1 STATE OF FLORIDA

DIVISION OF ADMINISTRATIVE HEARINGS

2

3 SUGAR CANE GROWERS COOPERATIVE OF FLORIDA, )

ROTH FARMS, INC., and WEDGWORTH FARMS, INC., )

4 -and- )

FLORIDA SUGAR CANE LEAGUE, INC., UNITED )

5 STATES SUGAR CORPORATION, and NEW HOPE )

SOUTH, INC., )

6 -and- )

FLORIDA FRUIT AND VEGETABLE ASSOCIATION, )

7 LEWIS POPE FARMS, W. E. SCHLECHTER & SONS, )

INC., and HUNDLEY FARMS, INC., )

8 )

Petitioners, )

9 )

vs. ) DOAH CASE NOS.

10 ) 92-3038

SOUTH FLORIDA WATER MANAGEMENT DISTRICT, ) 92-3039

11 ) 92-3040

Respondent, ) (Consolidated)

12 )

and )

13 )

MICCOSUKEE TRIBE OF INDIANS, THE UNITED )

14 STATES OF AMERICA, FLORIDA DEPARTMENT OF )

ENVIRONMENTAL REGULATION, and FLORIDA )

15 WILDLIFE ASSOCIATION, )

)

16 Intervenors. )

) _____________________________________________

17

18 HEARING BEFORE: HONORABLE J. STEPHEN MENTON

HEARING OFFICER

19

DATE: MONDAY, JUNE 21, 1993

20 (1:08 P.M. - 1:59 P.M.)

21 LOCATION: HEARING ROOM 5, DESOTO BUILDING

1230 APALACHEE PARKWAY

22 TALLAHASSEE, FLORIDA

23 REPORTED BY: SUE HABERSHAW JOHNSON

CERTIFIED COURT REPORTER

24 REGISTERED PROFESSIONAL REPORTER

NOTARY PUBLIC

25

2

1 APPEARANCES:

2 Representing Petitioners, Sugar Cane Growers

Cooperative of Florida, Roth Farms, Inc.,

3 and Wedgworth Farms, Inc.:

4 WILLIAM H. GREEN, ESQUIRE

GARY PERKO, ESQUIRE

5 CAROLYN RAEPPLE, ESQUIRE

Hopping, Boyd, Green & Sams

6 123 South Calhoun Street

P. O. Box 6526

7 Tallahassee, Florida 32314

(904-222-7500)

8

Representing Petitioners, Florida Sugar Cane

9 League, Inc., United States Sugar Corporation,

and New Hope South, Inc.:

10

RICK J. BURGESS, ESQUIRE

11 MARK KOBELINSKI, ESQUIRE

Peeples, Earl & Blank, P.A.

12 One Biscayne Tower, Suite 3636

Two South Biscayne Boulevard

13 Miami, Florida 33131

(305-358-3000)

14 -and-

WILLIAM L. HYDE, ESQUIRE

15 Peeples, Earl & Blank, P.A.

Suite 350

16 215 South Monroe Street

Tallahassee, Florida 32301

17 (904-681-1900)

18 Representing Petitioners, Florida Fruit and

Vegetable Association, Lewis Pope Farms,

19 W. E. Schlechter & Sons, Inc., and

Hundley Farms, Inc.:

20

TERRY COLE, ESQUIRE

21 KENNETH F. HOFFMAN, ESQUIRE

Oertel, Hoffman, Fernandez & Cole, P.A.

22 Suite C

2700 Blair Stone Road

23 Tallahassee, Florida 32301

(904-877-0099)

24

25

3

1 Representing Respondent, South Florida Water

Management District:

2

PAUL L. NETTLETON, ESQUIRE

3 Popham, Haik, Schnobrick & Kaufman, Ltd.

400 International Place

4 100 Southeast Second Street

Miami, Florida 33131

5 (305-539-7222)

6 -and-

7 IRENE QUINCY, ESQUIRE

Assistant District Counsel

8 South Florida Water Management District

P.O. Box 24680

9 3301 Gun Club Road

West Palm Beach, Florida 33416-4680

10 (407-687-6315)

11 Representing Intervenor, The United States

of America:

12

THOMAS A. WATTS FITZGERALD, ESQUIRE

13 Assistant United States Attorney

Southern District of Florida

14 Suite 627

155 South Miami Avenue

15 Miami, Florida 33130-1693

(305-536-4425)

16

Representing Intervenor, Florida Department of

17 Environmental Regulation:

18 LEE M. KILLINGER, ESQUIRE

-and-

19 SUSAN SCHWARTZ, ESQUIRE

Assistant General Counsel

20 Department of Environmental Regulation

Twin Towers Office Building

21 2600 Blair Stone Road

Tallahassee, Florida 32399-2400

22 (904-488-9730)

23

24

25

4

1 Representing Intervenor, Florida Wildlife

Federation:

2

KEN WRIGHT, ESQUIRE

3 111 South Martin Luther King, Jr., Blvd.

