Discussion
of Issues
Issue 1:
Should the transfer of Certificate Nos. 600-W and
516-S in Polk County from Orchid Springs Development Corporation to
CSWR-Florida Utility Operating Company, LLC be approved?
Recommendation:
Yes. The transfer of the water and wastewater systems
and Certificate Nos. 600-W and 516-S is in the public interest and should be
approved effective the date that the sale becomes final. The resultant Order
should serve as the Buyer’s certificate and should be retained by the Buyer. The
Buyer should submit the executed and recorded deed for continued access to the
land upon which its facilities are located, copies of its permit transfer
application, and a copy of its signed and executed contract for sale to the
Commission within 60 days of the Order approving the transfer, which is final
agency action. If the sale is not finalized within 60 days of the transfer
Order, the Buyer should file a status update in the docket file. The Utility’s existing
rates, initial customer deposits, violation reconnection charge, late payment
charge, and NSF charge are shown on Schedule No. 2, and should remain in effect
until a change is authorized by the Commission in a subsequent proceeding. The
tariff pages reflecting the transfer should be effective on or after the
stamped approval date on the tariff sheets, pursuant to Rule 25-30.475(1), Florida
Administrative Code (F.A.C.). The Utility is current with respect to regulatory
assessment fees (RAFs) and annual reports through December 31, 2024. Based on
the application, the Seller will be responsible for RAFs and annual reports
until closing. The Buyer should be responsible for filing annual reports and
paying RAFs for all future years. (Olivieri, York, Chambliss)
Staff Analysis:
Legal Standard
Transfers of
certificates are governed by Section 367.071, F.S. and by Rule 25-30.037,
F.A.C. The statute provides that the Commission may approve the transfer if it
is in the public interest and the transferee will fulfill the commitments,
obligations, and representations of the utility. To demonstrate that the
transferee can do so, the rule requires the transferee to show the financial
and technical ability to operate the utility.
Analysis
On September
2, 2025, CSWR – Orchid Springs filed an application for the transfer of
Certificate Nos. 600-W and 516-S from Orchid Springs to the buyer, CSWR –
Orchid Springs, in Polk County. The application is in compliance with Section
367.071, F.S., and Commission rules concerning applications for transfer of
certificates. The sale to CSWR – Orchid Springs will become final after
Commission approval of the transfer, pursuant to Section 367.071(1), F.S.
Noticing, Territory, and Land Ownership
CSWR –
Orchid Springs provided notice of the application pursuant to Section 367.071,
F.S., and Rule 25-30.030, F.A.C. No objections to the transfer were filed, and
the time for doing so has expired. The application contains a description of
the Utility’s authorized service territory, which is appended to this
recommendation as Attachment A. Pursuant to Rule 25-30.037(2)(s), F.A.C., CSWR
– Orchid Springs provided an unrecorded warranty deed as evidence that the Buyer will have rights to long-term use of the land
upon which the treatment facilities are located. CSWR – Orchid Springs committed
to providing the executed and recorded deed to the Commission within 60 days of
the Order approving this transfer.
Facility Description and Compliance
The Utility’s
water system consists of one operational well and one deactivated well on
reserve, two hydropneumatic ground tanks, and a total of 22,850 feet of water
mains varying in diameter from 2 inches to 8 inches. Orchid Springs is permitted to
withdraw up to 576,000 gallons of water per day.
The Utility’s wastewater system consists of four lift stations, 32 manholes, 18,020
feet of collecting mains, and 3,400 feet of force mains. As
stated in the case background, Orchid Springs no longer has a WWTP and
wastewater treatment is purchased from the City of Winter Haven. CSWR – Orchid
Springs provided a copy of Orchid Springs’ current permit from the SWFWMD
pursuant to Rule 25-30.037(2)(r)1, F.A.C. The Buyer committed to providing a
copy of its permit transfer application, reflecting the change in ownership, to
the Commission within 60 days of the Order approving this transfer.
Staff reviewed the Utility’s most recent sanitary survey,
dated January 27, 2022. The Utility was found to be in compliance with the Department
of Environmental Protection (DEP).
