MANAGER'S REPORT
10/14/2020
Budget Position Report
There are complete reconciled budget reports for each of the funds. The best summaries are in the September Budget Summary and the Treasurer’s Report.
Revenues for September were $64,402.79. Operational expenses (money actually out the door)were $46,461.03. So we took in $17,941.76 more than we spent.
We transferred the following money from General Maintenance:
$4,771.00 to Capital Replacement Reserve
$4,200.00 to USDA Payment Reserve
$8,970.76 to Major Repair Reserve
Actual revenues for the year are $624,221. The formal report for the General Maintenance Fund shows $910,764, but that includes interfund transfers from the Major Repair fund and Debt Service fund. Expenses for the year, excluding capital expenditures, total $498,422. So, operationally we are ahead by $125,799.
In terms of overall expenses, including the two capital replacement projects, we have spent $802,010. At this point we have a deficit of $177,880. Which is encouraging since we had the $303,000 in unexpected capital replacements. I expect the deficit to drop to some extent during this final quarter.
So far this year we have replenished the Major Repair Reserve $64,374.
Treasurer’s Report:
The Treasurer’s Report is still off by $9.00. I have looked. I just can’t find it. I bet it is a transposition somewhere.
Fund Balances To Date:
Regular Maintenance $ 70,630
Capital Replacement $ 42,938
Major Repair Reserve $245,128
General Facilities $118,263
Total Funds Available $476,959
So we have an improvement in our fund balances, over last month, of $21,357. So we are struggling back little by little.
Billing/Collections
In September we billed $98,307.85 and collected $84,146.65 (85%) which isn’t quite as good as the August billing. However, quite a few Section 1 payments came in on 10/1 and 10/2. Because those were payments that came in before the October billing went out, they really reflect September collections. With those receipts, we collected about $92,650 (I am not going to go through and determine an exact number) which brings the collection percent up 94%.
Billing for October was $66,214.00.
Water Rights
I have SOQ’s from Northwest Water Systems, and Morrisette. I am inclined to recommend Morrisette. I am sure NWS would use Robinson-Noble, just as Morrisette is proposing. Morrisette already has a great deal of data due to their work on the Water System Plan.
Payroll Report
Pretty typical. This is the last one that will include Shiree.
Pandemic
The office is still closed to the public but fully staffed. Phase 3 allows government offices to open subject to restrictions.
There is no practical way to meet the requirements for Phase 3 in order to open the office to the public.
Isolation Valves
We have raised a considerable number of valves. The repair on Grange at Hunley was greatly facilitated by a found valve. So that initiative is starting to pay dividends already.
Well #5 Source Meter
Quote: $6,631.25 + tax . I am going to pull the trigger on this one given the September collections.
Ashley & Kayla
Except for the few we have replaced, all the service lateral fittings are nylon. This is a situation waiting to cause us problems. I will have some “show & tell” at the meeting.
Hydrant Maintenance
Flushing is getting done. But we are behind in tagging and painting. See “Maintenance Activity” below.
Rate Study
No change since last month. After the end-of-the-year numbers are in I will go to work updating the study.
New Regulations
The County is delegating down again. The actual workload implications are minimal, but the legal implications are not.
I have enclosed a copy of their announcement.
Starting in January we will no longer send our signed Claims Requests to the County. Instead, we will transfer the data to their Excel spreadsheet form. I expect they have been doing that at their end, since we deliver a printed request to them.
The big item is the statement in italics at the bottom of the announcement. That statement, combined with the statement in their instructions for preparing next year’s budget (which states that the County does not track or monitor the district’s budget) clearly transfers all treasurer responsibilities to the district.
At this point (well, starting in January):
The Auditor’s office prints the district’s claims warrants;
The Treasurer’s office is our “bank”, calculates payroll tax deposits (and nothing else), and
makes the ACH deposits in employee bank accounts.
In the past the County reports were the official record and district’s internal accounting was for the district’s use. That situation has very definitely flipped. Fortunately, our internal, now “official”, accounting practices conform to the State’s “Budgeting, Accounting, Reporting System”, BARS.
I am not sure how this squares with Title 57, nor what we should do about it.
Recurring SCADA Power/Communications Problems
SCADA communications are now entirely internet based. As of this writing everything is going along extremely well.
I think we should convert the antenna pole at the office into a flag pole.
Personnel
Shiree has finished her task. She will be missed.
Now the rest of us just need to get comfortable with the new filing system.
Maintenance Activity:
Usual daily/weekly/monthly maintenance activity. I have found a somewhat more readable work order report.
In reading the report, it is a good idea to check to see what kind of work it was. For instance, the district did not install a swing set. That was a work order for a locate for a property owner’s installation of a swing set.
We are not keeping up. It is not for a lack of trying. Everyone is working smart, hard, and long. The maintenance tasks just keep piling up.
Roads
We have two access roads that are ongoing headaches. The North Bank access road and the Clemons Reservoir access roads are both steep and, when maintained, gravel. They are constant maintenance problems. Every time we drive up there we end up digging holes in the gravel.
I don’t know when yet, but we really need to consider paving those roads. I will be working it into the rate study.
Contractor Repairs/Assistance
515 Carl Way service lateral.
Grange Road leak repair.
Raising isolation valve boxes.
Clemons road service lateral
Tank Cleaning
This is on hold until the “Stay-at-Home” order is lifted.
As-Builts
On hold, except that the valve locating project will improve the information we have.
Shop Organization
The process of inventory has begun. And ground to a halt. This keeps falling victim to higher priority projects.
One area in which I have been remiss is doing a weekly tour of the entire system. Some things are falling through the cracks and I need to list those and make sure they get addressed. As of this writing the pumphouse and the shop are not in a tidy condition.
Training/Certifications
Mick does not yet have the exam scheduled. I keep nagging.
No action yet on setting up for webinars and online training. But I have to do something soon so that we can all keep up with our CEU’s. Though I can do some training with my laptop computer. I would prefer to do those at home, since I am subject to constant interruptions here in the office.
Safety
We have a mini safety meeting every morning. We have gone a long time without an L&I claim. We are all striving to keep that trend going.
Vehicles
Service Truck: The driver’s seat is beginning to wear out. We will need to have this seat re-covered. No action yet.
The driver’s side door hold-open had broken. That has been repaired.
Pickup Truck 1: No Issues
Pickup Truck 2: No issues
Backhoe: No issues.
Web Site
Nothing new
New Connection
7400 Hill Road
48 Sandtrap Lane
Fire Station
Just about complete. The dirt contractor has not leveled our well site. I talked to contractor and they haven’t forgotten us.
Grant Funding Pursuit
The “Stay-at-Home” order has pretty much shut this effort down for the time being.
Capital Asset Management
No news. Everything is proceeding according to the plan.
Disaster Management Planning
One of the things that has come out of my discussions with staff around this planning exercise is that our vehicles are too light to tow a generator capable of providing sufficient power for our well pumps.
At this point, I see little coordination between agencies within Grays Harbor County. I have some more names to contact, so my perception may be due to a lack of knowledge. I am working on it.
Isolation Valve Exercise Program
We will have a great deal more information on valve locations as we go through that effort. I don’t know how we are going to fit another maintenance item into staff availability.
I haven’t ordered a powered valve key yet as I am keeping expenses as low as possible. I wait to spend the money until we absolutely have to have the part, tool, supply, or whatever.
Shop Insulation
On hold until the “Stay-at-Home” order is lifted.
Long Distance Service Laterals
No new thoughts or events.
Respectfully Submitted:
Reg Hearn
General Manager