P.O. Box 1329

4 Tallahassee, Florida 32302

(904-681-0031)

5

Representing the Miccosukee Tribe of Indians:

6

DEXTER LEHTINEN, ESQUIRE

7 Spencer and Klein, P.A.

801 Brickell Avenue, Suite 1901

8 Miami, Florida 33131

(305-374-7700)

9

Representing the United States Department of

10 Justice:

11 BRYAN FERRELL, ESQUIRE

United States Department of Justice

12 Environmental & Natural Resources Division

General Litigation Section

13 Room 879, 601 Pennsylvania Avenue (20004)

P.O. Box 663

14 Washington, D.C. 20044

(202-272-4016)

15

* * * * *

16

ALSO PRESENT:

17

VICTORIA MINETT

18 KAREN BRANCH

19 * * * * *

20 INDEX

21 ITEM PAGE

22 HEARING COMMENCED . . . . . . . . . . . . . . . . . . 5

23 HEARING CONCLUDED . . . . . . . . . . . . . . . . . . 39

24 CERTIFICATE OF REPORTER . . . . . . . . . . . . . . .40

25 * * * * *

5

1 PROCEEDINGS

2 (WHEREUPON, THE HEARING COMMENCED AT 1:08 P.M.)

3 HEARING OFFICER: Okay. Good afternoon. Let's start

4 out by introducing Victoria Minett. She's a paralegal part

5 time helping me getting this case organized.

6 You can reach her if you need to on occasions

7 regarding rescheduling matters, etcetera.

8 All right. We have had 60 days of mediation. It

9 looks like the same old faces. I guess I need to get an

10 update on where we are.

11 I think probably the best way to start is by

12 giving petitioners an opportunity to give me their

13 version, and I'll hear from everybody as to exactly where

14 things stand.

15 Let's start out by finding out exactly who's here

16 today, beginning with the petitioners for the Cooperative,

17 Sugar Cane Growers Cooperative.

18 MR. GREEN: Mr. Menton, Bill Green and Carolyn

19 Raepple and Gary Perko for the Cooperative, Roth Farms,

20 and Wedgworth Farms.

21 HEARING OFFICER: And for the Sugar Cane League?

22 MR. BURGESS: Mr. Menton, Rick Burgess for the

23 League, together with Mark Kobelinski and Bill Hyde,

24 of Peeples, Earl & Blank.

25 HEARING OFFICER: For...

6

1 MR. COLE: For Florida Fruit and Vegetables,

2 Terry Cole and Ken Hoffman.

3 HEARING OFFICER: Okay. For the South Florida

4 Water Management District?

5 MR. NETTLETON: Paul Nettleton for the District,

6 and also with us is Irene Quincy.

7 HEARING OFFICER: Okay. For the intervenors?

8 MR. FITZGERALD: Tom Watts Fitzgerald, U.S.

9 Attorney's Office, Southern District of Florida, and with

10 me representing the Department of Justice is Bryan

11 Ferrell.

12 HEARING OFFICER: Okay. For the intervenors,

13 Miccosukee Indians?

14 MR. LEHTINEN: Miccosukee Tribe, Dexter Lehtinen,

15 Your Honor.

16 HEARING OFFICER: Okay. For the conservation

17 groups?

18 MR. WRIGHT: Ken Wright, Sierra Club, and we

19 represent the Tropical Audubon Society, Florida Wildlife

20 Federation, and the Sierra Club.

21 HEARING OFFICER: For DER or DEP, I should say?

22 MR. KILLINGER: Lee Killinger.

23 HEARING OFFICER: All right. Anybody else who

24 needs to state anything before we get started?

25 Okay, let's start off by having petitioners, we'll

7

1 start with the League and the Fruit and Vegetable

2 Growers, tell me where we are and what your version is

3 of what we need to do.

4 MR. GREEN: Well, Mr. Menton, I think the 60 days

5 has been valuable. The issues have become better in

6 focus. I believe the positions of the parties are

7 better understood.

8 We would hope that settlement can still be reached.

9 We're still talking. We just ran out of time.

10 In the meantime we assume since there is no stay

11 we will go back to discovery in this matter.

12 HEARING OFFICER: Okay.

13 MR. GREEN: Okay.

14 HEARING OFFICER: Okay. Mr. Burgess, do you have

15 anything you want to add?

16 MR. BURGESS: Yes, I think that the League, too,

17 Your Honor, is hopeful that the talks can continue and

18 perhaps on a parallel track with the litigation.

19 However with the stay expiring we need to do what

20 we need to do with the approaching hearing date, and

21 that is of course to complete discovery.

22 We all met this morning and twice last week

23 discussing deposition resumptions. We have agreed to

24 have a conference call tomorrow morning to try to

25 complete a schedule through the end of September.

8

1 I'd like to point out on behalf of my clients

2 that when we started discussing last week the resumption

3 of discovery it was our position that discovery should

4 not resume this week, that it should start next week,

5 and that this week be reserved for this hearing date

6 for document exchanges, for deposition scheduling,

7 meetings, taking care of other logistics.

8 The respondents insisted on the discovery going

9 forward. It's during our period of time, so it's our

10 deposition time, and we have under protest agreed to do

11 that.

12 We would like to reserve the fact that we may be

13 back before you before the end of discovery to ask for

14 another week at the beginning of October. We have six

15 weeks now between the end of discovery and the beginning

16 of hearing, because we feel we are prejudiced in not

17 getting, for instance, documents in advance of depositions

18 that are going to commence this week, that we lost

19 today's hearing date in deposition discovery, and up

20 until last week and indeed today we still have attorneys

21 involved in mediation related meetings.

22 So although we have agreed to go forward I just

23 wanted it placed on the record that we may need to be

24 back before you.

25 In addition, Your Honor, as the discovery resumes

9

1 and our status conferences resume you will learn that

2 the District is considering a new or alternate SWIM plan,

3 and that their Board is meeting on June 29th to

4 consider that plan, and that it's our belief that the

5 adoption of some or all of that plan may certainly

6 necessitate a new hearing date and continued and extended

7 discovery.

8 But, nevertheless, while the stay is over, we

9 hope that the mediation efforts can go forward, and that's

10 what we'll work to do.

11 HEARING OFFICER: Okay. Mr. Hoffman or Mr. Cole?

12 MR. COLE: I'd just add one thing. One of the

13 reasons we were here was not on the discovery items

14 but to cover, report to you of exactly where we're

15 at, and from the Fruit and Vegetable standpoint I

16 thought you ought to be aware that the Mediator has

17 made some suggestions on not only the technical aspects

18 which have been covered before but on many of the other

19 aspects, and we have reacted affirmatively to that.

20 So we're hopeful with both the agencies at the

21 state and District level and with the agriculture

22 industry, at least Florida Fruit and Vegetable, that

23 we have come a long ways towards meeting the objectives

24 of finding a way to implement the plan that's been

25 worked out in the previous 30 days.

10

1 So we wanted you to be aware of that.

2 HEARING OFFICER: Okay. Well, I obviously am in the

3 dark as to what transpired during the mediation process,

4 and I know that in some of the earlier hearings we

5 have had there have been references and I know in some

6 of the documents I have seen to the optimal plan the

7 District was considering.

8 We have talked about that a little bit in some

9 of those hearings, but before I hear from those that

10 are supporting the plan what I think I'm gathering from

11 petitioners in the case is that there has been some

12 progress in discussions during the mediation but no

13 agreements, and there are no stipulations as to any

14 aspect of the case at this time.

15 MR. COLE: I think that's right, but I wanted you

16 to be aware of it, because I didn't want you to have

17 the impression during the past 30 days that we were

18 reaching an impasse, because from our standpoint the

19 Mediator put a tremendous amount of work into trying to

20 understand the issues and bring the parties together

21 through obviously the alternative dispute resolution

22 mechanisms, and from Florida Fruit and Vegetable's

23 standpoint we have reacted very affirmatively to his

24 suggestions for possible resolutions to that, and we're

25 awaiting reactions to that.

11

1 But we are in a situation where we think we're

2 not far from a resolution in terms of at least the

3 Mediator's thoughts on this.

4 HEARING OFFICER: Okay. It's a very vague concept,

5 and I'm not sure I'm following it. I guess, and I want

6 to hear from the people supporting the plans, but I

7 guess what I want to try to figure out today if possible

8 is whether the mediation and the results of the

9 mediation are a black-and-white situation where there's

10 a settlement or not a settlement of whether it's going

11 to impact upon the plan as it's currently been adopted

12 by the District and as it's currently set for hearing.

13 It seems from what I'm hearing now that the

14 mediation is an either/or, and I don't know if that's

15 the same way it's being viewed on the other side of the

16 fence.

17 MR. COLE: We did not view it, Your Honor, as an

18 either/or. We have been prepared to talk in either

19 situation, and we have put a large amount of effort

20 over the past 30 days in doing so.

21 We have been wanting to find a way to resolve it

22 so that the restoration process could get on if possible,

23 and our clients are very interested in trying to find a

24 means of seeing that this is done, and with a fair

25 resolution for them.

12

1 I guess what I was indicating to you is we think

2 there has been very substantial progress made in the

3 last 30 days, but we did not view it as an either/or

4 situation.

5 HEARING OFFICER: Okay. Mr. Nettleton?

6 MR. NETTLETON: Paul Nettleton for the District.

7 I would agree that there has been substantial progress,

8 and we are still hopeful as well that something may come

9 of this.

10 I'm not sure, I think your statement earlier was

11 correct that there are no stipulations, and at this

12 point as far as I know none of the petitioners have

13 stipulated to any facts or elements of any issues, so

14 if that's the either/or you're referring to I don't

15 think, I think it is an either/or situation. Either

16 we will settle with certain parties, and it has

17 progressed better with some parties than others, and

18 the multitude of parties has created the obvious

19 difficulties here.

20 But as far as I know we are still willing to talk,

21 and we're still hopeful that something can come of it,

22 but we recognize the need to move on with this, and we

23 are prepared to go back into discovery to meet the

24 current scheduling order for the hearing in November.

25 HEARING OFFICER: Okay. Mr. Fitzgerald?

13

1 MR. FITZGERALD: The United States would essentially

2 agree with the representations of the South Florida

3 Water Management District.

4 The most productive phase of the mediation period

5 was certainly in the first 30 days, in which primarily

6 technical issues were addressed. While that may not be

7 memorialized in any immediate fashion that would

8 benefit forwarding of the issues in this case, still

9 it was a fruitless effort on the part of all parties.

10 HEARING OFFICER: When you say technical issues

11 are you talking about the size of the STAs, or what

12 are you referring to?

13 MR. FITZGERALD: There was a full range of those,

14 Mr. Hearing Office, including the size, acceptance of

15 certain other motions involving collateral problems

16 on the Everglades system that might be addressed in

17 a comprehensive mediated agreement that would transcend

18 the relatively narrow scope of the SWIM plan and address

19 both areas falling outside the physical or geographical

20 boundaries addressed by the SWIM plan as well as issues

21 related to water quantity, time, and distribution,

22 things in the hydroperiod, as well as the strict water

23 quality issues that have been for now the focus of

24 the case thus far.

25 The technical group that conducted those discussions

14

1 is comprised of representatives of all parties and

2 even of some individuals and entities that are not

3 directly engaged in this case, and those were reasonably

4 successful in identifying an alternative way of addressing

5 both the problems that we have before us in the SWIM

6 plan and some of the related issues.

