2017 Florida Regulations 62-552.200: Definitions
Effective date: 7/17/2017
For purposes of this rule chapter:
(1) “Act” means the Federal Safe Drinking Water Act, 42 USC Â§300f et seq., as amended, December 2002, hereby adopted and incorporated by reference. This document is available from the Department’s Drinking Water State Revolving Fund Program, 3900 Commonwealth Blvd., Tallahassee, Florida 32399-3000, or at http://www.flrules.org/Gateway/reference.asp?No=Ref-08362.
(2) “Asset management plan” means a systematic management technique for utility systems that focuses on the long-term life cycle of the assets and their sustained performance, rather than on short-term, day-to-day aspects of the assets. This plan includes the identification of and costs for rehabilitating, repairing, or replacing all assets as well as the schedule to do so. Subsection 62-552.700(7), F.A.C., provides details on the contents of the plan.
(3) “Capitalization grant project” means a project for which the project sponsor shall document compliance with specific federal requirements under subsection 62-552.700(1), F.A.C., in addition to the general requirements under subsections 62-552.700(2) through (6), F.A.C., to qualify for a loan. Capitalization grant project funding totals will be identified in an amount corresponding to the annual capitalization grant received by the Department from the United States Environmental Protection Agency (EPA).
(4) “Capitalized interest” means interest accruing at the loan interest rate and compounding annually from the time when disbursements are made until six (6) months before the first semiannual loan repayment is due.
(5) “Construction costs” means costs associated with allowable construction, equipment, materials, demolition, land acquisition, and system consolidation or regionalization.
(6) “Construction loan” means a financial assistance agreement to fund a drinking water construction project, equipment purchase, or system consolidation or regionalization. To be eligible for a construction loan, a planning document and plans and specifications must be accepted by the Department, the environmental review process described in Rule 62-552.680, F.A.C., must be complete, all required Department permits and authorizations must have been obtained, all necessary site certifications must have been submitted to the Department, and any other pertinent information deemed necessary for success of the project. For design/build projects, the approval of the procurement process shall be accepted in lieu of the plans, specifications, site certifications, and permits unless any portion of these documents are available at that time. The requirements for planning documents are described in subsection 62-552.700(2), F.A.C., and the requirements for plans and specifications are described in subsection 62-552.700(3), F.A.C.
(7) “Construction manager at risk” means a firm or other single entity that contracts with the project sponsor for a guaranteed maximum price for the work. The construction manager is responsible for performance under individual construction contracts.
(8) “Cost-effective” means the lowest present worth (or equivalent annual value) of the implementable and environmentally acceptable alternatives to achieve the project sponsor’s objectives considering capital costs as well as operation and maintenance costs.
(9) “Department” means the Department of Environmental Protection, Drinking Water State Revolving Fund Program, 3900 Commonwealth Blvd., Tallahassee, Florida 32399-3000. For electronic information requests and submittals, email SRF_Reporting@dep.state.fl.us.
(10) “Design/build” means a contracting procedure whereby a firm or other single entity contracts with the project sponsor for a fixed price or a cost-plus-a-fixed-fee with a guaranteed maximum price and is responsible for both design and construction of the project. The procurement process must be competitive best value or competitive qualifications based. For a competitive best value selection, the most advantageous proposal to the project sponsor is selected based on criteria that include price and other factors. For competitive qualifications based procurement, the qualifications of the responsible vendor are the primary consideration in the selection process and shall use open book accounting for this process.
(11) “Design loan” means a financial assistance agreement to fund design activities that will result in biddable, permittable plans and specifications for an eligible construction project. Design/build projects are not eligible for a design loan. Additionally, a planning document defining the scope of the project to be funded must have been accepted by the Department. The requirements for an acceptable planning document are described in subsection 62-552.700(2), F.A.C.
(12) “Financially disadvantaged community” means a municipality, county or agency (such as a county-wide department) thereof, franchised area, or other entity with a defined public water system service jurisdiction having a median household income of less than the statewide average. The median household income (MHI) data for loan recipients shall be updated on December 31st each year to adjust for economic changes in the state using the 5-year estimate established by the American Community Survey (ACS) (http://www.census.gov/programs-surveys/acs/data.html), computed as provided in the ACS publication, “American Community Survey Design and Methodology (January 2014)” (http://www.census.gov/programs-surveys/acs/methodology/design-and-methodology.html). The Department shall use the 5-year estimate from December 2016 for the 2017 MHI determinations and the data from the previous December of each year for subsequent determinations or from verifiable estimates.
(13) “Fiscal year” means the 12-month period between July 1 and the following June 30.