Purchase Agreement and Financing
Pursuant to Rule 25-30.037(2)(i) and (j), F.A.C., the
application contains a statement regarding financing and a copy of the purchase
agreement, which includes the purchase price, terms of payment, and a list of
the assets purchased. There are no guaranteed revenue contracts or customer
advances of Orchid Springs that must be disposed of in regard to the transfer. CSWR
– Orchid Springs will review all leases and developer agreements and will
assume or renegotiate those agreements on a case-by-case basis prior to
closing. Any customer deposits will be refunded to customers by the Seller
prior to the closing. According to the purchase and sale agreement, the total
purchase price for the water and wastewater assets is $500,000. According to
the Buyer, the closing has not yet taken place and is dependent on Commission
approval of the transfer.
Technical and Financial Ability
Pursuant to Rule 25-30.037(2)(1) and (m), F.A.C., the
application contains statements describing the technical and financial ability
of the Buyer to provide service to the proposed service area. As referenced in
the transfer application, the Buyer will fulfill the commitments, obligations,
and representations of the Seller with regard to Utility matters. CSWR – Orchid Springs’ application
states that it owns and operates water and wastewater systems in Florida,
Missouri, Arkansas, Kentucky, Texas, Louisiana, Tennessee, Mississippi,
Arizona, South Carolina, and North Carolina that currently serve more
than 190,000 water and 257,500 wastewater customers. CSWR - Orchid Springs
currently owns and operates eleven utilities certificated by the Commission. The Buyer plans to use qualified
and licensed contractors to provide routine operation and maintenance of the
systems, as well as to handle billing and customer service. The Buyer
stated that the purchasing entity was created for the purpose of acquiring and
operating water and wastewater systems in Florida as a public utility. In its
application, the parent company of CSWR – Orchid Springs, Central States Water
Resources, Inc., provided financial statements for itself and its subsidiaries,
including CSWR – Orchid Springs, as well as an affidavit stating its ability
and intent to meet all reasonable capital needs arising from the operation of
the Utility. Staff has reviewed the parent company’s financial statements.
Based on the above, the Buyer has demonstrated the technical and financial
ability to provide service to the existing service territory.
Rates, Charges, and
Initial Customer Deposits
Orchid Springs’ rates and
miscellaneous service charges, with the exception of the late payment charges, were
last approved in 2018 in a limited proceeding rate case. The
late payment charges were approved in 2015 in a staff assisted rate case.
The Utility’s initial customer deposits were approved in 1998 for its water
system and in 2016 for its wastewater system.
The Utility has no service availability charges for water or wastewater. Subsequently,
the rates have been amended by seven price index rate adjustments. Rule
25-9.044(1), F.A.C., provides that, in the case of a change of ownership or
control of a utility, the rates, classifications, and regulations of the former
owner must continue unless authorized to change by the Commission.
In regard to the Utility’s existing miscellaneous service
charges, the violation reconnection, late payment, and non-sufficient funds
(NSF) charges are appropriate. However, the remaining miscellaneous service
charges do not conform to Rule 25-30.460, F.A.C., and are discussed in Issue 3.
Therefore, staff recommends that the Utility’s existing rates, initial customer
deposits, violation reconnection charge, late payment charge, and NSF charge as
shown on Schedule No. 2 should remain in effect until a change is authorized by
the Commission in a subsequent proceeding. The tariff pages reflecting the
transfer should be effective on or after the stamped approval date on the
tariff sheets pursuant to Rule 25-30.475(1), F.A.C.
Regulatory Assessment Fees and Annual Reports
Staff has verified that the Utility is current on the
filing of annual reports and RAFs through December 31, 2024. The Seller will continue
to be responsible for filing the Utility’s annual reports and paying RAFs, until
the closing of the sale. After the closing, the Buyer will be responsible for
all future years.