7 It may be at some future date an amendment to the

8 SWIM plan will occur. I don't intend to predict the

9 activities of the appointed Board which has that

10 responsibility, but as the Hearing Officer knows from

11 the submissions in this case and some study of the

12 underlying statute the SWIM plan was always an iterative

13 process, and it's a planning document.

14 So were the interim numbers specified in the plan

15 achieved, the plan itself contemplated future action

16 would be necessary, and I think certainly the parties

17 in defense of the plan are committed to that notion as

18 well.

19 The ultimate number is not the interim number we

20 would see in the plan. Additional work needs to be done.

21 The second 30-day period focused primarily on

22 issues related to the schedules of the physical

23 construction if it's necessary to implement what was

24 known as the consensus of the technical plan, and

25 issues of funding that plan through a mix of public and

15

1 private sources.

2 As may not come as any great surprise, there was

3 very little success in the ultimate analysis as of

4 1:20 this afternoon anyway in resolving what is a very

5 thorny issue for many of the parties.

6 I don't anticipate, I have no reason to anticipate

7 by midnight tonight that will occur, although I did

8 predict some time ago on a telephone conference the

9 most movement would be towards the end.

10 While the United States has always been of the

11 belief it would not be possible to effectively conduct

12 mediation and litigation on parallel but simultaneous

13 tracks, there are a few discussions still scheduled

14 that will run through the balance of this week in any

15 event. However, our commitment to going forward with

16 litigation in support of the plan demands that we

17 return to the formal steps of discovery.

18 I think Mr. Burgess fairly characterized our

19 discussions today in meetings to try to do that. We

20 are ready to proceed forward.

21 There are just two other points I'd like to make.

22 The first is that no party to this proceeding could

23 have failed to contemplate that the conclusion of whatever

24 time, 30, 60, whatever, we would go back into litigation

25 without breaking stride, so I don't think it's now

16

1 appropriate for a party to claim undue prejudice

2 because they have to start litigating again, that they

3 have to start the discovery process again.

4 Additionally to the extent that witnesses have

5 been identified for the first immediate startup period,

6 some care was given to try to offer witnesses whose

7 documents were already provided for the first week and

8 to provide documents for additional witnesses as quickly

9 as possible and not prejudice in any undue way the

10 party petitioners.

11 As it stands the party petitioners will have 39

12 days, if my count is correct, on deposition from now

13 until the termination of the deposition period, the

14 discovery period previously ruled on by yourself.

15 The parties defending and intervening have 33 days.

16 So in any event the petitioners have the edge by a

17 week on the balance of the discovery process.

18 HEARING OFFICER: Okay. Well, I'm not prepared

19 today to resolve those discovery issues. What I'd like

20 to see the two sides get together and see if they can

21 work out is a schedule, and if they can't do it just

22 file the appropriate motions in the future.

23 I'm interested in getting the viewpoint of the

24 District as well as the U. S. Government on the

25 reference that Mr. Burgess made to the Board's

17

1 consideration on June 29th of a possible alternative

2 plan and how that fits into the scheme of things and

3 how it will affect the discovery process and

4 ultimately the hearing process.

5 I understand we cannot know for sure what the

6 District is going to do, but I'm interested in what

7 your thoughts may be as to how it will impact this

8 administrative hearing.

9 MR. NETTLETON: Mr. Hearing Officer, frankly I

10 don't know how it is going to impact it, because just

11 speculating as to what is going to happen itself can

12 go in different directions.

13 As Mr. Fitzgerald stated, the plan is a planning

14 document. It's continuing. There's new science

15 being developed inside and outside this litigation

16 where things are becoming better known of how the

17 system is working and things like that.

18 So the chances of there being changes are there.

19 Whether they're going to happen at the end of June or a

20 year from now or when I can't say, and I can't say

21 what those chances are going to be.

22 I don't know how it will affect this administrative

23 proceeding, because I don't know what the proposals or

24 proposed changes will be, let alone whether the Board

25 will agree or adopt them.

18

1 HEARING OFFICER: We have discussed some of these

2 issues before from a legal standpoint. I think there

3 is an issue with respect to what action the Board can

4 take once the case has been sent to the Division of

5 Administrative Hearings for hearing.

6 I think that limits the activity that can be

7 taken by the District Board, and how that may impact

8 upon this process that we're going through today I

9 think is important.

10 We have discussed that issue before in some of the

11 previous hearings, and I guess, I'm not sure exactly

12 what the District intends to do, but there was some

13 question in my mind as to what they can do legally,

14 and if there is a procedural step that needs to be

15 taken I think you need to give thought to that.

16 MR. NETTLETON: We certainly would give that

17 thought, and that's another question that has come up

18 in our mind, whether anything could be done from a

19 jurisdictional standpoint.

20 I don't know the answer at this time.

21 HEARING OFFICER: Mr. Fitzgerald, was there any

22 additional comment you wanted to make with respect to

23 the June 29th meeting?

24 MR. FITZGERALD: No, Your Honor. I don't think

25 we're in a position to predict what the Board may or may

19

1 not do. It's our understanding they will discuss the

2 work done during the stay and the overall issues on the

3 Everglades restoration project. They may hear from all

4 parties on that. It's been happening for people to

5 speak in more than one forum on that.

6 I think what we need to do is lock down the days

7 over the next several months for hearings like this

8 to address motion practice and other issues and allow

9 the discovery process to go forward.

10 If something happens, as he suggests, that affects

11 the status of the petitioners before you we'll play that

12 out as it come up.

