As a barrier island, with relatively low average land heights above sea level, Palm Beach is particularly susceptible to storm and rainfall events including tropical storms, hurricanes and related flooding. The Town experienced a devastating flood over Thanksgiving 2000, and after much planning and public discussion, the Town embarked on a Storm Drainage Plan in 2002. However, due to recent property tax reforms and a subsequent 5 percent cut in the Town’s tax rate, the “Pay-As-You-Go” program can no longer be supported on a cash basis out of the Town’s capital improvement fund.

The Town seeks $13 million in general obligation bonds to complete the improvements outlined in the Storm Drainage Plan. A referendum date of December 18, 2007 has been set for voters to decide whether to assume the debt in order to complete the Storm Drainage Plan.

Currently, the ground floors of many homes in Palm Beach are vulnerable to flooding if another large storm comes through the area. Flooding could cause extensive property damage, and could prohibit access to roads for emergency management vehicles. The Town Council wants to continue the Storm Drainage Plan to minimize flooding and increase storm protection in the area. The program cannot be completed in a reasonable amount of time, while complying with state property tax reduction mandates, without public approval of the proposed funding.

The first five years of the program allowed the Town to complete construction of stormwater drainage sites on Everglade Avenue, North Lake Way, Tangier Avenue and Country Club Road. For a map of where drainage improvements already have been completed and where they remain to be implemented, click here.

However, additional work is required to seamlessly link the entire North End of the town and to reduce the threat of flooding to residents and property. If funding is approved, work is scheduled for May 2008. Work would take place during the off-season between May and November for the next six years in order to minimize the impact of construction on traffic and residents. Construction is expected to be complete by the end of 2013.

The drainage program involves constructing a series of stormwater pump stations and upgrading stormwater collection systems with new larger diameter pipes, manholes and drain inlets. The system is designed to minimize the number of houses that would be flooded due to stormwater and rainfall events or a tropical storm or hurricane. For a list of scheduled work sites, click here.

The preliminary estimated cost to complete the Storm Drainage Plan is $13 million. The cost would be paid by taxpayers through 30-year general obligation bonds with annual payments (Schedule A tax deductible, if applicable) based on the taxable value of each property.

As of the fiscal year ending September 30, 2007, the capital improvement fund balance available for drainage was $4.4 million. This funding is earmarked for drainage improvements identified in the Storm Drainage Plan, but the additional funding being requested for voter approval is needed to complete the Plan. The funding proposed in the general obligation bond referendum is $13 million. Based on the approval of a $13 million general obligation bond, the drainage plan would have an annual cost to residents of $66 per $1 million of taxable property value. That breaks down to an estimated daily cost of approximately $0.18 per $1 million of taxable property value.

The Storm Drainage Plan was originally approved by the Town Council in 2002 and funded by “Pay-As-You-Go” monies from the capital improvement funds, which were funded in large part with property taxes. Due to recent property tax reforms and a subsequent state mandated 5 percent cut in the Town’s tax rate, there is no longer enough revenue in the Town’s capital improvement fund to complete the drainage project and meet the State’s new budget reduction requirements. It is estimated this bond will allow the Town to complete the drainage work outlined in the plan and that no additional funding will be required for this particular construction project.

Timeline

If funding is approved, the project is scheduled for May 2008, with the goal of completion by November 2013. Completing the program is estimated to require a maximum of six off-season construction periods to complete.

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Process

The process of improving stormwater drainage involves constructing a series of stormwater pump stations and collection systems with manholes, larger diameter pipes and drain inlets. These improvements move excess water off of and away from the streets, before it can back up and flood buildings.

During construction the road right-of-way would be closed, where necessary, to allow work crews to install new drain inlets and upgrade the existing stormwater collection system. The system will be designed to meet new drainage service guidelines adopted by the Town Council, and to minimize the number of houses that would be flooded due to storm and rainfall events including tropical storms or hurricanes.

The work would be done in pre-determined phases, each including the installation of pipes in the street. Excavation equipment would be used to remove portions of the road and install larger diameter pipes. Pump stations would be upgraded to handle increased volumes of stormwater. The pipes would typically discharge water to the Intracoastal Waterway, eventually funneling the water to the ocean. Once the pipes are installed in a particular phase, that section of road would be patched or repaved for the full width, depending on the extent of excavation.

Although the streets may still collect water in the event of a major storm, after completion of the project fewer homes should take on water. Specifically, the portion of the system in question would provide protection for homes at a first floor elevation of 5 feet and above in Basin D-4, Basin D-8, and Basin D-10. It would also provide first floor protection for homes at elevation 5 feet 5 inches in Basin D-2 and 6 inches in Basin D-9. For a map of the locations where protection will be provided, click here.

If Palm Beach voters approve the requested funding, construction is scheduled in Basin D-8 and Basin D-9 first. For a list of scheduled work sites, click here.

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Benefits

Improving the Town’s stormwater drainage system provides two primary benefits to our community: preventing property damage caused by storm-related flooding and preserving access to roads for emergency vehicles.

The primary benefit to residents is the reduced risk of flood waters damaging personal property, such as homes, landscaping, furniture and belongings inside of homes, and other items such as vehicles that may be permanently damaged by flood waters.

In addition, the improved drainage will facilitate access for emergency vehicles in the aftermath of a severe storm or hurricane. Without completion of the Storm Drainage Plan, heavy flooding on the town’s roads may prevent emergency vehicles from reaching homes and businesses where residents need assistance.

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Concerns

The primary concerns residents may have with the stormwater drainage improvement program are cost, method of payment, proximity and construction.

Cost
In order to complete the Storm Drainage Plan, the Town of Palm Beach requires $13 million. This estimate equals an annual cost to residents of $66 per $1 million of taxable property value, or an estimated daily cost of approximately $0.18 per $1 million of taxable property value.

Method of Payment
If the project funding is approved in the December 18, 2007 referendum, taxpayers will assume the debt of $13 million in general obligation bonds with annual payments (Schedule A, tax deductible, if available) based on the taxable value of each property. It has been determined by the Town Council that bonds are required to fund the completion of drainage work, as the Town’s reduced post-property tax reform tax rate can no longer sustain “Pay-As-You-Go” funding for drainage improvements of this extent. Without issuance of general obligation bonds to fund drainage improvements, the Town will be unable to complete this project in a reasonable amount of time, while complying with state property tax mandates.

Proximity
Residents not residing in the proposed improvement area may question taking on debt to fund drainage improvements primarily slated for the North End. There are two considerations to that concern: