATES FOR DIRECT AND OVERLAPPING GOVERNMENTS - LAST TEN FISCAL YEARS FISCAL YEAR 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 COUNTYWIDE (BOCC) GENERAL REVENUE 4.2500 4.2500 4.2500 3.6500 3.3443 3.2995 3.2899 3.2899 3.2899 3.2899 UNINCORPORATED AREA (BOCC) MUNICIPAL SERVICE TAXING UNIT (MSTU) 0.2654 0.2654 0.2654 0.2085 0.1888 0.1800 0.1800 0.1800 0.1800 0.1800 COUNTYWIDE (OTHER) SCHOOL BOARD 8.2940 8.2940 8.0630 7.7860 7.6390 7.6240 7.6390 7.5340 7.7690 7.4760 TOTAL MILLAGES 12.8094 12.8094 12.5784 11.6445 11.1721 11.1035 11.1089 11.0039 11.2389 10.9459 MUNICIPALITIES CINCO BAYOU 2.3000 2.3000 2.3000 2.3000 2.0639 2.0639 2.0639 2.1000 2.3000 2.3500 CRESTVIEW 6.9000 6.9000 6.9990 6.4989 5.8466 5.8466 5.8466 5.8466 5.5966 5.5966 DESTIN 1.8000 1.8000 1.8000 1.5000 1.4550 1.4550 1.4550 1.4550 1.4550 1.4550 FORT WALTON BEACH 4.9700 4.9700 4.9700 4.6400 4.1986 4.1986 4.1986 4.5383 4.5383 4.5383 LAUREL HILL 0.0000 0.0000 0.0000 0.0000 5.0000 4.8400 3.5000 3.5000 3.5000 3.5000 MARY ESTHER 3.5000 3.5000 3.5000 3.4000 3.0125 2.6996 2.6996 2.6435 2.6435 2.6435 NICEVILLE 3.3000 3.5000 3.5000 3.5000 3.2669 3.2000 3.4500 3.6301 3.6500 3.7000 SHALIMAR 2.8000 2.7000 2.4000 2.2000 2.0000 2.0000 2.0000 2.0000 2.0000 2.0000 VALPARAISO 3.9900 3.9900 3.9900 3.1200 2.8754 3.7500 3.9330 4.0644 4.5240 SPECIAL DISTRICTS NW FLORIDA WATER MANAGEMENT 0.0500 0.0500 0.0500 0.0500 0.0450 0.0450 0.0450 0.0450 0.0400 0.0000 LAKE PIPPIN MSBU FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT DESTIN FIRE 0.8600 0.8600 0.8300 0.7700 0.8004 0.9009 1.0000 1.0000 1.0000 1.0000 EAST NICEVILLE FIRE 1.0000 1.0000 2.0000 2.0000 1.9200 2.0000 2.3500 2.3500 2.3700 2.3700 FLOROSA FIRE 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 NORTH BAY FIRE 1.8500 1.8750 2.0700 1.8000 1.6819 1.7827 2.0500 2.2500 2.3500 2.3500 OCEAN CITY-WRIGHT FIRE 1.8000 1.8000 1.8300 1.7800 1.6460 1.8144 1.8144 2.0000 2.0000 2.0000 OKALOOSA ISLAND FIRE 2.9950 2.6461 2.4305 1.9855 2.0250 1.9998 2.1900 2.7949 2.9950 3.1154 SYLVANIA HEIGHTS 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 ALMARANTE FIRE FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT BAKER FIRE FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT BLACKMAN FIRE FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT DORCAS FIRE FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT HOLT FIRE FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT NORTH OKALOOSA FIRE FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT FLAT SOURCE: OKALOOSA COUNTY PROPERTY APPRAISER Packet Pg. 239 $9.0 Property Tax Millage Rates Last Ten Fisacal Years $8.0 $7.0 $6.0 $5.0 $4.0 $3.0 $2.0 $1.0 $ Countywide (BOCC) General Revenue Unincorporated Area (BOCC) MSTU Countywide School Board 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Packet Pg. 240 UNAUDITED SCHEDULE 8 PRINCIPAL PROPERTY TAX PAYERS - LAST FISCAL YEAR COMPARED TO THE FISCAL YEAR NINE YEARS EARLIER 2013 2004 PERCENTAGE PERCENTAGE OF TOTAL OF TOTAL TAXABLE TAXABLE TAXABLE TAXABLE ASSESSED ASSESSED ASSESSED ASSESSED TAXPAYER VALUE VALUE VALUE VALUE FLORIDA GAS TRANSMISSION CO $74,695,618 0.54% $21,514,220 0.22% GULF POWER COMPANY $145,159,830 1.05% $84,696,427 0.88% EMERALD GRANDE INC $54,227,300 0.39% CHOCTAWHATCHEE ELECTRIC CO $31,553,084 0.23% $18,060,763 0.19% EMBARQ CORP $45,790,554 0.33% DESTIN COMMONS LTD $34,562,451 0.25% SRM-SPE LLC $27,517,960 0.20% BEACH RESORT INVESTMENTS LLC $22,140,373 0.16% $24,127,352 0.25% COXCOM INC $29,024,958 0.21% SPRINT FLORIDA INC $96,908,512 1.01% SANTA ROSA MALL LLC $40,227,719 0.42% WAL-MART STORES, INC $24,944,494 0.18% $25,915,969 0.27% VALPARAISO REALTY $20,543,454 0.21% TOLBERT ENTERPRISES $18,193,626 0.19% FRENCH QUARTER II LLC $17,506,218 0.18% TOTAL PRINCIPAL TAXPAYER VALUE $489,616,622 3.55% $367,694,260 3.82% TOTAL TAXABLE ASSESSED VALUE $13,796,745,537 100.0% $9,618,024,001 100.0% SOURCE: OKALOOSA COUNTY PROPERTY APPRAISER Packet Pg. 241 Principal Property Tax Payers Current Year 2013 Principal Tax Payers 3.55% Taxable Assessed Value 96.45% Principal Property Tax Payers Year 2004 Principal Tax Payers 3.82% Taxable Assessed Value 96.18% Packet Pg. 242 UNAUDITED SCHEDULE 9 PROPERTY TAX LEVIES AND COLLECTIONS - LAST TEN FISCAL YEARS COLLECTED WITHIN THE TAXES LEVIED FISCAL YEAR OF THE LEVY COLLECTIONS TOTAL COLLECTIONS TO DATE FISCAL FOR THE PERCENTAGE IN SUBSEQUENT PERCENTAGE YEAR FISCAL YEAR AMOUNT OF LEVY YEARS AMOUNT OF LEVY 2004 $42,144,165 $40,556,384 96.2% $150,954 $40,707,338 96.6% 2005 $45,794,926 $45,449,663 99.2% $181,918 $45,631,581 99.6% 2006 $57,849,177 $55,634,769 96.2% $184,070 $55,818,839 96.5% 2007 $65,531,728 $63,181,930 96.4% $100,657 $63,282,587 96.6% 2008 $63,123,125 $62,249,498 98.6% $173,101 $62,422,599 98.9% 2009 $57,679,952 $56,797,501 98.5% $198,907 $56,996,408 98.8% 2010 $53,408,513 $52,477,263 98.3% $137,394 $52,614,657 98.5% 2011 $47,862,708 $46,941,453 98.1% $235,856 $47,177,309 98.6% 2012 $45,434,311 $44,537,852 98.0% $283,894 $44,821,746 98.7% 2013 $44,715,750 $43,934,031 98.3% $168,991 $44,103,022 98.6% SOURCE: OKALOOSA COUNTY TAX COLLECTOR RECAPITULATION OF THE TAX ROLL Packet Pg. 243  Property Tax Levies and Collections Last Ten Fiscal Years $70.0 $60.0 $50.0 $40.0 $30.0 $20.0 $10.0 $ 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Year Levied Collected Packet Pg. 244 UNAUDITED SCHEDULE 10 RATIOS OF OUTSTANDING DEBT BY TYPE - LAST TEN FISCAL YEARS GOVERNMENTAL ACTIVITIES BUSINESS-TYPE ACTIVITIES SPECIAL COMMERCIAL SOLID CONFERENCE TOTAL PERCENTAGE FISCAL OBLIGATION REVENUE CAPITAL PAPER AND PRIVATE WATER AIRPORT WASTE CENTER CAPITAL PRIMARY OF PERSONAL PER YEAR BONDS(1) BONDS (2) LEASES (3) BANK LOAN (4) BONDS (5) BONDS (6) BONDS (7) BONDS (8) LEASES GOVERNMENT INCOME CAPITA 2004 $1,599,772 $0 $566,446 $0 $39,098,543 $10,860,000 $1,382,074 $13,235,000 $0 $66,741,835 1.12% $369 2005 $1,462,338 $0 $430,218 $0 $36,832,336 $10,635,000 $1,263,342 $12,780,000 $0 $63,403,234 0.99% $341 2006 $1,321,071 $0 $294,832 $0 $40,196,034 $10,635,000 $1,141,298 $12,235,000 $0 $65,823,235 0.97% $348 2007 $1,161,258 $0 $151,578 $0 $98,789,222 $10,405,000 $1,003,232 $12,280,000 $0 $123,790,290 1.73% $642 2008 $857,792 $0 $0 $3,580,000 $95,688,762 $22,150,000 $741,063 $12,010,000 $0 $135,027,617 1.81% $687 2009 $530,526 $0 $0 $3,360,000 $92,162,708 $21,905,000 $458,332 $12,010,000 $0 $130,426,566 1.75% $663 2010 $182,412 $26,615,000 $0 $3,140,000 $88,501,056 $21,430,000 $157,589 $11,725,000 $0 $151,751,057 2.03% $772 2011 $0 $30,215,000 $0 $2,740,000 $84,700,701 $22,693,018 $0 $3,490,000 $0 $143,838,719 1.92% $732 2012 $0 $29,905,000 $0 $0 $95,984,441 $23,995,407 $0 $1,685,000 $0 $151,569,848 2.03% $771 2013 $0 $29,192,000 $0 $5,000,000 $84,863,512 $17,860,000 $0 $155,000 $0 $137,070,512 1.83% $697 (1) Includes Refunding, Revenue & Improvement Bonds, 1985 and Capital Imprvement Bonds, 1991 (2) Includes Sales Tax Revenue Bonds, Series 2009 and Capital Improvement Revenue Bond, Series 2011 (3) Includes Capital Leases and Operating Leases with Escalator Clauses (4) Includes Florida Local Government Finance Commission Pooled Paper Loan and Private Bank Loan (5) Includes State Pollution Control Bonds, Subordinated Revenue, 1985, Refunding, Revenue, 2004, 2006, State Revolving, and 2012 Revenue Note (6) Includes Revenue Bonds 2003 and 2007, Florida Local Government Finance Commission Pooled Paper Loan, and State Infrastructure Bank Loans (7) Includes Capital Impovement Bonds, 1991 (8) Includes Fourth Cent Tourist Development Tax Revenue Bonds, 2000 Packet Pg. 245  Debt by Type Per Capita Debt Last Ten Fiscal Years Last Ten Fiscal YEars $140,000,000 $900 $800 $120,000,000 $700 $100,000,000 $600 $80,000,000 $500 $60,000,000 $400 $300 $40,000,000 $200 $20,000,000 $100 $0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 $0 Government Debt Business type Debt 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Packet Pg. 246 UNAUDITED SCHEDULE 11 PLEDGED-REVENUE BOND COVERAGE FISCAL Gross Operating Direct Operat Net Revenue WATER REVENUE BONDS AND NOTES (PRINCIPAL + INTEREST) YEAR Revenue Expense Avail -Debt Serv 1985 1992 1993 1998 2004 2006 2012 TOTAL COVERAGE 2004 $21,830,902 $13,870,719 $7,960,183 $68,677 $332,293 $7,293,005 $7,333,152 $2,902,268 $0 $0 $17,929,395 0.44 2005 $21,917,622 $14,246,469 $7,671,153 $68,680 $337,060 $0 $0 $3,390,070 $0 $0 $3,795,810 2.02 2006 $23,719,695 $15,272,060 $8,447,635 $68,680 $331,924 $0 $0 $3,422,370 $0 $0 $3,822,974 2.21 2007 $26,745,817 $15,974,674 $10,771,143 $68,677 $194,186 $0 $0 $2,967,970 $1,171,405 $0 $4,402,238 2.45 2008 $24,694,611 $16,827,092 $7,867,519 $67,831 $0 $0 $0 $2,964,695 $1,900,194 $0 $4,932,720 1.59 2009 $23,481,347 $16,371,638 $7,109,709 $67,743 $0 $0 $0 $2,976,286 $509,283 $0 $3,553,312 2.00 2010 $24,831,872 $15,267,581 $9,564,291 $67,648 $0 $0 $0 $801,210 $5,171,437 $0 $6,040,295 1.58 2011 $25,895,709 $16,650,924 $9,244,785 $67,542 $0 $0 $0 $982,850 $4,989,988 $0 $6,040,380 1.53 2012 $26,581,965 $15,571,980 $11,009,985 $67,426 $0 $0 $0 $3,728,770 $0 $533,531 $4,329,727 2.54 2013 $26,685,108 $15,295,914 $11,389,194 $68,003 $0 $0 $0 $3,754,732 $2,837,287 $489,839 $7,149,861 1.59 Packet Pg. 247 UNAUDITED SCHEDULE 11 PLEDGED-REVENUE BOND COVERAGE PLEDGED-REVENUE BOND COVERAGE AIRPORT REVENUE BONDS FISCAL Gross Operating Direct Operat Net Revenue (PRINCIPAL + INTEREST) YEAR Revenue Expense Avail -Debt Serv 2003 2007 TOTAL COVERAGE 2004 $4,716,535 $2,696,158 $2,020,377 $157,772 $0 $157,772 12.81 2005 $6,017,008 $3,768,649 $2,248,359 $719,499 $0 $719,499 3.12 2006 $7,462,550 $4,221,206 $3,241,344 $797,195 $0 $797,195 4.07 2007 $8,302,612 $4,851,237 $3,451,375 $796,109 $0 $796,109 4.34 2008 $8,039,113 $5,132,705 $2,906,408 $788,232 $263,413 $1,051,645 2.76 2009 $8,557,210 $5,674,469 $2,882,741 $789,413 $208,221 $997,634 2.89 2010 $9,118,672 $6,036,864 $3,081,808 $799,213 $891,775 $1,690,988 1.82 2011 $9,602,757 $7,893,609 $1,709,148 $797,950 $887,675 $1,685,625 1.01 2012 $9,502,093 $8,056,047 $1,446,046 $795,575 $892,975 $1,688,550 0.86 2013 $9,334,305 $7,117,500 $2,216,805 $797,393 $887,075 $1,684,468 1.32 PLEDGED-REVENUE BOND COVERAGE CONFERENCE CENTER REVENUE BONDS FISCAL Gross Operating Direct Operat Net Revenue (PRINCIPAL + INTEREST) YEAR Revenue Expense Avail -Debt Serv Bond TOTAL COVERAGE 2004 $4,361,084 $1,977,740 $2,383,344 $946,320 $946,320 2.52 2005 $4,479,689 $2,309,740 $2,169,949 $940,980 $940,980 2.31 2006 $5,120,607 $2,401,044 $2,719,563 $944,700 $944,700 2.88 2007 $5,603,899 $2,841,814 $2,762,085 $942,695 $942,695 2.93 2008 $5,358,647 $3,163,561 $2,195,086 $955,073 $955,073 2.30 2009 $5,249,570 $3,419,702 $1,829,868 $671,573 $671,573 2.72 2010 $4,617,857 $3,094,242 $1,523,615 $942,038 $942,038 1.62 2011 $6,062,145 $2,597,664 $3,464,481 $8,929,631 $8,929,631 0.39 2012 $6,110,432 $3,509,121 $2,601,311 $1,903,563 $1,903,563 1.37 2013 $6,258,565 $2,437,430 $3,821,135 $1,535,370 $1,535,370 2.49 Packet Pg. 248 UNAUDITED SCHEDULE 12 COMPUTATION OF DIRECT AND UNDERLYING DEBT (1) PERCENT NET APPLICABLE COUNTY'S SHARE DIRECT: BONDED DEBT (2) TO COUNTY OF NET DEBT OKALOOSA COUNTY (NO BONDED DEBT) $0 0% $0 UNDERLYING: OKALOOSA COUNTY SCHOOL BOARD $59,896,000 100% $59,896,000 (1) THIS SCHEDULE IS NORMALLY TITLED "COMPUTATION OF OVERLAPPING DEBT", HOWEVER BECAUSE OKALOOSA COUNTY HAS NO OVERLAPPING DEBT, THE TITLE HAS BEEN CHANGED TO REFLECT THE CONTENTS OF THE SCHEDULE. (2) NET BONDED DEBT IS DEFINED HERE AS GROSS BONDED DEBT LESS AMOUNT AVAILABLE IN DEBT SERVICE Packet Pg. 249 UNAUDITED SCHEDULE 13 DEMOGRAPHIC AND ECONOMIC STATISTICS - LAST TEN YEARS PERSONAL PER CAPITA PERCENT INCOME PERCENT PERSONAL PERCENT UNEMPLOYMENT YEAR POPULATION +/- IN THOUSANDS +/- INCOME +/- RATE 2004 185,778 2.6% $6,229,248 7.9% $34,132 5.0% 3.47% 2005 188,939 1.7% $6,660,556 6.9% $36,190 6.0% 2.80% 2006 192,672 2.0% $7,144,102 7.3% $38,812 7.2% 2.40% 2007 196,617 2.0% $7,436,986 4.1% $40,711 4.9% 2.55% 2008 197,597 0.5% $7,607,688 2.3% $41,858 2.8% 5.10% 2009 196,234 -0.7% $7,186,037 -5.5% $39,668 -5.2% 7.40% 2010 196,800 0.3% $7,417,181 3.2% $41,024 3.4% 8.20% 2011 181,679 -7.7% $8,086,833 9.0% $44,126 (1) 7.6% 8.20% 2012 187,280 3.1% $8,546,210 5.7% $44,960 (1) 1.9% 6.10% 2013 187,486 0.1% $8,933,798 (1) 4.5% $46,639 (1) 3.7% 5.20% (1) Estimated income figures based upon average percent in prior years. SOURCE: FLORIDA RESEARCH AND ECONOMIC DATABASE Packet Pg. 250  Population Personal Income Last Ten Fiscal Years Last Ten Fiscal Years 4.0 10.0 2.0 5.0 0.0 (2.0) 0.0 (4.0) (6.0) (5.0) (8.0) (10.0) (10.0) Year Year Per Capita Income Unemployment Rate Last Ten Fiscal Years Last Ten Fiscal Years 10.0 10.0 8.0 8.0 6.0 6.0 4.0 4.0 2.0 0.0 2.0 (2.0) 0.0 (4.0) (6.0) Year Year Packet Pg. 251 UNAUDITED SCHEDULE 14 PRINCIPAL EMPLOYERS - CURRENT YEAR AND NINE YEARS AGO 2013 2004 PERCENTAGE PERCENTAGE OF TOTAL OF TOTAL EMPLOYER EMPLOYEES EMPLOYMENT EMPLOYEES EMPLOYMENT FT WALTON BEACH MEDICAL CENTER 1,250 1.28% 941 0.51% L-3/CRESTVIEW AEROSPACE CORP 1,064 1.09% 520 0.28% LOCKHEED MARTIN 800 0.82% INDYNE, INC 800 0.82% NORTH OKALOOSA MEDICAL CENTER 678 0.69% 585 0.31% JACOBS TEAS 1,483 1.52% NATIONAL ELECTRONICS WARRANTY (NEW) 450 0.46% DRS TRAINING & CONTROL SYSTEMS 454 0.46% THE BOEING COMPANY 419 0.43% BAE SYSTEMS TECHNICAL SERVICES 410 0.42% 910 0.49% ABBOT RESORTS/RESORT QUEST 1,300 0.70% TYBRIN CORPORATION 875 0.47% METRIC SYSTEMS CORPORATION 730 0.39% SVERDRUP TECHNOLOGY 650 0.35% MANUFACTURING TECHNOLOGY 450 0.24% WHITE-WILSON MEDICAL CENTER 380 0.20% TOTAL 7,808 7.98% 7,341 3.95% TOTAL COUNTY EMPLOYMENT 97,841 185,778 SOURCE: FLORIDA RESEARCH AND ECONOMIC DATABASE Packet Pg. 252  Principal Employers Principal Employers Current Year Nine Years Ago 2013 2004 Principal Principal Employers Employers 7.98% 3.95% Total Total Employment Employment 92.02% 96.05% Packet Pg. 253 UNAUDITED SCHEDULE 15 FULL-TIME EQUIVALENT GOVERNMENT EMPLOYEES BY FUNCTION - LAST TEN YEARS FULL-TIME EQUIVALENT EMPLOYEES AS OF OCTOBER 1 FUNCTION 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 GENERAL GOVERNMENT 280 285 249 305 299 308 316 313 303 309 PUBLIC SAFETY 534 543 625 609 661 641 635 657 629 649 PHYSICAL ENVIRONMENT 161 163 161 169 169 157 161 156 147 144 TRANSPORTATION 163 172 177 158 175 168 166 154 146 156 ECONOMIC ENVIRONMENT 13 13 16 13 14 18 17 18 14 14 HUMAN SERVICES 9 9 13 11 13 9 8 8 8 8 CULTURE AND RECREATION 31 35 38 41 43 42 43 42 42 42 COURT-RELATED ACTIVITIES 92 87 128 102 109 78 82 82 86 86 TOTAL 1,283 1,307 1,407 1,408 1,483 1,420 1,427 1,430 1,375 1,408 SOURCE: BUDGET OFFICE Packet Pg. 254  FTE by Function Culture and Recreation Fiscal Year 2013 3% Court-Related Activities Human Services 6% 1% Economic Environment General Government 1% 22% Transportation 11% Physical Environment 10% Public Safety 46% Packet Pg. 255 UNAUDITED SCHEDULE 16 OPERATING INDICATORS BY FUNCTION/PROGRAM - LAST TEN FISCAL YEARS FUNCTION/PROGRAM 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 TRANSIT TOTAL ROUTE MILES 129 129 182 163 163 163 163 168 168 215 PASSENGERS 92,181 71,193 138,491 169,389 211,330 171,967 162,820 175,595 179,946 182,584 LIBRARY CIRCULATION 519,496 542,039 572,074 608,803 679,720 750,643 751,432 713,416 699,532 696,234 REGISTERED BORROWERS 78,646 88,793 98,100 100,335 92,629 96,474 94,493 77,616 72,730 70,908 PUBLIC WORKS ASPHALT OVERLAY (SQUARE YARDS) 143,386 82,564 48,700 71,832 126,312 52,000 61,778 58,809 24,547 42,280 BRIDGES REPAIRED/REPLACED 11 27 11 14 6 12 14 8 7 1 WATER NEW CONNECTIONS 575 554 594 404 128 496 134 320 757 140 WATER MAINS REPAIRS 1,943 2,419 990 1,344 425 476 52 74 55 63 ANNUAL WATER UNITS BILLED 426,503 428,058 428,601 429,081 430,692 429,412 434,148 437,682 442,834 444,340 SEWER ANNUAL SEWER UNITS BILLED 393,856 400,975 403,138 403,631 406,807 398,541 399,660 402,977 407,625 414,612 AIRPORTS ENPLANEMENTS 388,958 407,052 365,045 396,045 400,105 332,556 369,230 448,870 385,428 448,870 DEPLANEMENTS 382,688 401,747 366,111 393,800 400,866 332,325 364,118 451,692 387,829 451,692 GROWTH MANAGEMENT DEVELOPMENT PERMITS ISSUED 2,446 2,524 2,031 1,536 975 771 817 986 821 893 HOME OCCUPATIONS 671 795 635 547 405 347 359 369 383 460 REFUSE COLLECTION TRANSFER STATION TONNAGE 128,953 144,253 148,694 173,655 168,224 141,633 128,360 109,099 121,443 125,755 RECYCLING TONNAGE 5,512 5,422 5,889 4,823 4,181 5,286 5,898 6,584 8,139 6,196 PUBLIC SAFETY EMERGENCY CALLS (EMS) 21,256 27,507 34,908 35,184 41,446 21,018 21,997 23,782 23,591 23,986 SYSTEM CALLS (9-1-1) 90,854 97,576 110,851 106,684 100,547 102,199 111,065 117,530 129,530 131,147 SOURCE: COUNTY ADMINISTRATOR'S OFFICE Packet Pg. 256 UNAUDITED SCHEDULE 17 CAPITAL INDICATORS BY FUNCTION/PROGRAM - LAST TEN FISCAL YEARS FUNCTION/PROGRAM 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 PARKS AND RECREATION COUNTY PARKS 17 17 16 17 18 19 18 18 18 18 UNINCORPORATED PARKS 34 35 34 34 32 31 32 33 34 33 TRANSIT BUSES/PASSENGER VAN 15 15 17 17 17 17 17 17 17 17 LIBRARY COLLECTION 249,753 267,011 272,936 286,500 295,721 309,859 312,747 321,797 311,899 310,302 PUBLIC WORKS PAVED ROADS MAINTAINED (MILES) 568 568 640 621 652 703 652 652 666 670 DIRT ROADS MAINTAINED (MILES) 291 291 238 264 280 122 207 207 201 199 COLD MIX ROADS MAINTAINED (MILES) ---- ---- ---- ---- ---- 74 74 74 74 72 TRAFFIC SIGNALS 7 7 7 8 9 11 11 13 13 13 WATER WATER MAINS (MILES) 415 437 445 447 448 455 455 422 767 726 FIRE HYDRANTS 1,808 1,903 2,004 2,109 2,220 2,267 2,267 4,038 5,519 5,546 MAXIMUM DILY CAPACITY 18,330 18,730 18,300 18,300 17,300 17,300 17,200 15,800 15,800 15,800 (THOUSANDS OF GALLONS) SEWER SANITARY SEWERS (MILES) 396 396 398 398 399 400 400 340 558 561 MAXIMUM DAILY TREATMENT CAPACITY 9,006 9,006 9,006 9,006 9,006 12,506 13,206 13,206 13,206 13,206 (THOUSANDS OF GALLONS) SOURCE: COUNTY ADMINISTRATOR'S OFFICE Packet Pg. 257 SINGLE AUDIT SECTION Packet Pg. 258 Packet Pg. 259  Okaloosa County, Florida SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS AND STATE FINANCIAL ASSISTANCE Fiscal Year Ended September 30, 2013 Federal/State Agency, CFDA Total Expenditures Pass-through Entity, CSFA Contract or Disbursements Federal Program/State Project Number Grant Number Expenditures to Subrecipients U.S. Department of Agriculture Indirect Programs Passed through Florida Department of Education Food Distribution Program 10550 82002 790 School Breakfast Program 10.553 01-0303 12,008 0 National School Lunch Program 10.555 01-0303 18,011 0 Passed through Florida Department of Financial Services Schools and Roads - Grants to States 10.665 N/A 2,854 0 Total U.S. Department of Agriculture 33,663 0 U. S. Department of Defense Direct Program Department of the Army Planning Assistance to States Section 22 12.110 N/A 88,500 Defense Human Resources Activity Electronic Absentee Systems for Elections Ease Grants 12.217 H98210-12-1-0007 258,848 Electronic Absentee Systems for Elections Ease Grants 12.217 H98210-12-1-0013 121,266 Office of Economic Adjustment Community Economic Adjustment Assistance for Compatible Use and Joint Land Use Studies 12.610 EN06107-11-02 104,049 Community Economic Adjustment Assistance for Compatible Use and Joint Land Use Studies 12.610 EN06107-13-03 41,155 Total U. S. Department of Defense 613,818 0 U.S. Department of Housing and Urban Development Indirect Programs Passed through Florida Department of Community Affairs Community Development Block Grants/State's Program and Non-Entitlement Grants in Hawaii 14.228 10DB-4X-01-56-01-F18 6,015 0 Community Development Block Grants/State's Program and Non-Entitlement Grants in Hawaii - Program Income 14.228 10DB-4X-01-56-01-F18 21,859 Community Development Block Grants/State's Program and Non-Entitlement Grants in Hawaii 14.228 11DB-L4-01-56-01-N36 68,269 Total U.S. Department of Housing and Urban Development 96,143 0 U.S. Department of the Interior Direct Program Payments in Lieu of Taxes 15.226 N/A 8,763 0 Total U.S. Department of the Interior 8,763 0 166 Packet Pg. 260  Okaloosa County, Florida SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS AND STATE FINANCIAL ASSISTANCE Fiscal Year Ended September 30, 2013 Federal/State Agency, CFDA Total Expenditures Pass-through Entity, CSFA Contract or Disbursements Federal Program/State Project Number Grant Number Expenditures to Subrecipients U.S. Department of Justice Direct Programs State Criminal Alien Assistance Program (SCAAP) 16.606 2012-AP-BX-0502 10,106 0 Bulletproof Vest Partnership Program 16.607 2013-AP-BX-0588 17,225 Bulletproof Vest Partnership Program 16.607 N/A 17 Bulletproof Vest Partnership Program 16.607 N/A 3,734 Supervised Visitation, Save Havens for Children 16.527 2011-CW-AX-K021 3,418 53,085 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2012-DJ-BX-1038 24,688 Indirect Programs Passed through Florida Department of Law Enforcement Edward Byrne Memorial Justice Assistance Grant Program 16.738 2013-JAGC-OKAL-2-D7-009 20,859 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2013-JAGC-OKAL-3-D7-022 20,000 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2013-JAGC-OKAL-4-D7-070 7,650 Passed through Florida Coalition Against Domestic Violence Violence Against Women Formula Grants 16.588 13-8019-LE 73,168 0 Violence Against Women Formula Grants 16.588 14-8019-LE-ENH 16,621 Total U.S. Department of Justice 197,486 53,085 U.S. Department of Transportation Direct Programs Federal Aviation Administration Airport Improvement Program 20.106 312-0020-016-2012 2,407,788 0 Airport Improvement Program 20.106 312-0014-022-2010 60,503 Airport Improvement Program 20.106 312-0081-024-2012 675,489 0 Terminal Expansion Phase II-A- Construct Second Level Cone 20.106 312-0081-023-2010 (1,492) 0 Construct Aircraft Rescue & Fire Fighting Building (ARFF Building 20.106 312-0081-025-2013 177,977 Federal Transit Administration Federal Transit Formula Grants 20.507 FL 90-X642-00 13,552 Federal Transit Formula Grants 20.507 FL 90-X680-00 15,292 0 Federal Transit Formula Grants 20.507 FL 90-X715-00 358 1,667 Federal Transit Formula Grants 20.507 FL 90-X716-00 23,537 586,843 Federal Transit Formula Grants 20.507 FL 90-X761-00 13,004 92,930 Federal Transit Formula Grants 20.507 FL 90-X795-00 0 30,750 U.S. Department of Transportation -Cont'd Indirect Programs Passed through Florida Department of Transportation Highway Planning and Construction 20.205 ANZ38, FY 10 312,512 0 "ARRA" Highway Planning and Construction 20.205 AQC63 36,844 0 167 Packet Pg. 261  Okaloosa County, Florida SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS AND STATE FINANCIAL ASSISTANCE Fiscal Year Ended September 30, 2013 Federal/State Agency, CFDA Total Expenditures Pass-through Entity, CSFA Contract or Disbursements Federal Program/State Project Number Grant Number Expenditures to Subrecipients Highway Planning and Construction 20.205 AQC72, 428115-1-38-01 2,520 Highway Planning and Construction 20.205 AQU80, 429677-2-58-01/429677-2-68-01 166,263 Highway Planning and Construction 20.205 AR197, 428115-1-58-01/428115-1-68-01 197 Formula Grants for Other than Urbanized Areas 20.509 AQD91,421365-2-84-31 1,131 180,414 Total U.S. Department of Transportation 3,905,475 892,604 Institute of Museum and Library Services Indirect Programs Museums for America 45.310 12-LSTA-B-04 36,978 Total Museums of America 36,978 Election Assistance Commission Indirect Programs Passed through Florida Department of State Help America Vote Act Requirement Payments 90.401 MOA # 2011-2012-0001 5,460 0 Total Election Assistance Commission 5,460 0 U.S. Department of Health and Human Services Indirect Programs Passed through Florida Department of Revenue Child Support Enforcement 93.563 CSS46 18,500 0 Child Support Enforcement 93.563 CD346 608,030 Child Support Enforcement 93.563 N/A 3,398 0 Passed through Florida Department of State Voting Access for Individuals with Disabilities - Grants to States 93.617 MOA #2012-2013-0003 6,086 0 Passed through the Florida Department of Transportation Medical Assistance Program, Medicaid; Title XIX 93.778 BDN10,41604318201 0 261,482 Passed through the Florida Department of Children and Families Block Grants for Community Mental Health Services 93.958 AH105 10,247 Matching 119,804 Block Grants for Prevention and Treatment of Substance Abuse 93.959 AH105 17,115 Matching 14,842 Total U.S. Department of Health and Human Services 663,376 261,482 Sub-Total Florida Matching 134,646 U.S. Department of Homeland Security Direct Programs Checked Baggage Screening Design Services Project-(OTA) HSTS04-12-H-CT1247 175,766 Indirect Programs Passed Through Florida Department of Emergency Management Disaster Grants-Public Assistance-2009 N. Florida Flooding 97.036 09-SS-E8-01-56-02-502 219,035 0 Disaster Grants-2009 N. Florida Flooding Matching 09-SS-E8-01-56-02-502 36,506 0 168 Packet Pg. 262  Okaloosa County, Florida SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS AND STATE FINANCIAL ASSISTANCE Fiscal Year Ended September 30, 2013 Federal/State Agency, CFDA Total Expenditures Pass-through Entity, CSFA Contract or Disbursements Federal Program/State Project Number Grant Number Expenditures to Subrecipients Disaster Grants-Public Assistance-Issac-4084-DR-FL 97.036 13-IS-3S-01-56-02-523 (53,122) 0 Disaster Grants-Public Assistance-Issac-4084-DR-FL Matching 13-IS-3S-01-56-02-523 (8,854) 0 Homeland Security Grant Program 97.067 10-DS-39-01-56-01-388 38,118 0 Emergency Management Performance Grants 97.042 13-FG-86-01-56-01-113 67,150 0 Emergency Management Performance Grants 97.042 14-FG-1M-01-56-01-113 12,436 Emergency Management Performance Grants 97.042 13-DS-29-01-56-01-307 46,332 Homeland Security Grant Program 97.067 12-DS-9Z-01-56-01-267 332,505 0 Homeland Security Grant Program 97.067 12-DS-B8-01-56-01-240 97,330 0 Homeland Security Grant Program 97.067 12-DS-20-01-56-01-419 91,941 0 Passed Through Florida Department of Law Enforcement Agency Homeland Security Grant Program 97.067 2012-SHSP-OKAL-1-B9-014 86,574 Total U.S. Department of Homeland Security 1,114,065 0 Sub-Total Florida Matching 27,652 0 TOTAL FEDERAL AWARDS 6,675,227 1,207,171 Total Florida Matching Funds 162,298 0 STATE FINANCIAL ASSISTANCE Executive Office of the Governor Indirect Programs Passed through Enterprise Florida, Inc. Military Base Protection 31.044 DIG 08-04 0 65,000 Passed Through Florida Division of Emergency Management Emergency Management Programs 31.063 13-BG-83-01-56-01-046 88,817 Emergency Management Programs 31.063 14-BG-83-01-56-01-046 12,436 Emergency Management Projects 31.067 13-CP-11-01-56-01-191 11,524 Total Executive Office of the Governor 112,777 65,000 Florida Department of Environmental Protection Direct Programs Beach Erosuon Control Program 37.003 090K2 136,434 Cooperative Collection Center Grant - Liberty 37.007 SO619 12,913 0 Cooperative Collection Center Grant - Calhoun 37.007 SO619 17,751 0 Cooperative Collection Center Grant - Gulf 37.007 SO619 16,503 0 Cooperative Collection Center Grant - Holmes 37.007 SO619 14,832 0 Cooperative Collection Center Grant - Jackson 37.007 SO619 17,815 0 Cooperative Collection Center Grant - Santa Rosa 37.007 SO619 22,292 0 Cooperative Collection Center Grant - Walton 37.007 SO619 33,192 0 Cooperative Collection Center Grant - Washington 37.007 SO619 (8,101) 0 Cooperative Collection Center Grant - Franklin 37.007 SO619 10,324 0 Cooperative Collection Center Grant - Gadsen 37.007 SO619 5,114 0 Cooperative Collection Center Grant - Gulf 37.007 SO662 7,958 0 Cooperative Collection Center Grant - Holmes 37.007 SO662 7,775 Cooperative Collection Center Grant - Jackson 37.007 SO662 1,963 Cooperative Collection Center Grant - Walton 37.007 SO662 4,948 Cooperative Collection Center Grant - Washington 37.007 SO662 101 0 Cooperative Collection Center Grant - Gadsden 37.007 SO662 9,128 0 Total Florida Department of Environmental Protection 310,942 0 Florida Department of Economic Opportunity Enterprise Florida 169 Packet Pg. 263  Okaloosa County, Florida SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS AND STATE FINANCIAL ASSISTANCE Fiscal Year Ended September 30, 2013 Federal/State Agency, CFDA Total Expenditures Pass-through Entity, CSFA Contract or Disbursements Federal Program/State Project Number Grant Number Expenditures to Subrecipients Military Base Protection 40.014 MBP 13-01 2,057 Florida Department of Agriculture and Consumer Services Mosquito Control 42.003 016065 7,706 0 Mosquito Control 42.003 017242 17,876 Mosquito Control 42.003 018774 16,220 New Agricultural Center/City of Crestview Multi-Purpose Facility N/A 013227 82,255 Total Florida Department of Agriculture and Consumer Services 124,057 0 Florida Department of State State Aid To Libraries 45.030 13-ST-45 10,907 Florida Department of Emergency Management Hurricane Shelter Retrofit Project 52.024 12-SR-8X-01-56-01-314 122,500 Florida Housing Finance Corporation State Housing Initiatives Partnership (SHIP) 52.901 2011/2012 0 110,587 Florida Department of Transportation Commission for the Transportation of Disadvantaged Trip and Equipment Grant 55.001 AQO08, 43202718401/4320818401 0 258,500 Commission for the Transportation of Disadvantaged Trip and Equipment Grant 55.001 AR203, 43202718401/43202818401 26,589 54,459 Aviation Development Grant 55.004 APY60,41819319401 37,155 0 Aviation Development Grant 55.004 AQ522,42037519401 46,124 0 Aviation Development Grant 55.004 AQ497,42390719401 4,240 0 Aviation Development Grant 55.004 AQ498,42390619401 6,389 0 Aviation Development Grant 55.004 AQJ13, 422303119401 155,729 Aviation Development Grant 55.004 AQJ14, 42390729401 39,494 Commuter Assistance/Rideshare Grant 55.007 AQH83,420315-2-84-01 9,663 Public Transit Block Grant Program 55.010 AQH65, 422253-1-84-01 18,304 420,814 Transit Corridor Program 55.013 AQH66, 422256-1-84-01 889 299,107 Total Florida Department of Transportation 344,576 1,032,880 Florida Department of Health County Grant Awards 64.005 C1046 30,973 0 Florida Department of Management Services Wireless 911 EmergencyTelephone System 72.001 S-08-07-34 10,510 E911 State Grant Program 72.002 S3-10-11-24 11,804 22,314 0 Total Florida Matching Funds 162,298 0 TOTAL STATE FINANCIAL ASSISTANCE 1,081,103 1,208,467 TOTAL FEDERAL AWARDS AND STATE FINANCIAL ASSISTANCE 7,918,628 2,415,638 170 Packet Pg. 264  Okaloosa County, Florida NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS AND STATE FINANCIAL ASSISTANCE Fiscal Year Ended September 30, 2013 NOTE 1 - GENERAL The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance presents the activity of all federal funded programs and state funded projects of Okaloosa County, Florida. All federal awards received directly from federal agencies as well as federal awards passed through other government agencies are included on the schedule. Funds received and expended as state financial assistance reported on the schedule include only those state funds provided from state resources to carry out state projects. NOTE 2 - BASIS OF ACCOUNTING The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance is presented using the modified accrual basis of accounting for all governmental fund grants and the accrual basis of accounting for all proprietary fund grants. These basis of accounting are described in Note 1 C to the County’s financial statements. Packet Pg. 265  Okaloosa County, Florida Airport Enterprise Fund SCHEDULE OF EXPENDITURES OF PASSENGER FACILITY CHARGES For the Fiscal Year Ended September 30, 2013 Grantor/Program: Passenger Facility Charges Application Approval Number: 00-01-C-00-VPS Latest ROD 07-03-C-00-VPS Amended Cumulative Earned Current Year Cumulative Earned Current Unliquidated Passenger Facility Charges Amount of Amount at Earned Amount at Year at at Approval September 30, 2012 Amount September 30, 2013 Expenditures September 30, 2012 September 30, 2013 $ 39,922,121 $ 17,720,289 $ 1,452,575 $ 19,172,864 $ 1,360,206 $ 7,094,092 $ 7,186,461 Packet Pg. 266 Packet Pg. 267 Packet Pg. 268 Packet Pg. 269 Packet Pg. 270 Packet Pg. 271 Packet Pg. 272 Packet Pg. 273 Packet Pg. 274 Packet Pg. 275 Packet Pg. 276 Packet Pg. 277 Packet Pg. 278 Packet Pg. 279 Packet Pg. 280 Packet Pg. 281 Packet Pg. 282 Packet Pg. 283 Packet Pg. 284  FINANCIAL STATEMENTS AND AUDIT REPORTS PRESENTED TO DEMONSTRATE COMPLIANCE WITH FLORIDA STATUTES SECTION 218.39(8) AND RULES OF THE AUDITOR GENERAL, CHAPTER 10.557 Packet Pg. 285  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Public Safety/PIO SUBJECT: Visitor - American Heart Association & Okaloosa Co. EMS Presentation by Carla English, American Heart Association to Okaloosa County Emergency Medical Services (EMS) of the AHA Lifeline EMS Silver Award. Packet Pg. 286  Congratulations: SILVER EMS Recognition On behalf of The American Heart Association, I am honored to share the following news with you and your providers. As a result of your diligent systematic approach to care improvement, data collection and ultimately the formal award submission, Okaloosa County EMS has achieved the EMS Recognition – SILVER Although I am not able to provide the certificate or marketing materials at this time, I wanted to provide you with this exceptional news. It seems the energy is contagious in your region and everyone is extremely proud of the opportunity to support the ongoing success. Please refer to the “Special Notes” listed below for the official dates for the above mentioned resources in support of this “National” performance achievement recognition. Once I receive the resources, I will forward them accordingly. In the interim, you can begin strategizing on approaches to “Announce” the EMS Recognition and collaborate with the attributing providers. I am so excited about the opportunity and look forward to sharing in your celebration! ************************************* Congratulations: SILVER EMS Recognition is Official!!!!! ** The Certificates & PR/Marketing materials will not be available until next week. EMS Recognition Special Notes: 1) Certificates of Achievement will be available by April 21, 2014. 2) Press Kits for recognized agencies will be available online and provided to you by April 21, 2014. This kit will include a press release and social media releases that agencies can use to announce their awards. These press releases and social media blurbs have been approved by both science and the legal department. 3) We will be providing a document entitled: “EMS Recognition Presentation Ideas” for suggestions on how you can recognize your agencies. There are many ideas on ways to recognize – state meetings, regional meetings, along with hospital Packet Pg. 287 recognition presentations. Lead With Passion! Live Inspired! Carla English, BA, MHS, MHSA Director, Quality & Systems Improvement Alabama and Florida Panhandle American Heart Association Greater Southeast Affiliate 1449 Medical Park Drive Birmingham, AL 35213 Office: 205-510-1518 Work CELL: 205-266-1809 Fax: 205-510-1518 carla.english@heart.org "We are what we repeatedly do. Excellence then, is not an act but a habit." - Aristotle Tracey D. Vause, MPA Emergency Medical Services Division Chief Okaloosa County Department of Public Safety Office: 850-651-7150 Fax: 850-651-7170 Packet Pg. 288 Packet Pg. 289  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Sunil Harman SUBJECT: Supplemental JPA for Security Surveillance Systems DEPARTMENT: Airport BCC DISTRICT: All STATEMENT OF ISSUE: The Board of County Commissioners is requested to approve the acceptance of a Supplemental Joint Participation Agreement (SJPA) Number Two that amends the funding share of a previously approved SJPA. BACKGROUND: The original SJPA was amended to include security surveillance for the passenger exit late at Northwest Florida Regional Airport in addition to security systems at the two General Aviation Airports (Bob Sikes and Destin Fort Walton Beach). Since the Florida Department of Transportation funding for commercial service airports cannot exceed 50% of the eligible costs, while GA airport funding may be as high as 80%; this increased the County's share of the project costs from $260,360.00 to $463,913.00. The intended source for local funding share is Passenger Facility Charges (PFC) for both the Northwest Florida Regional Airport and GA airports. This is included in PFC Amendment No. 6 which will be submitted to the Federal Aviation Administration (FAA) for approval when consultation with the Airlines is completed. OPTIONS: Approve, Disapprove, Table RECOMMENDATIONS: Airport Staff recommends approval of the Supplemental Joint Participation Agreement and the required Signature Resolution which are attached. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 290 Packet Pg. 291 Packet Pg. 292 Packet Pg. 293 Packet Pg. 294 Packet Pg. 295  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: David Skarzynski, Budget Manager SUBJECT: Budget Resolutions & Transfers Resolution amending the Fiscal Year 2014 Budget, General Fund, which did not reflect adequate appropriations for Library Cooperative cost allocation, in the amount of $81,274. Resolution amending the Fiscal Year 2014 Budget, General Fund, which did not reflect adequate appropriations for equipment proceeds, in the amount of $33,000. BT-14-35 Capital Outlay Construction Fund in the amount of $175,000. Provide funding for AJAX contract approved at the May 6, 2014 Board of County Commissioners meeting. Packet Pg. 296  RESOLUTION NO. A RESOLUTION AMENDING THE FISCAL YEAR 2014 BUDGET GENERAL FUND WHEREAS, the Board of County Commissioners in the original budget did not reflect adequate appropriations for Library Cooperative cost allocation, and WHEREAS, said additional revenue is evident, and WHEREAS, Section 129.06(2)(d), Florida Statutes provides that a County may, by resolution of the Board of County Commissioners at any time during the fiscal year, appropriate and expend funds received for a particular purpose from a source not anticipated in the original budget, and NOW, THEREFORE, BE IT RESOLVED, by the Board of County Commissioners of Okaloosa County, Florida that the budget for the General Fund be increased, additional receipts appropriated as follows: RECEIPTS DEPT-ACCOUNT AMOUNT Other Miscellaneous Revenue 0171R-369990 $81,274 EXPENDITURES DEPT-ACCOUNT AMOUNT Contract Services – General Fund Admin 0171-534001 $81,274 Adopted this regular session the 20th day of May 2014. BOARD OF COUNTY COMMISSIONERS OKALOOSA COUNTY, FLORIDA ____________________________________ CHARLES K. WINDES, JR., CHAIRMAN ATTEST: DON W. HOWARD CLERK OF CIRCUIT COURT BY: ____________________________ Deputy Clerk Budget Amendment No. __________ Packet Pg. 297  RESOLUTION NO. A RESOLUTION AMENDING THE FISCAL YEAR 2014 BUDGET GENERAL FUND WHEREAS, the Board of County Commissioners in the original budget did not reflect adequate appropriations for auction proceeds, and WHEREAS, said additional revenue is evident, and WHEREAS, Section 129.06(2)(d), Florida Statutes provides that a County may, by resolution of the Board of County Commissioners at any time during the fiscal year, appropriate and expend funds received for a particular purpose from a source not anticipated in the original budget, and NOW, THEREFORE, BE IT RESOLVED, by the Board of County Commissioners of Okaloosa County, Florida that the budget for the General Fund be increased, additional receipts appropriated as follows: RECEIPTS DEPT-ACCOUNT AMOUNT Equipment Proceeds 0100R-364100 $33,000 EXPENDITURES DEPT-ACCOUNT AMOUNT Contract Services – Personnel 0103-534500 $15,600 Travel Out-of-County 0103-540002 $500 Travel Lodging Expenses 0103-554001 $500 Books/Pubs/Subs/Memberships 0103-554001 $300 Contract Services – Personnel 0151-534500 $8,000 Contract Services – Other 0151-534900 $500 Background Checks 0151-549906 $100 Training/Education Expense 0151-555001 $100 Reserves 0199-599010 $7,400 Adopted this regular session the 20th day of May 2014. BOARD OF COUNTY COMMISSIONERS OKALOOSA COUNTY, FLORIDA ____________________________________ CHARLES K. WINDES, JR., CHAIRMAN ATTEST: DON W. HOWARD CLERK OF CIRCUIT COURT BY: ____________________________ Deputy Clerk Budget Amendment No. __________ Packet Pg. 298 Packet Pg. 299  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Rick Owen SUBJECT: Resolution Fishery Management Plan DEPARTMENT: County Administrator BCC DISTRICT: All STATEMENT OF ISSUE: Staff requests approval of Resolution by the Okaloosa County Board of County Commissioners supporting development of fishery management plan in the Gulf of Mexico. RECOMMENDATION: Staff recommends approval of resolution. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 300  RESOLUTION 14-_____________ RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS SUPPORTING THE DEVELOPMENT OF A NEW FISHERY MANAGEMENT PLAN FOR RECREATIONAL ANGLERS TO HELP INCREASE ACCESS TO REBUILDING FISHERIES; SUPPORTING A NEW DATA COLLECTION SYSTEM FOR RECREATIONAL FISHERIES, AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the fishing industry is vital to the economy of Okaloosa County and the surrounding areas on the Gulf Coast and is an essential component of tourism; and WHEREAS, the National Marine Fisheries Service, the Gulf of Mexico Fishing Management Council and Florida Fish and Wildlife Conservation Commission have the responsibility of establishing a management system or plan to maintaining and preserving the fishing industries in the Gulf; and WHEREAS, the present federal management systems for the control of over fishing of annual allocations has not been effective in management of fishery within the Gulf of Mexico; and WHEREAS, the present federal management system is inadequate as it can not determine harvest levels in a timely manner; and WHEREAS, the National Marine Fisheries Service, the Gulf of Mexico Fishing Management Council and Florida Fish and Wildlife Conservation Commission are actively involved in the monitoring and review of the current fisheries management plan and evaluating its effectiveness; and Packet Pg. 301  WHEREAS, to address the deficiencies of the current fisheries management plan, the National Marine Fisheries Service, the Gulf of Mexico Fishing Management Council and Florida Fish and Wildlife Conservation Commission should develop a new fishery management plan for the management of recreational anglers that will work increase access to rebuilding fisheries. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF OKALOOSA COUNTY, FLORIDA, AS FOLLOWS: 1. The Board requests and supports the action by the National Marine Fisheries Service, the Gulf of Mexico Fishing Management Council and Florida Fish and Wildlife Conservation Commission to develop a fishery management plan for recreational anglers that can effectively manage and provide increase access to rebuilding fisheries. 2. As part of this new fishery management plant, the Board requests and encourages the National Marine Fisheries Service, the Gulf of Mexico Fishing Management Council and Florida Fish and Wildlife Conservation Commission to incorporate a new data collection system which will provide an accountable, time critical and accurate way to determine harvest effort and harvest levels in recreational fisheries. 3. Consistent with these efforts, the Board encourages the Gulf of Mexico Fishing Management Council to continue with the modifications to the current fishery management plan, including those changes contained in proposed Amendment 40, which begins to address the unique needs of the private recreational sector and the Charter for Hire recreational sectors. 4. This Resolution shall become effective upon adoption. 2 Packet Pg. 302  DULY ADOPTED THIS _____ DAY OF __________________, 2014. BOARD OF COUNTY COMMISSIONERS OF OKALOOSA COUNTY, FLORIDA (SEAL) By: Chairman ATTEST: By: Don Howard, Clerk 3 Packet Pg. 303  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Sheriff - Larry Ashley SUBJECT: Request Approval to Execute the FDOR Federally Funded Grant CST46 STATEMENT OF ISSUE: Board approval is needed to execute the Florida Department of Revenue federally funded grant agreement providing partial reimbursement of the cost of service of process (SOP) in child support cases. BACKGROUND: The Florida Department of Revenue will provide partial reimbursement for the period July 1, 2014 - June 30, 2017 for service of process and writ of bodily attachment in child support cases. The County is to receive 66% of the fees itpays the Sheriff for service of the instruments; this action is for renewal of an ongoing program. OPTIONS: Approve or Disapprove RECOMMENDATION: The Sheriff's Office requests the Board review, approve, and authorize the Chairman to sign the attached grant agreement and all future grant documents during the term of the grant and to authorize the Clerk of Courts office of Contracts & Grants to electronically submit the executed agreement, monthly invoicing and any other submissions needed during the term of the grant. Packet Pg. 304 Packet Pg. 305 Packet Pg. 306 Packet Pg. 307 Packet Pg. 308 Packet Pg. 309 Packet Pg. 310 Packet Pg. 311 Packet Pg. 312 Packet Pg. 313 Packet Pg. 314 Packet Pg. 315 Packet Pg. 316 Packet Pg. 317 Packet Pg. 318 Packet Pg. 319 Packet Pg. 320 Packet Pg. 321 Packet Pg. 322 Packet Pg. 323 Packet Pg. 324 Packet Pg. 325 Packet Pg. 326 Packet Pg. 327  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Sheriff Larry Ashley SUBJECT: Byrne Grant Application Submittal FY2014 Documents are attached related to the submission of an application for the FY 2014 Edward Byrne Memorial Justice Assistance Grant. Packet Pg. 328 Packet Pg. 329 Packet Pg. 330 Packet Pg. 331 Packet Pg. 332 Packet Pg. 333 Packet Pg. 334 Packet Pg. 335 Packet Pg. 336 Packet Pg. 337 Packet Pg. 338 Packet Pg. 339 Packet Pg. 340 Packet Pg. 341 Packet Pg. 342 Packet Pg. 343 Packet Pg. 344 Packet Pg. 345 Packet Pg. 346 Packet Pg. 347 Packet Pg. 348 Packet Pg. 349 Packet Pg. 350 Packet Pg. 351 Packet Pg. 352 Packet Pg. 353 Packet Pg. 354 Packet Pg. 355 Packet Pg. 356 Packet Pg. 357 Packet Pg. 358 Packet Pg. 359 Packet Pg. 360 Packet Pg. 361 Packet Pg. 362 Packet Pg. 363 Packet Pg. 364 Packet Pg. 365 Packet Pg. 366 Packet Pg. 367 Packet Pg. 368 Packet Pg. 369 Packet Pg. 370 Packet Pg. 371 Packet Pg. 372 Packet Pg. 373 Packet Pg. 374 Packet Pg. 375 Packet Pg. 376 Packet Pg. 377 Packet Pg. 378  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: Emergency Medical Services Week Proclamation DEPARTMENT: Public Safety BCC DISTRICT: All STATEMENT OF ISSUE: Request approval of the Proclamation designating the week of May 18-24, 2014, as Emergency Medical Services Week. BACKGROUND: National Emergency Medical Services (EMS) Week brings together local communities and medical personnel to publicize safety and honor the dedication of those who provide the day-to-day lifesaving services of medicine's front line. May 18-24, 2014, has been designated as EMS Week with the theme, "EMS: Dedicated. For Life." OPTIONS: Approve/Disapprove. RECOMMENDATIONS: Approve the Proclamation for EMS Week from May 18-24, 2014. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 379  PROCLAMATION TO DESIGNATE THE WEEK OF MAY 18-24, 2014, AS EMERGENCY MEDICAL SERVICES WEEK WHEREAS, emergency medical services is a vital public service; and WHEREAS, the members of emergency medical services teams are ready to provide lifesaving care to those in need 24 hours a day, seven days a week; and WHEREAS, access to quality emergency care dramatically improves the survival and recovery rate of those who experience sudden illness or injury; and WHEREAS, the emergency medical services system consists of emergency physicians, emergency nurses, emergency medical technicians, paramedics, firefighters, educators, administrators and others; and WHEREAS, the members of emergency medical services teams, whether career or volunteer, engage in thousands of hours of specialized training and continuing education to enhance their lifesaving skills; and WHEREAS, it is appropriate to recognize the value and the accomplishments of emergency medical services providers by designating Emergency Medical Services Week; NOW, THEREFORE, the Okaloosa County Board of County Commissioners in recognition of this event do hereby proclaim the week of May 18-24, 2014, as: EMERGENCY MEDICAL SERVICES WEEK with the theme, “EMS: Dedicated. For Life.”, and encourage the community to observe this week with appropriate programs, ceremonies and activities. DULY PASSED AND ADOPTED this 20th day of May, 2014. BOARD OF COUNTY COMMISSIONERS OKALOOSA COUNTY, FLORIDA _______________________________________ Charles K. Windes, Jr., Chairman ATTEST: CLERK OF CIRCUIT COURT ___________________________ Don W. Howard Packet Pg. 380  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: Beach Safety Week Proclamation DEPARTMENT: Public Safety BCC DISTRICT: STATEMENT OF ISSUE: Request approval of a Proclamation designating the week of June 1-8, 2014, as National Beach Safety Week. BACKGROUND: This year National Beach Safety Week is June 1-8, and it urges all residents using our beaches to enjoy themselves at the beach this year, while taking appropriate measures to protect themselves and their children. OPTIONS: Approve/Disapprove. RECOMMENDATIONS: Approve the Proclamation for National Beach Safety Week from June 1-8, 2014. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 381  PROCLAMATION TO DESIGNATE THE WEEK OF JUNE 1-8, 2014, AS NATIONAL BEACH SAFETY WEEK WHEREAS, the beautiful coastal and inland beaches of Okaloosa County represent a world renowned recreational resource; and, WHEREAS, the residents and visitors of Okaloosa County are drawn to these beaches by the millions each year for water and beach activities; and, WHEREAS, the aquatic environment has dangers that can be effectively managed through public awareness and the vigilance of professional lifeguards; and, WHEREAS, for reasons of public safety, an annual reminder of the joys and hazards associated with the aquatic environment are appropriate at the commencement of the busy summer beach season; and, WHEREAS, the residents and visitors of Okaloosa County must remember to Never Swim Alone, Always Swim Near a Lifeguard, Never Drink Alcohol Before Swimming, Respect the Power of the Surf, and Learn to Swim; NOW, THEREFORE, the Okaloosa County Board of County Commissioners in recognition of this event do hereby proclaim June 1-8, 2014, as: NATIONAL BEACH SAFETY WEEK in Okaloosa County, and urge all residents using our beaches to enjoy themselves at the beach this year, while taking appropriate measures to protect themselves and their children. DULY PASSED AND ADOPTED this 20th day of May, 2014. BOARD OF COUNTY COMMISSIONERS OKALOOSA COUNTY, FLORIDA _______________________________________ Charles K. Windes, Jr., Chairman ATTEST: CLERK OF CIRCUIT COURT ___________________________ Don W. Howard Packet Pg. 382  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: Public Safety Medical Director Contract Renewal DEPARTMENT: Public Safety BCC DISTRICT: All STATEMENT OF ISSUE: Contract renewal between the Board of County Commissioners and Dr. Christopher D. Tanner for his services as Medical Director of the Okaloosa County Department of Public Safety at a cost of $16,000.00 annually, which is included in the EMS budget. The renewal extends the contract for one additional year from October 1, 2014, through September 30, 2015. BACKGROUND: Dr. Tanner is an independent contractor and has his own insurance as required in the memorandum of agreement. Per Florida Statute Chapter 401.265, Okaloosa County Public Safety is required to have a medical director. Dr. Tanner has been the medical director for Okaloosa County Public Safety since 2000, as initially approved by the Board of County Commissioners. Per Purchasing guidelines, contracts/agreements initially approved by the Board must be approved by the Board upon renewal. OPTIONS: Approve or disapprove. RECOMMENDATIONS: Approve the contract renewal. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 383 Packet Pg. 384  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: Memorandum of Agreement with 1 SOW, Hurlburt Field DEPARTMENT: Public Safety BCC DISTRICT: STATEMENT OF ISSUE: Request approval of the updated memorandum of agreement with the 1st Special Operations Wing (1 SOW), Hurlburt Field to share basic and advanced lifesaving resources for the purpose of mutual aid. BACKGROUND: Since 2006, Okaloosa County Department of Public Safety’s Emergency Medical Services (EMS) Division has provided mutual aid ALS response and transport on Hurlburt Field under a mutual aid agreement with the 16th Medical Group and 16th Mission Support Group. The Fire and Emergency Services Program on Hurlburt is now under the command of the Special Operations Medical Group of 1 SOW and the agreement needs to be updated to reflect that change. The agreement further formalizes procedures related to billing for services, jurisdictional limitations, base access, HIPAA and dispatch notification. The coordination process is complete. OPTIONS: Approve/Disapprove. RECOMMENDATIONS: Approve the updated memorandum of agreement with the 1 SOW, Hurlburt Field. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 385 Packet Pg. 386 Packet Pg. 387 Packet Pg. 388 Packet Pg. 389 Packet Pg. 390 Packet Pg. 391  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: Kronos TeleStaff Upgrade from v2.7 to v4.0 DEPARTMENT: Public Safety BCC DISTRICT: All STATEMENT OF ISSUE: Request approval to amend the contract between Okaloosa EMS and Kronos, Inc., to upgrade the EMS TeleStaff scheduling software from v2.7 to v4.0 at a total cost of $8,767.50. BACKGROUND: Okaloosa County Department of Public Safety’s Emergency Medical Services (EMS) Division has used the Kronos TeleStaff scheduling system since 2002. Several updates in the software have been introduced over the years, but have not been purchased or implemented by EMS. As such, the software is seriously outdated and will not interface with the newly purchased Kronos Timekeeping System. The update must first be performed before the timekeeping system design can be completed and fully implemented. The coordination process has been completed. OPTIONS: Approve/Disapprove. RECOMMENDATIONS: Approve the contract amendment with Kronos TeleStaff to update the TeleStaff software from v2.7 to v4.0. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 392 Packet Pg. 393 Packet Pg. 394 Packet Pg. 395 Packet Pg. 396 Packet Pg. 397 Packet Pg. 398 Packet Pg. 399 Packet Pg. 400  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: EMS Billing Contract with Intermedix DEPARTMENT: Public Safety BCC DISTRICT: All STATEMENT OF ISSUE: Request Board approval to award and execute the contract for EMS billing services with Intermedix for a total estimated cost of $370,000 annually. BACKGROUND & ANALYSIS: The purpose of the contract is to provide professional billing services for EMS. The scope of the contract includes, but is not limited to, patient care reporting, data sharing with key hospitals and reporting to the Florida Department of Health Bureau of EMS, compliance auditing, fee collection, insurance claims, and direct revenue payments. Proposals from six billing companies were submitted on March 7, 2014. The Board approved selection committee met on March 24, 2014, to review and rank the proposals. Through the RFP process, Intermedix proposed continuing and enhancing services at a substantial savings compared to the current contract. Currently, Intermedix charges 8.58% of collections, which includes ToughBook field computers for electronic patient care reporting. In this proposal, they reduced their collections fee to 5.53% providing the same services for an approximately $110,000 annual savings. The committee unanimously recommended that Intermedix be awarded the contract. The coordination process has been completed. Intermedix is the current billing contractor and has provided this service for Okaloosa County EMS since May 1999. The existing contract expired May 18, 2014, and new contract will need to be effective May 19, 2014. OPTIONS: Approve or Reject the request to award and execute the contract with Intermedix. RECOMMENDATION: The department recommends awarding the contract with Intermedix and executing it effective May 19, 2014. RECOMMENDED BY: Packet Pg. 401 APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 402 Packet Pg. 403 Packet Pg. 404 Packet Pg. 405 Packet Pg. 406 Packet Pg. 407 Packet Pg. 408 Packet Pg. 409 Packet Pg. 410 Packet Pg. 411 Packet Pg. 412 Packet Pg. 413 Packet Pg. 414 Packet Pg. 415 Packet Pg. 416 Packet Pg. 417 Packet Pg. 418 Packet Pg. 419 Packet Pg. 420 Packet Pg. 421 Packet Pg. 422 Packet Pg. 423 Packet Pg. 424 Packet Pg. 425 Packet Pg. 426 Packet Pg. 427 Packet Pg. 428 Packet Pg. 429 Packet Pg. 430 Packet Pg. 431 Packet Pg. 432 Packet Pg. 433 Packet Pg. 434 Packet Pg. 435 Packet Pg. 436 Packet Pg. 437 Packet Pg. 438 Packet Pg. 439 Packet Pg. 440 Packet Pg. 441 Packet Pg. 442 Packet Pg. 443 Packet Pg. 444 Packet Pg. 445 Packet Pg. 446 Packet Pg. 447 Packet Pg. 448 Packet Pg. 449 Packet Pg. 450 Packet Pg. 451 Packet Pg. 452 Packet Pg. 453 Packet Pg. 454 Packet Pg. 455 Packet Pg. 456 Packet Pg. 457 Packet Pg. 458 Packet Pg. 459 Packet Pg. 460 Packet Pg. 461 Packet Pg. 462 Packet Pg. 463 Packet Pg. 464 Packet Pg. 465 Packet Pg. 466 Packet Pg. 467 Packet Pg. 468 Packet Pg. 469  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: School Bus Transportation Lease Renewal DEPARTMENT: Public Safety BCC DISTRICT: All STATEMENT OF ISSUE: Request approval of the lease renewal between the Okaloosa County Board of County Commissioners and the School Board of Okaloosa County, which establishes procedures for utilizing school buses for emergency transportation. These buses are to be provided to the Board of County Commissioners before and after a hurricane or other disaster. Per Purchasing guidelines, lease renewals must be approved by the Board. BACKGROUND: Disaster response operations require the county to possibly provide transportation to individuals to and from county shelters. Currently, the county provides transportation to special needs residents without transportation to the special needs shelter. This transportation is provided by Okaloosa Coordinated Transportation (OCT). OCT is limited to the number of people they can transport due to the size of the OCT buses. The agreement with the School Board will provide larger buses to the county, which will allow the county if needed to transport larger numbers of individuals to county shelters. The renewal of a written agreement with the School Board will also allow for possible reimbursement from the Federal Emergency Management Agency. OPTIONS: Approve/Disapprove. RECOMMENDATIONS: Authorize the Chairman to sign the school bus lease renewal. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 470 Packet Pg. 471 Packet Pg. 472  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: TLT Transport Contract Renewal DEPARTMENT: Public Safety BCC DISTRICT: All STATEMENT OF ISSUE: Request approval of the contract renewal with TLT Transport, LLC, for the transportation of non-emergency Baker Act patients for one additional year from October 1, 2014, through September 30, 2015. Per Purchasing guidelines, contracts/agreements initially approved by the Board must be approved by the Board upon renewal. BACKGROUND: In accordance with Florida Statues 394.462, if neither the patient nor any person legally obligated or responsible for the patient is able to pay for the expense of transporting a voluntary or involuntary patient to a treatment facility, the governing board of the county in which the patient is hospitalized shall arrange for such required transportation and shall ensure the safe and dignified transportation of the patient. The governing board of each county is authorized to contract with private transport companies for the transportation of such patients to and from a treatment facility. Currently, EMS transports Baker Act patients that are in need of medical care and require medical clearance to local hospitals. Once a patient is medically cleared or found not to have a medical condition requiring EMS transport, a non-emergency transportation service is utilized. This type of arrangement enables EMS resources to be utilized in the most appropriate manner enabling them to be more available for emergency calls. The recovery of the transportation expenses are provided for in Florida Statutes 901.35. The County has utilized TLT Transport, LLC, for the transport of non-emergency Baker Act patients since 2007. OPTIONS: Approve or disapprove. RECOMMENDATIONS: Approve the contract renewal with TLT Transport, LLC. RECOMMENDED BY: APPROVED BY: Packet Pg. 473 Ernie Padgett, County Administrator Packet Pg. 474 Packet Pg. 475  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: West Florida Regional Planning Council Interlocal Agreement DEPARTMENT: Public Safety BCC DISTRICT: All STATEMENT OF ISSUE: Request approval of the Interlocal Agreement with the West Florida Regional Planning Council. Okaloosa County Emergency Management intends to utilize the West Florida Regional Planning Council to assist with first responder training, planning, and exercises. BACKGROUND: Regional Planning Councils were established by an act of Congress to assist local communities and governmental agencies with planning, training, and exercises. Florida Statute 186.501 provides local governments the ability to contract with the Regional Planning Council without the need to seek bids for the service. Florida Statute 186.501 further requires that an interlocal agreement between the planning council and the governmental entity must be established in order to utilize the service of the planning council without seeking bids. OPTIONS: Approve/Disapprove. RECOMMENDATIONS: Approve the Interlocal Agreement with the West Florida Regional Planning Council. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 476 Packet Pg. 477 Packet Pg. 478 Packet Pg. 479  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: Outstanding April and March 2014 Airgas Invoices DEPARTMENT: Public Safety BCC DISTRICT: All STATEMENT OF ISSUE: [PS] Request approval to pay Airgas, Inc., for the outstanding March and April 2014 invoices for a total of $5,453.76. BACKGROUND: Airgas, Inc., is the sole medical oxygen vendor for Okaloosa County Emergency Medical Services. Historically, invoices for oxygen services have been paid by after-the-fact purchase order. “After the fact” meaning the department did not submit a requisition to Purchasing for approval prior to placing the order. These types of purchases do not comply with the current Purchasing Policy and as of October 1, 2013, Finance no longer approves purchase order payments for services invoiced after-the-fact. Staff is working with Purchasing and Finance to ensure requests/purchases are made according to an approved strategy in accordance with the Purchasing Policy. Board approval to direct pay the outstanding invoice is required. OPTIONS: Approve/Disapprove. RECOMMENDATIONS: Recommend approval of direct payment for the outstanding invoices to Airgas. 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Villani SUBJECT: RFP for EMS Collection Services DEPARTMENT: Public Safety BCC DISTRICT: All STATEMENT OF ISSUE: Request permission to solicit proposals for future EMS collection services and approve the selection committee. BACKGROUND: Professional Adjustment Corporation of S.W. Florida, Inc. (PAC) has provided the collection service on delinquent accounts for Okaloosa County EMS since September 28, 2000. The last renewal on the existing contract will extend EMS collection services with PAC through September 30, 2014. The Department requests permission to solicit prospective bidders for proposals to provide future EMS collection services. An official selection committee has been identified to review the proposals; the members are as follows: Tracey Vause, EMS Division Chief; Michelle Huber, Office Supervisor; and Laurel Stewart, EMS Billing Coordinator. Jack Allen from Okaloosa County Purchasing will provide guidance to the selection committee. OPTIONS: Approve/disapprove. RECOMMENDATIONS: Approve the Department to solicit proposals from prospective bidders for future EMS collection services, and approve the selection committee identified. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 558  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Zan Fedorak SUBJECT: Airport Emergency Flooding Repairs DEPARTMENT: Purchasing BCC DISTRICT: All STATEMENT OF ISSUE: Request the Board review and ratify procurement for the emergency repairs for Bob Sikes, Destin, and Northwest Florida (NWF) Regional Airports due to the flooding event on April 29 & 30, 2014. BACKGROUND & ANALYSIS: Bob Sikes, Destin, and NWF Regional Airports sustained considerable damage due to the heavy rains received on April 29 & 30, 2014. Some areas of damage were adjacent to runways and facilities. Airports contacted Purchasing with concerns that subsequent rain events posed a considerable threat of further damage to the airport runways and facilities; therefore, direction was sought from the County Administrator. Per Section H of the Purchasing Manual, emergency procedures allow Purchasing to deviate from normal solicitation procedures. In order to expedite the repairs, quotes were solicited in lieu of bids for repair of the damage. Three (3) construction vendors were contacted, with one declining to provide a quote. The lowest of the quotes was submitted by Gum Creek Farms; Bob Sikes Airport $435,000, Destin Airport $100,000, and NWF Regional Airport $250,000. Purchase orders #21401297, #21401298, & #21401299 were processed on Friday April 9, 2014 to Gum Creek Farms and they were asked to mobilize immediately. A hold harmless and conflict of interest form has been signed for the file. All insurance requirements have been approved by Risk Management. OPTIONS: Ratify/Reject the purchase orders for the emergency repairs for Bob Sikes, Destin, and Northwest Florida (NWF) Regional Airports due to the flooding event on April 29 & 30, 2014. RECOMMENDATIONS: Staff recommends the Board ratify the purchase orders for the emergency repairs for Bob Sikes, Destin, and Northwest Florida (NWF) Regional Airports due to the flooding event on April 29 & 30, 2014. RECOMMENDED BY: Packet Pg. 559 APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 560 Okaloosa County Airports Storm Damage April 29/30, 2014 Packet Pg. 561 Storm Damage to Crestview’s Bob Sikes Airport (CEW) - April 29/30, 2014 Packet Pg. 562  The Bob Sikes Airport suffered severe erosion damage to areas throughout the airfield. Recommended vendor: Gum Creek Farms -Complete failure of water retention swales throughout. Est. $350,000 -Concrete check-dams used to reduce erosion in drainage ditch were undermined and caused dams to break in half. Est. $60,000 -Drainage pipes dislodged and broke in several sections. Est. $25,000 Packet Pg. 563 Erosion at Qwest Apron Packet Pg. 564 Sinkhole on Eastside of Runway 17/35 with Excessive Erosion Packet Pg. 565 Canyon Forming on Eastside of Runway Packet Pg. 566 Opposite View of Canyon/Erosion East of Runway Packet Pg. 567 Another View of Canyon/Erosion East of Runway Packet Pg. 568 Erosion West of Taxiway Packet Pg. 569 Additional Erosion Beginning West of Taxiway Packet Pg. 570 Check-Dam Damage Packet Pg. 571 Additional Check-Dam Damage Packet Pg. 572 South Retention Pond – West of Taxiway Packet Pg. 573 West of Taxiway on South End Packet Pg. 574 West of Taxiway on South End - Dislodged Drainage Pipes Packet Pg. 575 Storm Damage to Destin Airport (DTS) – April 29/30, 2014 Packet Pg. 576 Mass flooding occurred throughout the mid to south end of the airfield. Recommend vendor: Gum Creek Farms - Recommend digging out swales and re- grade retention ponds and storm water infrastructure. Est. $100,000 Packet Pg. 577 Road Leading North Towards Destin Jet Packet Pg. 578 South Towards Regal Air Packet Pg. 579 Taxilane Connector w/ Retention Ponds on Left Packet Pg. 580 Taxiway w/ Receded Retention Ponds on Either Side Packet Pg. 581 Flooded South Apron and Retention Pond on Left – Gate 1 (West Face) Packet Pg. 582  Gate 1 (Cont.) Electric Gate Card Reader Packet Pg. 583 Packet Pg. 584 Storm Damage to Northwest Florida Regional Airport (VPS – April 29/30, 2014 Packet Pg. 585  Lighting: Recommended Vendor – Bill Smith Electric -Approximately 45 security lights are out in Public Parking Short and Long Term lots. Est. $4,000 -High mast lighting on west aircraft parking apron. Est. $6,000 -LED information signage and LED canopy lighting entering credit card express lot. Est $3,000 Storm Water Erosion: Recommended vendor – Gum Creek Farms -Soil erosion occurred on almost all airport roads and taxiways including storm water runoff holding ponds. Est. $250,000 Roof Leaks: Recommended vendor: Del Mack Roofing -Multiple roof leaks within the terminal building. Est. $8,000 -Multiple roof leaks and gutter damage to Baldwin Building. Est. $2000 -Multiple roof leaks in Cargo Building Maintenance area. $Est. $1500 Systems - Veeder Root fuel monitoring system at fuel farm failed. Est. $6000 Packet Pg. 586 High Mask Lighting Inoperable at West Aircraft Parking Apron Packet Pg. 587 45 Security Lights Out at Short and Long Term Parking Lots Packet Pg. 588 LED Information Signage and LED Canopy Lighting Out at Credit Card Express Lot Packet Pg. 589  Soil erosion occurred on almost all airport roads and taxiways including storm water runoff holding ponds Packet Pg. 590 (Cont.) Packet Pg. 591 Multiple Roof Leaks to Terminal, Baldwin Building and Cargo/Maintenance Building Packet Pg. 592 Packet Pg. 593  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Zan Fedorak SUBJECT: Solicit Request for Qualifications for General Aviation Services DEPARTMENT: Purchasing BCC DISTRICT: All STATEMENT OF ISSUE: The Board of County Commissioners is requested to consider the Airports desire to solicit a request for qualifications (RFQ) for aviation engineering, consulting, architectural, aviation planning and construction services. Additionally, the Board is requested to consider appointment of the following review committee members: Okaloosa County Airports Deputy Director, Airports Administration and Finance Manager, Airports Finance and Projects Development Specialist, Airports Operations Coordinator, and a Design Engineer from Public Works. The Purchasing department will facilitate meetings for the committee. BACKGROUND & ANALYSIS: Existing contracts for three general consulting and engineering services firms will expire July 8, 2014 (C09-1736-AP, C09-1737-AP, C09-1738- AP). The Airports Department would like to enter into new contracts with qualifying firms at the end of the RFQ process. The contract term for each firm is proposed at three years and each will have two one year options to renew. Contract award requests will be brought to the Board for approval. OPTIONS: Approve/Reject the RFQ process for Purchasing to solicit aviation engineering, consulting, architectural, aviation planning and construction services for Airports and the appointment of the review committee. RECOMMENDATIONS: Staff recommends approval of the RFQ process for Purchasing to solicit aviation engineering, consulting, architectural, aviation planning and construction services for Airports and the appointment of the review committee. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 594 Packet Pg. 595 Packet Pg. 596  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Zan Fedorak SUBJECT: Seeking Approval to Purchase One Front End Loader (4 CY) DEPARTMENT: Purchasing BCC DISTRICT: All STATEMENT OF ISSUE: [PUR] Seeking Board approval to purchase one (1) 2014 Doosan DL300 Front End Loader (4 Cubic Yard) (RFB #33-14) for Public Works. BACKGROUND & ANALYSIS: The Public Works Department has requested the purchase of a Front End Loader (4 cy). Bids were opened on March 12, 2014 and eight (8) bids were received. Coastal Machinery Company (Pensacola, FL) submitted the lowest responsive bid meeting specifications and documentation requirements for a total cost of $182,571.30. Funding is available in the Public Works FY14 budget account #3202-564402. OPTIONS: Approve/Deny purchase of One (1) 2014 Doosan DL300 Front End Loader (4 cy) for total cost of $182,571.30 (RFB #33-14). RECOMMENDATION: Staff recommends approving purchase of One (1) 2014 Doosan DL300 Front End Loader (4 cy) for total cost of $182,571.30 (RFB #33-14). RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 597  BID SHEET BID #: RECY 33-14 BIDS DUE: 3/12/14 @ 2:00 P.M. ONE (1) NEW RUBBER TIRED ARTICULATED FRONT END LOADER (4 CUBIC yards). BID #: RECY 34-14 ONE (1) NEW RUBBER TIRED ARTICULATED FRONT END LOADER (4.75 CUBIC yards). VENDOR RECY 33-14 RECY 34-14 TOTAL PRICE TOTAL PRICE Thompson Tractor $217,962.00 $217,962.00 Cowin Equipment $198,065.00 $206,082.00 Tractor Equipment Co. $213,700.00 $213,700.00 Coastal Machinery Co. $182,571.30 $204,058.90 Awarded 4/1/14 Beard Equipment Co. $199,823.00 $228,924.00 Lyle Machinery $170,250.00 $233,333.00 One Source Power $205,860.00 $283,750.00 Pittman Tractor , Inc. $164,493.68 $229,797.70 Packet Pg. 598 Packet Pg. 599 Packet Pg. 600 Packet Pg. 601 Packet Pg. 602 Packet Pg. 603 Packet Pg. 604 Packet Pg. 605 Packet Pg. 606 Packet Pg. 607 Packet Pg. 608 Packet Pg. 609 Packet Pg. 610 Packet Pg. 611  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Jeff Littrell SUBJECT: Outsourcing of Utility Bills RFP DEPARTMENT: Water and Sewer BCC DISTRICT: All STATEMENT OF ISSUE: Award contract to Pinnacle Data Services for Utility Billing Outsourcing. BACKGROUND: Bids were opened on May 7, 2014 and five (5) bids were received. The lowest bidder was unable to fulfill the bid specifications. Pinnacle Data Services is the lowest responsive and responsible bidder meeting the requirements for a monthly cost $4,572 before postage; see monthly bid tabulation. Funding will be available in the FY14/15 Water & Sewer budget account number 4101-534306. The County solicited proposals from qualified and experienced firms to provide services for the design, process, printing, and mailing of the monthly billing statements and occasionally customer letters. The awarded contract will be for a term of three (3) years with three (3) one-year renewals. This contract will be for outsourcing the billing which consist of approximately 29,000 utility bills each month in addition to final and off-cycle bills. OPTIONS: Approve/Deny awarding contract to Pinnacle Data Services for Utility Billing Outsourcing. RECOMMENDATIONS: Staff requests BCC approval to award the Utility Billing Outsourcing contract to Pinnacle Data Services, as the lowest responsive and responsible bidder meeting specifications. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 612  BID TABULATION - RFB WS 40-14 UTILITY BILL PRINTING, INSERTING, MAILING & CUSTOM BILL DESIGN SERVICES W&S BID OPENS: May 7, 2014 @3:00pm PINNACLE DATA SERVICES SOUTHWEST DIRECT SEVERN TRENT SOUTH DATA, INC AXIS ITEM DESCRIPTION BID BOND YES Or NO BID BOND YES Or NO BID BOND YES Or NO BID BOND YES Or NO BID BOND YES Or NO # Lump Sum Lump Sum Lump Sum Lump Sum Lump Sum INITIAL BILL SESGN & DEVELOPMENT 1 Initial bill design & programming 0 0 0 0 0 2 Start up costs 0 0 0 0 0 3 Postage Escrow 25000 25000 25000 25000 25000 Piece per mailed statement Piece per mailed statement Piece per mailed statement Piece per mailed statement Piece per mailed statement BILL PROCESSED VIA MAIL Price per mailed statement, bills processed: To include all services and supplies excluding I postage. 0.078 2262 0.118 3422 0.17 4930 .075 2175 .13 3770 II Charge for combined bills. 0 0 0 0 0 0 .005 1 .1 20 Charge for bill insertion (black and white III simplex 8 ½” x 11”) 0.025 725 .058 1682 0.01 290 0 0 .05 1450 Charge for bill insertion (black and white duplex IV 8 ½” x 11”) 0.03 870 .078 2262 0.01 290 0 0 .07 2030 PDF Rendering or Creating (electronic services V if available 0.01 290 .005 145 0 00 0 .016 464 VI E-mail statement 0.1 400 .1 400 0.1 400 .075 300 .108 432 Per Month Per Month Per Month Per Month Per month MONTHLY CHARGES 4547 7911 5910 2476 8166 VII a Monthly Charge 0 0 250 250 20 20 0 00 0 Per Image Charge for minimum 90 days of b storage (PDF) 0 0 450 450 0.01 870 .01 870 0 0 Storage of PDF includes time frame for storage c & employee/customer access) 00 0 0 0 750 750 0 0 EOM CD Charge 25.00 25 95 95 20 20 .006 174 50 50 Per Hour Per Hour Per Hour Per Hour Per Hour HOURLY SERVICES 25 95 910 1794 50 1 Programming per hour after initial set up 125 125 0 0 125. 125 125 125 125 125 2 Changes to bill design – custom programming 125 125 0 0 125. 125 65 65 125 125 3 Training of County Staff 0 00 0 125 125 0 00 0 Hourly Fees 250 0 375 190 250 Monthly Fee 4572 8006 6820 4270 8216 TOTAL COST includes startup & line items I - VII as outlined in Bid Sheet $ 4822 $ 8006 $ 7195 $ 4460 $ 8466 Disqualified - could not provide Disqualified - could not meet postage Packet Pg. 613 Note: This RFP also asks for information above and beyond the prices above. Provide this information as an attachment to this bid sheet or address it in a cover letter. OCWS shall reimburse the vendor the exact amount of postage that is paid to the USPS each month by the vendor. The vendor shall attach the USPS receipt each month to the monthly bill for reimbursement. Packet Pg. 614 Packet Pg. 615 Packet Pg. 616  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: John Hofstad SUBJECT: Vacate a portion of 7th Ave and 5th St in Port Dixie DEPARTMENT: Public Works BCC DISTRICT: 2 STATEMENT OF ISSUE: Raymond and Felicia Donovan and Steven and Cindra Cowen are petitioning the Board of County Commissioners to vacate portions of 7th Avenue and 5th Street rights-of-way including the 20' square overlap in rights-of-way at the southwest corner of Block 70 of the Port Dixie Subdivision in the Shalimar area. BACKGROUND: The Donovan's and the Cowen's collectively are petitioning the Board of County Commissioners to vacate a portion of 7th Avenue and 5th Street adjacent to their properties. The vacation requests are for the right-of-way adjacent to the South 1/2 of Lots 1 through 6, Block 2, as platted Townsite of Port Dixie, which includes a part of 7th Avenue and 5th Street. The requested area for vacation along 7th Avenue is 20' x 180'. The request area along 5th Street is 20' x 75', which is that portion lying adjacent to the South 1/2 of Lot 1, Block 70, also included is the 20' square overlap of rights-of-way at the Southwest corner of Block 70. There is an existing shed owned by the Donovan's located in the existing right-of-way of 7th Avenue. The Donovan's intentions are to leave this shed in place following the vacation approval. If the shed is allowed to remain it is recommended that the following stipulation for the vacated rights-of-way be incorporated in lieu of the standard structure restriction, "No new structures shall be constructed within the vacation area/retained easement. In the event that the county requires use of the easement the existing structure shall be removed at the owner's expense". See attached photos for reference to existing shed in question. OPTIONS: Approve/Disapprove a request for a Public Hearing to vacate said right-of-way. RECOMMENDATIONS: Approve the request for a Public Hearing to be scheduled on June 17, 2014 for the right-of-way vacation request from the Donovan's and the Cowen's. RECOMMENDED BY: Packet Pg. 617 APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 618 Packet Pg. 619 Packet Pg. 620  Robert and Felicia Donovan 51 Port Dixie Blvd. Area requested for vacation Packet Pg. 621 Packet Pg. 622 Packet Pg. 623 Packet Pg. 624 Packet Pg. 625 Packet Pg. 626  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: John Hofstad SUBJECT: Okaloosa County Roadway Functional Classification DEPARTMENT: Public Works BCC DISTRICT: ALL STATEMENT OF ISSUE: The Florida Department of Transportation (FDOT) maintains a federally approved roadway Functional Classifications Map for all Florida Counties. This map is updated every ten years and must be resubmitted for approval. BACKGROUND AND ANALYSIS: The FDOT has asked for the Okaloosa County BCC's recommendation of the latest roadway Functional Classifications Map for Federal Highway Administration's (FHWA) approval. This map is the official roadway functional classification designations recognized by FHWA for funding considerations. The map is resubmitted by FDOT and Counties on a ten year cycle for FHWA approval. However, changes or upgrades to any given roadway can be submitted to FDOT at any time as this is an ongoing process. OPTIONS: Approve/Disapprove the most recent roadway Functional Classifications Map for Okaloosa County as prepared by FDOT. RECOMMENDATION: Staff requests the Board of County Commissioners accept and recommend the updated map for submittal to and approval by FHWA. . RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 627  E S BOOKER RD ARL E L IN E RD CH AT ST RD o n RD acks TH A K M Lk J EE CR LL M LA MI E S RD ROBINSON RD L UD S RE RD OO RD ZE R 7 6 5 4 180 M NE W EBE N EZ ER R D EY RD E EN ON E PL EB RD LO EM ON MCCOY RD T NS LD C 180 HORSE JO H SECOND O ON CREEK AVE RD 7 6 5 4 85A RM THIRD ST O BU M LL AR W KELLY RD COUNTY LINE RD HWY 189 DC H UR CH ST EE L E M RD D NR Y E LL O JO R DA R D P E AC O H W Y 602 D W CK RE ILL R O 7 6 5 4 602 BU C K T Y N E R R W RIV R CR RD D BA D R E GE BA Y EK ID N BR RR N ER NN E D Y SO RD KE MAT OW TIE K BA E NN L S IDE R D M IL RD ED PT Y ST IS RD EE HWY 2 T L MI 7 6 5 42 LL C 2 REE 7 6 5 4 K 5 RD 8 SR- CR -2 EA K RD HI G H W PLYMPTON RD DI BR ID G E R D EC BEAVER CREE OT N KARIC K LAKE RD TO NRD RD LE E HWY 393 U V 189 Y ED CO U V 85 SE NN TE OK RF N KE I TT RD AN PEAD O RD M N BR IDGE R RD ER D SH ER R IV LEY SPRING S R O LD S HO C K D JO HN EY RI BA L RN HI LL VINSON RAY R D 7 6 5 4 85A BILL LUNDY RD D 7 6 5 4393 AR ELL R D MAIN ST KE LL MI LA MA R T IN RD ER KIL LAKE ELLA R D C G LAKE S IL V AR RE AS DE E RD N Y CI RD T C4 A SR 7 6 5 4 4A -4 D YR JAC K STOKES RD RO U RD CO POVERTY CREEK RD U V 4 RD MELTON RD OLD B ET H EL R D O L D D OR K CA 7 6 5 4 189A S S AIRPORT RD RD OO C IR 7 6 5 4 188 BR UX JO REEV SIO HN ES R D G IV VD ENS RD FARMER ST N BL TEXAS PKW Y DO P GRIFFITH MILL RD ER E NNY CREEK RD CHARLIE DAY RD OP BRACKIN ST NF NORTH AVE W 4B 7 U 6 5 4 LA P VALLEY RD DO RH V 189 D RD W JAMES L EE DS BL V EA D ON CH I L D CH RD S LLOYD ST EC 90 RC FAIR LIGHTHOUSE CHURCH RD R £ ¤ HE SN H D W UT 7 6 5 4 189 RD RD I A VE HWY 90 YO LL BAY M R SE 7 6 5 4 280A POPLAR HEAD CHRCH RD KEY ST FF E ADE DR UTO D KR C CR E E IVER KM WALTON L OO KELLY MILL RD 7 6 5 4 4 E GAL B BON R U 8 ¦V § ¨ 10 I-10 VD RIAL RD AN S MEMO AIRMEN S FERDON BL TI O P J ADAMS PKWY SANTA ROSA R C LOG LAKE RD D H 0 Y9 HW N SO OX W BR RD IL K RD TRAWICK CREEK RD ER FF GAINER LANDING RD S O N B LU 7 6 5 4 189 U 210 V 5 28 SR U 285 V SR-85 BL V D GE U 123 V LLE CO KE LL EY RD ST 123 T EN NM SR ER GO V U V 190 JOHN SIMS PKWY U 123 V U V123 PINE ST SR - 20 SR 85 RD INT Grassy Cv U V 20 WHITE PO D LV RB NE SU 97 UR N 3 ST SE SR WI T U V293 LE NE LN GREEN ACRES RD D ON EYR MO RACETRACK RD 12TH AVE BEAL PKWY LV D BOB SIKES BLVD 188 U V 12TH ST B 3RD ST JR NEWCASTLE DR E GLIN PK W Y G Garnier Byu M L KI N LANG RD Choctawhatchee Bay 8TH ST U V85 U V 293 G U 189 V AY BR LOVEJOY RD NW Y A CH T CLU B D R HILL AVE HOLMES BLVD NW 393 U V MID B E DS YR HOLLYWOOD BLVD HOLLYWOOD BLVD SW RR US-98 US 98 MIRACLE STRIP PKWY BEA FE MIRACL SE E STRIP P ST BE OKS E CH K WYSW BRO AV NNING DR UN DR Santa Rosa Sound O LH 98 S ANTA ROSA CA MAIN ST AZAL £ ¤ . BLVD EA D AIRPOR US HWY 98 HARB R T OR BL VD COMM RD O NS D US H RW T P K WY ESCAMBIA WY 9 COAS 8 7 6 5 4 30F EM E RALD Ea st Pa SCENIC HW Y 98 7 6 5 4 2378 ss 7 6 5 4 2378 Gulf of Mexico Miles 0 0.75 1.5 3 4.5 6 Okaloosa County OKALOOSA COUNTY 01 - Principal Arterial-Interstate RURAL 11 - Principal Arterial-Interstate URBAN 02 - Principal Arterial-Expressway RURAL 12 - Principal Arterial-Freeway and Expressway URBAN Prepared By: FLORIDA DEPARTMENT OF TRANSPORTATION FUNCTIONAL CLASSIFICATIONS 04 - Principal Arterial-Other RURAL 14 - Principal Arterial-Other URBAN 06 - Minor Arterial RURAL 16 - Minor Arterial URBAN in cooperation with the 07 - Major Collector RURAL 17 - Major Collector URBAN US DEPARTMENT OF TRANSPORTATION 08 - Minor Collector RURAL 18 - Minor Collector (Fed Aid) URBAN 09 - Local RURAL 19 - Local URBAN File Created: Urban Boundary April 29, 2014 Recommended By: Approved By: Chairman, Board of County Commissioners Date Federal Highway Administration Date Florida Department of Transportation Date Chairman, Okaloosa-Walton TPO Date Packet Pg. 628  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: John Hofstad SUBJECT: Exchange of Property/Vacating County R/W DEPARTMENT: Public Works BCC DISTRICT: 2 STATEMENT OF ISSUE: The County has paved dedicated right-of-way in the Bayview Subdivision being adjacent to Lots 6 and 7, Block 10 and a portion of Lot 9, Block 10 Bayview Subdivision. (Plat Book 1, Page 26 Official Records of Okaloosa County) BACKGROUND: Timothy W. and Sharon L. Smith own Lots 6 and 7, Block 10 and a portion of Lot 9, Block 10 which front on opposite sides of the alleyway through Block 10 of said subdivision, a right-of-way dedicated to Okaloosa County. Property owners, through their agent John S. Mead of the Mead Law Firm, is petitioning the Board of County Commissioners of Okaloosa County, Florida, to deed a portion of Lot 9, Block 10 of Bayview Subdivision (described in Attachment A as "Parcel B") to the County in exchange for a portion of the County's right-of-way adjacent to Lots 6 and 7, Block 10 Bayview Subdivision (described in Attachment A as "Parcel A"). Subject properties are equal in square footage, more or less, and are depicted on the attached boundary survey of the Smith's parcels. The paved portion of the alley that exists outside the right-of-way has been in place for many years. The proposed exchange will place the entire pavement surface within the right of way and cure an encroachment on to the Smith's property. OPTIONS: Approve/Disapprove the request to schedule a Public Hearing June 17, 2104. RECOMMENDATIONS: Approve the Public Hearing request to vacate and abandon the County's portion of right-of-way identified as "Parcel A" in exchange for the property owners' "Parcel B". RECOMMENDED BY: Packet Pg. 629 APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 630 Packet Pg. 631  Aerial A Portion of Bayview Subdivision, Block 10 Tim Smith Property Lots 6 & 7 Alleyway through BCC Block 10 APO Lot 9 Prop. Tim Smith APO Lot 9 Packet Pg. 632 Packet Pg. 633 Packet Pg. 634 Packet Pg. 635 Packet Pg. 636 Packet Pg. 637 Packet Pg. 638 Packet Pg. 639 Packet Pg. 640 Packet Pg. 641 Packet Pg. 642 Packet Pg. 643 Packet Pg. 644  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Paul Lux, Supervisor of Elections SUBJECT: Federal Elections Activities Plan Grant Certificate of Matching Funds Documents are attached related to the FY 2013-2014 Federal Elections Activities Plan for the Supervisor of Elections Office, which requires a 15% match from the Board of County Commissioners. Request approval of and authorization for the Chairman to execute the Certificate of Matching Funds. Packet Pg. 645 From: Shirley Young To: Roland Sims; Ashley S. Endris Subject: Board Submission for Signature FY 2013-14 Federal Election Activities Plan for May 20 Board meeting Date: Monday, May 05, 2014 10:35:09 AM Attachments: Federal Election Activities Board Submittal.pdf Attached is the submission documentation for the FY 2013-2014 Federal Election Activities Plan. The Chairman’s signature is needed for the Certificate Regarding Matching Funds form (page 17 of 21 in the attached documentation). Please let me know if I need to do anything else. Thank you for your assistance. Shirley Young, CERA Chief Deputy of Operations/Administration            Okaloosa County Supervisor of Elections ________________________________ Election Headquarters (Crestview): 850.689.5600 Branch Office (Fort Walton Beach): 850.651.7272 Visit us online at www.govote-okaloosa.com Packet Pg. 646 Packet Pg. 647 Packet Pg. 648 Packet Pg. 649 Packet Pg. 650 Packet Pg. 651 Packet Pg. 652 Packet Pg. 653 Packet Pg. 654 Packet Pg. 655 Packet Pg. 656 Packet Pg. 657 Packet Pg. 658 Packet Pg. 659 Packet Pg. 660 Packet Pg. 661 Packet Pg. 662 Packet Pg. 663 Packet Pg. 664 Packet Pg. 665 Packet Pg. 666 Packet Pg. 667 Packet Pg. 668  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Ed Schroeder SUBJECT: Snorkel Reef Permits Approval DEPARTMENT: Tourist Development Department BCC DISTRICT: ALL STATEMENT OF ISSUE: The Okaloosa County Artificial Reef Program (OCARP) has received conditional approval of permits for two artificial reef deployment areas in State waters. These permits must be approved by the Board and submitted to US Army Corp of Engineers (Corps) District Engineer for final approval. The signature by the District Engineer validates the permits. Staff requests the Board approve the permits and authorize the Chairman to sign. BACKGROUND: OCARP prepared and submitted joint permit applications for two artificial snorkel reef deployment areas, Crystal Beach and Okaloosa Island, to the Florida Department of Environmental Protection (FDEP) and United States Army Corp of Engineers (USACE). The USACE permit approval has been received by the County and it has been conditionally approved by the USACE and now requires the signature of the Okaloosa County BCC indicating acceptance of the specific terms and conditions stated within the permit. Once the USACE receives the signed permit; then final USACE approval will be granted. OPTIONS: Approve/Disapprove RECOMMENDATIONS: Staff recommends the Board approve the permits and authorize the Chairman to sign. RECOMMENDED BY: APPROVED BY: Packet Pg. 669 Ernie Padgett, County Administrator Packet Pg. 670  DEPARTMENT OF THE ARMY JACKSONVILLE DISTRICT CORPS OF ENGINEERS PENSACOLA REGULATORY OFFICE 41 NORTH JEFFERSON STREET, SUITE 301 PENSACOLA, FLORIDA 32502 REPLY TO ATTENTION OF April 9, 2014 Regulatory Division North Permits Branch Pensacola Permits Section SAJ-2012-01104 (SP-SWA) Okaloosa County Board of County Commissioners 1804 Lewis Turner Boulevard, Suite 100 Fort Walton Beach, Florida 32547 Gentlemen: The U.S. Army Corps of Engineers (Corps) has completed the review and evaluation of your Department of the Army permit application, number SAJ-2012-01104. Our regulations require that you have an opportunity to review the terms and conditions prior to final signature by the Department of the Army. Enclosed is an unsigned Department of the Army permit instrument (permit). Please read carefully the Special Conditions beginning on page 3 of the permit. These were developed to apply specifically to your project. Water Quality Certification is also required prior to issuance of a permit. The Corps has received a copy of the State of Florida certification for your project. In accordance with General Condition 5 of the permit, any special conditions of the Water Quality Certification have been attached to the Department of the Army permit. Instructions for Objecting to Permit Terms and Conditions: This letter contains an initial proffered permit for your proposed project. If you object to certain terms and conditions contained within the permit, you may request that the permit be modified. Enclosed you will find a Notification of Administrative Appeal Options and Process fact sheet and Request for Appeal (RFA) form. If you choose to object to certain terms and conditions of the permit, you must follow the directions provided in Section 1, Part A and submit the completed RFA form to the letterhead address. In order for an RFA to be accepted by the Corps, the Corps must determine that it is complete, that it meets the criteria under 33 CFR Part 331.5, and that it has been received by the District office within 60 days of the date of the RFA. Should you decide to submit an RFA form, it must be received at the letterhead address by June 9, 2014. Instructions for Accepting Terms and Conditions and Finalizing Your Permit: It is not necessary to submit an RFA form to the District office, if you do not object to the decision in this letter. In this case, the permit must be signed by the applicant in the space provided on the signature page of the permit. In the case of corporations, Packet Pg. 671  -2- acceptance must be by an officer of that corporation authorized to sign on behalf of the corporation. The party responsible for assuring the work is done in accordance with the permit terms and conditions must sign the permit. Please type or print the name and title of the person signing below the signature and the date signed. SIGN (PAGE 9) AND RETURN THE ENTIRE PERMIT, INCLUDING ALL ATTACHMENTS, TO THE LETTERHEAD ADDRESS The permit will be signed by the District Engineer or his representative. The Corps will add the permit expiration date to the permit and return the permit to you. It is important to note that the permit is not valid until the District Engineer or his representative signs it. Please note U.S. Coast Guard regulations may require you as permittee to provide information for a Notice to the maritime community regarding your project. You should contact the Coast Guard Sector Mobile Waterways Management Branch (spw), 1500 15th Street, Mobile, AL 36615 or by phone at 251-441-5684 to determine if a Notice is necessary. Also any safety lights, signs and signals prescribed by the U.S. Coast Guard through their regulations or otherwise, must be installed and maintained at your expense as permittee on authorized facilities in navigable waters of the United States. To receive a U.S. Coast Guard Private Aids to Navigation marking determination, you are advised to contact the Eighth Coast Guard District (dpw), 500 Poydras St. Suite 1230, New Orleans, LA 70130, 504-671-2328 or via email to: D8oanPATON@uscg.mil prior to installation/construction of any fixed structures. For general information related to Private Aids to Navigation please visit the Eighth CG District web site at: http://www.uscg.mil/d8/waterways/PATON.Home.asp. Thank you for your cooperation with our permit program. The Corps’ Jacksonville District Regulatory Division is committed to improving service to our customers. We strive to perform our duty in a friendly and timely manner while working to preserve our environment. We invite you to complete our automated Customer Service Survey at http://corpsmapu.usace.army.mil/cm_apex/f?p=regulatory_survey. Please be aware this Internet address is case sensitive; and, you will need to enter it exactly as it appears above. Your input is appreciated – favorable or otherwise. If you have any questions concerning this application, you may contact Steve Andrews Jr. in writing at the letterhead address, by electronic mail at Packet Pg. 672 Packet Pg. 673 NOTIFICATION OF ADMINISTRATIVE APPEAL OPTIONS AND PROCESS AND REQUEST FOR APPEAL Applicant: Okaloosa County BOCC File Number: SAJ-2012-01104 Date: 9 April 2014 Attached is: See Section below X INITIAL PROFFERED PERMIT (Standard Permit or Letter of permission) A PROFFERED PERMIT (Standard Permit or Letter of permission) B PERMIT DENIAL C APPROVED JURISDICTIONAL DETERMINATION D PRELIMINARY JURISDICTIONAL DETERMINATION E SECTION I - The following identifies your rights and options regarding an administrative appeal of the above decision. Additional information may be found at http://www.usace.army.mil/CECW/Pages/reg_materials.aspx or Corps regulations at 33 CFR Part 331. A: INITIAL PROFFERED PERMIT: You may accept or object to the permit. • ACCEPT: If you received a Standard Permit, you may sign the permit document and return it to the district engineer for final authorization. If you received a Letter of Permission (LOP), you may accept the LOP and your work is authorized. Your signature on the Standard Permit or acceptance of the LOP means that you accept the permit in its entirety, and waive all rights to appeal the permit, including its terms and conditions, and approved jurisdictional determinations associated with the permit. • OBJECT: If you object to the permit (Standard or LOP) because of certain terms and conditions therein, you may request that the permit be modified accordingly. You must complete Section II of this form and return the form to the district engineer. Your objections must be received by the district engineer within 60 days of the date of this notice, or you will forfeit your right to appeal the permit in the future. Upon receipt of your letter, the district engineer will evaluate your objections and may: (a) modify the permit to address all of your concerns, (b) modify the permit to address some of your objections, or (c) not modify the permit having determined that the permit should be issued as previously written. After evaluating your objections, the district engineer will send you a proffered permit for your reconsideration, as indicated in Section B below. B: PROFFERED PERMIT: You may accept or appeal the permit • ACCEPT: If you received a Standard Permit, you may sign the permit document and return it to the district engineer for final authorization. If you received a Letter of Permission (LOP), you may accept the LOP and your work is authorized. Your signature on the Standard Permit or acceptance of the LOP means that you accept the permit in its entirety, and waive all rights to appeal the permit, including its terms and conditions, and approved jurisdictional determinations associated with the permit. • APPEAL: If you choose to decline the proffered permit (Standard or LOP) because of certain terms and conditions therein, you may appeal the declined permit under the Corps of Engineers Administrative Appeal Process by completing Section II of this form and sending the form to the division engineer. This form must be received by the division engineer within 60 days of the date of this notice. C: PERMIT DENIAL: You may appeal the denial of a permit under the Corps of Engineers Administrative Appeal Process by completing Section II of this form and sending the form to the division engineer. This form must be received by the division engineer within 60 days of the date of this notice. D: APPROVED JURISDICTIONAL DETERMINATION: You may accept or appeal the approved JD or provide new information. • ACCEPT: You do not need to notify the Corps to accept an approved JD. Failure to notify the Corps within 60 days of the date of this notice, means that you accept the approved JD in its entirety, and waive all rights to appeal the approved JD. • APPEAL: If you disagree with the approved JD, you may appeal the approved JD under the Corps of Engineers Administrative Appeal Process by completing Section II of this form and sending the form to the division engineer. This form must be received by the division engineer within 60 days of the date of this notice. Packet Pg. 674 SECTION II - REQUEST FOR APPEAL or OBJECTIONS TO AN INITIAL PROFFERED PERMIT REASONS FOR APPEAL OR OBJECTIONS: (Describe your reasons for appealing the decision or your objections to an initial proffered permit in clear concise statements. You may attach additional information to this form to clarify where your reasons or objections are addressed in the administrative record.) ADDITIONAL INFORMATION: The appeal is limited to a review of the administrative record, the Corps memorandum for the record of the appeal conference or meeting, and any supplemental information that the review officer has determined is needed to clarify the administrative record. Neither the appellant nor the Corps may add new information or analyses to the record. However, you may provide additional information to clarify the location of information that is already in the administrative record. POINT OF CONTACT FOR QUESTIONS OR INFORMATION: If you have questions regarding this decision and/or the If you only have questions regarding the appeal process appeal process you may contact: you may also contact: for process: Project Manager as noted in letter Stuart Santos 904-232-2018 RIGHT OF ENTRY: Your signature below grants the right of entry to Corps of Engineers personnel, and any government consultants, to conduct investigations of the project site during the course of the appeal process. You will be provided a 15 day notice of any site investigation, and will have the opportunity to participate in all site investigations. Date: Telephone number: _______________________________ Signature of appellant or agent. Packet Pg. 675  DEPARTMENT OF THE ARMY PERMIT Permittee: Okaloosa County Board of County Commissioners 1804 Lewis Turner Boulevard, Suite 100 Fort Walton Beach, Florida 32547 Permit No: SAJ-2012-01104 (SP-SWA) Issuing Office: U.S. Army Engineer District, Jacksonville NOTE: The term "you" and its derivatives, as used in this permit, means the permittee or any future transferee. The term "this office" refers to the appropriate district or division office of the Corps of Engineers having jurisdiction over the permitted activity or the appropriate official of that office acting under the authority of the commanding officer. You are authorized to perform work in accordance with the terms and conditions specified below. Project Description: The applicant proposes to establish a nearshore artificial reef area, which would be named “Crystal Beach Reef”. It would consist of a 200’ x 590’ deployment area, totaling 118,000 square feet (2.7 acres), which would provide habitat and recreational fishing and diving opportunities. Material to be deployed would consist of fifty-two (52) tiered reefs modules (also known as Walter Eco-System Reef Modules). Each tier reef module would be 5 feet in diameter and would be mounted on 10-inch diameter piles. The material to be deployed would have a maximum profile height of no more than 11 feet at the deepest water depth and would result in a minimum authorized depth of -6 feet at mean low water (MLW). Project Location: The proposed artificial reef site is located in the Gulf of Mexico, approximately 340 feet south of the Crystal Beach at Henderson Beach State Park, 4 miles east of Destin Pass, off Okaloosa County, Florida. Latitude & Longitude: NE Site Corner: Latitude: 30.3815° North Longitude: 86.4346° West NW Site Corner: Latitude: 30.3815° North Longitude: 86.4353° West SE Site Corner: Latitude: 30.3799° North Longitude: 86.4347° West SW Site Corner: Latitude: 30.3799° North Packet Pg. 676 PERMIT NUMBER: SAJ-2012-01104 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 2 of 11 Longitude: 86.4354° West Permit Conditions General Conditions: 1. The time limit for completing the work authorized ends on April 9, 2019. If you find that you need more time to complete the authorized activity, submit your request for a time extension to this office for consideration at least one month before the above date is reached. 2. You must maintain the activity authorized by this permit in good condition and in conformance with the terms and conditions of this permit. You are not relieved of this requirement if you abandon the permitted activity, although you may make a good faith transfer to a third party in compliance with General Condition 4 below. Should you wish to cease to maintain the authorized activity or should you desire to abandon it without a good faith transfer, you must obtain a modification of this permit from this office, which may require restoration of the area. 3. If you discover any previously unknown historic or archeological remains while accomplishing the activity authorized by this permit, you must immediately notify this office of what you have found. We will initiate the Federal and State coordination required to determine if the remains warrant a recovery effort or if the site is eligible for listing in the National Register of Historic Places. 4. If you sell the property associated with this permit, you must obtain the signature and the mailing address of the new owner in the space provided and forward a copy of the permit to this office to validate the transfer of this authorization. 5. If a conditioned water quality certification has been issued for your project, you must comply with the conditions specified in the certification as special conditions to this permit. For your convenience, a copy of the certification is attached if it contains such conditions. 6. You must allow representatives from this office to inspect the authorized activity at any time deemed necessary to ensure that it is being or has been accomplished in accordance with the terms and conditions of your permit. Special Conditions: 1. Reporting Addresses: The Permittee shall reference this permit number, SAJ- 2012-01104 (SP-SWA), on all correspondence. Unless specifically notified to the Packet Pg. 677 PERMIT NUMBER: SAJ-2012-01104 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 3 of 11 contrary, the Permittee shall use the following addresses for transmitting correspondence to the referenced agencies: (a) U.S. Army Corps of Engineers, Regulatory Division, Enforcement Section 41 North Jefferson Street, Suite 301 Pensacola, Florida 32502 The Permittee shall reference this permit number, SAJ-2010-03163 (SP-SWA), on all submittals. Or email at: CESAJ-ComplyDocs@usace.army.mil (b) National Oceanic and Atmospheric Administration (NOAA), Marine Chart Division, Office of Coast Survey, N/CS26, Sta. 7317 1315 East-West Highway Silver Springs, MD, 20910-3282 Or email at: ocs.ndb@noaa.gov. (c) Commander, U.S. Coast Guard (USCG) 8th Coast Guard District Hale Boggs Federal Building 500 Poydras Street New Orleans, LA 70130 (d) Florida Fish and Wildlife Conservation Commission (FWC), Artificial Reef Program, 620 S. Meridian Street, Box 4B2 Tallahassee, FL 32399. Or email at: artificialreefdeployments@MyFWC.com 2. Initial Agency Notification: The Permittee shall provide to the Corps, NOAA and USCG written notification of the planned deployment start date at least two weeks prior to the initial deployment on the authorized artificial reef site. 3. Protection of Existing Resources: The Permittee shall not deploy artificial reef materials until an assessment of the bottom conditions have been accomplished by diver, submersible video camera, fathometer, depth/bottom sounder (e.g. “fish finder”), or side-scan sonar. The inspection of the deployment area may occur at the time of deployment, but no more than one year prior to deployment. The Permittee shall maintain a deployment buffer of at least 200 feet from any submerged beds of sea grasses, coral reefs, live bottom, areas supporting growth of sponges, sea fans, soft corals, and other sessile macroinvertebrates generally associated with rock outcrops, oyster reefs, scallop beds, clam beds, or areas where there are unique or unusual Packet Pg. 678 PERMIT NUMBER: SAJ-2012-01104 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 4 of 11 concentrations of bottom-dwelling marine organisms. If, during the inspection, evidence is observed of cultural/archaeological resources, such as sunken vessels, ballast, historic refuse piles, or careenage areas the Corps will be notified by the Permittee and the above referenced deployment buffer will be implemented. The Permittee shall maintain a record of the information gained during the inspection such that it can be provided upon request to the Corps. 4. Pre-Deployment Notification: No less than 14 days prior to deployment of material on an artificial reef, the Permittee shall transmit by electronic mail (“email”) a complete and signed “Florida Artificial Reef Materials Cargo Manifest and Pre-Deployment Notification” form, attached to this permit, to the Corps and FWC to allow inspection of the proposed reef materials as deemed necessary by the agencies. Inspection is allowable at the staging area. By signing the Pre-Deployment Notification the Permittee certifies that all materials are free from asphalt, petroleum, other hydrocarbons and toxic residues. The Permittee shall not deploy material if notified by the Corps or FWC that the material is questionable. The material needs to be evaluated before it is released for deployment. Any material that is deemed unacceptable for reef material will be disposed in an approved upland disposal site. Deployment of the material shall not occur until after the end of the 14-day inspection period. The Permittee shall ensure both a copy of the Corps permit and the signed “Florida Artificial Reef Materials Cargo Manifest and Pre-Deployment Notification Form” are maintained aboard the deployment vessel at all times during loading, transit, and deployment. 5. Post-Deployment Placement Report/As-Built Drawing: No less than 30 days after deployment at the reef site, the Permittee shall transmit by email to the Corps, FWC, and NOAA a complete and signed “Florida Artificial Reef Materials Placement Report and Post-Deployment Notification” form attached to this permit. Please note, the Corps requires the latitude and longitude to be accurate within 5 meters horizontal distance on the post-deployment report. Attach to the report, an as-built drawing that contains the approximate deployment configurations and the height of the material after placement. Depth shall be verified utilizing fathometer, depth sounder, or similar device accurate to within 1 meter. Also, include information on the condition of the material at the time of deployment. The report and drawing shall be limited to a few pages per deployment. Representative photographs and/or video, if available, are encouraged to be submitted. 6. Ownership/Maintenance/Liability: By signing this permit, the Permittee certifies and acknowledges ownership of all artificial reef materials deployed on the reef, accepts responsibility for maintenance of the artificial reef, and possesses the ability to assume liability for all damages that may arise with respect to the artificial reef. Packet Pg. 679 PERMIT NUMBER: SAJ-2012-01104 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 5 of 11 7. Assurance of Navigation and Maintenance: The Permittee understands and agrees that, if future operations by the United States require the removal, relocation, or other alteration, of the structures or work herein authorized, or if in the opinion of the Secretary of the Army or his authorized representative, said structure or work shall cause unreasonable obstruction to the free navigation of the navigable waters, the Permittee will be required, upon due notice from the Corps of Engineers, to remove, relocate, or alter the structural work or obstructions caused thereby, without expense to the United States. No claim shall be made against the United States on account of any such removal or alteration. 8. Sea Turtle, Smalltooth Sawfish and Sturgeon Conditions: The Permittee shall comply with the attached National Marine Fisheries Service’s “Sea Turtle and Smalltooth Sawfish Construction Conditions”, which also applies to sturgeon. 9. Manatee Conditions: The Permittee shall comply with the attached “Standard Manatee Conditions for In-Water Work – 2011.” 10. Protected Species Guidance: The Permittee shall comply with the attached “Vessel Strike Avoidance Measures and Injured or Dead Protected Species Reporting” guidance for marine turtles and marine mammals. 11. Self-Certification: Within 60 days of completion of the authorized work or at the expiration of the construction authorization of this permit, whichever occurs first, the Permittee shall complete the attached “Self-Certification Statement of Compliance” form and submit to the Corps. In the event that the completed work deviates, in any manner, from the authorized work, the Permittee shall describe, on the Self-Certification Form, the deviations between the work authorized by the permit and the work as constructed. Please note that the description of any deviations on the Self-Certification Form does not constitute approval of any deviations by the Corps. 