13 HEARING OFFICER: Mr. Lehtinen, did you have

14 anything you wanted to add?

15 MR. LEHTINEN: The tribe would just add, I'm sure

16 that everyone involved in the detailed procedures saw

17 some progress in the mediation. The tribe participated

18 in much of it and always had a scientific representative

19 at the scientific meetings.

20 But from the public's viewpoint and the viewpoint

21 of the victims of the pollution, the tribe, anything

22 that delays these hearings and does not produce a final

23 result is a problem.

24 Delay is the enemy of the Everglades. The tribe

25 opposes everything that would result in delay.

20

1 If the marginal improvements in the plan result

2 in a delay in this hearing, then those are not

3 improvements at all. What's important, as Mr.

4 Fitzgerald stated, is that a hearing date as you have

5 said be adhered to, that discovery go forward, and

6 I believe that the proffering of action on June 29th,

7 which has not yet been taken, and the legal effect of

8 which is not yet known by some of the parties is just a

9 technique for trying to get you and DOAH ready for

10 another delay, which only serves the petitioners'

11 interest and not the public's interest in this regard.

12 The reason the tribe is afraid of mediation is

13 that with all commitments at the beginning of mediation

14 that it will not result in any delays, one of the

15 parties ends up as Mr. Watts Fitzgerald said, saying,

16 "Well, gee, when it terminated we weren't ready for

17 discovery," and that's the fear that the tribe has, that

18 it's too easy to get caught up in the process and

19 overlook the fact that even in the APA these hearings

20 are, you couldn't possibly have met that deadline in

21 the APA, but Marjory Stoneman Douglas and the original

22 APA still contemplates a much quicker process than you

23 could conceivably do here, but it's very important

24 that this hearing go off in '93.

25 We will be urging the Board not to change a thing

21

1 if marginal improvements in the plan produce a whole new

2 round of discovery, and I suspect that if the Board

3 even votes no changes in the plan some of these parties

4 will say, "We anticipated a change so much that no

5 change means we can't meet our hearing date on time."

6 There are such confused arguments to cause delay

7 in the administrative proceeding that the thing the

8 tribe wants to see is let these parties talk about

9 mediation if they want to, but not use it in any way to

10 cause a delay in these hearings.

11 That's the only access the public has. The

12 mediations do not involve the public. They don't

13 involve large numbers of people.

14 They are deals that may inevitably have to be cut

15 in private. We are not complaining, but until they are

16 presented publicly to the Board, hearings are held, and

17 it's voted out as a change it's important to the public

18 and the tribe that the process go forth expeditiously,

19 that they do all discovery, and we have the hearing

20 in 1993.

21 And several of these parties have already said,

22 "There's no way this hearing is going to happen in '93."

23 I mean, they just tell me straight up that it's not

24 going to happen. "Schedule your vacation on the

25 hearing date, because it's not going to happen."

22

1 I said, "You know, maybe you're so familiar with the

2 process you can say that, but I'm just a local lawyer

3 representing an Indian tribe, and we believe in the

4 law, and the law says this hearing ought to go in '93,

5 and there should be no reason for it not to go in '93."

6 HEARING OFFICER: Well, I have reiterated several

7 times at the various stages of this proceeding that

8 I recognize that the Marjory Stoneman Douglas Act

9 directs this proceeding be expedited, and I will do

10 everything in my power to make sure that that happens.

11 The initial hearing date in this matter was

12 scheduled with the agreement of all parties concerned,

13 as was the October date scheduled with agreement of all

14 parties concerned that the time was necessary in order

15 to complete discovery.

16 The last 30-day continuance, moving the hearing

17 date to November, was done over the objections of the

18 conservation groups, but I felt that it was essential

19 to enable the mediation process to go forward.

20 But I recognize the Marjory Stoneman Douglas Act

21 calls for an expedited hearing, and I have advised the

22 parties on several occasions and will do so again today

23 that I recognize everyone is entitled to due process,

24 but due process does not mean to depose every expert

25 in sight or everybody that has ever stepped foot in the

23

1 Everglades.

2 Due process means you have an opportunity to

3 absolutely prepare your case, and I will make a

4 determination as to how the case progresses, whether

5 there is a need for a further continuance.

6 I'm not prepared to make that today. No one has

7 filed the motion. I see no reason this case will not

8 go to hearing in November as scheduled.

9 On the second issue that you raised regarding

10 discovery, there has been a great deal of discovery

11 that has already been undertaken in this case, and I

12 think it would seem to me anyway that there are some

13 underlying scientific issues that are going to be

14 involved, whether we deal with the SWIM plan as it's

15 currently adopted or a subsequent plan that may

16 develop or any amendments thereto.

17 I would certainly think that discovery can and

18 should proceed, especially on those issues, so that we

19 can hopefully reach a consensus that there are no

20 factual disputes or if there are that we can isolate

21 what those are.

22 As we get into the specifics of the individual

23 plan, that's where sole modifications may be necessary,

24 depending on what happens at the District level and

25 whether there is amendment or not, but I think that

24

1 all parties should proceed with trying to complete

2 that discovery which is universal in the sense that it's

3 going to apply to whatever the plan is going to be and

4 get that discovery behind us, and we can deal with others

5 as they come up.

6 Mr. Killinger, did you have anything you wanted

7 to add to the process that we've been discussing so far?

8 MR. KILLINGER: At the risk of just reiterating

9 what the District and the U. S. have already said, we

10 think mediation has been productive so far.