Conclusion
Based on the foregoing, staff recommends that the transfer
of the water and wastewater systems and Certificate Nos. 600-W and 516-S is in
the public interest and should be approved effective the date that the sale
becomes final. The resultant Order should serve as the Buyer’s certificate and
should be retained by the Buyer. The Buyer should submit the executed and
recorded deed for continued access to the land upon which its facilities are
located, copies of its permit transfer application, and a copy of its signed
and executed contract for sale to the Commission within 60 days of the Order
approving the transfer, which is final agency action. If the sale is not
finalized within 60 days of the transfer Order, the Buyer should file a status
update in the docket file. The Utility’s existing rates, initial customer
deposits, violation reconnection charge, late payment charge, and NSF charge as
shown on Schedule No. 2 should remain in effect until a change is authorized by
the Commission in a subsequent proceeding. The tariff pages reflecting the
transfer should be effective on or after the stamped approval date on the
tariff sheets, pursuant to Rule 25-30.475(1), F.A.C. The Utility is current
with respect to RAFs and annual reports through December 31, 2024. Based on the
application, the Seller will be responsible for RAFs and annual reports until
closing. The Buyer should be responsible for filing annual reports and paying
RAFs for all future years.
Issue 2:
What is the appropriate Net Book Value for the
Orchid Springs Development Corporation’s water and wastewater system for
transfer purposes?
Recommendation:
The NBV of the water and wastewater
system for transfer purposes is $26,968 for water and $28,815 for wastewater as
of September 2, 2025. Within 90 days of the date of the Final Order, CSWR –
Orchid Springs should be required to notify the Commission in writing that it
has adjusted its books in accordance with the Commission’s decision. The
adjustments should be reflected in the Utility’s 2026 Annual Report when filed.
The Buyer is not requesting a positive acquisition adjustment as part of this
transfer docket, but may petition for a for a positive acquisition adjustment
within the three years established in Rule 25-30.0371, F.A.C. (York,
McClelland, Vogel)
Staff Analysis:
Rate base for the water and wastewater
systems were last established for the Utility as of December 31,
2014, by Order No. PSC-15-0569-PAA-WS.
The purpose of establishing NBV for transfers is to determine whether an
acquisition adjustment should be approved. The Buyer has not requested an
acquisition adjustment at this time; however, CSWR – Orchid Springs
states that it reserves the right to petition for a positive acquisition
adjustment within three years of the approval of the transfer under Rule
25-30.0371, F.A.C. The NBV does not include normal ratemaking adjustments for
used and useful plant or working capital. The Utility’s NBV has been updated to
reflect balances as of September 2, 2025.
Utility Plant In Service (UPIS)
The Utility’s general ledger reflected
a water plant balance of $309,962 as of September 2, 2025. Audit staff
determined that the correct water plant balance is $319,951. The $9,990
variance reflects additions and retirements identified by audit staff. In
addition, the Utility reported a wastewater plant balance of $651,585 as of
September 2, 2025. However, audit staff determined that the correct wastewater
plant balance is $560,489, reflecting additions and retirements identified by
audit staff. As a result, water plant should be increased by $9,990, and
wastewater plant should be reduced by $91,096. As such, staff recommends a water
plant balance of $319,951 and a wastewater plant balance of $560,489.
Land
In Order No. PSC-15-0569-PAA-WS, the land balances for
water and wastewater were $1,682 and $0, respectively. However, the Utility’s
general ledger reflected land balances of $480 for water and $58,860 for
wastewater. The Utility stated that these discrepancies resulted from a change
in accounting staff responsible for Orchid Springs and that the necessary land
value adjustments were not made. Audit staff adjusted the land balances for
both water and wastewater in accordance with the prior Commission Order. As
such, staff recommends a land balance of $1,682 for water and a land balance of
$0 for wastewater.
Accumulated Depreciation
The Utility’s general ledger reflected an accumulated
depreciation balance of $278,092 for water and $489,019 for wastewater. Audit
staff recalculated accumulated depreciation using the audited UPIS plant
balances and the depreciation rates established by Rule 25-30.140(2), F.A.C.
Audit staff determined accumulated depreciation for water to be understated by
$16,573 and wastewater to be overstated by $12,216. Staff further recalculated
accumulated depreciation for wastewater to be $479,590, to properly reflect the
balance for Account 355 – Power Generation Equipment. As a result, accumulated depreciation
should be increased by $16,573 for water and decreased by $9,429 for wastewater.
As such, staff recommends an accumulated depreciation balance of $294,665 for
water and $479,590 for wastewater, as of September 2, 2025.
Contributions-in-Aid-of-Construction (CIAC) and
Accumulated Amortization of CIAC
Audit staff noted that the Utility’s wastewater system
received a donated power generator valued at $64,000 from the City of Winter
Haven in April 2022. The Utility recorded the asset in Account 355 – Power
Generation Equipment, but did not record a corresponding increase to CIAC.