12. Cultural Resources/Historic Properties: a. No structure or work shall adversely affect impact or disturb properties listed in the National Register of Historic Places (NRHP) or those eligible for inclusion in the NRHP. b. If during the ground disturbing activities and construction work within the permit area, there are archaeological/cultural materials encountered which were not the subject of a previous cultural resources assessment survey (and which shall include, but not be limited to: pottery, modified shell, flora, fauna, human remains, ceramics, stone tools or metal implements, dugout canoes, evidence of structures or any other physical remains that could be associated with Native American cultures or early Packet Pg. 680 PERMIT NUMBER: SAJ-2012-01104 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 6 of 11 colonial or American settlement), the Permittee shall immediately stop all work in the vicinity and notify the Corps. The Corps shall then notify the Florida State Historic Preservation Officer (SHPO) and the appropriate Tribal Historic Preservation Officer(s) (THPO(s)) to assess the significance of the discovery and devise appropriate actions. c. A cultural resources assessment may be required of the permit area, if deemed necessary by the SHPO, THPO(s), or Corps, in accordance with 36 CFR 800 or 33 CFR 325, Appendix C (5). Based, on the circumstances of the discovery, equity to all parties, and considerations of the public interest, the Corps may modify, suspend or revoke the permit in accordance with 33 CFR Part 325.7. Such activity shall not resume on non- federal lands without written authorization from the SHPO and the Corps. d. In the unlikely event that unmarked human remains are identified on non-federal lands, they will be treated in accordance with Section 872.05 Florida Statutes. All work in the vicinity shall immediately cease and the Permittee shall immediately notify the medical examiner, Corps, and State Archeologist. The Corps shall then notify the appropriate SHPO and THPO(s). Based, on the circumstances of the discovery, equity to all parties, and considerations of the public interest, the Corps may modify, suspend or revoke the permit in accordance with 33 CFR Part 325.7. Such activity shall not resume without written authorization from the State Archeologist, SHPO and the Corps. e. In the unlikely event that human remains are encountered on federal or tribal lands, or in situations where Archaeological Resources Protection Act of 1979, or Native American Graves Protection Repatriation Act of 1990 applies, all work in the vicinity shall immediately cease and the Permittee immediately notify the Corps. The Corps shall then notify the appropriate THPO(s) and SHPO. Based, on the circumstances of the discovery, equity to all parties, and considerations of the public interest, the Corps may modify, suspend or revoke the permit in accordance with 33 CFR Part 325.7. After such notification, project activities on federal lands shall not resume without written authorization from the Corps, and/or appropriate THPO(s), SHPO, and federal manager. After such notification, project activities on tribal lands shall not resume without written authorization from the appropriate THPO(s) and the Corps. Further Information: 1. Congressional Authorities: You have been authorized to undertake the activity described above pursuant to: (X) Section 10 of the Rivers and Harbors Act of 1899 (33 U.S.C. 403). () Section 404 of the Clean Water Act (33 U.S.C. 1344). Packet Pg. 681 PERMIT NUMBER: SAJ-2012-01104 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 7 of 11 ( ) Section 103 of the Marine Protection, Research and Sanctuaries Act of 1972 (33 U.S.C. 1413). 2. Limits of this authorization. a. This permit does not obviate the need to obtain other Federal, State, or local authorizations required by law. b. This permit does not grant any property rights or exclusive privileges. c. This permit does not authorize any injury to the property or rights of others. d. This permit does not authorize interference with any existing or proposed Federal projects. 3. Limits of Federal Liability. In issuing this permit, the Federal Government does not assume any liability for the following: a. Damages to the permitted project or uses thereof as a result of other permitted or unpermitted activities or from natural causes. b. Damages to the permitted project or uses thereof as a result of current or future activities undertaken by or on behalf of the United States in the public interest. c. Damages to persons, property, or to other permitted or unpermitted activities or structures caused by the activity authorized by this permit. d. Design or construction deficiencies associated with the permitted work. e. Damage claims associated with any future modification, suspension, or revocation of this permit. 4. Reliance on Applicant's Data: The determination of this office that issuance of this permit is not contrary to the public interest was made in reliance on the information you provided. 5. Reevaluation of Permit Decision: This office may reevaluate its decision on this permit at any time the circumstances warrant. Circumstances that could require a reevaluation include, but are not limited to, the following: a. You fail to comply with the terms and conditions of this permit. Packet Pg. 682 PERMIT NUMBER: SAJ-2012-01104 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 8 of 11 b. The information provided by you in support of your permit application proves to have been false, incomplete, or inaccurate (see 4 above). c. Significant new information surfaces which this office did not consider in reaching the original public interest decision. Such a reevaluation may result in a determination that it is appropriate to use the suspension, modification, and revocation procedures contained in 33 CFR 325.7 or enforcement procedures such as those contained in 33 CFR 326.4 and 326.5. The referenced enforcement procedures provide for the issuance of an administrative order requiring you comply with the terms and conditions of your permit and for the initiation of legal action where appropriate. You will be required to pay for any corrective measures ordered by this office, and if you fail to comply with such directive, this office may in certain situations (such as those specified in 33 CFR 209.170) accomplish the corrective measures by contract or otherwise and bill you for the cost. 6. Extensions: General Condition 1 establishes a time limit for the completion of the activity authorized by this permit. Unless there are circumstances requiring either a prompt completion of the authorized activity or a reevaluation of the public interest decision, the Corps will normally give favorable consideration to a request for an extension of this time limit. Packet Pg. 683 PERMIT NUMBER: SAJ-2012-01104 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 9 of 11 Your signature below, as permittee, indicates that you accept and agree to comply with the terms and conditions of this permit. _______________________________________ ____________________ (PERMITTEE) (DATE) _______________________________________ (PERMITTEE NAME-PRINTED) This permit becomes effective when the Federal official, designated to act for the Secretary of the Army, has signed below. _______________________________________ ____________________ (DISTRICT ENGINEER) (DATE) Alan M. Dodd, Colonel, U.S. Army District Commander Packet Pg. 684 PERMIT NUMBER: SAJ-2012-01104 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 10 of 11 When the structures or work authorized by this permit are still in existence at the time the property is transferred, the terms and conditions of this permit will continue to be binding on the new owner(s) of the property. To validate the transfer of this permit and the associated liabilities associated with compliance with its terms and conditions, have the transferee sign and date below. _______________________________________ ____________________ (TRANSFEREE-SIGNATURE) (DATE) _______________________________________ (NAME-PRINTED) _______________________________________ (ADDRESS) ______________________________________________________ (CITY, STATE, AND ZIP CODE) Packet Pg. 685 PERMIT NUMBER: SAJ-2012-01104 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 11 of 11 Attachments to Department of the Army Permit Number SAJ-2012-01104 1. PERMIT DRAWINGS: Six (6) pages, dated 7 April 2014. 2. WATER QUALITY CERTIFICATION: Specific Conditions of the water quality permit/certification in accordance with General Condition number 5 on page 2 of this DA permit. Six (6) pages. 3. SEA TURTLE, SAWFISH AND STURGEON CONDITIONS: One (1) page. 4. MANATEE CONDITIONS: One (1) page. 5. VESSEL STRIKE AVOIDANCE MEASURES: Two (2) pages. 6. FLORIDA ARTIFICIAL REEF MATERIALS CARGO MANIFEST AND PRE- DEPLOYMENT NOTIFICATION FORM: Two (2) pages. 7. FLORIDA ARTIFICIAL REEF MATERIALS PLACEMENT REPORT AND POST- DEPLOYMENT NOTIFICATION FORM: One (1) page. 8. SELF-CERTIFICATION FORM: One (1) page. Packet Pg. 686 Packet Pg. 687 Packet Pg. 688 Packet Pg. 689 Packet Pg. 690 Packet Pg. 691 Packet Pg. 692 Packet Pg. 693 Packet Pg. 694 Packet Pg. 695 Packet Pg. 696 Packet Pg. 697 Packet Pg. 698  UNITED STATES DEPARTMENT OF COMMERCE National Oceanic and Atmospheric Administration NATIONAL MARINE FISHERIES SERVICE Southeast Regional Office 263 13th Avenue South St. Petersburg, FL 33701 SEA TURTLE AND SMALLTOOTH SAWFISH CONSTRUCTION CONDITIONS The permittee shall comply with the following protected species construction conditions: a. The permittee shall instruct all personnel associated with the project of the potential presence of these species and the need to avoid collisions with sea turtles and smalltooth sawfish. All construction personnel are responsible for observing water-related activities for the presence of these species. b. The permittee shall advise all construction personnel that there are civil and criminal penalties for harming, harassing, or killing sea turtles or smalltooth sawfish, which are protected under the Endangered Species Act of 1973. c. Siltation barriers shall be made of material in which a sea turtle or smalltooth sawfish cannot become entangled, be properly secured, and be regularly monitored to avoid protected species entrapment. Barriers may not block sea turtle or smalltooth sawfish entry to or exit from designated critical habitat without prior agreement from the National Marine Fisheries Service’s Protected Resources Division, St. Petersburg, Florida. d. All vessels associated with the construction project shall operate at “no wake/idle” speeds at all times while in the construction area and while in water depths where the draft of the vessel provides less than a four-foot clearance from the bottom. All vessels will preferentially follow deep-water routes (e.g., marked channels) whenever possible. e. If a sea turtle or smalltooth sawfish is seen within 100 yards of the active daily construction/dredging operation or vessel movement, all appropriate precautions shall be implemented to ensure its protection. These precautions shall include cessation of operation of any moving equipment closer than 50 feet of a sea turtle or smalltooth sawfish. Operation of any mechanical construction equipment shall cease immediately if a sea turtle or smalltooth sawfish is seen within a 50-ft radius of the equipment. Activities may not resume until the protected species has departed the project area of its own volition. f. Any collision with and/or injury to a sea turtle or smalltooth sawfish shall be reported immediately to the National Marine Fisheries Service’s Protected Resources Division (727-824- 5312) and the local authorized sea turtle stranding/rescue organization. g. Any special construction conditions, required of your specific project, outside these general conditions, if applicable, will be addressed in the primary consultation. Revised: March 23, 2006 O:\forms\Sea Turtle and Smalltooth Sawfish Construction Conditions.doc Packet Pg. 699  STANDARD MANATEE CONDITIONS FOR IN-WATER WORK 2011 The permittee shall comply with the following conditions intended to protect manatees from direct project effects: a. All personnel associated with the project shall be instructed about the presence of manatees and manatee speed zones, and the need to avoid collisions with and injury to manatees. The permittee shall advise all construction personnel that there are civil and criminal penalties for harming, harassing, or killing manatees which are protected under the Marine Mammal Protection Act, the Endangered Species Act, and the Florida Manatee Sanctuary Act. b. All vessels associated with the construction project shall operate at "Idle Speed/No Wake” at all times while in the immediate area and while in water where the draft of the vessel provides less than a four-foot clearance from the bottom. All vessels will follow routes of deep water whenever possible. c. Siltation or turbidity barriers shall be made of material in which manatees cannot become entangled, shall be properly secured, and shall be regularly monitored to avoid manatee entanglement or entrapment. Barriers must not impede manatee movement. d. All on-site project personnel are responsible for observing water-related activities for the presence of manatee(s). All in-water operations, including vessels, must be shutdown if a manatee(s) comes within 50 feet of the operation. Activities will not resume until the manatee(s) has moved beyond the 50-foot radius of the project operation, or until 30 minutes elapses if the manatee(s) has not reappeared within 50 feet of the operation. Animals must not be herded away or harassed into leaving. e. Any collision with or injury to a manatee shall be reported immediately to the Florida Fish and Wildlife Conservation Commission (FWC) Hotline at 1-888-404-3922. Collision and/or injury should also be reported to the U.S. Fish and Wildlife Service in Jacksonville (1-904- 731-3336) for north Florida or Vero Beach (1-772-562-3909) for south Florida, and to FWC at ImperiledSpecies@myFWC.com Packet Pg. 700  Vessel Strike Avoidance Measures and Reporting for Mariners NOAA Fisheries Service, Southeast Region Background The National Marine Fisheries Service (NMFS) has determined that collisions with vessels can injure or kill protected species (e.g., endangered and threatened species, and marine mammals). The following standard measures should be implemented to reduce the risk associated with vessel strikes or disturbance of these protected species to discountable levels. NMFS should be contacted to identify any additional conservation and recovery issues of concern, and to assist in the development of measures that may be necessary. Protected Species Identification Training Vessel crews should use an Atlantic and Gulf of Mexico reference guide that helps identify protected species that might be encountered in U.S. waters of the Atlantic Ocean, including the Caribbean Sea, and Gulf of Mexico. Additional training should be provided regarding information and resources available regarding federal laws and regulations for protected species, ship strike information, critical habitat, migratory routes and seasonal abundance, and recent sightings of protected species. Vessel Strike Avoidance In order to avoid causing injury or death to marine mammals and sea turtles the following measures should be taken when consistent with safe navigation: 1. Vessel operators and crews should maintain a vigilant watch for marine mammals and sea turtles to avoid striking sighted protected species. 2. When whales are sighted, maintain a distance of 100 yards or greater between the whale and the vessel. 3. When sea turtles or small cetaceans are sighted, attempt to maintain a distance of 50 yards or greater between the animal and the vessel whenever possible. 4. When small cetaceans are sighted while a vessel is underway (e.g., bow-riding), attempt to remain parallel to the animal’s course. Avoid excessive speed or abrupt changes in direction until the cetacean has left the area. 5. Reduce vessel speed to 10 knots or less when mother/calf pairs, groups, or large assemblages of cetaceans are observed near an underway vessel, when safety permits. A single cetacean at the surface may indicate the presence of submerged animals in the vicinity; therefore, prudent precautionary measures should always be exercised. The vessel should attempt to route around the animals, maintaining a minimum distance of 100 yards whenever possible. NMFS Southeast Region Vessel Strike Avoidance Measures and Reporting for Mariners; revised February 2008. Packet Pg. 701  6. Whales may surface in unpredictable locations or approach slowly moving vessels. When an animal is sighted in the vessel’s path or in close proximity to a moving vessel and when safety permits, reduce speed and shift the engine to neutral. Do not engage the engines until the animals are clear of the area. Additional Requirements for the North Atlantic Right Whale 1. If a sighted whale is believed to be a North Atlantic right whale, federal regulation requires a minimum distance of 500 yards be maintained from the animal (50 CFR 224.103 (c)). 2. Vessels entering North Atlantic right whale critical habitat are required to report into the Mandatory Ship Reporting System. 3. Mariners should check with various communication media for general information regarding avoiding ship strikes and specific information regarding North Atlantic right whale sighting locations. These include NOAA weather radio, U.S. Coast Guard NAVTEX broadcasts, and Notices to Mariners. Commercial mariners calling on United States ports should view the most recent version of the NOAA/USCG produced training CD entitled “A Prudent Mariner’s Guide to Right Whale Protection” (contact the NMFS Southeast Region, Protected Resources Division for more information regarding the CD). 4. Injured, dead, or entangled right whales should be immediately reported to the U.S. Coast Guard via VHF Channel 16. Injured or Dead Protected Species Reporting Vessel crews should report sightings of any injured or dead protected species immediately, regardless of whether the injury or death is caused by your vessel. Report marine mammals to the Southeast U.S. Stranding Hotline: 877-433-8299 Report sea turtles to the NMFS Southeast Regional Office: 727-824-5312 If the injury or death of a marine mammal was caused by a collision with your vessel, responsible parties should remain available to assist the respective salvage and stranding network as needed. NMFS’ Southeast Regional Office should be immediately notified of the strike by email (takereport.nmfsser@noaa.gov) using the attached vessel strike reporting form. For additional information, please contact the Protected Resources Division at: NOAA Fisheries Service Southeast Regional Office th 263 13 Avenue South St. Petersburg, FL 33701 Tel: (727) 824-5312 Visit us on the web at http://sero.nmfs.noaa.gov NMFS Southeast Region Vessel Strike Avoidance Measures and Reporting for Mariners; revised February 2008. Packet Pg. 702  FLORIDA ARTIFICIAL REEF MATERIALS CARGO MANIFEST AND PRE-DEPLOYMENT NOTIFICATION (Issued pursuant to Ch. 379.249(6)(b), Florida Statutes) I, ______________________________________________ ______________________ ________________ Name of individual managing reef deployment (print) Signature Date whose address is __________________________________________________________, (____) _____ - _____ Street City State Zip Code Phone declare that I am staging and transporting the following artificial reef construction materials allowable pursuant to the U.S. Army Corps of Engineers Artificial Reef Permit referenced below and agree to comply with all permit conditions in the permit listed below and attached to this manifest. I understand this artificial reef site is open to public access and this authorization does not provide any rights or exclusive private use over those rights or uses to the general public. The address of the land based reef materials staging area is: ______________________________________ Transporting Vessel Registration Number: _____________________________________________________ Vessel Owner: _____________________________ Vessel Operator: ______________________________ The following items are to be deployed as reef material (attach additional sheets when more than four locations): MATERIAL TAG Descriptions of material ID NUMBER(S), GPS Coordinates if applicable (number of pieces, type, dimension, weight) degrees, minutes, decimal minutes (DD°MM.mmm’) Lat:_____°___.__ __ __’ Lon:____°___.__ __ __’ Lat:_____°___.__ __ __’ Lon:____°___.__ __ __’ Lat:_____°___.__ __ __’ Lon:____°___.__ __ __’ Lat:_____°___.__ __ __’ Lon:____°___.__ __ __’ A copy of the below referenced permit(s) and all associated conditions is attached to this manifest and shall be carried on board the vessel during loading, storing, or transporting artificial reef material. -- OFFICIAL USE ONLY -- (TO BE COMPLETED BY PERMIT HOLDER, OR AUTHORIZED ARTIFICIAL REEF INSPECTOR) Permit Holder: ______________________________________________________________________________ Name of U.S. Department of the Army, Corps of Engineers (ACOE) Permit Holder ACOE permit number ________________________, permitted site name _______________________________ issued on _________________________________ and has an expiration date of ________________________. Local tracking number (if applicable): __________________________________________________________ _________________________________________________________ (Name of FWC authorized Artificial Reef Inspector, printed) _________________________________________________________ ________________ (Signature) Packet (Date) Pg. 703 Revised 4/23/07  EXPLANATION SHEET FOR THE ARTIFICIAL REEF MATERIALS CARGO MANIFEST FORM The attached artificial reef cargo manifest has been developed in compliance with subsection 379.249(6)(b), Florida Statutes, which states that: “It is unlawful for any person to: store, possess or transport on or across state waters any materials reasonably suited for artificial reef construction and stored in such a manner providing ready access for use and placement as an artificial reef, unless a valid cargo manifest issued by the commission or a commission-certified inspector is onboard the transporting vessel. The manifest will serve as authorization to use a valid permitted site or land-based staging area, which will validate that the type of artificial reef construction material being transported is permissible for use at the permitted site, and will describe and quantify the artificial reef material being transported. The manifest will also include the latitude and longitude coordinates of the proposed deployment location, the valid permit number, and the copy off the permit conditions for the permitted site. The manifest must be available for inspection by any authorized law enforcement officer or commission employee.” This requirement for a cargo manifest became part of the statutory revision of the artificial reef program statute Section 379.249 Florida Statutes (F.S.), modified during the 2000 State of Florida Legislature. The statutory language allows a “commission certified inspector” to complete and approve the artificial reef materials cargo manifest. Therefore, we are providing the attached cargo manifest form to all local coastal government artificial reef coordinators and eligible non-profit corporations who may physically construct artificial reefs with the approval of the permit holders. INSTRUCTIONS A separate cargo manifest form is to be completed for each load to be transported offshore (i.e., one manifest per voyage). The manifest is to list all, and only, the reef materials onboard. The top of the form is to be filled out by the reef builder with his/her contact information and the information about the proposed reef materials to be deployed written into the boxes. If several materials are identical but have different tag numbers, please write “SAME” in the box for the other materials. Also put “SAME” under additional coordinates if all materials are going to the same deployment site. The shaded portion of the form at the bottom is to be filled out by the materials inspector. The cargo manifest must be completed by an entity representing the holder of the applicable artificial reef permit to assure that all materials meet the requirements of the permit. Completion of the artificial reef materials cargo manifest is required for all construction activities. The requirement to complete this document is not intended to be an undue burden on entities wishing to legally construct artificial reefs within permitted sites, but is a tool to assist law enforcement personnel in preventing the illegal construction of artificial reefs without the knowledge of the permit holder or in areas outside of legally permitted sites. It is intended to allow law enforcement staff to determine whether or not a load of materials is legal under the permit conditions. Without a properly completed Cargo Manifest Form on board, reef builders will be returned to port pursuant to Chapter 379.249 (6) (b). It is not necessary to send a copy of the Cargo Manifest Form to the FWC artificial reef section in Tallahassee. Documentation of the reef building activity should be maintained by the entity issuing the manifest in the event of any FWC inquiries. Reminder: the placement of all public artificial reefs in state or adjacent federal waters requires the submittal of a Materials Placement Report to the FWC artificial reef program within 30 days of public reef deployment in accordance with s. 379.249 F.S. Packet Pg. 704  FLORIDA ARTIFICIAL REEF MATERIALS PLACEMENT REPORT AND POST-DEPLOYMENT NOTIFICATION To Be Completed For Each Deployment Location or Date of Deployment County or Municipality:_____________________________________ Date of Placement:_________________________ Grant No. FWC - ________________________________ U.S. Army Corps (if applicable) Permit No.: _______________________________ Total project cost: $___________ (Funding Source(s) and Amount(s): FWC $____________ Local $ __________ Other $________) Name of Permitted Location Name Reef Site: ________________________________ for This Deployment:________________________ ° Latitude:_____ ______.___ ___ ___’ North Longitude:______ °_______.___ ___ ___’ West Degrees minutes decimal minutes Degrees minutes decimal minutes GPS Brand:__________________ GPS Model number:___________ Geographical Location: ______________ at __________degrees from ___________________________________ (nautical miles) (bearing) (reference inlet) Water Depth:________ feet (minus) Max. Material Height: ________feet (equals) Actual Vertical Clearance: ______feet TYPE AND AMOUNT OF MATERIAL DEPLOYED AT THE LOCATION DESCRIBED ABOVE: (ATTACH A PHOTOGRAPH OF THE MATERIAL ON THE BARGE IMMEDIATELY PRIOR TO DEPLOYMENT) Primary Type of Material:____________________________________________ Number of Pieces:__________ Dimensions:________________________________________________________________________________ Secondary Type of Material:_________________________________________ Number of Pieces:__________ Dimensions:________________________________________________________________________________ How was tonnage calculated?(Check all that apply, attach additional sheets if necessary): Before & after barge draft calculation Known weight of individual pieces TOTAL TONNAGE FOR THIS DEPLOYMENT: _______________________ Trucking receipts I DO HEREBY CERTIFY THAT THE ABOVE INFORMATION IS TRUE AND CORRECT TO THE BEST OF MY KNOWLEDGE Observer’s Name: _________________________________ Title: _________________________________ (PLEASE PRINT) (PLEASE PRINT) Observer’s Signature: _______________________________ Date: __________________________________ Observer’s Remarks: __________________________________________________________________________ ___________________________________________________________________________________________ I DO HEREBY CERTIFY THAT THE ABOVE INFORMATION COMPLIES WITH THE ABOVE REFERENCED PERMIT CONDITIONS Permittee’s Staff Name: _________________________________ Title: __________________________________ (PLEASE PRINT) (PLEASE PRINT) Permittee’s Staff Signature: ______________________________ Date: _________________________________ Local Tracking number ______________ FWC Tracking number _______________ Entered by _________ on _________ Rev. 4/23/2007 FWC initials date Packet Pg. 705  SELF-CERTIFICATION STATEMENT OF COMPLIANCE Permit Number: SAJ-2012-01104 (SP-SWA) Permittee’s Name & Address (please print or type): __________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ Telephone Number: ____________________________________________________________________ Location of the Work: __________________________________________________________________ _____________________________________________________________________________________ Date Work Started: __________________________ Date Work Completed: ______________________ Description of the Work (e.g. bank stabilization, residential or commercial filling, docks, dredging, etc.): _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ Acreage or Square Feet of Impacts to Waters of the United States: _______________________________ Describe Mitigation completed (if applicable): ______________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ Describe any Deviations from the Permit (attach drawing(s) depicting the deviations): _____________________________________________________________________________________ _____________________________________________________________________________________ I certify that all work, and mitigation (if applicable) was done in accordance with the limitations and conditions as described in the permit. Any deviations as described above are depicted on the attached drawing(s). ______________________________ Signature of Permittee ______________________________ Date Packet Pg. 706  DEPARTMENT OF THE ARMY JACKSONVILLE DISTRICT CORPS OF ENGINEERS PENSACOLA REGULATORY OFFICE 41 NORTH JEFFERSON STREET, SUITE 301 PENSACOLA, FLORIDA 32502 REPLY TO ATTENTION OF April 9, 2014 Regulatory Division North Permits Branch Pensacola Permits Section SAJ-2012-02734 (SP-SWA) Okaloosa County Board of County Commissioners 1804 Lewis Turner Boulevard, Suite 100 Fort Walton Beach, Florida 32547 Gentlemen: The U.S. Army Corps of Engineers (Corps) has completed the review and evaluation of your Department of the Army permit application, number SAJ-2012-02734. Our regulations require that you have an opportunity to review the terms and conditions prior to final signature by the Department of the Army. Enclosed is an unsigned Department of the Army permit instrument (permit). Please read carefully the Special Conditions beginning on page 3 of the permit. These were developed to apply specifically to your project. Water Quality Certification is also required prior to issuance of a permit. The Corps has received a copy of the State of Florida certification for your project. In accordance with General Condition 5 of the permit, any special conditions of the Water Quality Certification have been attached to the Department of the Army permit. Instructions for Objecting to Permit Terms and Conditions: This letter contains an initial proffered permit for your proposed project. If you object to certain terms and conditions contained within the permit, you may request that the permit be modified. Enclosed you will find a Notification of Administrative Appeal Options and Process fact sheet and Request for Appeal (RFA) form. If you choose to object to certain terms and conditions of the permit, you must follow the directions provided in Section 1, Part A and submit the completed RFA form to the letterhead address. In order for an RFA to be accepted by the Corps, the Corps must determine that it is complete, that it meets the criteria under 33 CFR Part 331.5, and that it has been received by the District office within 60 days of the date of the RFA. Should you decide to submit an RFA form, it must be received at the letterhead address by June 9, 2014. Instructions for Accepting Terms and Conditions and Finalizing Your Permit: It is not necessary to submit an RFA form to the District office, if you do not object to the decision in this letter. In this case, the permit must be signed by the applicant in the space provided on the signature page of the permit. In the case of corporations, Packet Pg. 707  -2- acceptance must be by an officer of that corporation authorized to sign on behalf of the corporation. The party responsible for assuring the work is done in accordance with the permit terms and conditions must sign the permit. Please type or print the name and title of the person signing below the signature and the date signed. SIGN (PAGE 9) AND RETURN THE ENTIRE PERMIT, INCLUDING ALL ATTACHMENTS, TO THE LETTERHEAD ADDRESS The permit will be signed by the District Engineer or his representative. The Corps will add the permit expiration date to the permit and return the permit to you. It is important to note that the permit is not valid until the District Engineer or his representative signs it. Please note U.S. Coast Guard regulations may require you as permittee to provide information for a Notice to the maritime community regarding your project. You should contact the Coast Guard Sector Mobile Waterways Management Branch (spw), 1500 15th Street, Mobile, AL 36615 or by phone at 251-441-5684 to determine if a Notice is necessary. Also any safety lights, signs and signals prescribed by the U.S. Coast Guard through their regulations or otherwise, must be installed and maintained at your expense as permittee on authorized facilities in navigable waters of the United States. To receive a U.S. Coast Guard Private Aids to Navigation marking determination, you are advised to contact the Eighth Coast Guard District (dpw), 500 Poydras St. Suite 1230, New Orleans, LA 70130, 504-671-2328 or via email to: D8oanPATON@uscg.mil prior to installation/construction of any fixed structures. For general information related to Private Aids to Navigation please visit the Eighth CG District web site at: http://www.uscg.mil/d8/waterways/PATON.Home.asp. Thank you for your cooperation with our permit program. The Corps’ Jacksonville District Regulatory Division is committed to improving service to our customers. We strive to perform our duty in a friendly and timely manner while working to preserve our environment. We invite you to complete our automated Customer Service Survey at http://corpsmapu.usace.army.mil/cm_apex/f?p=regulatory_survey. Please be aware this Internet address is case sensitive; and, you will need to enter it exactly as it appears above. Your input is appreciated – favorable or otherwise. If you have any questions concerning this application, you may contact Steve Andrews Jr. in writing at the letterhead address, by electronic mail at Packet Pg. 708 Packet Pg. 709 NOTIFICATION OF ADMINISTRATIVE APPEAL OPTIONS AND PROCESS AND REQUEST FOR APPEAL Applicant: Okaloosa County BOCC File Number: SAJ-2012-02734 Date: 9 April 2014 Attached is: See Section below X INITIAL PROFFERED PERMIT (Standard Permit or Letter of permission) A PROFFERED PERMIT (Standard Permit or Letter of permission) B PERMIT DENIAL C APPROVED JURISDICTIONAL DETERMINATION D PRELIMINARY JURISDICTIONAL DETERMINATION E SECTION I - The following identifies your rights and options regarding an administrative appeal of the above decision. Additional information may be found at http://www.usace.army.mil/CECW/Pages/reg_materials.aspx or Corps regulations at 33 CFR Part 331. A: INITIAL PROFFERED PERMIT: You may accept or object to the permit. • ACCEPT: If you received a Standard Permit, you may sign the permit document and return it to the district engineer for final authorization. If you received a Letter of Permission (LOP), you may accept the LOP and your work is authorized. Your signature on the Standard Permit or acceptance of the LOP means that you accept the permit in its entirety, and waive all rights to appeal the permit, including its terms and conditions, and approved jurisdictional determinations associated with the permit. • OBJECT: If you object to the permit (Standard or LOP) because of certain terms and conditions therein, you may request that the permit be modified accordingly. You must complete Section II of this form and return the form to the district engineer. Your objections must be received by the district engineer within 60 days of the date of this notice, or you will forfeit your right to appeal the permit in the future. Upon receipt of your letter, the district engineer will evaluate your objections and may: (a) modify the permit to address all of your concerns, (b) modify the permit to address some of your objections, or (c) not modify the permit having determined that the permit should be issued as previously written. After evaluating your objections, the district engineer will send you a proffered permit for your reconsideration, as indicated in Section B below. B: PROFFERED PERMIT: You may accept or appeal the permit • ACCEPT: If you received a Standard Permit, you may sign the permit document and return it to the district engineer for final authorization. If you received a Letter of Permission (LOP), you may accept the LOP and your work is authorized. Your signature on the Standard Permit or acceptance of the LOP means that you accept the permit in its entirety, and waive all rights to appeal the permit, including its terms and conditions, and approved jurisdictional determinations associated with the permit. • APPEAL: If you choose to decline the proffered permit (Standard or LOP) because of certain terms and conditions therein, you may appeal the declined permit under the Corps of Engineers Administrative Appeal Process by completing Section II of this form and sending the form to the division engineer. This form must be received by the division engineer within 60 days of the date of this notice. C: PERMIT DENIAL: You may appeal the denial of a permit under the Corps of Engineers Administrative Appeal Process by completing Section II of this form and sending the form to the division engineer. This form must be received by the division engineer within 60 days of the date of this notice. D: APPROVED JURISDICTIONAL DETERMINATION: You may accept or appeal the approved JD or provide new information. • ACCEPT: You do not need to notify the Corps to accept an approved JD. Failure to notify the Corps within 60 days of the date of this notice, means that you accept the approved JD in its entirety, and waive all rights to appeal the approved JD. • APPEAL: If you disagree with the approved JD, you may appeal the approved JD under the Corps of Engineers Administrative Appeal Process by completing Section II of this form and sending the form to the division engineer. This form must be received by the division engineer within 60 days of the date of this notice. Packet Pg. 710 SECTION II - REQUEST FOR APPEAL or OBJECTIONS TO AN INITIAL PROFFERED PERMIT REASONS FOR APPEAL OR OBJECTIONS: (Describe your reasons for appealing the decision or your objections to an initial proffered permit in clear concise statements. You may attach additional information to this form to clarify where your reasons or objections are addressed in the administrative record.) ADDITIONAL INFORMATION: The appeal is limited to a review of the administrative record, the Corps memorandum for the record of the appeal conference or meeting, and any supplemental information that the review officer has determined is needed to clarify the administrative record. Neither the appellant nor the Corps may add new information or analyses to the record. However, you may provide additional information to clarify the location of information that is already in the administrative record. POINT OF CONTACT FOR QUESTIONS OR INFORMATION: If you have questions regarding this decision and/or the If you only have questions regarding the appeal process appeal process you may contact: you may also contact: for process: Project Manager as noted in letter Stuart Santos 904-232-2018 RIGHT OF ENTRY: Your signature below grants the right of entry to Corps of Engineers personnel, and any government consultants, to conduct investigations of the project site during the course of the appeal process. You will be provided a 15 day notice of any site investigation, and will have the opportunity to participate in all site investigations. Date: Telephone number: _______________________________ Signature of appellant or agent. Packet Pg. 711  DEPARTMENT OF THE ARMY PERMIT Permittee: Okaloosa County Board of County Commissioners 1804 Lewis Turner Boulevard, Suite 100 Fort Walton Beach, Florida 32547 Permit No: SAJ-2012-02734 (SP-SWA) Issuing Office: U.S. Army Engineer District, Jacksonville NOTE: The term "you" and its derivatives, as used in this permit, means the permittee or any future transferee. The term "this office" refers to the appropriate district or division office of the Corps of Engineers having jurisdiction over the permitted activity or the appropriate official of that office acting under the authority of the commanding officer. You are authorized to perform work in accordance with the terms and conditions specified below. Project Description: The applicant proposes to establish a nearshore artificial reef area, which would be named “Okaloosa Island Reef”. It would consist of a 200’ x 590’ deployment area, totaling 118,000 square feet (2.7 acres), which would provide habitat and recreational fishing and diving opportunities. Material to be deployed would consist of fifty-five (55) tiered reefs modules (also known as Walter Eco-System Reef Modules). Each tier reef module would be 5 feet in diameter and would be mounted on 10-inch diameter piles. The material to be deployed would have a maximum profile height of no more than 8 feet at the deepest water depth and would result in a minimum authorized depth of -6 feet at mean low water (MLW). Project Location: The proposed artificial reef site is located in the Gulf of Mexico, approximately 350 feet south of the Okaloosa Island Beach Access #4, off of Okaloosa Island, Okaloosa County, Florida. Latitude & Longitude: NE Site Corner: Latitude: 30.3957° North Longitude: 86.6165° West NW Site Corner: Latitude: 30.3957° North Longitude: 86.6171° West SE Site Corner: Latitude: 30.3941° North Longitude: 86.6166° West SW Site Corner: Latitude: 30.3941° North Packet Pg. 712 PERMIT NUMBER: SAJ-2012-02734 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 2 of 11 Longitude: 86.6172° West Permit Conditions General Conditions: 1. The time limit for completing the work authorized ends on April 9, 2019. If you find that you need more time to complete the authorized activity, submit your request for a time extension to this office for consideration at least one month before the above date is reached. 