11 The first 30 days produced more tangible results

12 than the last 30 days, but I think the progress is

13 still being made, and I look forward to what happens

14 this week, and I hope something can be worked out.

15 In the interim, however, since the stay terminates

16 this evening, we have to get ready for hearing, and I

17 think that has been the primary motivating factor in our

18 collective sides' insistence on starting discovery right

19 away, not to prejudice the other side.

20 We recognize people's rights have to be preserved,

21 but we need to go ahead and get along with it so we don't

22 wind up at the tail end being threatened with another

23 delay because they couldn't get the discovery done.

24 With regard to a plan we can't address that until

25 something happens and see how it's done and what

25

1 effect it has.

2 HEARING OFFICER: Mr. Wright?

3 MR. WRIGHT: The environmental intervenors agree

4 that with all parties that essentially there has been

5 no concrete agreement, and only time can lead to

6 discovery.

7 HEARING OFFICER: Okay. Do petitioners have anything

8 they want to add in comment?

9 MR. GREEN: Just one briefly, Your Honor, and I

10 hadn't intended to mention it. I think it's common

11 knowledge and I don't believe there's any dispute that

12 one of the reasons the mediation is complex is there

13 has been an unanticipated reduction in phosphorus

14 coming out of the farming areas since 1990 of 33 to 50

15 per cent, so the environment is that, is not seeing

16 what that plan anticipated.

17 I just wanted you to be aware of that to

18 counterbalance against some of the other things this

19 morning.

20 MR. BURGESS: My reason for raising the June 29th

21 Governing Board meeting and consideration of the optimal

22 plan was not for purposes of delay, but it's no secret

23 the petitioners have taken the position that this

24 particular SWIM plan was adopted prematurely from the

25 very beginning, and Your Honor stated you were unaware

26

1 of what had gone on during the last 60 days with

2 regard to the mediated efforts, and one of the outcomes

3 was the meeting that did take place on the 29th.

4 We have also discovered as was discussed this

5 morning that meeting again before Your Honor on July 6th

6 in the afternoon, if that was convenient for you.

7 There is an oral argument scheduled up here, and

8 some of the attorneys will already be here for that, and

9 then in addition the August date we obtained was

10 August 6th in the morning, around 10:00 a.m.

11 Perhaps if you can approve the July 6th date, the

12 parties will be in a position to address the outcome

13 of the Board meeting on the 29th and discuss it at that

14 time.

15 HEARING OFFICER: July 6th in the morning or

16 afternoon?

17 MR. BURGESS: Afternoon.

18 HEARING OFFICER: One o'clock or two o'clock?

19 MR. NETTLETON: Two would probably be better.

20 HEARING OFFICER: Two o'clock. Okay. Let me

21 check my calendar. We'll take a break, and I'll check

22 my calendar. I think that's okay.

23 And then August 6th was the other one, in the

24 morning?

25 MR. BURGESS: In the morning.

27

1 HEARING OFFICER: Again we have discussed before

2 the legal issues as to what the Board can do once the

3 case is within the context of an administrative

4 proceeding, and I assume that's something that the

5 Board will receive good and adequate counsel on.

6 We can determine that in the future. So the only

7 thing we need to do today is schedule the next

8 conference?

9 MR. NETTLETON: That's probably the bottom line.

10 Mr. Hearing Officer, before we go on, concerning the June

11 29th Board hearing, if Irene Quincy could come up, she

12 could give you a little more background on what's going

13 to be coming up at that.

14 MR COLE: in terms of scheduling also isn't

15 there a Board meeting scheduled for the 6th also where

16 some of this could come up?

17 MS. QUINCY: That's correct, and I'll let you know

18 where the District Governing Board is.

19 As you are aware, our Governing Board being a

20 collegial client under the Sunshine Law cannot meet to

21 discuss any of what's going on without scheduling a

22 business meeting.

23 The 29th was originally scheduled as an opportunity

24 to discuss with our Board where we were with the

25 mediation in the optimistic point of view that we may

28

1 have a settlement or a conceptual settlement to bring

2 to the Governing Board.

3 We then decided that it would probably be appropriate

4 to have a status briefing with our Governing Board,

5 whether we reach it or do not reach settlement.

6 There was some discussion at our prior Governing

7 Board meeting as to what the agenda would look like

8 at that meeting. Some of the Board members want to have

9 the opportunity to discuss some of the things that

10 have been discussed in the mediation that they have not

11 used the last two Governing Board meetings to talk

12 about because of the sensitivity of the mediation issues.

13 I think it is a quite fair statement to say we do

14 not have a set agenda for the 29th. We need to see

15 where we are as the mediation progresses. So far as

16 what is or is not going to come out of the Governing

17 Board meeting, it really is premature to tell.

18 I can appreciate the concern of Your Honor in

19 trying to see how this fits together, but out Governing

20 Board is struggling with trying to come to a collegial

21 decision in the midst of a mediation and a hearing.

22 The July 6th Governing Board is the time that our

23 Board is scheduled to discuss its budget. Under Florida

24 law we must adopt a preliminary budget at that meeting.

25 We scheduled a separate meeting to discuss the

29

1 budget. Inasmuch as the Everglades is a key component

2 in our budgeting this year we anticipate that there

3 may well be Everglades and budget related Everglades

4 issues presented at the July 6th meeting.

5 That's where we are with our Board dates.

6 Obviously if we do get questions or directions from the

7 Board as to whether they wish to consider a course, we

8 need to consider those.

9 You have indicated other legal issues that we

10 will need to address, and I'm sure there are many others.