Audit staff increased CIAC Account 271 by $64,000 and determined the
accumulated amortization of CIAC balance for wastewater should be $9,098.
Commission staff further recalculated the accumulated amortization of CIAC to
be $11,917. Staff recommends a balance of $64,000 for CIAC and a balance of
$11,917 for accumulated amortization of CIAC.
Net Book Value
The Utility’s general ledger reflected an NBV of $32,350
for water and $221,426 for wastewater, as of September 2, 2025. Based on the
adjustments above, staff recommends an NBV for the Utility of $26,968 for water
and $28,815 for wastewater, as of September 2, 2025.
Conclusion
Based on the above, staff recommends that, for transfer
purposes, the NBV of the Utility’s water system is $26,968, and the NBV of the
wastewater system is $28,815, as of September 2, 2025. Within 90 days of the
date of the final order, the Buyer should be required to notify the Commission
in writing that it has adjusted its books in accordance with the Commission’s
decision. The adjustments should be reflected in the Utility’s 2026 Annual
Report when filed. The Buyer is not requesting a positive acquisition
adjustment as part of this transfer docket, but may petition for a for a
positive acquisition adjustment within the three years established in Rule
25-30.0371, F.A.C.
Issue 3:
Should CSWR-Florida Utility Operating Company, LLC’s
miscellaneous service charges be revised to conform to Rule 25-30.460, F.A.C.?
Recommendation:
Yes. Staff recommends the miscellaneous service
charges be revised to conform to Rule 25-30.460, F.A.C. The tariff should be
revised to reflect the removal of initial connection and normal reconnection
charges. CSWR – Orchid Springs should be required to file a proposed customer
notice to reflect the Commission-approved charges. The approved charges should
be effective on or after the stamped approval date on the tariff sheet pursuant
to Rule 25-30.475(1), F.A.C. In addition, the approved charge should not be
implemented until staff has approved the proposed customer notice and the
notice has been received by customers. The Utility should provide proof of the
date notice was given, no less than 10 days after the date of the notice. CSWR
– Orchid Springs should be required to charge the approved miscellaneous
services charges until authorized to change them by the Commission in a
subsequent proceeding. (Chambliss)
Staff Analysis:
The
Utility did not request to revise its existing miscellaneous service charges.
Section 367.091, F.S., authorizes the Commission to establish, increase, change
a rate, or charge other than monthly rates or service availability charges. The
Utility’s miscellaneous service charges include an initial connection and
normal reconnection charges. Rule 25-30.460, F.A.C., does not allow for initial
connection and normal reconnection charges. The definitions for initial
connection charges and normal reconnection charges were subsumed in the
definition of the premises visit charge. Therefore, staff recommends that the
initial connection and normal reconnection charges be removed and the
definition for the premises visit charge be updated to comply with Rule
25-30.460, F.A.C. The charges needing to be revised are shown below in Table 3-1.
Table 3-1
Miscellaneous Service Charges to Be Revised
|
|
Water/Wastewater
Existing
|
Water/Wastewater
Staff Recommended
|
|
|
Water
|
Wastewater
|
Water
|
Wastewater
|
|
Initial
Connection Charge
|
$15.00
|
$15.00
|
N/A
|
N/A
|
|
Normal
Reconnection Charge
|
$15.00
|
$15.00
|
N/A
|
N/A
|
|
Premises
Visit Charge
|
$15.00
|
$15.00
|
$15.00
|
$15.00
|
Conclusion
Based on the above, staff recommends the miscellaneous
service charges be revised to conform to Rule 25-30.460, F.A.C. The tariff
should be revised to reflect the removal of initial connection and normal
reconnection charges. CSWR – Orchid Springs should be required to file a
proposed customer notice to reflect the Commission-approved charges. The
approved charges should be effective on or after the stamped approval date on
the tariff sheet pursuant to Rule 25-30.475(1), F.A.C. In addition, the
approved charge should not be implemented until staff has approved the proposed
customer notice and the notice has been received by customers. The Utility
should provide proof of the date notice was given, no less than 10 days after
the date of the notice. CSWR – Orchid Springs should be required to charge the
approved miscellaneous services charges until authorized to change them by the
Commission in a subsequent proceeding.