2. You must maintain the activity authorized by this permit in good condition and in conformance with the terms and conditions of this permit. You are not relieved of this requirement if you abandon the permitted activity, although you may make a good faith transfer to a third party in compliance with General Condition 4 below. Should you wish to cease to maintain the authorized activity or should you desire to abandon it without a good faith transfer, you must obtain a modification of this permit from this office, which may require restoration of the area. 3. If you discover any previously unknown historic or archeological remains while accomplishing the activity authorized by this permit, you must immediately notify this office of what you have found. We will initiate the Federal and State coordination required to determine if the remains warrant a recovery effort or if the site is eligible for listing in the National Register of Historic Places. 4. If you sell the property associated with this permit, you must obtain the signature and the mailing address of the new owner in the space provided and forward a copy of the permit to this office to validate the transfer of this authorization. 5. If a conditioned water quality certification has been issued for your project, you must comply with the conditions specified in the certification as special conditions to this permit. For your convenience, a copy of the certification is attached if it contains such conditions. 6. You must allow representatives from this office to inspect the authorized activity at any time deemed necessary to ensure that it is being or has been accomplished in accordance with the terms and conditions of your permit. Special Conditions: 1. Reporting Addresses: The Permittee shall reference this permit number, SAJ- 2012-02734 (SP-SWA), on all correspondence. Unless specifically notified to the Packet Pg. 713 PERMIT NUMBER: SAJ-2012-02734 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 3 of 11 contrary, the Permittee shall use the following addresses for transmitting correspondence to the referenced agencies: (a) U.S. Army Corps of Engineers, Regulatory Division, Enforcement Section 41 North Jefferson Street, Suite 301 Pensacola, Florida 32502 The Permittee shall reference this permit number, SAJ-2010-03163 (SP-SWA), on all submittals. Or email at: CESAJ-ComplyDocs@usace.army.mil (b) National Oceanic and Atmospheric Administration (NOAA), Marine Chart Division, Office of Coast Survey, N/CS26, Sta. 7317 1315 East-West Highway Silver Springs, MD, 20910-3282 Or email at: ocs.ndb@noaa.gov. (c) Commander, U.S. Coast Guard (USCG) 8th Coast Guard District Hale Boggs Federal Building 500 Poydras Street New Orleans, LA 70130 (d) Florida Fish and Wildlife Conservation Commission (FWC), Artificial Reef Program, 620 S. Meridian Street, Box 4B2 Tallahassee, FL 32399. Or email at: artificialreefdeployments@MyFWC.com 2. Initial Agency Notification: The Permittee shall provide to the Corps, NOAA and USCG written notification of the planned deployment start date at least two weeks prior to the initial deployment on the authorized artificial reef site. 3. Protection of Existing Resources: The Permittee shall not deploy artificial reef materials until an assessment of the bottom conditions have been accomplished by diver, submersible video camera, fathometer, depth/bottom sounder (e.g. “fish finder”), or side-scan sonar. The inspection of the deployment area may occur at the time of deployment, but no more than one year prior to deployment. The Permittee shall maintain a deployment buffer of at least 200 feet from any submerged beds of sea grasses, coral reefs, live bottom, areas supporting growth of sponges, sea fans, soft corals, and other sessile macroinvertebrates generally associated with rock outcrops, oyster reefs, scallop beds, clam beds, or areas where there are unique or unusual Packet Pg. 714 PERMIT NUMBER: SAJ-2012-02734 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 4 of 11 concentrations of bottom-dwelling marine organisms. If, during the inspection, evidence is observed of cultural/archaeological resources, such as sunken vessels, ballast, historic refuse piles, or careenage areas the Corps will be notified by the Permittee and the above referenced deployment buffer will be implemented. The Permittee shall maintain a record of the information gained during the inspection such that it can be provided upon request to the Corps. 4. Pre-Deployment Notification: No less than 14 days prior to deployment of material on an artificial reef, the Permittee shall transmit by electronic mail (“email”) a complete and signed “Florida Artificial Reef Materials Cargo Manifest and Pre-Deployment Notification” form, attached to this permit, to the Corps and FWC to allow inspection of the proposed reef materials as deemed necessary by the agencies. Inspection is allowable at the staging area. By signing the Pre-Deployment Notification the Permittee certifies that all materials are free from asphalt, petroleum, other hydrocarbons and toxic residues. The Permittee shall not deploy material if notified by the Corps or FWC that the material is questionable. The material needs to be evaluated before it is released for deployment. Any material that is deemed unacceptable for reef material will be disposed in an approved upland disposal site. Deployment of the material shall not occur until after the end of the 14-day inspection period. The Permittee shall ensure both a copy of the Corps permit and the signed “Florida Artificial Reef Materials Cargo Manifest and Pre-Deployment Notification Form” are maintained aboard the deployment vessel at all times during loading, transit, and deployment. 5. Post-Deployment Placement Report/As-Built Drawing: No less than 30 days after deployment at the reef site, the Permittee shall transmit by email to the Corps, FWC, and NOAA a complete and signed “Florida Artificial Reef Materials Placement Report and Post-Deployment Notification” form attached to this permit. Please note, the Corps requires the latitude and longitude to be accurate within 5 meters horizontal distance on the post-deployment report. Attach to the report, an as-built drawing that contains the approximate deployment configurations and the height of the material after placement. Depth shall be verified utilizing fathometer, depth sounder, or similar device accurate to within 1 meter. Also, include information on the condition of the material at the time of deployment. The report and drawing shall be limited to a few pages per deployment. Representative photographs and/or video, if available, are encouraged to be submitted. 6. Ownership/Maintenance/Liability: By signing this permit, the Permittee certifies and acknowledges ownership of all artificial reef materials deployed on the reef, accepts responsibility for maintenance of the artificial reef, and possesses the ability to assume liability for all damages that may arise with respect to the artificial reef. Packet Pg. 715 PERMIT NUMBER: SAJ-2012-02734 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 5 of 11 7. Assurance of Navigation and Maintenance: The Permittee understands and agrees that, if future operations by the United States require the removal, relocation, or other alteration, of the structures or work herein authorized, or if in the opinion of the Secretary of the Army or his authorized representative, said structure or work shall cause unreasonable obstruction to the free navigation of the navigable waters, the Permittee will be required, upon due notice from the Corps of Engineers, to remove, relocate, or alter the structural work or obstructions caused thereby, without expense to the United States. No claim shall be made against the United States on account of any such removal or alteration. 8. Sea Turtle, Smalltooth Sawfish and Sturgeon Conditions: The Permittee shall comply with the attached National Marine Fisheries Service’s “Sea Turtle and Smalltooth Sawfish Construction Conditions”, which also applies to sturgeon. 9. Manatee Conditions: The Permittee shall comply with the attached “Standard Manatee Conditions for In-Water Work – 2011.” 10. Protected Species Guidance: The Permittee shall comply with the attached “Vessel Strike Avoidance Measures and Injured or Dead Protected Species Reporting” guidance for marine turtles and marine mammals. 11. Self-Certification: Within 60 days of completion of the authorized work or at the expiration of the construction authorization of this permit, whichever occurs first, the Permittee shall complete the attached “Self-Certification Statement of Compliance” form and submit to the Corps. In the event that the completed work deviates, in any manner, from the authorized work, the Permittee shall describe, on the Self-Certification Form, the deviations between the work authorized by the permit and the work as constructed. Please note that the description of any deviations on the Self-Certification Form does not constitute approval of any deviations by the Corps. 12. Cultural Resources/Historic Properties: a. No structure or work shall adversely affect impact or disturb properties listed in the National Register of Historic Places (NRHP) or those eligible for inclusion in the NRHP. b. If during the ground disturbing activities and construction work within the permit area, there are archaeological/cultural materials encountered which were not the subject of a previous cultural resources assessment survey (and which shall include, but not be limited to: pottery, modified shell, flora, fauna, human remains, ceramics, stone tools or metal implements, dugout canoes, evidence of structures or any other physical remains that could be associated with Native American cultures or early Packet Pg. 716 PERMIT NUMBER: SAJ-2012-02734 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 6 of 11 colonial or American settlement), the Permittee shall immediately stop all work in the vicinity and notify the Corps. The Corps shall then notify the Florida State Historic Preservation Officer (SHPO) and the appropriate Tribal Historic Preservation Officer(s) (THPO(s)) to assess the significance of the discovery and devise appropriate actions. c. A cultural resources assessment may be required of the permit area, if deemed necessary by the SHPO, THPO(s), or Corps, in accordance with 36 CFR 800 or 33 CFR 325, Appendix C (5). Based, on the circumstances of the discovery, equity to all parties, and considerations of the public interest, the Corps may modify, suspend or revoke the permit in accordance with 33 CFR Part 325.7. Such activity shall not resume on non- federal lands without written authorization from the SHPO and the Corps. d. In the unlikely event that unmarked human remains are identified on non-federal lands, they will be treated in accordance with Section 872.05 Florida Statutes. All work in the vicinity shall immediately cease and the Permittee shall immediately notify the medical examiner, Corps, and State Archeologist. The Corps shall then notify the appropriate SHPO and THPO(s). Based, on the circumstances of the discovery, equity to all parties, and considerations of the public interest, the Corps may modify, suspend or revoke the permit in accordance with 33 CFR Part 325.7. Such activity shall not resume without written authorization from the State Archeologist, SHPO and the Corps. e. In the unlikely event that human remains are encountered on federal or tribal lands, or in situations where Archaeological Resources Protection Act of 1979, or Native American Graves Protection Repatriation Act of 1990 applies, all work in the vicinity shall immediately cease and the Permittee immediately notify the Corps. The Corps shall then notify the appropriate THPO(s) and SHPO. Based, on the circumstances of the discovery, equity to all parties, and considerations of the public interest, the Corps may modify, suspend or revoke the permit in accordance with 33 CFR Part 325.7. After such notification, project activities on federal lands shall not resume without written authorization from the Corps, and/or appropriate THPO(s), SHPO, and federal manager. After such notification, project activities on tribal lands shall not resume without written authorization from the appropriate THPO(s) and the Corps. Further Information: 1. Congressional Authorities: You have been authorized to undertake the activity described above pursuant to: (X) Section 10 of the Rivers and Harbors Act of 1899 (33 U.S.C. 403). () Section 404 of the Clean Water Act (33 U.S.C. 1344). Packet Pg. 717 PERMIT NUMBER: SAJ-2012-02734 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 7 of 11 ( ) Section 103 of the Marine Protection, Research and Sanctuaries Act of 1972 (33 U.S.C. 1413). 2. Limits of this authorization. a. This permit does not obviate the need to obtain other Federal, State, or local authorizations required by law. b. This permit does not grant any property rights or exclusive privileges. c. This permit does not authorize any injury to the property or rights of others. d. This permit does not authorize interference with any existing or proposed Federal projects. 3. Limits of Federal Liability. In issuing this permit, the Federal Government does not assume any liability for the following: a. Damages to the permitted project or uses thereof as a result of other permitted or unpermitted activities or from natural causes. b. Damages to the permitted project or uses thereof as a result of current or future activities undertaken by or on behalf of the United States in the public interest. c. Damages to persons, property, or to other permitted or unpermitted activities or structures caused by the activity authorized by this permit. d. Design or construction deficiencies associated with the permitted work. e. Damage claims associated with any future modification, suspension, or revocation of this permit. 4. Reliance on Applicant's Data: The determination of this office that issuance of this permit is not contrary to the public interest was made in reliance on the information you provided. 5. Reevaluation of Permit Decision: This office may reevaluate its decision on this permit at any time the circumstances warrant. Circumstances that could require a reevaluation include, but are not limited to, the following: a. You fail to comply with the terms and conditions of this permit. Packet Pg. 718 PERMIT NUMBER: SAJ-2012-02734 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 8 of 11 b. The information provided by you in support of your permit application proves to have been false, incomplete, or inaccurate (see 4 above). c. Significant new information surfaces which this office did not consider in reaching the original public interest decision. Such a reevaluation may result in a determination that it is appropriate to use the suspension, modification, and revocation procedures contained in 33 CFR 325.7 or enforcement procedures such as those contained in 33 CFR 326.4 and 326.5. The referenced enforcement procedures provide for the issuance of an administrative order requiring you comply with the terms and conditions of your permit and for the initiation of legal action where appropriate. You will be required to pay for any corrective measures ordered by this office, and if you fail to comply with such directive, this office may in certain situations (such as those specified in 33 CFR 209.170) accomplish the corrective measures by contract or otherwise and bill you for the cost. 6. Extensions: General Condition 1 establishes a time limit for the completion of the activity authorized by this permit. Unless there are circumstances requiring either a prompt completion of the authorized activity or a reevaluation of the public interest decision, the Corps will normally give favorable consideration to a request for an extension of this time limit. Packet Pg. 719 PERMIT NUMBER: SAJ-2012-02734 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 9 of 11 Your signature below, as permittee, indicates that you accept and agree to comply with the terms and conditions of this permit. _______________________________________ ____________________ (PERMITTEE) (DATE) _______________________________________ (PERMITTEE NAME-PRINTED) This permit becomes effective when the Federal official, designated to act for the Secretary of the Army, has signed below. _______________________________________ ____________________ (DISTRICT ENGINEER) (DATE) Alan M. Dodd, Colonel, U.S. Army District Commander Packet Pg. 720 PERMIT NUMBER: SAJ-2012-02734 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 10 of 11 When the structures or work authorized by this permit are still in existence at the time the property is transferred, the terms and conditions of this permit will continue to be binding on the new owner(s) of the property. To validate the transfer of this permit and the associated liabilities associated with compliance with its terms and conditions, have the transferee sign and date below. _______________________________________ ____________________ (TRANSFEREE-SIGNATURE) (DATE) _______________________________________ (NAME-PRINTED) _______________________________________ (ADDRESS) ______________________________________________________ (CITY, STATE, AND ZIP CODE) Packet Pg. 721 PERMIT NUMBER: SAJ-2012-02734 (SP-SWA) PERMITTEE: Okaloosa County Board of County Commissioners PAGE 11 of 11 Attachments to Department of the Army Permit Number SAJ-2012-02734 1. PERMIT DRAWINGS: Six (6) pages, dated 7 April 2014. 2. WATER QUALITY CERTIFICATION: Specific Conditions of the water quality permit/certification in accordance with General Condition number 5 on page 2 of this DA permit. Six (6) pages. 3. SEA TURTLE, SAWFISH AND STURGEON CONDITIONS: One (1) page. 4. MANATEE CONDITIONS: One (1) page. 5. VESSEL STRIKE AVOIDANCE MEASURES: Two (2) pages. 6. FLORIDA ARTIFICIAL REEF MATERIALS CARGO MANIFEST AND PRE- DEPLOYMENT NOTIFICATION FORM: Two (2) pages. 7. FLORIDA ARTIFICIAL REEF MATERIALS PLACEMENT REPORT AND POST- DEPLOYMENT NOTIFICATION FORM: One (1) page. 8. SELF-CERTIFICATION FORM: One (1) page. Packet Pg. 722 Packet Pg. 723 Packet Pg. 724 Packet Pg. 725 Packet Pg. 726 Packet Pg. 727 Packet Pg. 728 Packet Pg. 729 Packet Pg. 730 Packet Pg. 731 Packet Pg. 732 Packet Pg. 733 Packet Pg. 734  UNITED STATES DEPARTMENT OF COMMERCE National Oceanic and Atmospheric Administration NATIONAL MARINE FISHERIES SERVICE Southeast Regional Office 263 13th Avenue South St. Petersburg, FL 33701 SEA TURTLE AND SMALLTOOTH SAWFISH CONSTRUCTION CONDITIONS The permittee shall comply with the following protected species construction conditions: a. The permittee shall instruct all personnel associated with the project of the potential presence of these species and the need to avoid collisions with sea turtles and smalltooth sawfish. All construction personnel are responsible for observing water-related activities for the presence of these species. b. The permittee shall advise all construction personnel that there are civil and criminal penalties for harming, harassing, or killing sea turtles or smalltooth sawfish, which are protected under the Endangered Species Act of 1973. c. Siltation barriers shall be made of material in which a sea turtle or smalltooth sawfish cannot become entangled, be properly secured, and be regularly monitored to avoid protected species entrapment. Barriers may not block sea turtle or smalltooth sawfish entry to or exit from designated critical habitat without prior agreement from the National Marine Fisheries Service’s Protected Resources Division, St. Petersburg, Florida. d. All vessels associated with the construction project shall operate at “no wake/idle” speeds at all times while in the construction area and while in water depths where the draft of the vessel provides less than a four-foot clearance from the bottom. All vessels will preferentially follow deep-water routes (e.g., marked channels) whenever possible. e. If a sea turtle or smalltooth sawfish is seen within 100 yards of the active daily construction/dredging operation or vessel movement, all appropriate precautions shall be implemented to ensure its protection. These precautions shall include cessation of operation of any moving equipment closer than 50 feet of a sea turtle or smalltooth sawfish. Operation of any mechanical construction equipment shall cease immediately if a sea turtle or smalltooth sawfish is seen within a 50-ft radius of the equipment. Activities may not resume until the protected species has departed the project area of its own volition. f. Any collision with and/or injury to a sea turtle or smalltooth sawfish shall be reported immediately to the National Marine Fisheries Service’s Protected Resources Division (727-824- 5312) and the local authorized sea turtle stranding/rescue organization. g. Any special construction conditions, required of your specific project, outside these general conditions, if applicable, will be addressed in the primary consultation. Revised: March 23, 2006 O:\forms\Sea Turtle and Smalltooth Sawfish Construction Conditions.doc Packet Pg. 735  STANDARD MANATEE CONDITIONS FOR IN-WATER WORK 2011 The permittee shall comply with the following conditions intended to protect manatees from direct project effects: a. All personnel associated with the project shall be instructed about the presence of manatees and manatee speed zones, and the need to avoid collisions with and injury to manatees. The permittee shall advise all construction personnel that there are civil and criminal penalties for harming, harassing, or killing manatees which are protected under the Marine Mammal Protection Act, the Endangered Species Act, and the Florida Manatee Sanctuary Act. b. All vessels associated with the construction project shall operate at "Idle Speed/No Wake” at all times while in the immediate area and while in water where the draft of the vessel provides less than a four-foot clearance from the bottom. All vessels will follow routes of deep water whenever possible. c. Siltation or turbidity barriers shall be made of material in which manatees cannot become entangled, shall be properly secured, and shall be regularly monitored to avoid manatee entanglement or entrapment. Barriers must not impede manatee movement. d. All on-site project personnel are responsible for observing water-related activities for the presence of manatee(s). All in-water operations, including vessels, must be shutdown if a manatee(s) comes within 50 feet of the operation. Activities will not resume until the manatee(s) has moved beyond the 50-foot radius of the project operation, or until 30 minutes elapses if the manatee(s) has not reappeared within 50 feet of the operation. Animals must not be herded away or harassed into leaving. e. Any collision with or injury to a manatee shall be reported immediately to the Florida Fish and Wildlife Conservation Commission (FWC) Hotline at 1-888-404-3922. Collision and/or injury should also be reported to the U.S. Fish and Wildlife Service in Jacksonville (1-904- 731-3336) for north Florida or Vero Beach (1-772-562-3909) for south Florida, and to FWC at ImperiledSpecies@myFWC.com Packet Pg. 736  Vessel Strike Avoidance Measures and Reporting for Mariners NOAA Fisheries Service, Southeast Region Background The National Marine Fisheries Service (NMFS) has determined that collisions with vessels can injure or kill protected species (e.g., endangered and threatened species, and marine mammals). The following standard measures should be implemented to reduce the risk associated with vessel strikes or disturbance of these protected species to discountable levels. NMFS should be contacted to identify any additional conservation and recovery issues of concern, and to assist in the development of measures that may be necessary. Protected Species Identification Training Vessel crews should use an Atlantic and Gulf of Mexico reference guide that helps identify protected species that might be encountered in U.S. waters of the Atlantic Ocean, including the Caribbean Sea, and Gulf of Mexico. Additional training should be provided regarding information and resources available regarding federal laws and regulations for protected species, ship strike information, critical habitat, migratory routes and seasonal abundance, and recent sightings of protected species. Vessel Strike Avoidance In order to avoid causing injury or death to marine mammals and sea turtles the following measures should be taken when consistent with safe navigation: 1. Vessel operators and crews should maintain a vigilant watch for marine mammals and sea turtles to avoid striking sighted protected species. 2. When whales are sighted, maintain a distance of 100 yards or greater between the whale and the vessel. 3. When sea turtles or small cetaceans are sighted, attempt to maintain a distance of 50 yards or greater between the animal and the vessel whenever possible. 4. When small cetaceans are sighted while a vessel is underway (e.g., bow-riding), attempt to remain parallel to the animal’s course. Avoid excessive speed or abrupt changes in direction until the cetacean has left the area. 5. Reduce vessel speed to 10 knots or less when mother/calf pairs, groups, or large assemblages of cetaceans are observed near an underway vessel, when safety permits. A single cetacean at the surface may indicate the presence of submerged animals in the vicinity; therefore, prudent precautionary measures should always be exercised. The vessel should attempt to route around the animals, maintaining a minimum distance of 100 yards whenever possible. NMFS Southeast Region Vessel Strike Avoidance Measures and Reporting for Mariners; revised February 2008. Packet Pg. 737  6. Whales may surface in unpredictable locations or approach slowly moving vessels. When an animal is sighted in the vessel’s path or in close proximity to a moving vessel and when safety permits, reduce speed and shift the engine to neutral. Do not engage the engines until the animals are clear of the area. Additional Requirements for the North Atlantic Right Whale 1. If a sighted whale is believed to be a North Atlantic right whale, federal regulation requires a minimum distance of 500 yards be maintained from the animal (50 CFR 224.103 (c)). 2. Vessels entering North Atlantic right whale critical habitat are required to report into the Mandatory Ship Reporting System. 3. Mariners should check with various communication media for general information regarding avoiding ship strikes and specific information regarding North Atlantic right whale sighting locations. These include NOAA weather radio, U.S. Coast Guard NAVTEX broadcasts, and Notices to Mariners. Commercial mariners calling on United States ports should view the most recent version of the NOAA/USCG produced training CD entitled “A Prudent Mariner’s Guide to Right Whale Protection” (contact the NMFS Southeast Region, Protected Resources Division for more information regarding the CD). 4. Injured, dead, or entangled right whales should be immediately reported to the U.S. Coast Guard via VHF Channel 16. Injured or Dead Protected Species Reporting Vessel crews should report sightings of any injured or dead protected species immediately, regardless of whether the injury or death is caused by your vessel. Report marine mammals to the Southeast U.S. Stranding Hotline: 877-433-8299 Report sea turtles to the NMFS Southeast Regional Office: 727-824-5312 If the injury or death of a marine mammal was caused by a collision with your vessel, responsible parties should remain available to assist the respective salvage and stranding network as needed. NMFS’ Southeast Regional Office should be immediately notified of the strike by email (takereport.nmfsser@noaa.gov) using the attached vessel strike reporting form. For additional information, please contact the Protected Resources Division at: NOAA Fisheries Service Southeast Regional Office th 263 13 Avenue South St. Petersburg, FL 33701 Tel: (727) 824-5312 Visit us on the web at http://sero.nmfs.noaa.gov NMFS Southeast Region Vessel Strike Avoidance Measures and Reporting for Mariners; revised February 2008. Packet Pg. 738  FLORIDA ARTIFICIAL REEF MATERIALS CARGO MANIFEST AND PRE-DEPLOYMENT NOTIFICATION (Issued pursuant to Ch. 379.249(6)(b), Florida Statutes) I, ______________________________________________ ______________________ ________________ Name of individual managing reef deployment (print) Signature Date whose address is __________________________________________________________, (____) _____ - _____ Street City State Zip Code Phone declare that I am staging and transporting the following artificial reef construction materials allowable pursuant to the U.S. Army Corps of Engineers Artificial Reef Permit referenced below and agree to comply with all permit conditions in the permit listed below and attached to this manifest. I understand this artificial reef site is open to public access and this authorization does not provide any rights or exclusive private use over those rights or uses to the general public. The address of the land based reef materials staging area is: ______________________________________ Transporting Vessel Registration Number: _____________________________________________________ Vessel Owner: _____________________________ Vessel Operator: ______________________________ The following items are to be deployed as reef material (attach additional sheets when more than four locations): MATERIAL TAG Descriptions of material ID NUMBER(S), GPS Coordinates if applicable (number of pieces, type, dimension, weight) degrees, minutes, decimal minutes (DD°MM.mmm’) Lat:_____°___.__ __ __’ Lon:____°___.__ __ __’ Lat:_____°___.__ __ __’ Lon:____°___.__ __ __’ Lat:_____°___.__ __ __’ Lon:____°___.__ __ __’ Lat:_____°___.__ __ __’ Lon:____°___.