11 We will do our utmost to keep you informed as we go down

12 that path.

13 HEARING OFFICER: Okay. Thank you, Ms. Quincy.

14 Okay. Why don't we take a couple of minutes break, and let

15 me step out and see if the 6th of July and August are

16 okay, and we can come back and discuss what we need to

17 do in the meantime.

18 I assume that the parties will be meeting and

19 working out discovery, a continuation of the discovery

20 schedule, the prior schedule that we had, I would

21 think, and I think the same concept of alternate

22 weeks and some of those, and I don't know if you

23 discussed that or where you stand on that.

24 But I'd like to get an idea of that, and then also

25 see if there are any other issues we need to discuss.

30

1 MR. FITZGERALD: I notice an unhappy tendency

2 we are all pretty familiar with where the lawyers in the

3 case tend to take on the view that they are the

4 technical experts, and our technical experts think

5 they're the lawyers.

6 I suppose that's fair enough, but it seems to me we

7 should try to restrict our hearings before you to

8 matters that are germane to the procedure, timing, and

9 process, and that the attorneys should not be inserting

10 their views on what the science is until there is a

11 hearing.

12 HEARING OFFICER: I'm going to listen to the

13 experts when the hearing comes, and I'll make my

14 determination based upon the evidence that's presented

15 at the final hearing.

16 And I understand that all parties that are

17 involved in the case get involved in representation,

18 representing their clients, and I think there will be

19 occasions when they may go into the realm of expert

20 testimony, but I understand.

21 MR. FITZGERALD: We would just object to any

22 argument from counsel that a series of meetings or

23 samplings in any way affect the obligation of DOAH

24 under the relevant statutes to delay or feel a lack of

25 impetus to move forward because of something that may

31

1 be not applicable.

2 HEARING OFFICER: Well, I think we're just wasting

3 time arguing. I think everybody has an opportunity to

4 make your arguments, but it's going to depend,

5 ultimate resolution is going to depend on what the

6 expert witnesses have to say.

7 Let's take about a five-minute break, so I can

8 check my schedule.

9 (WHEREUPON, THE HEARING WAS RECESSED FROM 1:40 P.M.

10 TO 1:46 P.M., AT WHICH TIME MS. SCHWARTZ AND MR. LEHTINEN

11 WERE ABSENT FROM THE HEARING ROOM.)

12 HEARING OFFICER: Okay. July 6th and August 6th

13 are fine in my calendar. Two o'clock on July 6th, and

14 10 o'clock on August 6th.

15 Let me just mention a couple of other things and

16 see if I can clarify a few things.

17 Back in the beginning of this case there were

18 motions to dismiss and motions to strike that were

19 filed on behalf of the District.

20 The ruling on those motions was held back pending

21 the discovery process and where the case proceeded.

22 (WHEREUPON, MR. LEHTINEN ENTERED THE HEARING

23 ROOM.)

24 One of the things I will want to see as this

25 case begins progressing is an attempt to try to narrow

32

1 those issues that are actually in dispute, by all

2 parties, and in that regard I would expect that we

3 would need to schedule the motion to dismiss and the

4 motion to strike probably some time in August, and

5 maybe the August 6th meeting isn't the time to do it,

6 but I think the petitioners should go back and look at

7 their petitions and figure out what exactly is in

8 dispute and what isn't, and perhaps replead, file a

9 new petition, and we'll have a response from those

10 supporting the plan and see if we can narrow the scope

11 of the issues a little bit in that regard.

12 Obviously we're going to try to reach a prehearing

13 stipulation as we get closer to the hearing date, and

14 this would be preliminary to that, and I would hope that

15 it will enable the parties to proceed more efficiently

16 in the discovery process.

17 I do not know what the status of the testing has

18 been during the mediation process, whether that has

19 been ongoing or not.

20 MR. FITZGERALD: Mr. Hearing Officer, we have not

21 suspended access to the Refuge or to Everglades

22 National Park during the pendency of the 60-day stay.

23 That was agreed. In fact, beginning tomorrow the

24 extensive field work in Everglades National Park

25 actually commences.

33

1 HEARING OFFICER: How about the access to the

2 EAA?

3 MR. FITZGERALD: Mr. Hoffman was kind enough to

4 give a guided tour of the wildlife out there, but that

5 was done, and in fact it came up this morning to talk

6 about distributing the data as soon as possible from

7 that.

8 HEARING OFFICER: Okay, because there was still

9 the pending issue in the protective order which I put on

10 hold pending the mediation process. I assume that

11 now needs to be resolved. Is that correct?

12 MR. FITZGERALD: (Nodding head.)

13 HEARING OFFICER: So the testing has already been

14 done, and the results have already been exchanged?

15 MR. FITZGERALD: No, sir. They have not been

16 exchanged.

17 HEARING OFFICER: All right, but you have completed

18 your testing in the EAA?

19 MR. FITZGERALD: The field testing is complete.

20 MR. BURGESS: If I could address the entry and

21 access. One matter that we're going to be filing shortly

22 and probably tomorrow is a motion to extend that

23 period of time for the petitioners' entry and access

24 for limited purpose of continuing the water quality

25 sampling in the refuge.

34

1 We have completed the extensive transect sampling

2 in the Refuge. As Tom mentioned, we're starting tomorrow

3 and will run through the end of the month, our sampling

4 in the park.

