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ITEM: RESOLUTION NO. R2025-59 (FY25 UTILITY BUDGET AMENDMENT FOR PFAS PUBLIC WATER SYSTEM SETTLEMENT PAYMENTS)
A RESOLUTION OF WELLINGTON, FLORIDA'S COUNCIL AMENDING THE FISCAL YEAR 2024-2025 UTILITY BUDGET FOR THE PFAS PUBLIC WATER SYSTEM SETTLEMENT PAYMENTS TO FUND MEMBRANE PLANT UPGRADE PROJECTS; AND PROVIDING AN EFFECTIVE DATE.
REQUEST: Approval of Budget Amendment Resolution No. R2025-59 to assign $4,447,905.85 from PFAS settlement payments to the Utility Capital Budget for the purposes of funding membrane plant upgrade projects.
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EXPLANATION: In 2023, the Village of Wellington retained outside legal counsel to pursue claims for PFAS contamination, including in its groundwater and drinking water system, against the manufacturers of products containing PFAS compounds. To date, the Village has received 2 payouts from the 3M settlement, an initial payout of $1,463,529.80 and a 2nd payment of $2,984,376.05. These initial payments do not include any payments from Dupont, Tyco, or BASF settlements. Future payouts will be processed as future budget amendments as they are received.
This Budget Amendment proposes to add these funds to the Utility Capital budget for the funding of water plant capital projects related to membrane plant expansion and upgrades. The Utilities Department current capital plan proposes a phased plan for a full replacement of all lime softening treatment with nanofiltration membrane treatment. Nanofiltration membrane treatment technology is an EPA "best available technology" for the removal of PFAS compounds.
BUDGET AMENDMENT REQUIRED: YES
PUBLIC HEARING: NO QUASI-JUDICIAL:
FIRST READING: SECOND READING:
LEGAL SUFFICIENCY: YES
FISCAL IMPACT: Approval of the amendment will add $4,447,905.85 to the Utility Fund capital budget in the membrane plant upgrade projects.
WELLINGTON FUNDAMENTAL: Protecting our Investment
RECOMMENDATION: Approval of Resolution No. R2025-59 to approve Budget Amendment #...
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