__ __ __’ A copy of the below referenced permit(s) and all associated conditions is attached to this manifest and shall be carried on board the vessel during loading, storing, or transporting artificial reef material. -- OFFICIAL USE ONLY -- (TO BE COMPLETED BY PERMIT HOLDER, OR AUTHORIZED ARTIFICIAL REEF INSPECTOR) Permit Holder: ______________________________________________________________________________ Name of U.S. Department of the Army, Corps of Engineers (ACOE) Permit Holder ACOE permit number ________________________, permitted site name _______________________________ issued on _________________________________ and has an expiration date of ________________________. Local tracking number (if applicable): __________________________________________________________ _________________________________________________________ (Name of FWC authorized Artificial Reef Inspector, printed) _________________________________________________________ ________________ (Signature) Packet (Date) Pg. 739 Revised 4/23/07  EXPLANATION SHEET FOR THE ARTIFICIAL REEF MATERIALS CARGO MANIFEST FORM The attached artificial reef cargo manifest has been developed in compliance with subsection 379.249(6)(b), Florida Statutes, which states that: “It is unlawful for any person to: store, possess or transport on or across state waters any materials reasonably suited for artificial reef construction and stored in such a manner providing ready access for use and placement as an artificial reef, unless a valid cargo manifest issued by the commission or a commission-certified inspector is onboard the transporting vessel. The manifest will serve as authorization to use a valid permitted site or land-based staging area, which will validate that the type of artificial reef construction material being transported is permissible for use at the permitted site, and will describe and quantify the artificial reef material being transported. The manifest will also include the latitude and longitude coordinates of the proposed deployment location, the valid permit number, and the copy off the permit conditions for the permitted site. The manifest must be available for inspection by any authorized law enforcement officer or commission employee.” This requirement for a cargo manifest became part of the statutory revision of the artificial reef program statute Section 379.249 Florida Statutes (F.S.), modified during the 2000 State of Florida Legislature. The statutory language allows a “commission certified inspector” to complete and approve the artificial reef materials cargo manifest. Therefore, we are providing the attached cargo manifest form to all local coastal government artificial reef coordinators and eligible non-profit corporations who may physically construct artificial reefs with the approval of the permit holders. INSTRUCTIONS A separate cargo manifest form is to be completed for each load to be transported offshore (i.e., one manifest per voyage). The manifest is to list all, and only, the reef materials onboard. The top of the form is to be filled out by the reef builder with his/her contact information and the information about the proposed reef materials to be deployed written into the boxes. If several materials are identical but have different tag numbers, please write “SAME” in the box for the other materials. Also put “SAME” under additional coordinates if all materials are going to the same deployment site. The shaded portion of the form at the bottom is to be filled out by the materials inspector. The cargo manifest must be completed by an entity representing the holder of the applicable artificial reef permit to assure that all materials meet the requirements of the permit. Completion of the artificial reef materials cargo manifest is required for all construction activities. The requirement to complete this document is not intended to be an undue burden on entities wishing to legally construct artificial reefs within permitted sites, but is a tool to assist law enforcement personnel in preventing the illegal construction of artificial reefs without the knowledge of the permit holder or in areas outside of legally permitted sites. It is intended to allow law enforcement staff to determine whether or not a load of materials is legal under the permit conditions. Without a properly completed Cargo Manifest Form on board, reef builders will be returned to port pursuant to Chapter 379.249 (6) (b). It is not necessary to send a copy of the Cargo Manifest Form to the FWC artificial reef section in Tallahassee. Documentation of the reef building activity should be maintained by the entity issuing the manifest in the event of any FWC inquiries. Reminder: the placement of all public artificial reefs in state or adjacent federal waters requires the submittal of a Materials Placement Report to the FWC artificial reef program within 30 days of public reef deployment in accordance with s. 379.249 F.S. Packet Pg. 740  FLORIDA ARTIFICIAL REEF MATERIALS PLACEMENT REPORT AND POST-DEPLOYMENT NOTIFICATION To Be Completed For Each Deployment Location or Date of Deployment County or Municipality:_____________________________________ Date of Placement:_________________________ Grant No. FWC - ________________________________ U.S. Army Corps (if applicable) Permit No.: _______________________________ Total project cost: $___________ (Funding Source(s) and Amount(s): FWC $____________ Local $ __________ Other $________) Name of Permitted Location Name Reef Site: ________________________________ for This Deployment:________________________ ° Latitude:_____ ______.___ ___ ___’ North Longitude:______ °_______.___ ___ ___’ West Degrees minutes decimal minutes Degrees minutes decimal minutes GPS Brand:__________________ GPS Model number:___________ Geographical Location: ______________ at __________degrees from ___________________________________ (nautical miles) (bearing) (reference inlet) Water Depth:________ feet (minus) Max. Material Height: ________feet (equals) Actual Vertical Clearance: ______feet TYPE AND AMOUNT OF MATERIAL DEPLOYED AT THE LOCATION DESCRIBED ABOVE: (ATTACH A PHOTOGRAPH OF THE MATERIAL ON THE BARGE IMMEDIATELY PRIOR TO DEPLOYMENT) Primary Type of Material:____________________________________________ Number of Pieces:__________ Dimensions:________________________________________________________________________________ Secondary Type of Material:_________________________________________ Number of Pieces:__________ Dimensions:________________________________________________________________________________ How was tonnage calculated?(Check all that apply, attach additional sheets if necessary): Before & after barge draft calculation Known weight of individual pieces TOTAL TONNAGE FOR THIS DEPLOYMENT: _______________________ Trucking receipts I DO HEREBY CERTIFY THAT THE ABOVE INFORMATION IS TRUE AND CORRECT TO THE BEST OF MY KNOWLEDGE Observer’s Name: _________________________________ Title: _________________________________ (PLEASE PRINT) (PLEASE PRINT) Observer’s Signature: _______________________________ Date: __________________________________ Observer’s Remarks: __________________________________________________________________________ ___________________________________________________________________________________________ I DO HEREBY CERTIFY THAT THE ABOVE INFORMATION COMPLIES WITH THE ABOVE REFERENCED PERMIT CONDITIONS Permittee’s Staff Name: _________________________________ Title: __________________________________ (PLEASE PRINT) (PLEASE PRINT) Permittee’s Staff Signature: ______________________________ Date: _________________________________ Local Tracking number ______________ FWC Tracking number _______________ Entered by _________ on _________ Rev. 4/23/2007 FWC initials date Packet Pg. 741  SELF-CERTIFICATION STATEMENT OF COMPLIANCE Permit Number: SAJ-2012-02734 (SP-SWA) Permittee’s Name & Address (please print or type): __________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ Telephone Number: ____________________________________________________________________ Location of the Work: __________________________________________________________________ _____________________________________________________________________________________ Date Work Started: __________________________ Date Work Completed: ______________________ Description of the Work (e.g. bank stabilization, residential or commercial filling, docks, dredging, etc.): _____________________________________________________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ Acreage or Square Feet of Impacts to Waters of the United States: _______________________________ Describe Mitigation completed (if applicable): ______________________________________________ _____________________________________________________________________________________ _____________________________________________________________________________________ Describe any Deviations from the Permit (attach drawing(s) depicting the deviations): _____________________________________________________________________________________ _____________________________________________________________________________________ I certify that all work, and mitigation (if applicable) was done in accordance with the limitations and conditions as described in the permit. Any deviations as described above are depicted on the attached drawing(s). ______________________________ Signature of Permittee ______________________________ Date Packet Pg. 742  N MID BA Y BRID GE RD EMERALD COAS T PKWY (US HWY 98) FDEP RANGE MONUMENTS (TYP) HENDERSON BEACH STATE PARK R-034 R-036 MEAN HIGH WATER LINE (+0.77') R-037 4/4/2012 2:28:35 PM R-035 R-038 0 R-039 R-040 0 R-041 R-042 ANTON FLEWELLING X:\SYS\PROJECTS\P2012-015 OKALOOSA CO SNORKEL REEF\PERMIT\P2012-015-P-OVERVIEW.DWG R-043 -10 0 -10 -20 -10 -20 -30 PROJECT AREA -40 -30 -20 SURVEY: MORGAN & EKLUND, JULY 2010 GULF OF MEXICO VERTICAL DATUM: NAVD 88, FEET -40 -30 AERIAL: AERIALS EXPRESS, 2007 Packet Pg. 743 0 1,000' 2,000' -40 SCALE: 1" = 1,000' PROJECT SEAL TAYLOR ENGINEERING INC. FIGURE 2 DRAWN BY C2012-017 10151 DEERWOOD PARK BLVD. PROJECT OVERVIEW AF BLDG. 300, SUITE 300 CRYSTAL BEACH REEF SHEET 2 of 6 JACKSONVILLE, FL 32256 OKALOOSA COUNTY, FLORIDA DATE CERTIFICATE OF AUTHORIZATION # 4815 MAR 2012 MATTHEW TRAMMELL P.E.# 69244 DATE PRELIMINARY DRAWINGS: THESE DRAWINGS ARE NOT IN FINAL FORM, BUT ARE BEING TRANSMITTED FOR AGENCY REVIEW.  N SANTA ROSA SOUND FDEP RANGE MONUMENTS (TYP) OKALOOSA COUNTY BEACH ACCESS #4 SANTA ROSA BLVD 8/17/2012 9:57:42 AM R-004 R-007 R-002 R-003 R-005 0 R-006 -2 MEAN HIGH WATER LINE (+0.8') -4 R-008 ANTON FLEWELLING X:\SYS\PROJECTS\P2012-015 OKALOOSA CO SNORKEL REEF\OKALOOSA ISLAND\PERMIT\P2012-015-P-OKA OVERVIEW.DWG -6 -8 -10 R-009 -12 -14 R-010 -2 0 -16 -6 -4 -18 -20 -10 -8 -22 -14 -12 -24 PROJECT AREA -14 -26 -28 -30 -32 -14 -34 -20 -18 -16 - -26 -24 -22 -32 -30 28 GULF OF MEXICO SURVEY: FDEP 2007 VERTICAL DATUM: NAVD 88, FEET AERIAL: AERIALS EXPRESS, 2007 Packet Pg. 744 0 1,000' 2,000' SCALE: 1" = 1,000' PROJECT SEAL TAYLOR ENGINEERING INC. FIGURE 2 DRAWN BY C2012-017 10151 DEERWOOD PARK BLVD. PROJECT OVERVIEW AF BLDG. 300, SUITE 300 OKALOOSA ISLAND REEF SHEET 2 of 6 JACKSONVILLE, FL 32256 OKALOOSA COUNTY, FLORIDA DATE CERTIFICATE OF AUTHORIZATION # 4815 AUG 2012 MATTHEW TRAMMELL P.E.# 69244 DATE PRELIMINARY DRAWINGS: THESE DRAWINGS ARE NOT IN FINAL FORM, BUT ARE BEING TRANSMITTED FOR AGENCY REVIEW.  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Elliot Kampert SUBJECT: Coordination/Operator Contract DEPARTMENT: Growth Management BCC DISTRICT: All On June 4, 2002, the Board voted to assume designation as the County’s Community Transportation Coordinator (CTC) and to serve the transportation disadvantaged population in Okaloosa County, pursuant to Chapter 427, F.S. Attached for the Board’s review and approval is a renewal of a operator contract with Caring Hearts Pediatric Extended Care Center for provision of transportation services pursuant to Rule 41-2.011 F.A.C. which requires the CTC to enter into a contract with a transportation operator to provide service when cost effective and efficient. Okaloosa County Transit will collect and maintain all required agency/operator reports and certifications for the County. The standard coordination/operator contracts specify the duties of the agency/operator including provision of services, reporting requirements, audit and record keeping, safety and insurance. In addition, a service description for each agency/operator is listed in Attachment 1 of the attached contracts. Caring Hearts Pediatric Extended Care Center provides paratransit service for agency clients and receives Medicaid reimbursement through OCT. The reimbursement is paid out of the County’s monthly Medicaid allocation for transportation. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 745  inThTV ?LAS CONTRACT & LEASE INTERNAL COORDINATION SHEET Contract/Lease Number: Tracking Number: 7 Contractor/Lessee Name: C) 9-tJ&, /, ran ftud: Purpose7icVOQt Date/Term: -q/3/1 1. GREATER THAN $50,000 Amount: c2-),42&_ ,qg,nto7' _4\£V?C1'LhJ I 2. GREATER THAN $25,000 Department: 3. El $25,000 OR LESS Dept. Monitor Name: /_a4-}zzJ In) Document has been reviewed and includes any attachments or exhibits. Purchasing Review Procurement req irem e Date:________________________ Prectoresigne? e Risk Management Review Approved Date: anaêr or desi County Attorney Review App oved as writ t- x Date: 9 Following Okaloosa County approval: Contracts & Grants Document has been received: Date: Contracts & Grants Manager Packet Pg. 746  Effective: 04/03/13 to 4/03/16 STATE OF FLORIDA COMMISSION FOR THE TRANSPORTATION DISADVANTAGED STANDARD COORDINATION/OPERATOR CONTRACT This CONTRACT is entered into between OIrnloosa County, designated as the COMMUNITY TRANSPORTATION COORDINATOR pursuant to Chapter 427, F.S., to serve the transportation disadvantaged fOi' the community that includes the entire area of Olrnloosa county(ies), and hereinafter referred to as the "Coordinator" and Caring Hearts Pediatric Extended Care, hereinafter referred to as the "Agency/Operator". The terms and conditions of this Contract are effective April 3, 2013 and will continue through April 3, 2016. WHEREAS, the Coordinator is required, under Rule 41-2.011, F.A.C., when cost effective and efficient, to enter into contract with a transportation Agency/Operator to provide transportation services; and WHEREAS, transportation disadvantaged funds includes any local government, state or federal funds that are for the transportation of transportation disadvantaged; and WHEREAS, the Coordinator desires to contract with the Agency/Operator for the provision of transportation services for the transportation disadvantaged; and WHEREAS, the Coordinator believes it to be in the public interest to provide such transportation services through the Agency/Operator for the residents of the service area who are clients of the Agency/Operator; and WHEREAS, the Agency/Operator will provide the Coordinator the opportunity to develop a proposal for any new transportation services needed; and WHEREAS, the Agency/Operator, in an effort to coordinate available resources, will make available transportation services to the Coordinator. WHEREAS, this Contract allows for the provisions of transportation services be provided by the Agency/Operator, in accordance with Chapter 427, F.S., Rule 41-2, F.A.C., and the most cllnent Community Transportation Coordinator policies. SIAmla rd CoordluRlfon/OJlcrntur Conll'flct Form · July 1997 101'10 Packet Pg. 747 NOW, THEREFORE, in consideration of the mutual covenants, promises and representations herein, the parties agree as follows: THE AGENCY/OPERATOR SHALL: A. Provide services and vehicles according to the conditions specified in Attachment 1. B. Coordinate available resources and make available transportation services to the Coordinator. Such services shall be provided in accordance with Attachment I. C. Quarterly (every three (3) months), submit to the Coordinator, or designated representative, a Quarterly Year to Date Operating Report (from the Annual Operating Report) detailing demographic, operational and financial data regarding coordination activities in the designated service area. The report shall be prepared on forms provided by the Commission for the Transportation Disadvantaged, hereinafter Commission, and according to the instructions for the fOlliS. These reports are due no later than the 10th each preceding quarter: April 10th , July lOth, October 10th and Jan 10th • D. Comply with audit and record keeping requirements by: 1. Utilizing the Commission recognized Chart of Accounts defined in the Transportation Accounting Consortium Model Uniform Accounting System for Rural and Specialized Transportation Providers (uniform accounting system) for all transp0l1ation-disadvantaged accounting and reporting purposes. Agencies/Operators with existing and equivalent accounting systems are not required to adopt the ChaJ1 of Accounts in lieu of their existing Chat1 of Accounts but shall prepare all reports, invoices, and fiscal documents relating to the transportation disadvantaged functions and activities using the chart of accounts and accounting definitions as outlined in the above referenced manual. 2. Maintaining and filing with the Coordinator such progress, fiscal, inventory and other reports as the Coordinator may require during the period ofthis contract. 3. By reserving to the Coordinator, the right to conduct finance and compliance audits at any time. Such audits conducted by the Coordinator will be at the expense of the Coordinator. E. Retain all financial records, supporting documents, statistical records, and any other documents pertinent to this Agreement for a period of five (5) years after S{ltndard Coordln;\tiull.lOpcrator Co.lrllci Itorm · July 1997 20f10 Packet Pg. 748  termination of this Agreement. If an audit has been initiated and audit findings have not been resolved at the end of the five (5) years, the records shall be retained until resolution of the audit findings. The Agency/Operator shall assure that these records shall be subject to inspection, review, or audit at all reasonable times by persons duly authorized by the Coordinator or Commission or this Agreement. The Commission and the Coordinator shall have full access to and the right to examine any ofthe records and documents during the retention period. F. Comply with Safety Requirements by: 1. Complying with Section 341.061, F.S ., and Rule 14·90, F.A.C., concerning System Safety or complying with Chapter 234.051, F.S., regarding school bus safety requirements for those services provided through a school board; 2. Assuring compliance with local, state, and federal laws, and Commission policies relating to drug testing, and; 3. Complying with Coordinator's System Safety Program Plan (SSPP) for designated service area. G. Comply with Commission insurance requirements by maintaining at least minimum liability insurance coverage in the amount of $1 ,000,000 for anyone person and $1,000,000 per occurrence at all times during the existence ofthis Contract. Upon the execution ofthis Contract, the Agency/Operator shall add the Coordinator as an additional named insured to all insurance policies covering vehicles transporting the transportation disadvantaged. In the event of any cancellation or changes in the limits of liability in the insurance policy, the insurance agent or broker shall notify the Coordinator. The Agency/Operator shall furnish the Coordinator written verification ofthe existence of such insurance coverage prior to the execution of this Contract. School board vehicle insurance coverage shall be in accordance with Section 234.03, F.S. and 234.211, F.S. Insurance coverage in excess of$1 million per occurrence must be approved by the Coordinator andlor the local Coordinating Board before incl usion in this contract or in the justification of rates and fare structures, s. 41 ·2.006(1), FAC. H. Safeguard information by not using or disclosing any information concerning a user of services under this Agreement for any purpose not in contormity with the local, state and federal regulations, including but not limited to 45 CFR, Part 205 .50, Except upon order of a court of competent jurisdiction, written consent of the recipient, or his/her responsible parent or guardian when authorized by law. I. Protect Civil Rights by: S'"nd"rd Coordlnntlon/Opera tor Contrllci )"orm - July J991 30CI0 Packet Pg. 749  1. Complying with Title VI ofthe Civil Rights Act of 1964 and Section 504 of the Rehabilitation Act of 1973, as amended. The Agency/Operator gives this assurance in consideration of and for the purpose of obtaining federal grants, loans, contracts (except contracts of insurance or guaranty), property, discounts, or other federal financial assistance to programs or activities receiving or benefiting from federal financial assistance and agreeing to complete a Civil Rights Compliance Questionnaire if so required by the Coordinator. Agency/Operator shall also assure compliance with: a. Title VI of the Civil Rights Act of 1964, as amended, 42 U.S.C. 2000d et seq., which prohibits discrimination on the basis ofrace, color, or national origin in programs and activities receiving or benefiting from federal financial assistance. b. Section 504 of the Rehabilitation Act of 1973, as amended, 29 U.S.C. 794, which prohibits discrimination on the basis of disability in programs and activities receiving or benefiting from federal financial assistance. c. Title IX of the Education Amendments of 1972, as amended, 20 U.S.C. 1681 et seq., which prohibits discrimination on the basis of sex in education programs and activities receiving or benefiting from federal financial assistance. d. The Age Discrimination Act of 1975, as amended, 42 U.S.C. 6101 et seq., which prohibits discrimination on the basis of age in programs or activities receiving or benefiting from federal financial assistance. e. The Omnibus Budget Reconciliation Act of 1981, P.L. 97-35, which prohibits discrimination on the basis of sex and religion in programs and activities receiving or benefiting from federal financial assistance. f. All regulations, guidelines, and standards lawfully adopted under the above statutes. g. The Americans with Disabilities Act of 1990, as it may be amended from time to time. 2. Agreeing that compliance with this assurance constitutes a condition of continued receipt of or benefit from federal financial assistance, and that it is binding upon the Agency/Operator, its successors, subcontractors, transferees, and assignees for the period during which such assistance is S!llnrilltd Coordln l thJl\/Ojlerator Conlrlld Form · July 1997 4 of 10 Packet Pg. 750  provided. Assuring that operators, subcontractors, sub grantees, or others with whom the Coordinator ananges to provide services 01' benefits to participants or employees in connection with any of its programs and activities are not discriminating against those paJticipants or employees in violation ofthe above statutes, regulations, guidelines, and standards. In the event of failure to comply, the Agency/Operator agrees that the Coordinator may, at its discretion, seek a court order requiring compliance with the terms of this assurance or seek other appropriate judicial or administrative relief, to include assistance being terminated and further assistance being denied. J. Agency/Operator's obligation to indemnify, defend, and pay for the defense or at the Coordinator's option, to participate and associate with the Coordinator in the defense and trail of any claim and any related settlement negotiations, shall be triggered by the Coordinator's notice of claim for indemnification to the Agency/Operator. Agency/Operator's inability to evaluate liability or its evaluation ofliability shall not excuse the Agency/Operator's duty to defend and indemnify within seven days after such notice by the Coordinator is given by registered mail. Only an adjudication or judgement after the highest appeal is exhausted specifically finding the Coordinator solely negligent shall excuse performance ofthis provision by the Agency/Operator. Agency/Operator shall pay al\ costs and fees related to this obligation and its enforcement by the Coordinator. The Coordinator's failure to notify Agency/Operator of a claim shall not release Agency/Operator of the above duty to defend. K Comply with all standards and perfOlmance requirements of the: I. The Commission for the Transportation Disadvantaged (Attachment II); 2. The local Coordinating Board approved Transportation Disadvantaged Service Plan and; 3. Any entities that purchase service. StllldAr,t Coordlnntlon/Operator Contract form· July 1997 Sofl0 Packet Pg. 751  Failure to meet the requirements or obligations set forth in this Contract, and performance requirements established and monitored by the Coordinating Board in the approved Transportation Disadvantaged Service Plan shall be due cause for non-payment of reimbursement invoices until such deficiencies have been addressed or corrected to the satisfaction of the Coordinator. L. Provide Corrective Action. A corrective action notice is a written notice to the Agency/Operator that the Agency/Operator is in breach of celtain provisions of this Contract and that correction is required. Any corrective action notice will specify a reasonable time for corrective action to be completed. The Agency/Operator agrees to implement the Corrective Action specified in the notice and provide written documentation to substantiate the implementation of the Corrective Action. M. All contracts, subcontracts, coordination contracts will be reviewed annually by the Coordinator and local Coordinating Board for conformance with the requirements of this Contract. N. Return to the Coordinator any overpayments due to unearned funds or funds disallowed pursuant to the terms of this Contract that were disbursed to the Agency/Operator by the Coordinator. The Agency/Operator shall return any overpayment within thirty (30) calendar days after either discovery by the Agency/Operator, or notification of the Agency/Operator by the Coordinator or entity purchasing transportation, whichever is earlier. In the event that the Coordinator first discovers an overpayment has been made, the Coordinator will notify the Agency/Operator by letter of such a finding. Should repayment not be made in a timely manner, the Coordinator or purchasing entity will charge interest after thilty (30) calendar days after the date of notification or discovery, or the Coordinator will deduct said amount from future invoices. O. In performing this Contract, the Agency/Operator shall not discriminate against any employee or applicant for employment because of race, age, disability, creed, color, sex or national origin. Such action shall include, but not be limited to, the following: employment upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of payor other forms of compensation; and selection for training, including apprenticeship. The Agency/Operator shall insert the foregoing provision modified only to show the particular contractual relationship in all its contracts in connection with the development of operation of the Contract, except contracts for the standard commercial supplies or raw materials, and shall require all such contractors to inselt a similar provision in subcontracts relating to the performance ofthis Contract, except subcontracts for standard commercial supplies or raw materials. The Agency/Operator shall post, in conspicuous places available to employees and SlIl.IIdllrd Coordlnation/O(ICrlltor Contrlltt .,'orln . July 1997 6oflO Packet Pg. 752  applicants for employment for Project work, notices setting forth the provisions of the nondiscrimination clause. P. By execution ofthis Contract, the Agency/Operator represents that it has not paid and, also, agrees not to pay, any bonus or commission for the purpose of obtaining an approval of its application for the financing hereunder. Funds disbursed to the Agency/Operator under this Contract shall not be expended for the purpose of lobbying the Legislature, the judicial branch, or a state agency. THE COORDINATOR SHALL: A. Recognize the Agency/Operator as described in Chapter 427, F.S., and Rule 41-2, F.A.C. B. Insure that entities with transportation disadvantaged funds will purchase transportation-disadvantaged services through the coordinated system. C. At a minimum, annually monitor the Agency/Operator for insurance, safety and reporting requirements, pursuant to Chapter 427, F.S., and Rule 41-2, F.A.C. The information contained in the Annual Operating Report must be collected, at a minimum, quarterly from the Agency/Operator. THE OPERATOR AND COORDINATOR FURTHER AGREE: A. Nothing in the Contract shall require the Coordinator to observe or enforce compliance with any provision thereof, perform any other act or do any other thing in contravention of any applicable state law. If any provision of the Contract is found by a court oflaw to violate any applicable state law, the purchasing entity will at once notifY the Coordinator in writing in order that appropriate changes and modification may be made by the Coordinator and the Agency/Operator to the end that the Agency/Operator may proceed as soon as possible with the provision of transportation services. B. If any part or provision of this Contract is held invalid, the remainder of this Contract shall be binding on the parties hereto. C. Termination Conditions: I. Termination at Will - This Contract may be terminated by either party upon no less than thirty (30) days notice, without cause. Said notice shall be delivered by certified mail, return receipt required, 01' in person with proof of delivety. Stllnlhlfd Coordlnailol\lOpcrlltor Conlrllci Ilofm - July 1997 70f10 Packet Pg. 753  2. Termination due to Lack of Designation - In the event that the Coordinator so designated by the local Coordinating Board and approved by the Commission, loses its designation, this contract is terminated immediately upon notification to the Agency/Operator. Notice shall be delivered by certified mail, return receipt requested, or in person, with proof of delivery. Notice shall be effective upon receipt. 3. Termination due to Disapproval of Memorandum of Agreement - In the event that the Commission does not accept and approve any contracted transportation rates listed within the Memorandum of Agreement, this Contract is terminated immediately upon notification to the Agency/Operator. Notice shall be delivered by certified mail, return receipt requested, or in person, with proof of delivery. Notice shall be effective upon receipt. 4. Termination due to Lack of Funds -In the event funds to finance this contract become unavailable, the Coordinator may terminate the contract with no less than twenty-four (24) hours written notice to the Agency/Operator. Notice shall be delivered by certified mail, return receipt requested, or in person, with proof of delivery. Notice shall be effective upon receipt. The Coordinator shall be the final authority as to the availability of funds. 5. Termination for Breach - Unless the Agency/Operator's breach is waived by the Coordinator in writing, the Coordinator may, by written notice to the Agency/Operator, terminate this Contract upon no less than twenty-four (24) hours notice. Notice shall be delivered by certified mail, return receipt requested, or in person with proof of delivery. Waiver by the Coordinator of breach of any provision of this Contract shall not be deemed to be a waiver of any other breach and shall not be construed to be a modification of the terms of this Contract, and shall not act as a waiver or estoppel to enforcement of any provision of this Contract. The provisions herein do not limit the Coordinator's right to remedies at law or to damages. 6. Upon receipt ofa notice oftermination of this Contract for any reason, the Agency/Operator shall cease service and prepare all final reports and documents required by the terms of this Contract. A final invoice shall be sent to the Coordinator within thirty (30) days after the termination of this Contract. D. Renegotiations or Modifications of this Contract shall only be valid when they have been reduced to writing, duly approved by the Coordinator, and signed by both parties hereto. SIMdllrd CnordlnlltionlOpcrator Conlrlu:1 (form· July 1997 8oriO Packet Pg. 754 E. Agency/Operator shall assign no portion of this Contract without the prior written consent ofthe Coordinator. F. This Contract is the entire agreement between the parties. G. Attachments I and II are an integral part of the Contract and are hereby incorporated by reference into this Contract. All subsequent attachments are of an optional nature. H. Notice and Contact: The name and address of the contract manager for the Coordinator for this Contract IS: Abra L. McGill 600 Transit Way Ft. Walton Beach, FL 32547 The representative/position of the Agency/Operator responsible for administration of the program under this contract is: Constance Irwin, RN, D.O.N, Administrator 380 Medcrest Drive Crestview, FL 32536 In the event that difierent representatives are designated by either party after execution of this Contract, notice of the name and address ofthe new representative will be rendered in writing to the other party and said notification attached to originals of this Contract. This contract and its attachments contain all the terms and conditions agreed upon by the parties hereto WITNESS WHEREOF, the parties hereto have caused these presents to be executed. AGENCY/OPERATOR: COMMUNITY TRANSPORTATION COORDINATOR Stnndard CoordInation/Operator Contrnct Form · July 1!)97 9 of 10 Packet Pg. 755 Caring Hearts Pediatric Extended Care Okaloosa County Board of County Commissioners Signature: ff6AN gi lAW 21M, Michele Wheeler Signature: __________ Charles K. Windes, Jr Ti tie :_ _ ---'V'-'i""ce"--'-P'-'l""oe"'si""d""en"''t --_ _ _ Title: _ _--"'C,.,h""ai"-'rm~an"___ __ Stnnd l nJ CoordlnailoniOllerator CuntrRct Forni· July 1997 10 of 10 Packet Pg. 756  ATTACHMENT I AGENCY/OPERATOR CONTRACT SERVICE DESCRIPTION 1. The Agency/Operator will be able to provide: Type of Service - ambulatory and non-ambulatory transportation to Okaloosa County residents for the purpose of receiving service at the Caring Hearts Pediatric Extended Care Facility in Crestview, Florida. TranspOitation under this agreement will not be provided for any other facility. 2. The Agency/Operator will be available to provide transportation Monday through Friday 5:30AM to 7:00PM, with occasional special trips on Saturdays and Sundays Days Agency/Operator will not be able to provide services: None (Holidays and other days are not available.) 3. Vehicles Agency/Operator will use to transport all passengers (Vehicle Inventory attached) 4. Vehicle/Equipment Standards As required in the Operator's System Safety Program Plan attached. 5. Driver Requirements (if any) As required in the Operator's System Safety Program Plan attached. Packet Pg. 757 6. Training As required in the Operator's System Safety Program Plan attached. 7. Agency/Operator fare structure $.1.20 per grid mile for Medicaid eligible clients less the $1.00 Co-Pay pel' trip for those client's not exempt from the Co-Pay requirements. $4.85 wheelchair load fee will apply. 8. Billing/Invoicing and Reimbursement procedure for Agency/Operator. Monthly invoice to the Coordinator, or designated representative, no later than the 10tl. of the month following the month for which transportation was provided. 9. Reporting Requirements Daily trip sheets, trip add on sheets and System Safety Program Plan annually with Safety Certification Packet Pg. 758  ATTACHMENT II The Commission for the Transportation Disadvantaged Standards and Performance Requirements Pursuant to Rule 41-2.006, Florida Administrative Code, the Community Transportation Coordinator and any Transportation Operator/Agency from whom service is purchased or aITanged by the Community Transportation Coordinator shall adhere to Commission approved standards. These standards shaH include: (a) Drug and alcohol testing for safety sensitive job positions within the coordinated system regarding pre-employment, randomization, post-accident, and reasonable suspicion as required by the Federal Highway Administration and the Federal Transit Administration; (b) An escort of a passenger and dependent children are to be transported as locally negotiated and identified in the local TranspOltation Disadvantaged Service Plan; (c) Child restraint devices shall be determined locally as to their use, responsibility, and cost of such device in the local Transportation Disadvantaged Service Plan; (d) Passenger property that can be carried by the passenger and/or driver in one trip and can be safely be stowed on the vehicle, shall be allowed to be transported with the passenger at no additional charge. Additional requirements may be negotiated for carrying and loading rider property beyond this amount. Passenger property does not include wheelchairs, cbild seats, stretchers, secured oxygen, personal assistance devices, or intravenous devices; (e) Vehicle transfer points sball provide shelter, security, and safety of passengers; (f) A local toll free phone number for complaints or grievances shaH be posted inside the vehicle. The local complaint process shall be outlined as a section in the local Transportation Disadvantaged Service Plan including, advising tbe dissatisfied person about the Commission's Ombudsman Program as a step within the process as approved by the local Coordinating Board; (g) Out of service area trips shaH be provided when determined locally and approved by the local Coordinating Board, except in instances where local ordinances prohibit sucb trips; (h) Interior of aH vehicles shaH be free from ditt, grime, oil, trash, torn upholstery, damaged or broken seats, protruding metal or other objects or materials which could soil items placed in the vebicle or provide discomfort for tbe passenger; Packet Pg. 759 (1) Billing requirements of the Community Transportation Coordinator to subcontractors shall be determined locally by the local Coordinating Board and provided in the local Transportation Disadvantaged Service Plan. All bills shall be paid within 7 calendar days to subcontractors, after receipt of said payment by the Community Transportation Coordinator, except in instances where the Community Transportation Coordinator is a non-governmental entity; (j) Passenger/trip database must be maintained or accessible by the Community Transportation Coordinator on each rider being transported within the system; (k) Adequate seating for paratransit services shall be provided to each rider and escort, child, or personal care attendant, and no more passengers than the registered passenger seating capacity shall be scheduled or transported in a vehicle at any time. For transit services provided by transit vehicles, adequate seating or standing space will be provided to each rider and escort, child, or personal care attendant, and no more passengers than the registered passenger seating or standing capacity shall be scheduled or transported in a vehicle at any time; (1) Drivers for paratransit services, including coordination contractors, shall be required to announce and identify themselves by name and company in a manner that is conducive to communications with the specific passenger, upon pickup of each rider, group ofriders, or representative, guardian, or associate of the rider, except in situations where the driver regularly transports the rider on a recutTing basis. Each driver must have photo identification that is in view of the passenger. Name patches, inscriptions or badges that affix to driver clothing are acceptable. For transit services, the driver photo identification shall be in a conspicuous location in the vehicle; (m) The paratransit driver shall provide the passenger with boarding assistance, if necessary or requested, to the seating portion of the vehicle. The boarding assistance shall include opening the vehicle door, fastening the seat belt or utilization of wheel chair securement devices, storage of mobility assistance devices, and closing the vehicle door. In certain paratransit service categories, the driver may also be required to open and close doors to buildings, except in situations in which assistance in opening/closing building doors would not be safe for passengers remaining on the vehicle. Assisted access must be in a dignified manner. Drivers may not assist wheelchair up or down more than one step, unless it can be performed safely as determined by the passenger, guardian, and driver; (n) All vehicles ordered or put into service after adoption of this section of the Rule, and providing service within the coordinated system, shall be equipped with two- way communications in good working order and be audible to the driver at all times to the base. Packet Pg. 760  LIST OF OPTIONAL ADDITIONAL ATTACHMENTS Coordinator's Memorandum of Agreement, including Transportation Disadvantaged Service Plan (Attachment III) Coordinator's and Local Coordinating Board's Grievance Procedures (Attachment IV) Coordinator's Safety System Plan (Attachment V) Annual Operating Report Instructions/Forms (Attachment VI) Any Entities Purchasing Transportation's Standards (Attachment VII) Any Reporting Forms (Quarterly Reports to Local Coordinating Board or Coordinator (Attachment VIII) Any Billing/Invoicing FOlms (Attachment IX) Current Coordinator Policies (Attachment X) Packet Pg. 761  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Elliot Kampert SUBJECT: Willow Creek Phase I Re-plat DEPARTMENT: Growth Management BCC DISTRICT: 1 ISSUE: Willow Creek Plantation Phase I Re- Plat, a proposed re-plat of lot 10, Block “A” (as recorded in the Public Records of Okaloosa County, BK 25, PG 34) as submitted by Innerlight Engineering Corporation on behalf of Willow Creek Plantation of Crestview, LLC. The proposed re-plat consists of converting a platted residential lot to an amenity area due to the availability of existing infrastructure. Pursuant to 177.051, (2) FS…”any change in a plat shall be labeled a re-plat. The property is zoned Airport Compatibility .5 (AC-.5) and has a FLUM designation of Airport Compatibility .5 (AC-.5). The subject lot contains 0.68 acres more or less. The subject lot is located on Wayne Rogers Road, Crestview. PUBLIC COMMENT/OPPOSITION: No comments to date. MILITARY REPRESENTATIVE: No comments to date. STAFF FINDINGS AND RECOMMENDATIONS: Notwithstanding any other facts that may be presented to the contrary, the requested conversion of a residential lot to an amenity area is consistent with the Comprehensive Plan and Land Development Code. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 762 Packet Pg. 763 Packet Pg. 764  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Elliot Kampert SUBJECT: Courtyard - Okaloosa Island DEPARTMENT: Growth Management BCC DISTRICT: 2 STATEMENT OF ISSUE: To review the site development plans for Courtyard - Okaloosa Island, a proposed 85 room, 4 story motel encompassing 49,806 square feet located at the southwest corner of Santa Rosa Boulevard and Second Beach Freeway in Okaloosa Island, Fort Walton Beach. The property is currently zoned B 2 (Apartment, Hotel Court & Hotel Areas) with the Future Land Use Map (FLUM) designation of OI (Okaloosa Island). Property contains 1.18 acres more or less. BACKGROUND: As provided by Chapter 75-456 of the Laws of Florida, the Board of County Commissioners has final approval authority for any development on Okaloosa Island governed by the Okaloosa Island Covenants. Section 3.01 of the Land Development Code requires that any proposed development be reviewed by the Okaloosa Island Leaseholders Association Architectural Review Committee (ARC) which must make a recommendation to the Board of County Commissioners. The proposed motel was reviewed by the ARC on March 6, 2014 which found it to be in compliance with the Okaloosa Island Protective Covenants and Restrictions. Staff has reviewed the proposed the proposed 85 room, 49,806 square foot, 4 story motel and found that it is consistent with the Okaloosa County Comprehensive Plan and Land Development Code, and concurs with the ARC's determination regarding the Okaloosa Island Protective Covenants and Restrictions. OPTIONS: Approve or Disapprove RECOMMENDATIONS: Staff recommends that the Board of County Commissioners approve the proposed development as presented and to allow staff to post the Notice of Intent to Issue a development Order sign on the project site, and to issue the development order. RECOMMENDED BY: Packet Pg. 765 APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 766  ATTACHMENT - A 00-2S-24-2185-0004-0182/0185/0208/0209 OCEAN CITY EGLIN WRIGHT SHALIMAR HURLBURT FORT FIELD MARY WALTON ESTHER BEACH SUBJECT PROPERTY Legend : Roads Location Map Packet Pg. 767  ATTACHMENT - B 00-2S-24-2185-0004-0182/0185/0208/0209 SANTA RO S A B LVD SUBJECT PROPERTY ABALO NE CT Legend Parcel Lines Aerial Photo : Packet Pg. 768  ATTACHMENT - C 00-2S-24-2185-0004-0182/0185/0208/0209 R DR COBIA AVE CAVIA VACANT SINGLE FAMILY SINGLE FAMILY 0.309093 0.20606 0.396773 SINGLE FAMILY 0.20262 SANTA RO SA BLV D HOTELS AND MOTELS 0.39117 COUNTY ABALON 2.055248 E CT SINGLE FAMILY 0.325184 HEADER RECORD 2.891033 HEADER RECORD 0.702124 Existing Land Use Map : Packet Pg. 769  ATTACHMENT - D 00-2S-24-2185-0004-0182/0185/0208/0209 SANTA RO SA BLV D SUBJECT PROPERTY ABALON E CT ISLAN WATER Legend ISLAN Future Land Use Map : Packet Pg. 770  ATTACHMENT - E 00-2S-24-2185-0004-0182/0185/0208/0209 DR COBIA CAVIAR AVE B-1 SANTA RO SA BLV D SUBJECT PROPERTY ABALON E CT B-2 WATER Legend B-2 B-1 Zoning Map : Packet Pg. 771 Packet Pg. 772 Packet Pg. 773 Packet Pg. 774  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Ed Schroeder SUBJECT: Extension to Western Destin Beach Restoration Interlocal DEPARTMENT: Tourist Development Department BCC DISTRICT: ALL STATEMENT OF ISSUE: The Western Destin Beach Restoration Interlocal Agreement is set to expire June 1, 2014. Staff requests the Board extend the expiration date to December 31, 2016. BACKGROUND: The actual construction of the Western Destin Beach Restoration Project has been completed but there continues to be additional post construction monitoring that is required as a condition of the permit. The monitoring will not exceed the remaining balance of funds set aside for the construction of the project. OPTIONS: Approve/Disapprove RECOMMENDATIONS: Approve the extension of the Western Destin Beach Restoration Interlocal C12-1950-TDC from June 1, 2014 to December 31, 2016 and authorize the Chairman to sign. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 775  VEo 4Pi0 CONTRACT & LEASE INTERNAL COORDINATION SHEET Contract/Lease Number: Cl 2-1 950-TDC Tracking Number:q-3 4— Contractor/ Lessee Name: City of Destin Grant Funded: YESI.Nd Purpose: Extension of expiration date Expires December 31st, 2016 Date/Term: 1. ElI GREATER THAN $50,000 Not to exceed $8,000,000 Amount: 2. GREATER THAN $25,000 Department: TDD 3 E $25,000 OR LESS Dept. Monitor Name: Ed Schroeder Document has been reviewed and includes any attachments or exhibits. Purchasing Review roc t requnte rt: ..Pch 'n 6 Direc d si'nee Risk Management Review Approv,d assyyt: *tt Risk designee 7 Date:_______ County Attorney Review ADroved as writt : %-- Date: q—(LL,, Lj unty Akt Following Okaloosa County approval: Contracts & Grants Document has been received: Date: Contracts & Grants Manager Packet Pg. 776 Packet Pg. 777 Packet Pg. 778 Packet Pg. 779 Packet Pg. 780 Packet Pg. 781 Packet Pg. 782 Packet Pg. 783 Packet Pg. 784 Packet Pg. 785 Packet Pg. 786 Packet Pg. 787 Packet Pg. 788 Packet Pg. 789 Packet Pg. 790  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Ed Schroeder SUBJECT: Film Commission Presentation DEPARTMENT: Tourist Development Department BCC DISTRICT: STATEMENT OF ISSUE: The Board of County Commissioners has requested a presentation by the Film Commission. BACKGROUND: The County contracts with Gail Morgan, Emerald Coast Film Commission, to market our local area to production and entertainment companies. OPTIONS: N/A - for informational purposes only. RECOMMENDATIONS: No action requested; for informational purposes only. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 791  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Ed Schroeder SUBJECT: Visit Florida InState Magazine Advertisement DEPARTMENT: Tourist Development Department BCC DISTRICT: STATEMENT OF ISSUE: The In House Strategic Marketing Plan (SMP) adopted by BCC on March 18, 2014 includes a category for Last Minute Deals in the amount of $131,248. These funds are available for appropriation if a time-sensitive opportunity would be lost due to the timing of regular TDC and BCC meetings required to obtain advance approval. BACKGROUND: The TDD Director was notified on April 24 of the availability of a full-page ad in the Summer 2014 edition of VISIT FLORIDA InState. The insertion order deadline was May 2. VISIT FLORIDA is the Official Florida Tourism Industry Marketing Corporation and VISIT FLORIDA Magazine is the Official Visitors Guide for Florida travel planning. The InState publication targets Floridians looking to travel within the state. A purchase order was issued in accordance with County purchasing policies. BCC is hereby being informed and TDC will be informed at its May 29 regular meeting. OPTIONS: N/A - for information only RECOMMENDATION: For informational purposes only; no action required. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 792 Packet Pg. 793  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: Animal Control Contract for FY 2015 DEPARTMENT: Public Safety BCC DISTRICT: All STATEMENT OF ISSUE: Approval of the contract renewal for Animal Control Services with the Panhandle Animal Welfare Society, Inc., for Fiscal Year 2015 for a total cost of $479,980.00. BACKGROUND: Okaloosa County contracts with the Panhandle Animal Welfare Society, Inc., to provide animal control services within the unincorporated areas of Okaloosa County. The proposed amount of the annual contract renewal is $479,980.00 for Fiscal Year 2015, which is disbursed in quarterly payments of $119,995.00. The contract renewal includes an increase of $13,980.00 for continuing education of officers to maintain their certifications and replacement of equipment. The level of service provided will be the same as the current year’s contract. OPTIONS: Approve the contract, renegotiate the contract, or request bids from other agencies. RECOMMENDATIONS: The department recommends approval of the contract renewal. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 794 Packet Pg. 795 Packet Pg. 796 Packet Pg. 797 Packet Pg. 798 Packet Pg. 799  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Dino J. Villani SUBJECT: Purchase Emergency Police Dispatch Protocol System DEPARTMENT: Public Safety BCC DISTRICT: All STATEMENT OF ISSUE: To purchase and implement Emergency Police Dispatch call taking protocol system for the Okaloosa County Sheriff’s Office 911 operation. BACKGROUND: Currently, the County Warning Point utilizes the Emergency Medical and Emergency Fire Dispatch protocol systems from Priority Dispatch, Corp., for emergency and non emergency call taking. The protocol system was created to effectively deliver the best possible level of public care while protecting dispatchers and their centers from liability. The Police Priority Dispatch protocol system is designed to improve the speed and accuracy of the caller interrogation process. The protocols cover most if not all of the possible scenarios encountered in law enforcement call centers and provide a measurable and equalized standard of law enforcement practice for the public for each call taken. The project includes software, backup flip card chart sets, project implementation and course certification for the Sheriff’s Office communications center employees. The protocol system will allow the Sheriff’s Office to process emergency and non emergency calls in a standardized process, providing better customer service and life safety instructions. The cost for the project is $112,656.00. The project would be paid with $60,000 of FY14 budgeted 911 funds and $52,656 of reserve 911 funds. OPTIONS: Approve/Disapprove. RECOMMENDATION: Approve the purchase and implementation of the Emergency Police Dispatch protocol system. RECOMMENDED BY: Packet Pg. 800 APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 801 Packet Pg. 802 Packet Pg. 803 Packet Pg. 804  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Jeff Littrell SUBJECT: Future Water Supply Land Acquisition Program Update DEPARTMENT: Water and Sewer BCC DISTRICT: All STATEMENT OF ISSUE: Staff is providing an overall update to the Board on land acquisition related to future water supply planning. OCWS is requesting approval from by the Board to move forward with the Shoal River Reservoir Land Acquisition with funds freed up by grant funding that has been obtained. BACKGROUND: On December 3, 2013, staff provided the Board with an overall update on future water supply planning efforts and obtained permission to move forward with the Shoal River Buffer Land Acquisition. That Agenda Request, along with supporting documentation is attached, for your review. Since that approval, staff has been hard at work with the many moving parts. Progress has been made on the following: 1) identified the parcels to purchase, 2) obtained an asking price from the seller, 3) coordinated with other agencies such as Eglin AFB, AFCEC (Air Force Civil Engineering Center), Northwest Florida Water Management District (NWFWMD) , and Enterprise Florida Inc., 4) retained attorney (Nabors, Giblin, Nickerson) and worked closely with them on items like the Restrictive Use Easement, and 5) secured agreements for fourth phases of REPI (Readiness & Environmental Protection Integration) and DIG (Defense Infrastructure Grants). We are now moving forward with surveying (with in-house crews), environmental work, and appraisals. Because the actual purchase acreage is dependent upon available funding, appraised values, and negotiations, we are having more land appraised than what may actually be purchased. Upon completion of the initial appraisal, staff will negotiate with the property owner and bring back a contract to the BCC for approval and execution. If/when we are under contract, the appraisal would be updated to the exact acreage we intend to close on. At the May 5, 2014 meeting, the Board approved a Grant Agreement with the NWFWMD for the Mid-County Elevated Tank #4 project, related to water supply in our Mid County Service Area (unincorporated Crestview). Because of this grant funding, there is now additional money available in the Water & Sewer 5-year Capital Improvement Plan (CIP). Staff is recommending to utilize the funding freed up by the grant, along with other DIG funding, to move forward with the Shoal River Reservoir Land Acquisition. Please note that the above-mentioned update in the first two paragraphs is for the Shoal River Buffer Land Acquisition; where the primary purpose is buffering for the Eglin Mission and the secondary purpose is watershed protection and potential wetlands mitigation. On this proposed Shoal River Reservoir Land Acquisition, the primary purpose is future water supply, and a secondary purpose is buffering. The Shoal River Reservoir Land Acquisition involves purchasing land from multiple property owners for the future construction of a reservoir, surface water treatment plant, roadways, pipelines, and other Packet Pg. 805 related infrastructure. Nabors, Giblin, Nickerson has been retained as the real estate attorney to manage the closing and ensure all local and state requirements are met. The following are the recommended steps to move forward with the Shoal River Reservoir Land Acquisition: - Obtain asking prices from property owners. - Obtain land appraisals in conformance with State Statutes. If the purchase price is expected to be over $500,000 for a parcel, 2 appraisals are required per F.S. 125.355. - Staff to negotiate with property owners and sign Option contracts (each contract will be brought back to BCC for approval & execution). - During contract period, survey would continue along with title work, title insurance, addressing any liens and encumbrances such as utility easements and mineral rights, and other due diligence. - Coordinate funding from REPI and DIG grants and OCWS sources. - Closing. Note that property purchased under the Shoal River Buffer Land Acquisition project will have a Restrictive Use Easement on it, but land purchased under this Shoal River Reservoir Land Acquisition project will not have a Restrictive Use Easement on it. - Staff will also negotiate with multiple property owners for easements related to utilities or access. If any payments are required for these easements, they will be brought to the BCC individually for approval. In moving forward with this process, OCWS assumes the financial risk of any expenses, should we not close on the property. These expenses are minimal compared to the benefit and value of the land to be purchased. Regarding the multiple property owners, staff may bring multiple "Option to Purchase Real Estate" contracts to the BCC for approval and execution at different times; however, we plan to close on all properties on the same day. Please note that, because we may be beginning the early stages of negotiating a land purchase, the dollars, acreage, and property owner names are not being publicly disclosed at this time. This process is very similar to the process the State goes through when purchasing land. OPTIONS: Approve or deny. RECOMMENDATIONS: OCWS staff recommends BCC approval for OCWS staff to move forward with the Shoal River Reservoir Land Acquisition activities as outlined above. RECOMMENDED BY: Packet Pg. 806 APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 807  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: December 3, 2013 TO: Honorable Chairman and Members of the Board FROM: Jeff Littrell SUBJECT: Future Water Supply Planning Update DEPARTMENT: Water and Sewer BCC DISTRICT: All STATEMENT OF ISSUE: Staff is providing an overall update to the Board on future water supply planning efforts. OCWS is requesting approval from by the Board to move forward with the Shoal River Buffer Land Acquisition with grant funding that has been obtained. BACKGROUND: See attached files: "OCWS Future Water Supply Update" - explains the need, background/history, and next steps. "OCWS Future Water Supply Plan (Map)" - depicts the current plan/strategy, after years of planning. This map shows potential locations for the following infrastructure: surface water treatment plant, off-line reservoir, river intake structure, raw water pumping station, transmission lines, roads, and the Gulf Power transmission line relocation. "2010 Implementation Plan (Updated")" - the BCC approved this plan in February 2010. At the time, it was an unfunded road map. Since then, we have entered into as many partnerships as possible - Northwest Florida Water Management District (NWFWMD), Eglin Air Force Base, and the U.S. Army Corps of Engineers - to accomplish many items on this Implementation Plan. Items highlighted in green are completed, and items highlighted in yellow are underway. "REPI Map" - this is Exhibit B of the REPI agreements (Readiness & Environmental Protection Initiative) and functions as a road map for the Shoal River Buffer Land Acquisition. The following is the recommended steps to move forward with the Shoal River Buffer Land Acquisition: - Retain real estate attorney to manage closing and ensure all local, state, and federal requirements are met. - Obtain asking price and questionnaire form from property owner. - Conduct 2 land appraisals in conformance with State Statutes & Air Force standards. - Negotiate with property owner and sign contract (will bring back to BCC for approval & execution). - During contract period (6-12 months): - Survey - Environmental Baseline Survey - Title work & insurance - Restrictive Use Easement reviewed & signed by Air Force - Obtain money from Eglin AFB for the land purchase and allowable transaction costs. Packet Pg. 808 - Closing - Okaloosa County would now own the property. - Restrictive Use Easement to the Air Force would be executed by Okaloosa County. All land acquisition costs and closing costs are reimbursable through the REPI and DIG grants. However, in moving forward with this process, OCWS assumes the financial risk of any expenses, should we not close on the property. These expenses are minimal compared to the benefit and value of the land to be purchased. Please note that, because we may be beginning the early stages of negotiating a land purchase, the dollars and acreage are not being publicly disclosed at this time. This process is very similar to the same process the State goes through when purchasing land. In putting together the above- mentioned steps, staff consulted with the state, Purchasing, Eglin, and the Clerk of Court. OPTIONS: Approve or deny. RECOMMENDATIONS: OCWS staff recommends BCC approval for OCWS staff to move forward with the Shoal River Buffer Land Acquisition with grant funding that has been obtained. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 809  I-10 Rest Area § ¦ ¨ 10 HAISEAL TIMBER CO (119 Acres) LEXINGTON r i ve PARKE II S h oa l R (136 Acres) LEXINGTON PARKE II Existing 30" Water Main 2 Acres LEXINGTON 42" Raw Water PARKE II Proposed NWFWMD Liv 24" Potable Water HAISEAL Pump Station Intake (228 Acres) Property Purchase eO TIMBER CO Existing Main (to Distribution) (243 Acres) ak 16" Water Main Ch urc hR oad $ Proposed Water Airman's Memorial Treatment Plant Raw Water $ $ 30' Wide Pump Station Utility Easement 24" Raw Water Main (to WTP) HART MAX LEXINGTON ET AL PARKE II 24" Raw Water Main LEXINGTON (to Reservoir) PARKE II HAISEAL TIMBER CO Reservoir Pump Station HAISEAL TIMBER CO HAISEAL HAISEAL U S GOVT TIMBER CO TIMBER CO Proposed WTP and Reservoir HAISEAL r eek Access Right-of-Way TIMBER CO Titi C HAISEAL TIMBER CO Extension of Little Silver Road Asphalt Little Silver Road Packet Pg. 810 $ Legend Existing Okaloosa County Property (353 Acres) Proposed Gulf Power Transmission Line Relocation Easement Preliminary Okaloosa County Reservoir and Potential Property Acquisition Outside of Proposed NWFWMD Parcel 0 500 1,000 2,000 Water Treatment Plant Watershed Boundary Feet May 25, 2011 GNV C:\GIS\360358.A0 OKALOOSA WTR\OKALOOSA_PRIMARY_SITE.MXD 05/11/2011 IMPLEMENTATION PLAN PRELIMINARY BUDGET AND SCHEDULE FY 2010 FY 2011 FY 2012 FY 2013 Total Proof-of-Concept, Land Acquisition and Permitting 1 1 1. Preliminary Geotechnical Analysis $15,000 /$65,000 $15,000 /$65,000 1 1 2. Safe Yield Analysis on Shoal River and Unnamed Tributary $50,000 $50,000 1 1 3. Phase I Environmental Site Assessment $8,000 $8,000 4. Site Evaluation – WTP, Raw Water Intake, RWPS and Conveyance Sites $75,000 $75,000 1 1 5. Land Appraisal – WTP, Raw Water Intake, RWPS and Storage Reservoir $20,000 $20,000 1,2 1,2 1,2 6. Land Acquisition – WTP, Raw Water Intake, RWPS and Storage Reservoir $TBD $TBD $TBD 1 1 7. Wetland Investigation and Permitting $75,000 $50,000 $75,000 /$50,000 1 1 8. Cultural Resource Investigation $35,000 $35,000 Preliminary Evaluation of WTP, Raw Water Intake, RWPS, Conveyance, and Storage Reservoir 1. Shoal River Water Quality Characterization and Treatment Alternative Evaluation $50,000 $50,000 2. Bench-Scale Treatability Study $100,000 $100,000 3. Pilot-Testing of Treatment Alternatives (if needed) $50,000 $75,000 $125,000 4. Treatment Alternative Selection $30,000 $30,000 5. WTP, Raw Water Intake, RWPS, Storage Reservoir and Conveyance System Facility $300,000 $300,000 Plan Existing System Evaluation 1. Hydraulic Model and Evaluation of Distribution System $150,000 $25,000 $175,000 2. Water Demand Projections $40,000 $40,000 2 2 2 Total Cost (NWFWMD) $203,000+TBD $TBD $0 $0 $203,000+TBD Total Cost (OCWS) $140,000 $140,000 $300,000 $430,000 $1,010,000 Activities highlighted in Green are complete. Activities highlighted in Yellow are underway. Packet Pg. 811  EXHIBIT B T03NR23W21 T03NR23W22 T03NR23W23 T03NR23W24 T03NR22W19 T03NR23W27 T03NR23W28 T03NR23W26 T03NR23W25 T03NR22W30 T03NR23W33 T03NR23W34 T03NR23W35 T03NR23W36 T03NR22W31 T02NR23W04 T02NR23W03 T02NR23W02 T02NR23W01 T02NR22W06 T02NR23W09 T02NR23W10 T02NR23W11 T02NR23W12 T02NR22W07 T02NR23W16 T02NR23W15 T02NR23W14 T02NR23W13 T02NR22W18 SHOAL RIVER PROJECT AREA ¯ HAISEAL TIMBER CO PARCELS OKALOOSA COUNTY PARCELS DUKE FIELD APPROACH DEPARTURE CLEARANCE SURFACE SECTIONS PROPERTY APPRAISER PARCELS 5000 2500 0 5000 10000 MILITARY INSTALLATION BOUNDARY Packet Pg. 812 Feet  Okaloosa County Future Water Supply Planning Update Water The Need Background and History Next Steps Subtitle placed here November 2013 Packet Pg. 813 The Need  Water customers in Okaloosa County are served by OCWS and several other utilities  Drinking water supply relies on wells in the Floridan Aquifer  Water levels in the Floridan Aquifer have been declining since the 1950’s and further declines are not sustainable Packet Pg. 814 The Need  Okaloosa County will need additional water sources to: – Sustain County’s economic and population growth – Protect Floridan Aquifer and prevent saltwater intrusion – Provide for conjunctive use Packet Pg. 815 Planning Background and History  Early 1990’s – Northwest Florida Water Management District and OCWS began to foresee the need for future water supply planning  Mid 1990’s thru Mid 2000’s – Initial studies were performed by various groups (USACE and NWFWMD primarily) on potential sources throughout Okaloosa County.  1999 – Creation of the Regional Utility Authority (RUA) Packet Pg. 816 Planning Background and History  2004 – Construction of a 21-mile 30-inch pipeline with two 1-MG tanks thru Eglin AFB.  2006 – Northwest Florida Water Management District contracted with PBS&J to study potential water supply alternatives.  2006 – Purchased 353 acres along the Shoal River for future utilization.  2008 – OCWS formed a Future Water Supply Committee consisting of local concerned citizens. Packet Pg. 817 Planning Background and History  2008 – OCWS contracted CH2M HILL to assist OCWS and the Future Water Supply Committee with studying future water supply.  2009-10 - Two Riverbank Filtration Studies Performed to Evaluate Suitability of Shoal River.  2010 – In February, Okaloosa Board of County Commissioners Approved a 4-Year Implementation Plan.  2010-13 – In partnership with the USACE and OCWS, CH2M HILL has performed three tasks under the USACE’s Planning Assistance to States Program which provides for a 50/50 cost-share for work performed. In total, the partnership has performed almost $700,000 in studies with OCWS contribution $350,000. Packet Pg. 818 Planning Background and History  2013 – OCWS met with NWFWMD to discuss status of land acquisition. NWFWMD has not budgeted for land acquisition in their FY14 budget and has no firm timeline when or if land acquisition will be funded. NWFWMD preference is for OCWS to lead this effort. Packet Pg. 819 Planning Background and History  2013 - Shoal River Land Acquisition was submitted to the FDEP for consideration for Pot #2 of the RESTORE Act and NFWF funding. Packet Pg. 820 Next Steps  Safe Yield Analysis on Shoal River (aka Water Use Permit) - Perform preliminary analysis to determine the feasibility of withdrawing up to 10-million gallons per day from the Shoal River.  Utilize existing REPI and DIG Grants obtained in partnership with Eglin AFB to purchase land parcels north of Eglin AFB, south of I-10 and near the Shoal River for both source water protection, military buffer, and potential water treatment plant site. Packet Pg. 821  Next Steps  All three REPI Grants require a match – The match for REPI 1 is the OCWS’s existing 353 acres along the Shoal River. – The match for REPI 2 and 3 is the DIG Grant 2 and 3.  DIG 1 is also available and is intended to partner with NWFWMD to purchase the reservoir property.  Grant Utilization Plan – Utilize REPI 2 and 3 matched with DIG 2 and 3, respectively, to purchase land in the targeted area and place all land within a restrictive use easement with Eglin AFB. The land acquisition may also include additional phases of REPI & DIG. – Seek an extension for DIG 1 from current expiration date of 12/23/13 to allow for more time to coordinate with the NWFWMD and determine whether they are going to assist with the land acquisition. Land purchased with DIG 1 will not be required to be placed within a restrictive use easement, thus it has more flexibility. Packet Pg. 822 Next Steps Packet Pg. 823 Shoal River Buffer Land Acquisition – Moving Forward with REPI & DIG - Retain real estate attorney to manage closing and ensure all local, state, and federal requirements are met. – Obtain asking price and questionnaire from property owner. – Conduct 2 land appraisals in conformance with State Statutes & Air Force standards. – Negotiate with property owner and sign contract (will bring back to BCC for approval and execution). Packet Pg. 824 (continued) – During contract period (6-12 months): • Survey • Environmental Baseline Survey • Title work & insurance • Restrictive Use Easement reviewed & signed by Air Force – Obtain money from Eglin AFB for the land purchase and allowable transaction costs. – Closing • Okaloosa County would now own the property • Restrictive Use Easement to the Air Force would be executed * Note: All land acquisition costs & closing costs are reimbursable through REPI & DIG grants. However, in moving forward with this process, OCWS assumes the financial risk on any expenses should we not close on the property. These expenses are minimal compared to the benefit. Packet Pg. 825  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Jeff Littrell SUBJECT: American Suncraft Change Order #2 DEPARTMENT: Water and Sewer BCC DISTRICT: All STATEMENT OF ISSUE: Staff requests BCC approval to extend the contract time and approve Change Order #2, Repair and Paint Countryview and Bluewater Tanks (2014) for American Suncraft Construction, Inc. BACKGROUND: Bids were taken on February 5, 2014 for the painting and minor repairs of the Countryview and Bluewater Tanks. The lowest responsive and responsible bidder was American Suncraft Construction, Inc. of Medway, OH. A contract in the amount of $543,475.00 was awarded to American Suncraft in March 2014. Work is now under way, and American Suncraft is almost complete with the painting of Countryview Tank; Bluewater Tank painting has not yet begin. In addition, early in the project several repair items were discovered and were added in Change Order #1 (total addition of $4,800.00). The original intent of the contract time of only 120 days to substantial completion was that the contractor would be able to paint both tanks simultaneously (as they are in separate service areas) and be finished with both by early summer and the beginning of hurricane season. However, due to delays in relocating antennas (for the OCWS radio read meters and the Sheriff’s Department communications) from the Bluewater Tank to the monopole co-located on the tank site, the Contractor was unable to begin work on the Bluewater Tank in a timely fashion. In addition, the extraordinarily cold, then wet weather we have had during late winter and spring greatly delayed the progress of the project. It is standard practice in coastal areas to drain and paint water tanks during the winter months and have them back in service by the beginning of hurricane season. Although water tanks are designed to withstand strong winds empty, they are infinitely sturdier when filled with water. OCWS would prefer not to have the Bluewater Tank empty during the coming hurricane season. American Suncraft has volunteered to de-mobilize from the project and re-mobilize to Okaloosa County in the winter of 2014 to complete the paint and repair of the Bluewater Tank at no additional expense to Okaloosa County. In addition, there are four tanks in the system that will be due for their FDEP required five year cleaning and inspection by late 2014 and early 2015 and Suncraft has agreed to add the cleaning and inspections (as outlined in the attached summary) to their contract for $19,220.00. These prices are well within line with those of similar cleaning and inspections in prior years’ contracts. OPTIONS: Approve or deny. RECOMMENDATIONS: OCWS requests BCC approval to authorize the Chairman to execute Packet Pg. 826 Change Order #2 for $19,220.00 and add 240 days to the total contract time to accommodate completion of the Bluewater Tank and cleaning and inspection of four other tanks in the winter of 2014-15. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 827 Packet Pg. 828 Packet Pg. 829  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Jeff Littrell SUBJECT: Harcros Chemicals, Inc - Contract Amendment DEPARTMENT: Water and Sewer BCC DISTRICT: All STATEMENT OF ISSUE: OCWS staff desires to amend the contract with Harcros Chemicals (Contract #C13-2072-WS) to include the price per gallon of $1.63 for 55 gallon drums of sodium hypochlorite. BACKGROUND: Okaloosa County has a contract with Harcros Chemicals to provide chlorine- related commodities to our water and sewer system. Primarily, it is utilized for gas cylinders: 150-lb cylinders at well sites and 1-ton cylinders at the Russell Stephenson Water Reclamation Facility (WRF). At the Arbennie Pritchett WRF and the Bob Sikes WRF (BSWRF), sodium hypochlorite (liquid bleach) is utilized for disinfection purposes. BSWRF is a 1.0 million gallon per day (MGD) annual average daily flow (AADF) design capacity, membrane bio-reactor (MBR) wastewater reclamation facility. The BSWRF operating permit #FLA010181-006 issued by the Florida Dept. of Environmental Protection (FDEP) requires the effluent discharge to be disinfected to meet parameters set by the permit. The BSWRF was designed to utilize sodium hypochlorite for its disinfection requirement. Bleach is sold and delivered in two ways which are compatible for usage and offloading at the OCWS wastewater reclamation facilities: 275 gallon totes and 55 gallon drums. The BSWRF does not have the capability nor the applicability to utilize the 275 gallon tote containers and hence, can only use the 55 gallon drums. Being that BSWRF is a relatively small facility and a relatively small amount of sodium hypochlorite is used (compared to Arbennie Pritchett WRF), we have been purchasing this commodity via credit card with each order. We would like to add this commodity to the existing contract with Harcros Chemicals. This line item is estimated to be 120 drums per year, which equates to $10,758 per year. OPTIONS: Approve or deny. RECOMMENDATIONS: OCWS requests BCC approval to authorize the Chairman to execute a contract amendment to Contract #C13-2072-WS with Harcros Chemicals, Inc. which would add 55 gallon drums of sodium hypochlorite at $1.63 per gallon. Packet Pg. 830 RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 831 Packet Pg. 832  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: John Hofstad SUBJECT: PW - Asphalt Paving Systems C12-1960 DEPARTMENT: Public Works BCC DISTRICT: All STATEMENT OF ISSUE: Public Works staff provides a list of roads annually to the Board for consideration and approval to have a variety of treatment types performed. Resurfacing roads are performed using internal staff while other preservation techniques are performed utilizing external sources. BACKGROUND: Asphalt Paving Systems, Inc is the contractor tasked with providing annual road preservation techniques based upon staff recommendation of treatment types for roads within the County maintenance system. OPTIONS: Approve/Disapprove RECOMMENDATIONS: Request approval of Task Order 2 for C12-1960 along with the associated road list to move forward with scheduling and performing the work. Authorize transfer of money from LOGT Reserves to account 563490 in the amount of $146,590.06 due to the timing of the payment for last year's work. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 833  TASK ORDER APPROVAL FORM 9=60~------ CONTRACT #: _,C"-'1=2-_,1...... TASK ORDER #: _ __ , 2 = - - - - - - - - TASK ORDER AMOUNT: $_232.782.84_ _ _ _ _ _ _ __ OFFERED BY CONSULT ANT: Asphalt Paving Systems (APS) FIRM'S NAME Robert Capoferri REPRESENTATIVE'S PRINTED NAME Sl~ President 4/2/14 TITLE DATE RECOMMENDED FOR APPROVAL APPROVED BY OKALOOSA COUNTY (Department Director) (Per Purchasing Manual) • $25.000 or less approved by Purchasing Director • Befween $25,001 and $50,000 approved by Purchasing Director and County Administrator • In excess of $50,000 approved by the Board. TITLE Public Works Director - 4/23)14: I DATE DATE ~~ COUNTY ADMINISTRATOR (if applicable) CHAIRMAN (if applicable) DATE DATE Packet Pg. 834  Double Micro- Road Name From To District Fog Seal Chip Seal Chip Seal Surfacing Overlay Feet Width I :· ·MOtJM.o ~ <l'H'f>'~» ~:;r.· o.w '""'~· :$.15 6aO;ft Chestnut Street Georgia Ave . Florida Ave. 1 100% 100% 794 21 Florida Avenue Chestnut St. Ma in St. 1 100% 100% 732 21 Florida Avenue Main St. Burleson Blvd. 1 100% 100% 450 21 Sioux Circle Old Bethel Rd. End Maintenance 1 100% 1050 22 Rainbow Ln Stillwell Blvd End Maintenance 1 100% 1510 21 Forrest Ave Shoffner Blvd Woodland St 1 100% 1010 21 Harrington St Stephens Ln Windsor Dr 1 100% 528 22 Windsor Dr Harrington St End Ma intenance 1 100% 1300 22 Maple St Florida Ave Georgia Ave 1 100% 100% 850 21 .. Barnhill Rd Old Hickory Rd Windstead Cove 1 100% 200 22 flll'"·. •. '""Mo"Mob. StA'0'7:ii -:-:r'M: ;-tt< ~ ~~~ T~l APS · $M,175.12 Cooper St Hwy90 Curve 3N 100% 2400 21 Grady Baggett Sonny Barrow End Ma intenance 3N 100% 100% 4300 23 Country Living Hwy 189 End of maintenance 3N 100% 100% 3125 21 Garrett Mill Pickens Circle Hwy4 3N 100% 100% 4130 21 4.Cl Bradley Rd Hwy 85 N 3221 Bradley Rd 100% 1500 20 Colonial Circle Monterey Road Monterey Road 100% 2007 21 Shoffner Avenue Aplin Rd . Lake Drive 100% 1640 21 Santee St Auburn Road End Maintenance 100% 100% 1400 21 Painter Branch Poverty Creek Poverty Creek 100% 100% 7500 21 Fowler Ave Goldfinch Rd End of Maint. 100% 100% 2000 20 Sonny Barrow Hwy 189 West Kelly 3N 100% 100% 932S 21 17th St Hwy 189 Monroe St 3N 100% 560 18 State Line Rd Robinson Rd Davis Rd 1 100% 100% 4400 20 Vernon Taylor Hwy4 Garrett M ill 3N 100% 100% 660 21 John B Cadenhead Rd Hwy 602 End of Millings 100% 100% 3100 20 Contract 1960 $81 ,806.44 CMR Contract 1960 $150,976 .40 Task order 2 for 1960 $232,782.84 Packet Pg. 835  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 6, 2014 TO: Honorable Chairman and Members of the Board FROM: John Hofstad SUBJECT: PW - Asphalt Paving Systems C12-1960 DEPARTMENT: Public Works BCC DISTRICT: All STATEMENT OF ISSUE: Public Works staff provides a list of roads annually to the Board for consideration and approval to have a variety of treatment types performed. Resurfacing roads are performed using internal staff while other preservation techniques are performed utilizing external sources. BACKGROUND: Asphalt Paving Systems, Inc is the contractor tasked with providing annual road preservation techniques based upon staff recommendation of treatment types for roads within the County maintenance system. OPTIONS: Approve/Disapprove RECOMMENDATIONS: Request approval of Task Order 2 for C12-1960 along with the associated road list to move forward with scheduling and performing the work. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 836  TASK ORDER APPROVAL FORM 9=60~------ CONTRACT #: _,C"-'1=2-_,1...... TASK ORDER #: _ __ , 2 = - - - - - - - - TASK ORDER AMOUNT: $_232.782.84_ _ _ _ _ _ _ __ OFFERED BY CONSULT ANT: Asphalt Paving Systems (APS) FIRM'S NAME Robert Capoferri REPRESENTATIVE'S PRINTED NAME Sl~ President 4/2/14 TITLE DATE RECOMMENDED FOR APPROVAL APPROVED BY OKALOOSA COUNTY (Department Director) (Per Purchasing Manual) • $25.000 or less approved by Purchasing Director • Befween $25,001 and $50,000 approved by Purchasing Director and County Administrator • In excess of $50,000 approved by the Board. TITLE Public Works Director - 4/23)14: I DATE DATE ~~ COUNTY ADMINISTRATOR (if applicable) CHAIRMAN (if applicable) DATE DATE Packet Pg. 837  Double Micro- Road Name From To District Fog Seal Chip Seal Chip Seal Surfacing Overlay Feet Width I :· ·MOtJM.o ~ <l'H'f>'~» ~:;r.· o.w '""'~· :$.15 6aO;ft Chestnut Street Georgia Ave . Florida Ave. 1 100% 100% 794 21 Florida Avenue Chestnut St. Ma in St. 1 100% 100% 732 21 Florida Avenue Main St. Burleson Blvd. 1 100% 100% 450 21 Sioux Circle Old Bethel Rd. End Maintenance 1 100% 1050 22 Rainbow Ln Stillwell Blvd End Maintenance 1 100% 1510 21 Forrest Ave Shoffner Blvd Woodland St 1 100% 1010 21 Harrington St Stephens Ln Windsor Dr 1 100% 528 22 Windsor Dr Harrington St End Ma intenance 1 100% 1300 22 Maple St Florida Ave Georgia Ave 1 100% 100% 850 21 .. Barnhill Rd Old Hickory Rd Windstead Cove 1 100% 200 22 flll'"·. •. '""Mo"Mob. StA'0'7:ii -:-:r'M: ;-tt< ~ ~~~ T~l APS · $M,175.12 Cooper St Hwy90 Curve 3N 100% 2400 21 Grady Baggett Sonny Barrow End Ma intenance 3N 100% 100% 4300 23 Country Living Hwy 189 End of maintenance 3N 100% 100% 3125 21 Garrett Mill Pickens Circle Hwy4 3N 100% 100% 4130 21 4.Cl Bradley Rd Hwy 85 N 3221 Bradley Rd 100% 1500 20 Colonial Circle Monterey Road Monterey Road 100% 2007 21 Shoffner Avenue Aplin Rd . Lake Drive 100% 1640 21 Santee St Auburn Road End Maintenance 100% 100% 1400 21 Painter Branch Poverty Creek Poverty Creek 100% 100% 7500 21 Fowler Ave Goldfinch Rd End of Maint. 100% 100% 2000 20 Sonny Barrow Hwy 189 West Kelly 3N 100% 100% 932S 21 17th St Hwy 189 Monroe St 3N 100% 560 18 State Line Rd Robinson Rd Davis Rd 1 100% 100% 4400 20 Vernon Taylor Hwy4 Garrett M ill 3N 100% 100% 660 21 John B Cadenhead Rd Hwy 602 End of Millings 100% 100% 3100 20 Contract 1960 $81 ,806.44 CMR Contract 1960 $150,976 .40 Task order 2 for 1960 $232,782.84 Packet Pg. 838  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: John Hofstad SUBJECT: PW - Asphalt Paving Systems C12-1961 DEPARTMENT: Public Works BCC DISTRICT: All STATEMENT OF ISSUE: Public Works staff provides a list of roads annually to the Board for consideration and approval to have a variety of treatment types performed. Resurfacing roads are performed using internal staff while other preservation techniques are performed utilizing external sources. BACKGROUND: Asphalt Paving Systems, Inc is the contractor tasked with providing annual road preservation techniques based upon staff recommendation of treatment types for roads within the County maintenance system. OPTIONS: Approve/Disapprove RECOMMENDATIONS: Request approval of Task Order 2 for C12-1961 along with the associated road list to move forward with scheduling and performing the work. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 839  Double Micro- Road Name From To District Fog Seal Chip Seal Chip Seal Surfacing Overlay Feet Width District 2 Task Order 2 Contract 1961 Acct #3204-553012 Mot/Mob - $1,902.33 APS - $35,546.64 Total APS - $37,448.97 Eldridge Rd Address 223 Lewis Turner Blvd 2 100% 4000 21 3rd Ave 3rd St Van Dyke Dr 2 200% 300 22 Van Dyke Dr 3rd Ave 3rd Ave 2 200% 820 22 Whitrock Ln South Ave Cul-de-sac 2 100% 1400 23 Topaz Ct Whitrock Ln Cul-de-sac 2 100% 350 23 Saphire Ct Whitrock Ln Cul-de-sac 2 100% 350 23 Opal Ct Whitrock Ln Cul-de-sac 2 100% 350 23 Gladys Katherine Woodham 2 100% 1000 21 District 4 Task Order 2 Contract 1961 Acct #3204-553014 Mot/Mob - $2,391.05 APS - $45,229.18 Total APS - $47,620.23 Pointed Leaf Ln Beverly Street Cul-de-sac 4 100% 528 22 Rush Park Cir Hwy 98 1st Stop sign 4 100% 400 21 West Park Dr Rush Park Cir Rush Park Cir 4 200% 550 23 Church St Hwy 98 Forrest Glen 4 100% 470 23 Willow Bend Schneider Drive 2342 Willow Bend 4 100% 2600 24 Rush Park Cir 1st Stop sign Rush Park Cir 4 200% 2350 23 District 5 Task Order 2 Contract 1961 Acct #3204-553015 Mot/Mob - $1,506.62 APS - $26,819.08 Total APS - $28,325.70 Laredo Ave Redwood Ave 18th St 5 100% 450 24 11th St 4064 11th St End 5 100% 614 20 Andros Way Grenada Way Antiqua Way 5 100% 670 24 Woodlands Rd Whitepoint Rd Greenwood Way 5 100% 1235 24 Oakwood Cir Greenwood Way Woodlands Rd 5 100% 1223 24 Greenwood Way Greenwood Ln Woodlands Rd 5 100% 1120 24 Edrehi Ave boat ramp Edrehi Ave End of Pavement 5 100% 528 21 Ruckel Drive E College Blvd address 1504 Ruckel Dr 5 100% 1500 27 Oakwood Way Ridgewood Cove N Oakwood Cir 5 100% 400 25 Contract 1961 $113,394.90 Task order 2 for 1961 $113,394.90 Packet Pg. 840  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 6, 2014 TO: Honorable Chairman and Members of the Board FROM: John Hofstad SUBJECT: PW - Asphalt Paving Systems C12-1961 DEPARTMENT: Public Works BCC DISTRICT: All STATEMENT OF ISSUE: Public Works staff provides a list of roads annually to the Board for consideration and approval to have a variety of treatment types performed. Resurfacing roads are performed using internal staff while other preservation techniques are performed utilizing external sources. BACKGROUND: Asphalt Paving Systems, Inc is the contractor tasked with providing annual road preservation techniques based upon staff recommendation of treatment types for roads within the County maintenance system. OPTIONS: Approve/Disapprove RECOMMENDATIONS: Request approval of Task Order 2 for C12-1961 along with the associated road list to move forward with scheduling and performing the work. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 841  TASK ORDER APPROVAL FORM CONTRACT#: . .:.C.:. . :.1=2--'-1-'--'96:<...!1_ _ __ _ __ TASK ORDER # : - --'2:...__ _ _ _ _ __ TASK ORDER AMOUNT: $_113,397.90._ _ _ __ _ __ OFFERED BY CONSULT ANT: Asphalt Paving Systems (APS) FIRM'S NAME Robert Capoferri REPRESENTATIVE'S PRINTED NAME SIG~ President 4/2/14 TITLE DATE RECOMMENDED FOR APPROVAL APPROVED BY OKALOOSA COUNTY (Department Director) (Per Purchasing Manual) • $25,000 or less approved by Purchasing Director • Between $25,001 and $50,000 approved by Purchasing Director and County Administrator • In excess of $50,000 approved by the Board. John Hofstad Public Works Director TITLE DATE DATE I CO~IST&Iicable) CHAIRMAN (if applicable) ylzcY/;'( DATE DATE Packet Pg. 842  Double Micro- Road Name From To District Fog Seal Chip Seal Chip Seal Surfacing Overlay Feet Width District 2 Task Order 2 Contract 1961 Acct #3204-553012 Mot/Mob - $1,902.33 APS - $35,546.64 Total APS - $37,451.97 Eldridge Rd Address 223 Lewis Turner Blvd 2 100% 4000 21 3rd Ave 3rd St Van Dyke Dr 2 200% 300 22 Van Dyke Dr 3rd Ave 3rd Ave 2 200% 820 22 Whitrock Ln South Ave Cul-de-sac 2 100% 1400 23 Topaz Ct Whitrock Ln Cul-de-sac 2 100% 350 23 Saphire Ct Whitrock Ln Cul-de-sac 2 100% 350 23 Opal Ct Whitrock Ln Cul-de-sac 2 100% 350 23 Gladys Katherine Woodham 2 100% 1000 21 District 4 Task Order 2 Contract 1961 Acct #3204-553014 Mot/Mob - $2,391.05 APS - $45,229.18 Total APS - $47,620.23 Pointed Leaf Ln Beverly Street Cul-de-sac 4 100% 528 22 Rush Park Cir Hwy 98 1st Stop sign 4 100% 400 21 West Park Dr Rush Park Cir Rush Park Cir 4 200% 550 23 Church St Hwy 98 Forrest Glen 4 100% 470 23 Willow Bend Schneider Drive 2342 Willow Bend 4 100% 2600 24 Rush Park Cir 1st Stop sign Rush Park Cir 4 200% 2350 23 District 5 Task Order 2 Contract 1961 Acct #3204-553015 Mot/Mob - $1,506.62 APS - $26,819.08 Total APS - $28,325.70 Laredo Ave Redwood Ave 18th St 5 100% 450 24 11th St 4064 11th St End 5 100% 614 20 Andros Way Grenada Way Antiqua Way 5 100% 670 24 Woodlands Rd Whitepoint Rd Greenwood Way 5 100% 1235 24 Oakwood Cir Greenwood Way Woodlands Rd 5 100% 1223 24 Greenwood Way Greenwood Ln Woodlands Rd 5 100% 1120 24 Edrehi Ave boat ramp Edrehi Ave End of Pavement 5 100% 528 21 Ruckel Drive E College Blvd address 1504 Ruckel Dr 5 100% 1500 27 Oakwood Way Ridgewood Cove N Oakwood Cir 5 100% 400 25 Contract 1961 $113,397.90 Task order 2 for 1961 $113,397.90 Packet Pg. 843  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: John Hofstad SUBJECT: Request Public Hearing for Sylvania Heights MSBU - Assessment Rate Change DEPARTMENT: Public Works BCC DISTRICT: 4 STATEMENT OF ISSUE: Request to schedule a public hearing on June 3, 2014 to gather input regarding increasing the monthly assessment rate for the Sylvania Heights Municipal Services Benefit Unit (MSBU). BACKGROUND AND ANALYSIS: The Sylvania Heights MSBU committee met at a publicly advertised meeting on April 10, 2014. The committee authorized a rate increase to $11.12 for their monthly assessment from June 2014 until January 2015, at which time the rate will decrease to $7.50 per month. The requested public hearing will be to provide the community an additional opportunity to comment on the change. The public notice advertisement for the April 10, 2014 MSBU Committee meeting and the minutes of that meeting are attached. OPTIONS: Approve/Disapprove the public hearing. RECOMMENDATION: Approve public hearing to convene on or after 9:00 am, June 3, 2014, to receive comments regarding increasing the Sylvania Heights MSBU assessment. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 844  Sylvania Heights MSBU Meeting April 10, 2014 1. The meeting was called to order at 12:05 P.M. by Chairman Linton Harris with prayer' A. Attendees: Linton Harris Richard Hawthorne Barry Gray Ann Halbert Amy Allen Lisa Payton 2. Old Business: None 3- New Business: Everyone was provided copies of information ofthe issue being brought before the Board by Ann Halbert. Amy Allen led a discussion explaining the SHMSBU Board needed to approve a fee increase due to an arrearage. She explained that there are a total of 228 Units in the community but onty 169 of them were paying units- This has created a negative cash balance. The negative balance for 2013 is 54,923 and as of Aprit 10th the 2014 negative balance is S1,132. This puts the sHMsBu at a negative cash carry forward of 56,055' ln order to balance out the SHMSBU there will have to be an increase to the current rate. As of lune 1, 2014, the monthly cost will be 511.12 for the remainder of the year. This rate increase will bring the SHMSBU into current balance. ln January 2015 the rate will decrease to S7.50 per month. Lisa payton volunteered to draft a notice for the Chairman's signature, to notify the 59 property owners who are not participating in the program but are reaping the benefits of it, in an attempt to 8et them to contribute to the program. Amy Allen will check with the Water & Sewer Department to obtain a list of the properties not participating and determine the best way to allow payment for these properties. Discussion ensued. Motion to approve the rate increase made by Barry Gray and seconded by Richard Hawthorne. Motion carried. Meeting adiourned at 12:40 P.M. Packet Pg. 845 From: Lisa Payton To: Amy Allen; Ann Halbert Subject: Meeting Minutes from the Sylvania Heights April 10, 2014 Meeting Date: Monday, April 14, 2014 7:02:16 PM Attachments: SHMSBU April 2014 Minutes.pdf Good Afternoon Ladies, Here are the minutes from the meeting. Best Regards, Lisa Lisa C. Payton Code Enforcement Supervisor 1804 Lewis Turner Blvd., #200 Fort Walton Beach, Florida 32547 PHONE (850) 651-7531 FAX (850) 651-7032 Please note: Due to Florida's very broad public records laws, most written communications to or from County employees regarding County business are public records, available to the public and media upon request. Therefore, this written e-mail communication, including your e-mail address, may be subject to public disclosure. Packet Pg. 846 Packet Pg. 847 Packet Pg. 848 Packet Pg. 849  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Don Turner SUBJECT: Shalimar Annex Project - Asbestos Abatement DEPARTMENT: Facility Maintenance BCC DISTRICT: All STATEMENT OF ISSUE: Request Board approval of a Change Order in the amount of $170,854.54 to the Lord & Son contract for asbestos abatement of the former Shalimar Annex. BACKGROUND: An asbestos survey was conducted on all five of the main buildings at the former Shalimar Annex on March 3, 2014. The survey revealed the presence of asbestos containing materials (ACM) in several parts of the buildings. Before the start of any work that may disturb any of the ACM, the ACM must be properly abated by a qualified contractor and properly disposed of. The abatement was not a part of Lord & Son's original contract. To keep the project moving forward to completion before the deadline, Lord & Son is being charged with the responsibility to get the abatement done. The costs for the abatement, air monitoring, and administration is $170,854.54 (documentation attached). Until other financial arrangements are determined for complete funding of the current major construction projects, staff recommends utilizing the current funds allocated in the 301-3160-562132 account (Capital Outlay Fund - Shalimar Annex - Phase II) to fund the CO. RECOMMENDATIONS: (FM) Request Board approval of a Change Order in the amount of $170,854.54 to the Lord & Son contract for asbestos abatement of the former Shalimar Annex and authorize the Chairman to execute all documents. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 850  SUNGARD PENTAMATION, INC. PAGE NUMBER: 1 DATE: 05/14/2014 OKALOOSA COUNTY BOCC AUDIT21 TIME: 09:10:53 EXPENDITURE AUDIT TRAIL SELECTION CRITERIA: orgn.fund=’301’ and orgn.orgn4=’3160’ ACCOUNTING PERIOD: 9/14 SORTED BY: FUND,DEPARTMENT TOTL,DEPARTMENT,ACCOUNT TOTALED ON: FUND,DEPARTMENT TOTL,DEPARTMENT PAGE BREAKS ON: FUND,DEPARTMENT TOTL FUND − 301 − CAPITAL PROJECTS FUND DEPARTMENT − 3160 − CAP OUTLAY PROJ−JUDICIAL ACCOUNT CUMULATIVE DATE T/C ENCUMBRANC REFERENCE VENDOR BUDGET EXPENDITURES ENCUMBRANCES DESCRIPTION BALANCE 301−510−519−3160−3160 − CAP OUTLAY PROJ−JUDICIAL 534500 CS−PERSONNEL 16,156.00 16,155.24 .00 BEGINNING BALANCE TOTAL CS−PERSONNEL 16,156.00 16,155.24 .00 .76 546101 RM−GAL RENOVATIONS 9,460.00 9,459.90 .00 BEGINNING BALANCE TOTAL RM−GAL RENOVATIONS 9,460.00 9,459.90 .00 .10 561100 LAND−GENERAL GOVERNMENT 400,000.00 .00 .00 BEGINNING BALANCE TOTAL LAND−GENERAL GOVERNMENT 400,000.00 .00 .00 400,000.00 562132 SHALIMAR ANNEX−PHASE II 738,080.00 73,133.18 .00 BEGINNING BALANCE TOTAL SHALIMAR ANNEX−PHASE II 738,080.00 73,133.18 .00 664,946.82 562170 COURTHOUSE ANNEX EXTENSN 27,697.00 27,697.00 .00 BEGINNING BALANCE TOTAL COURTHOUSE ANNEX EXTENSN 27,697.00 27,697.00 .00 .00 562224 SHERIFF−SHALIMAR BUILDING 100,000.00 6,000.00 .00 BEGINNING BALANCE TOTAL SHERIFF−SHALIMAR BUILDING 100,000.00 6,000.00 .00 94,000.00 562248 SHERIFF−CAMPUS RENOVATION 150,000.00 23,820.63 .00 BEGINNING BALANCE TOTAL SHERIFF−CAMPUS RENOVATION 150,000.00 23,820.63 .00 126,179.37 562249 CLERK−RECORDING OFFICE 50,000.00 23,329.28 3,940.46 BEGINNING BALANCE Packet Pg. 851 TOTAL CLERK−RECORDING OFFICE 50,000.00 23,329.28 3,940.46 22,730.26 599300 RESERVE−FUTURE CAP OUTLAY 277,301.00 .00 .00 BEGINNING BALANCE TOTAL RESERVE−FUTURE CAP OUTLAY 277,301.00 .00 .00 277,301.00 TOTAL DEPARTMENT − CAP OUTLAY PROJ−JUDICIAL 1,768,694.00 179,595.23 3,940.46 1,585,158.31 * THERE IS A NOTE ASSOCIATED WITH THIS TRANSACTION  SUNGARD PENTAMATION, INC. PAGE NUMBER: 2 DATE: 05/14/2014 OKALOOSA COUNTY BOCC AUDIT21 TIME: 09:10:53 EXPENDITURE AUDIT TRAIL SELECTION CRITERIA: orgn.fund=’301’ and orgn.orgn4=’3160’ ACCOUNTING PERIOD: 9/14 SORTED BY: FUND,DEPARTMENT TOTL,DEPARTMENT,ACCOUNT TOTALED ON: FUND,DEPARTMENT TOTL,DEPARTMENT PAGE BREAKS ON: FUND,DEPARTMENT TOTL FUND − 301 − CAPITAL PROJECTS FUND DEPARTMENT − 3160 − CAP OUTLAY PROJ−JUDICIAL ACCOUNT CUMULATIVE DATE T/C ENCUMBRANC REFERENCE VENDOR BUDGET EXPENDITURES ENCUMBRANCES DESCRIPTION BALANCE TOTAL DEPARTMENT TOTL − CAPITAL OUTLAY−JUDI 1,768,694.00 179,595.23 3,940.46 1,585,158.31 TOTAL FUND − CAPITAL PROJECTS FUND 1,768,694.00 179,595.23 3,940.46 1,585,158.31 TOTAL REPORT 1,768,694.00 179,595.23 3,940.46 1,585,158.31 Packet Pg. 852 * THERE IS A NOTE ASSOCIATED WITH THIS TRANSACTION Packet Pg. 853 Packet Pg. 854 Packet Pg. 855 Packet Pg. 856 Packet Pg. 857 Packet Pg. 858 Packet Pg. 859 Packet Pg. 860  BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: May 20, 2014 TO: Honorable Chairman and Members of the Board FROM: Paul Lawson SUBJECT: MOA to house military persons charged or convicted of militay law violations DEPARTMENT: Corrections BCC DISTRICT: All STATEMENT OF ISSUE: Request approval of the Board to authorize Chairman to sign a memorandum of agreement between the Installation Commander, 1st Special Operations Wing (1 SOW) at Hurlburt Field to house military persons charged with law violations at the Okaloosa County Department of Corrections. BACKGROUND: The Installation Commander, 1st Special Operations Wing (1 SOW) has requested that the Board enter a MOA for the housing of military persons charged with or convicted of military law violations at the Okaloosa County Department of Corrections in accordance with state and local laws, standards, policies and/or court orders applicable to the operation of the facility. Confinement of said persons may be required on a daily, weekly or monthly basis as determined by the Commander, 1 SOW Security Forces Squadron (1 SOSFS) and shall be limited to the availability of space as determined by the Chief Correctional Officer. The 1st Special Operations Comptroller Squadron (1 SOCPTS) will make payment to Okaloosa County for confinement services at the rate of $49.00 for each day of incarceration for each person confined. The MOA has been reviewed by staff and attorney. OPTIONS: Approve Disapprove RECOMMENDATIONS: Approve RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator Packet Pg. 861  MEMORANDUM OF AGREEMENT (MOA) BETWEEN INSTALLATION COMMANDER, 1st SPECIAL OPERATIONSWING (1 SOW) AND OKALOOSA COUNTY BOARD OF COUNTY COMMISIONERS 1. PURPOSE: This is intended to be a binding memorandum of agreement between the Installation Commander (1 SOW/CC) and the Okaloosa County Board of County Commissioners (“Okaloosa County”) through its Department of Corrections and for the housing of military male and female detainees (pretrial) and inmates (post-trial) in the Okaloosa County Department of Corrections. 2. AUTHORITY: Air Force Instruction 31-205, The Air Force Corrections Program, Air Force Instruction 25-201, Support Agreement Procedures, DODI 4000.19, Interservice and Intragovernmental Support, and other directives, as required. 3. GENERAL: a. SCOPE. This is an agreement for the acceptance and detention, secure confinement, custody and safekeeping of military persons that are charged with or convicted of violations of Military Law, limited to the availability of space as determined by the Chief Correctional Officer. Subject persons will be held at the Okaloosa County Department of Corrections (the facility) in accordance with state and local laws, standards, policies, or court orders applicable to the operation of the facility. This agreement is solely between the 1SOW/CC and Okaloosa County and supersedes all previous memorandums, same subject. Furthermore, this agreement operates independently of similar memorandums between the Okaloosa County and other regional military installations. b. ASSUMPTIONS. Detainee/inmate confinement may be required on a daily, weekly, or monthly basis, as determined by the Commander, 1st Special Operations Security Forces Squadron (1 SOSFS). The inmate shall be confined at the Okaloosa County Department of Corrections until notification of permanent removal from the facility is received from 1 SOSFS. The detainees/inmates shall be subject to the institution's rules and directives including rules on discipline and treatment. The 1SOSFS will be responsible for providing a list of individuals who are authorized to facilitate or execute transfer of Hurlburt Field detainees/inmates that are to be housed at the Okaloosa County Department of Corrections. The Okaloosa County Department of Corrections will ensure Hurlburt Field detainees and inmates are released to the custody of those who are authorized, i.e., 1SOSFS Confinement Officer/Noncommissioned Officer/Parent Unit Leadership or designated escorts. Hurlburt Field detainees and inmate's visitors will be pre-authorized by the 1SOSFS. Hurlburt Field detainees and inmates will be provided the same level of services and treatment afforded to other confinees/inmates consistent with applicable laws and standards. 1 Packet Pg. 862 4. RESPONSIBILITIES: a. FINANCIAL MANAGEMENT. Okaloosa County will send monthly itemized invoices/billing statements to the following: Attention Confinement Officer/NCO, 1 SOSFS, 521 Cody Ave., Hurlburt Field, Florida, 32544. The Confinement Officer/NCO or designee will examine the details of the invoice/billing statement for accuracy. Once the amount due is validated, the Confinement NCO will process the invoice for payment through the 1st Special Operations Comptroller Squadron (1 SOCPTS). The 1SOCPTS will establish and manage a Miscellaneous Obligation Reimbursement Document (MORD) that will be used to facilitate payment to Okaloosa County for confinement services provided for detainees/inmates assigned to the 1SOW or one of the Hurlburt Field tenant units. Payment for confinement services must be made to Okaloosa County not later than 45 days after due date, unless otherwise coordinated with Okaloosa County. The cost for housing a detainee/inmate is $49.00 for each day of incarceration. For the purpose of this MOA, a day shall be a 24 -hour period or any part thereof, beginning at the time of in processing. The Okaloosa County Department of Corrections will provide sanitary items for detainee/inmates at no cost. b. LOGISTICS SUPPORT: (1) 1SOSFS Confinement /Officer/NCO will ensure a copy of the DD Form 2707, Confinement Order, is provided to the Okaloosa County Department of Corrections for their records. In the event of removal of the inmate, the package will be signed over to the receiving cognizant authority. (2) When transportation of detainees and inmates away from Okaloosa County Department of Corrections is required, the 1SOSFS Confinement Officer/NCO will coordinate logistical details with the Okaloosa County Department of Corrections no later than 1day prior to the appointment. In the event of an emergency, notifications will be two (2) hours prior to the actual pick up time. (3) Members of the 1 SOSFS or the detainee/inmate's parent unit (escort trained) will transport detainees and inmates to and from Okaloosa County Department of Corrections. The inmate will be transported by the detainee or inmate's unit at various times throughout the confinement period for routine medical and other official military appointments. The detainee or inmate will normally be returned the same day. (4) Telephone notification for the return of detainees or inmates will be the time of departure from Hurlburt Field. If the 1SOSFS or the detainee/inmate's parent unit has not arrived at the Okaloosa County Department of Corrections after 2 hours from the telephone notification, the Okaloosa County Department of Corrections will notify Base Defense Operation Center. c. OPERATIONAL SUPPORT: The Okaloosa County Department of Corrections agrees 2 Packet Pg. 863  to notify the 1SOSFS, within 1 hour from the occurrence of all emergency medical cases requiring removal of a detainee or inmate from the facility and to obtain prior authorization for removal for any other medical service required. Non-emergency medical transport situations will be coordinated through the 1SOSFS Confinement Staff/NCO. In the event a Hurlburt Field detainee/inmate is hospitalized off site for an extended period of time, 1 SOSFS Confinement Officer/NCO will coordinate security oversight for the detainee/inmate within 24 hours of initial notification. d. MISSION SUPPORT. (1) The Okaloosa County Department of Corrections Staff, along with the 1SOSFS Confinement Officer/NCO, will determine detainee/inmate's classification(s) and custody grade(s). Both male and female military inmates of all grades and status, shall perform routine day-to-day housekeeping and clean-up duties in their own bay, cell, or dormitory area, and in common areas; at no time will the military inmate be in the common areas if foreign nationals are co-located. (2) Mandatory minimum conditions of confinement, which are to be met during the entire period of the agreement, are: a. Maintain federal/state certification through the Florida Corrections Accreditation Commission. b. Adequate, trained jail staff will be provided 24 hours a day to supervise inmates. Inmates will be accounted for at least once every shift, but at least twice in every 24- hour period. One of the counts must be visual to determine detainee/ inmate occupancy. c. Jail staffing will provide full coverage of all security posts and full surveillance of detainees/inmates. d. Jail will provide 24-hour emergency medical care for detainees/inmates. e. Jail will maintain an automatic smoke and fire detection and alarm systems, and maintain written policies and procedures regarding fire and other safety emergency standards. f. Jail will maintain a water supply and waste disposal program that is certified to be in compliance with applicable laws and regulations. (3) Okaloosa County Department of Corrections will ensure Hurlburt Field detainees/inmates are placed into Administrative Segregation for at least the first 24 hours, but not more than the first 72 hours of confinement at the facility.If possible, detainees and inmates will be housed separately from all other civilian detainees and inmates housed in the jail. At a minimum, Hurlburt Field detainees and inmates who have committed minor (misdemeanor) crimes will be segregated from those who have committed major crimes (felony). Additionally,detainees (pretrial) will be segregated from inmates (post trail). 3 Packet Pg. 864  a. In accordance with Article 12 of the Uniform Code Military Justice (UCMJ); No member of the armed forces may be placed in confinement (i.e. held in same cell or holding area) in immediate association with enemy prisoners of war, foreign nationals, or any non-member of the armed forces. b. In accordance with Article 13 of the UCMJ; No person, while being held for trial, may be subjected to punishment or penalty other than arrest or confinement upon the charges pending against him, nor shall the arrest or confinement imposed upon him be any more rigorous than circumstances require to insure his presence,but he may be subjected to minor punishment during that period for infractions of discipline. (4) The Okaloosa County Department of Corrections will provide the inmate with appropriate and suitable confinement space to include a bed, mattress/pillow combination, sheets, blankets, toilet, sink, and shower. The female detainees and inmates will be segregated from male detainees and inmates by both normal sight and sound. (5) The Okaloosa County Department of Corrections will provide the detainee or inmate three (3) meals a day and all health and comfort items (i.e. towels, washcloths , toiletries , work clothing, etc.) provided to any other detainee or inmate normally confined within the facility. (6) The detainee/inmate will wear the uniform provided to them by the Okaloosa County Department of Corrections. The inmate's parent unit will provide detainees and inmates with a uniform to be worn onlyy when transported away from the Okaloosa County Department of Corrections by members of the detainee and inmate's parent unit or 1 SOSFS. (7) The Okaloosa County Department of Corrections shall provide basic medical care to military detainees and inmates, which shall include sick call and self-care; i.e. basic medical care also includes care of any condition that requires immediate assistance by a person trained in first aid procedures and authorized to administer "over-the-counter" medications. Okaloosa County Department of Corrections agrees to provide military detainees and inmates with the same level of medical care and services provided to local detainees and inmates, including the transportation of detainees and inmates requiring removal from the facility for emergency medical services. The cost of hospitalization, security, prescription, office calls, surgical or dental care, and detainee and inmate's transportation will be borne by Hurlburt Field. (8) The Okaloosa County Department of Corrections will ensure privileged communication with President or Vice President, Member of Congress, Secretary of Defense, Attorney General or Representative, Secretary of the Air Force or Representative, the Staff Judge Advocate, Area Defense Council or Representative (military or civilian attorney), Air Force Clergy/Chaplain (after address and Clergy's pastoral status verified), and State and Federal courts. The Okaloosa County Department of Corrections staff may inspect the communication in the presence of the detainee or inmate only if there is a reasonable 4 Packet Pg. 865  basis to believe the mail contains contraband or for authenticity. (9) The Okaloosa County Department of Corrections will ensure Hurlburt Field detainees and inmates can use either the facilities complaint system or the Air Force system, i.e., in no specific order, 1st Special Operations Wing Inspector General, 1SOSFS Confinement Officer/NCO and their chain of command. Detainees and Inmates must be visited by their unit commander or designated representative (at least monthly) and should be allowed to contact their unit First Sergeant. The Okaloosa County Department of Corrections must deny media personnel access to detainee/inmate unless coordinated by Hurlburt Field Confinement Officer/NCO/POC and the Hurlburt Field Public Affairs office. Additionally, the facility will prohibit photography or videography of Hurlburt Field detainee or inmate unless the detainee or inmate provides written consent. (10) The Okaloosa County Department of Corrections shall document and notify the 1 SOSFS Confinement Officer/NCO of meal refusal occurrences and placement into disciplinary segregation of Hurlburt Field detainees/inmates. 1SOSFS Confinement Officer/NCO will ensure these notifications are documented in the applicable Correctional Treatment File. (11) All required notifications will be directed to the 1SOSFS Confinement Officer/NCO, who can be reached during dutyhours (Monday -Friday, from 0730-1630) at (850) 884- 7478. During non-duty hours or as the situation dictates, contact the 1 SOSFS's 24-hour Base Defense Operations Center at (850) 884-7777. (12) In the event of a natural disaster/emergency. The detainee/inmate will remain in the custody of the Okaloosa County Department of Corrections unless it is determined personnel must evacuate the premises for safety. Close and early coordination must occur between the Okaloosa County Department of Corrections and the 1SOSFS Confinement Officer/NCO to prepare necessary logistical support to maintain positive accountability along with safe transport and relocation to another suitable facility. a. The Okaloosa County Department of Corrections is considered suitable shelter up to a category 3 hurricane. 1SOSFS Confinement Officer/NCO will only make arrangements to relocate the detainee/inmate if the possibility exists for a category 4 or higher hurricane. This determination must be made within a minimum of 48 hours prior to landfall. c. AGREEMENT AND ADMINISTRATION. This Agreement is issued for an indefinite period of time and shall remain in force until modified or terminated by mutual consent of the parties concerned.Each Party shall conduct periodic reviews of this Agreement to evaluate its effectiveness and determine if any modifications are needed. When practical, Memorandum of Agreement modifications and terminations should be made bilaterally and with sufficient advance notification to permit appropriate resource adjustments to be made during the budget formulation process. Both Parties must agree upon modifications determined to be mutually acceptable and practical. Modifications desired by either Party are to be requested in writing at least 120 days in advance of proposed effective date. If this Agreement is to be unilaterally terminated or suspended with less than 120 days written 5 Packet Pg. 866  notice to the other Party , the terminating Party may be billed by the non -terminating Party for reimbursement (of unavoidable termination) and reprocurement expenses incurred during the 120 day period following written notification. d. LIABILITY: In accordance with State law, Okaloosa County has sovereign immunity from suit. By entry into this Agreement, neither party expands its liability other than to each other in accordance with the provisions hereof. This Agreement does not create any third party rights to the benefits hereof, nor expand the liability of Okaloosa County or the Federal Government contractually to any third party beneficiary. Both parties continue to have sovereign immunity in accordance with State and Federal law. CHARLES K. WINDES, JR, Chairman WILLIAM P.WEST, Colonel, USAF Okaloosa County Board of Commissioners Commander Date: ------ Date: ------ 6 Packet Pg. 867 CONTRACT & LEASE INTERNAL COORDINATION SHEET Contract/Lease Number: Tracking Number: Contractor/Lessee Name: j,lSJtF t4f 2tZ,4_t rntt1nded: YES NO purpose fY)pA. q,4F Date/TermS________________________________ 1. GREATER THAN $50,000 Amount: jZQ.4YZ-y.i..k.. 2. GREATER THAN $25,000 Department: 0 $25,000 OR LESS Dept. Monitor Name: Document has been reviewed and includes any attachments or exhibits. Purchasing Review Procur ent requireme e et: Date:___________ Purc asingD ctoror designee Risk Management Review Approved as w tten: Date: Risk rvl'anager or designee Y ;,We, County AttorneReview Apoved as written. U-1 Date: County Atto Following Okaloosa County vat: - Contracts & Grants Document has been received: Date: Contracts & Grants Manager Packet Pg. 868