5 However, for the limited purpose of carrying out

6 additional one or two days a month of water quality

7 samples in order to get as close as we can to a

8 one-year water quality record we're going to ask the

9 Court to consider it, and we'd like that heard on

10 July 6th, if possible, because that sampling has been

11 carried out since December in the middle of each

12 month, and in order for continuity to be maintained

13 we would like to go back out and hold it in the middle

14 of July, on the 6th.

15 HEARING OFFICER: All right. Well, we'll hear

16 all pending motions on the 6th. Those are the types of

17 motions I would hope that parties can discuss and

18 attempt to come to resolution on. If not, we'll

19 resolve them that way.

20 One other issue I wanted to take up with respect

21 to discovery. As I indicated earlier, it would seem to

22 me that there are some basic scientific facts that

23 are subject now to discovery, irrespective of what

24 shape the ultimate plan is going to be, and I would

25 hope that the parties can be sure that discovery that

35

1 fits within that context is prioritized and hopefully

2 completed as expeditiously as possible.

3 All right. Are there any other matters that we

4 need to take up today and discuss?

5 MR. LEHTINEN: Could I just mention one thing on

6 behalf of the tribe?

7 As certain of the parties attempt to negotiate a

8 mediated solution, and assuming it's done in good faith,

9 the tribe's concern is that if such a solution is

10 reached but it is understood by certain of the parties

11 that the scope of their agency is reaching the

12 tentative agreement does not extend to final agreement,

13 the best example being the Water Management District,

14 of course, negotiates in good faith, as has been

15 pointed out, but they have a public meetings

16 requirement, and it has to be presented to the Board,

17 the Board could change it.

18 Everyone could know that in good faith, and yet

19 initial reports of an agreement could result in a month or

20 two later after review by environmentalists or the

21 Board itself or any number of other factors it not

22 producing a final agreement.

23 So the tribe would urge that this proceeding go

24 forth even if there are reports of a tentative agreement,

25 because that tentative agreement in good faith does

36

1 not necessarily, might not necessarily result in

2 the actual termination of these proceedings, and if

3 it did result in a good faith, tentative agreement

4 that was rejected by the Board or was rejected by

5 others, you know, as it came under public scrutiny and

6 resulted in a delay in these proceedings, it would have

7 ended up not even being neutral but would have ended up

8 being negative.

9 So the tribe encourages the discussions and

10 would not even be upset about a tentative agreement,

11 but it would be if that agreement delayed these proceedings,

12 and that agreement itself didn't go through, and it

13 cannot be an agreement until it's adopted by the

14 Board or meets all the other standards of the Board's

15 public policy.

16 HEARING OFFICER: Well, we've discussed some of

17 these issues before as we got to the first request to

18 stay the discovery process, and as I indicated at that

19 time we have a firm hearing date, and I intend to stay

20 with that firm hearing date, and that hearing date will

21 not be moved until somebody files a motion and brings

22 it up and we have a full hearing and everybody will

23 have an opportunity to state their objections at that

24 time.

25 MR. LEHTINEN: Really that's what we had in mind,

37

1 Your Honor, and particularly because the parties would

2 in good faith notify you. They should notify you on

3 tentative agreements and so forth.

4 But until someone actually withdrew a petition or

5 did something like that we would encourage you not to

6 delay the proceedings.

7 HEARING OFFICER: I may be stepping into a matter

8 that I don't want to get into right now, but obviously

9 the discussions about a possible settlement and the

10 various issues that are out there raises some concern in

11 my mind as to exactly what the role is of the Division

12 of Administrative Hearings and how it fits into all

13 this process.

14 One of the things I was thinking about this morning

15 as I was getting ready for this hearing is I think it's

16 important that all parties keep in mind exactly what

17 this forum is. This is not a forum to resolve

18 policy matters. It's a forum to resolve factual

19 disputes. That's the way I think administrative

20 hearings in this matter are going to be run, and I

21 think everybody has to proceed accordingly.

22 There are obviously areas where policies overlap

23 with facts, and sometimes it's hard to keep them

24 separate, but the essential role of the Division of

25 Administrative Hearings is to be a fact finding body, to

38

1 assist in the formulation of final agency action, and

2 in that regard I intend to focus this proceeding to

3 the extent possible solely on disputed issues of fact,

4 and I would hope and expect that all parties would

5 keep that in mind.

6 MR. FITZGERALD: Mr. Hearing Officer, there was a

7 session strictly limited to counsel to discuss some

8 of the parameters of any settlement, sort of uniform

9 on common issues that would arise, and the interface

10 between this action and any resolution, whether that

11 resolution be achieved amongst all the parties, which

12 is always a potential, or a more limited one that would

13 involve just certain of the parties reaching

14 resolution, how that would affect these proceedings,

15 and it has been discussed by counsel.

16 We are sensitive to the existence of the problems.

17 I don't know if that will help you sleep better, but

18 we know they're there.

19 HEARING OFFICER: Okay, and certainly those are

20 premature at this point, and we'll just have to see

21 if they come in, and everybody will have an opportunity

22 to state their position on it before we make a final

23 resolution.

24 It certainly is not unheard of in a complicated

25 administrative proceeding, and I don't know there has

39

1 ever been one as complicated as this one, but it is not

2 unheard of for some of the parties to reach

3 settlement and some of the parties not to reach

4 settlement and to go to hearing with those that have

5 not reached settlement.

6 But if that's where we get to, then that's where

7 we get to, and we'll just have to see where the cards

8 fall on that issue in the future.

9 Okay. Any other matters that we need to discuss

10 today? Okay. Thank you.

11 (WHEREUPON, THE HEARING WAS CONCLUDED AT 1:59 P.M.)

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