Issue 4:
Should this docket be closed?
Recommendation:
Yes. If no protest to the proposed agency action is
filed by a substantially affected person within 21 days of the date of the
issuance of the Order, a Consummating Order should be issued and the docket
should be closed administratively upon Commission staff’s verification that the
revised tariff sheets have been filed, that proof has been provided that
appropriate noticing has been done pursuant to Rule 25-30.475, F.A.C., the
Buyer has notified the Commission in writing that it has adjusted its books in
accordance with the Commission’s decision, the Buyer has submitted the executed
and recorded warranty deed, that the Buyer has submitted a copy of its
application for permit transfer to the DEP, and that the Buyer has submitted a
signed and executed copy of its contract for sale within 60 days of the
Commission’s Order approving the transfer. (Thompson)
Staff Analysis:
If no protest to the proposed agency action is filed
by a substantially affected person within 21 days of the date of the issuance
of the Order, a Consummating Order should be issued and the docket should be
closed administratively upon Commission staff’s verification that the revised
tariff sheets have been filed, that proof has been provided that appropriate
noticing has been done pursuant to Rule 25-30.475, F.A.C, the Buyer has
notified the Commission in writing that it has adjusted its books in accordance
with the Commission’s decision, the Buyer has submitted the executed and
recorded warranty deed, that the Buyer has submitted a copy of its application
for permit transfer to the DEP, and that the Buyer has submitted a signed and
executed copy of its contract for sale within 60 days of the Commission’s Order
approving the transfer.
CSWR-Florida Utility Operating Company,
LLC
Polk County
Orchid Springs Village Water and Wastewater
Service Area
TRACT A: STARTING AT THE NORTHEAST CORNER
OF SECTION 35, TOWNSHIP 28 SOUTH, RANGE 26 EAST, RUN THENCE SOUTH
00E22'00" EAST ALONG THE EAST BOUNDARY OF SECTION 35 ADISTANCE OF 580.8
FEET TO A CONCRETE MARKER FOR THE POINT OF BEGINNING; RUN THENCE SOUTH
00E22'00" EAST ALONG THE EAST BOUNDARY OF SECTION 35 A DISTANCE OF 1414.2
FEET; THENCE NORTH 89E44'00" EAST A DISTANCE OF 560 FEET; THENCE NORTH
33E58'00" EAST A DISTANCE OF 1000 FEET; THENCE NORTH 4OE11'OO" WEST A
DISTANCE OF 1826.13 FEET; THENCE NORTH 60E57'00" WEST A DISTANCE OF 467
FEET TO THE EASTERLY RIGHT-OF-WAY BOUNDARY OF COUNTY ROAD 550; THENCE SOUTH
29E03'00" WEST ALONG THE EASTERLY RIGHT-OF-WAY OF COUNTY ROAD 550 A
DISTANCE OF 1195 FEET; THENCE NORTH 89E44'00" EAST A DISTANCE OF 1038.76
FEET TO THE POINT OF BEGINNING, AND
TRACT B: NORTH 420 FEET OF THE SOUTH
749.20 FEET OF THE NORTHEAST QUARTER OF THE NORTHEAST QUARTER OF SECTION 35,
TOWNSHIP 28 SOUTH, RANGE 26 EAST, LYING EAST OF THE RIGHT-OF-WAY OF COUNTY ROAD
550, CONTAINING APPROXIMATELY 11.16 ACRES. ALSO THE 122 FEET IMMEDIATELY EAST
OF THE ABOVE-DESCRIBED PROPERTY WHICH WAS CLOSED AS A ROAD BY POLK COUNTY
COMMISSIONERS, RESOLUTION RECORDED IN OFFICIAL RECORDS BOOK 1067, PAGE 823.
