FELLSMERE — The Fellsmere City Council is moving forward with plans to establish a natural gas service area that includes territory outside the city’s limits over concerns from Indian River County officials. The county’s attorney and finance director approached the council Thursday evening, asking they hold off on their plans until the city has a chance to address the county’s concerns.
Finance Director Jason Brown and County Administrator Joe Baird raised the issue at Tuesday’s Board of County Commissioners meeting, telling commissioners that they feared the City of Fellsmere would create a situation similar to that of the City of Vero Beach’s electric utility – where unincorporated residents would be hostage to a city.
They said what Fellsmere is considering would be tantamount to “taxation without representation.”
“This is very dangerous,” Baird told commissioners on Tuesday.
On Thursday, Fellsmere City Manager Jason Nunemaker shared with the City Council a memo from Brown to Baird in which Brown refers to the city’s plan as a “cynical scam by the city of Fellsmere to levy a tax on property owners outside their limits and fund City operations with the money.”
He goes on to say, “Fellsmere is just beginning this process (establishing the service area) which is only a fleecing of unincorporated area residents.”
Brown addressed the council Thursday, saying that the county is seeking more information.
“We want to work together in the process,” he said.
Nunemaker told the council that he hoped Thursday evening’s discussion could avoid the “hyperbolic” rhetoric the county’s staff has used.
Nunemaker informed the council, as well as County Attorney Alan Polackwich and Brown, who were in attendance, that the plan is to establish a large enough service area to attract a natural gas company to provide such service.
This is “one of the most significant steps,” Nunemaker said to moving the city forward in its effort to generate economic development and attract businesses.
To address the “taxation without representation” concern from the county, Nunemaker said the Florida Public Service Commission would be tasked – as it already is – to regulate the natural gas company. The city, itself, would not have any control over the rates the company would set.
Also, Fellsmere would have no plan to require residents and businesses in the service area to connect to natural gas. Instead, they would be able to individually decide whether or not to sign up.
Nunemaker told the City Council that, if not for the city’s efforts, no one in northwestern Indian River County would have the option for natural gas. He explained that Florida City Gas, which currently serves some portions of the county, has not expanded its service area into northwest Indian River County.
Polackwich asked the Fellsmere City Council to hold off on its second reading and public hearing, currently scheduled for July 5, to give him time to sit down with the city’s staff to address the concerns that county has.
He pointed to the success the city and county attained when both sides were willing to sit down and come up with a workable solution pertaining to the fire hydrant maintenance issue.
“The last thing in the world I want to see is us start talking about legal actions,” Polackwich told the council.
The Fellsmere City Council decided not to hold off, but offered that they would consider delaying on July 5 if concerns were not adequately addressed in time.
Mayor Susan Adams told Polackwich that she believed delaying the reading and hearing “jumps the gun” when the two staffs have two weeks to work something out.
She added that she believes the problems the county has with Fellsmere’s plan stem from misinformation and misunderstanding – both of which should be easily overcome.
During Tuesday’s Board of County Commission meeting, commissioners agreed to send county staff to the Fellsmere City Council meeting to address the staff’s concerns and go in a spirit of cooperation.
Commissioner Wesley Davis, whose district includes the City of Fellsmere, cautioned both staff and his fellow commissioners that there might be a valid reason why the city needs to create such a large service area and to not jump to conclusions.
Commissioner Peter O’Bryan agreed, noting that he had spoken to Nunemaker, who had explained to him that the city needs a large enough area with enough customers to attract a natural gas company.
Fellow Commissioner Joe Flescher said there could be an opportunity for the city and county to partner on the natural gas endeavor to spur on economic development both within and outside the city.
“We could be great partners,” he said, adding that the county should not be an adversary and attack.
Commission Chair Gary Wheeler told the county staff that it is his hope that both parties can work together to resolve the matter “without friction.”
“We need to know what the facts are,” he said, “and not our imagination.”
Wheeler later added, “We’re not trying to win a battle here. We’re trying to prevent a war.”