(14) “Fundable portion” means the portion of a priority list consisting of the projects to which funds allocated each year by the Department have been assigned.
(15) “Funds allocated each year by the Department” means funds that are available or expected to be available for loans during the fiscal year for which a priority list is being developed.
(16) “Interest rate” means the semiannual compounding rate at which charges are imposed on the unpaid principal, including capitalized interest, of a State Revolving Fund (SRF) loan as described in subsection 62-552.300(6), F.A.C. The interest rate for a loan shall not be less than zero percent.
(17) “Leveraged loan” means a loan issued by the Florida Water Pollution Control Financing Corporation (FWPCFC).
(18) “Loan Service Fee” means a fee paid by the project sponsor in an amount that ranges from two to four percent of the total loan amount less the portion of the loan for capitalized interest and shall not be included in the principal of the loan. The loan service fee shall be estimated at the time of execution of the loan agreement, revised with any increase or decrease amendment, and shall be finalized in the final loan amendment based on the total loan disbursed. The loan recipient shall pay the loan service fee from the first available repayments following the final amendment.
(19) “Planning loan” means a financial assistance agreement to perform the initial planning and administration for a project. The deliverable for this loan shall be a planning document. The requirements for the planning document are described in subsection 62-552.700(2), F.A.C. A planning loan shall not be used to acquire any interest in real property.
(20) “Planning portion” means the portion of the priority list consisting of projects that do not qualify for the fundable or waiting portion.
(21) “Pledged revenue” means revenue specifically approved by the Department and dedicated to the repayment of the loan.
(22) “Principal forgiveness” means the portion of a loan that does not have to be repaid.
(23) “Priority list” means the annual listing of Fundable, Waiting, and Planning portion projects.
(24) “Project” means the planning, design, or construction of any components or facilities associated with the supply, storage, transmission, treatment, disinfection, and distribution of drinking water, including rehabilitation. This includes components of a water/energy conservation project that meet EPA eligibility requirements. The scope of a project shall include those components or facilities that qualify for funding under this rule chapter.
(25) “Project costs” means costs for planning, design and construction, procurement of equipment and materials, contingency, demolition, legal, technical services, land acquistion, system consolidation or regionalization, capitalized interest, and implementation of a qualifying conservation project.
(26) “Project sponsor” means an entity that owns a public water system that seeks or obtains financial assistance under this rule chapter.
(27) “Public water system” means a system for the provision to the public of water for human consumption through pipes or, after August 5, 1998, other constructed conveyances, if such system has at least fifteen service connections or regularly serves an average of at least twenty-five individuals daily at least sixty days out of the year.
(28) “Request for inclusion” means completed form RFI-DW1, Request for Inclusion on the Drinking Water Priority List, effective July 17, 2017, hereby adopted and incorporated by reference. This form is available from the Department’s Drinking Water State Revolving Fund Program, 3900 Commonwealth Blvd., Tallahassee, Florida 32399-3000, or at http://www.flrules.org/Gateway/reference.asp?No=Ref-08361.
(29) “Segment cap” means the maximum amount available to any one sponsor during a fiscal year. The segment cap amount shall be established at a public meeting approving the priority list and shall be less than or equal to 25 percent of the funds available. Adjustments to the segment cap amount shall be made at a list management public meeting if additional funds become available and all projects eligible for placement on the fundable portion of the priority list at the most recent list approval or list management public meeting have been funded.
(30) “Service area” means all connections and proposed connections to be served by the project sponsor’s public water system. Population of the service area shall be calculated by multiplying the number of service connections by the number of persons per connection. Persons per connection shall be calculated by dividing the community population by the number of households. The community population and number of households will be determined using the ACS 5-year estimate calculated as provided in subsection 62-552.200(12), F.A.C.
(31) “Small community” means a municipality or unincorporated community or other identifiable entity with a total service area population of less than 10,000.
(32) “Useful life” means for land — 100 years; conveyance pipes — 50 years; other structures such as buildings and tankage — 30 to 50 years; process equipment — 15 to 20 years; and auxiliary equipment such as power generators and controls — 10 to 15 years.
(33) “Waiting portion” means the portion of a priority list consisting of projects that are qualified to be on the fundable portion but cannot be placed on the fundable portion until there are sufficient funds.
(34) The following terms and phrases used throughout this rule chapter have the meaning given these words in Section 287.012, 403.8532, or 403.852, F.S.: best value, Florida Water Pollution Control Financing Corporation (also referred to as FWPCFC), and local governmental agencies.
Rulemaking authorized by Florida Statutes § 403.8532. Implements Florida Statutes § 403.852, 403.8532. History—New 4-7-98, Amended 8-10-98, 7-20-99, 7-17-17.