TRACT #2: ALL THAT PART OF THE WEST HALF
OF THE SOUTHWEST QUARTER OF THE SOUTHWEST QUARTER OF SECTION 25, TOWNSHIP 28
SOUTH, RANGE 26 EAST, AND THE EAST HALF OF THE SOUTHEAST QUARTER OF THE
SOUTHEAST QUARTER, SECTION 26, TOWNSHIP 28 SOUTH, RANGE 26 EAST, LYING
SOUTHEASTERLY AND SOUTHERLY OF THE RIGHT-OF-WAY OF COUNTY ROAD 550, AND LYING
NORTHERLY OF A LINE DESCRIBED AS FOLLOWS: STARTING AT THE CORNER COMMON TO
SECTIONS 25, 26, 35, AND 36, TOWNSHIP 28 SOUTH, RANGE 26 EAST, POLK COUNTY,
FLORIDA, RUN THENCE NORTH 89E46'00" EAST ALONG THE SOUTH BOUNDARY OF SAID
SECTION 25 A DISTANCE OF 148.78 FEET FOR THE POINT OF BEGINNING; THENCE RUN
NORTH 4OE11'OO" WEST A DISTANCE OF 303.13 FEET, THENCE NORTH
60E57'00" WEST A DISTANCE OF 467 FEET TO A CONCRETE MARKER LOCATED ON THE
EASTERLY RIGHT-OF-WAY BOUNDARY OF COUNTY ROAD 550 AT A POINT 459.05 FEET NORTH
AND 454.77 FEET WEST OF THE COMMON CORNER ABOVE DESCRIBED FOR THE END OF SAID
LINE. SUBJECT TO RIGHTS-OF-WAY AS OF RECORD AND/OR IN USE.
TRACT #3: THE SOUTH HALF OF THE SOUTHEAST
QUARTER OF THE NORTHEAST QUARTER, SECTION 35, TOWNSHIP 28 SOUTH, RANGE 26 EAST,
AND THAT PART OF THE NORTHWEST QUARTER OF SECTION 36, TOWNSHIP 28 SOUTH, RANGE
26 EAST, POLK COUNTY, FLORIDA, DESCRIBED AS: STARTING AT THE NORTHWEST CORNER
OF SECTION 36, TOWNSHIP 28 SOUTH, RANGE 26 EAST, RUN THENCE NORTH
89E46'00" EAST ALONG THE NORTH BOUNDARY OF SECTION 36 A DISTANCE OF 148.78
FEET FOR A POINT OF BEGINNING; THENCE RUN SOUTH 40E1 1'00" EAST A DISTANCE
OF 1523.0 FEET, THENCE SOUTH 33E58'00" WEST A DISTANCE OF 1000.0 FEET,
THENCE SOUTH 89E44'00" WEST A DISTANCE OF 560 FEET TO THE WEST BOUNDARY OF
SECTION 36, THENCE SOUTH 00E22'00" EAST ALONG THE SECTION LINE 464.95 FEET
TO A POINT 200.04 FEET NORTHERLY OF THE SOUTHWEST CORNER OF THE NORTHWEST
QUARTER OF SECTION 36, THENCE RUN NORTH 69E50'30" EAST ALONG THE
CENTERLINE OF A CANAL A DISTANCE OF 683.83 FEET, THENCE NORTH 33E58'00"
EAST A +DISTANCE OF 1296.18 FEET, THENCE NORTH 40E1T WEST A DISTANCE OF 1506.60
FEET TO A POINT ON THE NORTH BOUNDARY OF SECTION 36, THENCE RUN SOUTH
89E46'00" WEST ALONG THE SAID NORTH BOUNDARY OF SECTION 36 A DISTANCE OF
260.89 FEET TO THE POINT OF BEGINNING. SUBJECT TO RIGHTS-OF-WAY AS OF RECORD
AND/OR IN USE. (37.1).
TRACT #4: ALL THAT PART OF THE NORTHWEST
QUARTER OF SECTION 36, TOWNSHIP 28 SOUTH, RANGE 26 EAST, POLK COUNTY, FLORIDA,
LYING EASTERLY AND NORTHERLY OF A LINE DESCRIBED AS: STARTING AT THE NORTHWEST
CORNER OF SECTION 36, RUN THENCE NORTH 89E46'00" EAST ALONG THE NORTH
BOUNDARY OF SECTION 36, A DISTANCE OF 409.67 FEET FOR THE POINT OF BEGINNING OF
SAID LINE; RUN THENCE SOUTH 4OE11'OO" EAST A DISTANCE OF 1506.60 FEET,
THENCE SOUTH 33E58'00" WEST A DISTANCE OF 1296.18 FEET TO THE CENTERLINE
OF A CANAL, THENCE RUN NORTH 69E50'30" EAST ALONG THE CENTERLINE OF SAID
CANAL A DISTANCE OF 2139.4 FEET, MORE OR LESS, TO ITS INTERSECTION WITH THE
EAST BOUNDARY OF SAID NORTHWEST QUARTER OF SECTION 36, FOR THE END OF SAID
LINE. SUBJECT TO RIGHTS-OF-WAY AS OF RECORD AND/OR IN USE.
TRACT #5: THE SOUTH HALF OF THE SOUTHEAST
QUARTER SECTION 25, TOWNSHIP 28 SOUTH, RANGE 26 EAST, POLK COUNTY, FLORIDA,
LESS AND EXCEPT: BEGIN AT THE NORTHEAST CORNER OF SAID SOUTH HALF OF THE
SOUTHEAST QUARTER AND RUN SOUTH OE19'17" EAST ALONG THE EAST LINE OF SAID
SOUTH HALF OF THE SOUTHEAST QUARTER A DISTANCE OF 457.10 FEET, THENCE NORTH
88E44'17" WEST 108.15 FEET, THENCE SOUTH 52E15'43" WEST 476.63 FEET,
THENCE SOUTH 00E05'17" EAST 252.20 FEET, THENCE SOUTH 89E54'43" WEST
138.00 FEET, THENCE NORTH 00E05'17" WEST 182.00 FEET, THENCE NORTH
80E58'17" WEST 419.00 FEET, THENCE NORTH 50E57'17" WEST 725.00 FEET,
THENCE NORTH 69E41'17" WEST 625.70 FEET, THENCE NORTH 00E05'17" WEST
72.69 FEET TO A POINT ON THE NORTH LINE OF SAID SOUTH HALF OF THE SOUTHEAST
QUARTER, THENCE NORTH 89E54'43" EAST ALONG SAID NORTH LINE 2184.81 FEET TO
THE POINT OF BEGINNING, LESS AND EXCEPT RIGHT-OF-WAY OF COUNTY ROAD 550, AND LESS
AND EXCEPT THE EAST 30 FEET OF THE SOUTH 866.9 FEET OF THE SOUTHEAST QUARTER OF
THE SOUTHEAST QUARTER OF SAID SECTION 25 FOR ROAD, AND LESS AND EXCEPT
BEGINNING 473.96 FEET NORTH OF THE SOUTHWEST CORNER OF THE SOUTH HALF OF THE
SOUTHEAST QUARTER AND RUN NORTH A DISTANCE OF 812.03 FEET THENCE RUN EAST A
DISTANCE OF 313.07 FEET THENCE RUN SOUTH A DISTANCE OF 806.95 FEET THENCE RUN
WEST A DISTANCE OF 313.03 FEET TO THE POINT OF BEGINNING.
TRACT #6: THAT PART OF THE NORTHEAST
QUARTER OF SECTION 36, TOWNSHIP 28 SOUTH, RANGE 26 EAST, POLK COUNTY, FLORIDA,
DESCRIBED AS: BEGINNING AT THE NORTHEAST CORNER OF SECTION 36, RUN THENCE SOUTH
ALONG THE EAST BOUNDARY OF SECTION 36 A DISTANCE OF 533.80 FEET TO ITS
INTERSECTION WITH THE CENTERLINE OF A CANAL, THENCE RUN SOUTH 69E50'30"
WEST ALONG SAID CENTERLINE OF CANAL A DISTANCE OF 2823.3 FEET, MORE OR LESS, TO
ITS INTERSECTION WITH THE WEST BOUNDARY OF SAID NORTHEAST QUARTER, THENCE RUN A
DISTANCE OF 1,496.01 FEET NORTH ALONG THE WEST BOUNDARY OF SAID NORTHEAST
QUARTER TO THE NORTHWEST CORNER OF THE NORTHEAST QUARTER, THENCE RUN EASTERLY
ALONG THE NORTH BOUNDARY OF SAID NORTHEAST QUARTER OF SECTION 36 A DISTANCE OF
2642.28 FEET TO THE POINT OF BEGINNING. SUBJECT TO RIGHT-OF-WAY OVER THE EAST
30 FEET THEREOF.
