MANAGER'S REPORT
03/13/2024
Budget Position Report
The Revenue section looks a bit strange because the last of the FEMA reimbursements were transferred from the Revenue Clearing Fund (601) to the Regular Maintenance Fund (401) on their way to the Major Repair Reserve (405).
Operational revenues for February were $94,808.93. Operational expenses were $71,192.65. That number is somewhat inflated, because we managed to pay one employee twice. The second payment was reimbursed in March. In addition, we spent $15,706.85 on Capital Projects (Power Platform retainage and the Water System Plan) for total cash out of $81,584.45. Revenues exceeded expenditures by $13,224.48.
We contributed $161,640.81 to reserves:
Out to Capital Replacement Fund: $ 6,711.00
Out to Major Repair Fund: $150,729.81
Out to USDA Loan Reserve: $ 4,200.00
Two things have contributed to the complexity of this report for February. The first being the FEMA reimbursement. Not only do we need to make sure to allocate that money to the appropriate fund, we need to keep careful track of where that money came from. We will be facing audits in the future on those revenues. The second contributor, which will continue on into the future, is payroll.
We now have to track accounts payable in order to make the quarterly reports (and payments) to the state. Theoretically, accounts payable are not tracked when using a cash basis. So it gets a bit convoluted. You will note we now have a 580 line item “Non Expenditures” that are payroll clearing line items that are negative expenditures.
Treasurer’s Report: Current EOY 2023
Fund Balances:
Regular Maintenance Fund: $ 81,993.23 $ 81,720.29
Capital Replacement Fund: $ 219,375.45 $205,953.45
Major Repair Reserve: $ 969,143.79 $666,893.55
General Facilities Fund: $ 163,459.31 $162,586.55
Total Funds Available: $1,433,971.78 $1,117,154.25
Monthly Utility Totals Report.
March billing (Section 1) is $112,032.67.
With all that is happening, I neglected to update the billing rates. They should have gone into affect this month. That task is now accomplished.
Claims Request
See enclosed Claims Request Form. $37,346.43
Water Bill Appeal
None of which I am aware.
Receipt Register
Receipts for February according to the receipt register were $96,741.51.
The receipt register will always vary slightly from the actual cash in the door due to transactions that don’t clear Xpress Bill Pay or the bank before the end of the month.
IT Issues
The web site was down for a few days. It started with access problems associated with the migration to Office 365 and exacerbated with some instability in the “theme” we were using.
The access problems were fixed fairly quickly, but it took a few days, and the purchase of a different “theme” to get the site back up and running.
All is good now except there is some updating I need to do.
This entailed a lot of work and did not do the IT Support line item any good, budget-wise.
Capital Asset Management
I have been using an application provided by Springbrook. When they took over from Bias, the decision was made to end support for that application.
I am going to need to shop for a new application. It still works, but there are no updates, no support, and if it glitches the data will be lost.
Request for Public Information
We have a request. We haven’t completely pulled the approach together.
Payroll Report
In your packets. It looks different as we are now on the Springbrook payroll application.
Payroll Responsibility Transfer
With the exception of having paid one person twice, we seem to be completely up to speed. The one thing we have not yet done is make the quarterly reports to the state.
Isolation Valves
The as-built project is underway.
Cross Connection Control
A great deal of progress has been made in updating our records and working with customers to get everyone into compliance.
There are some folks who have not responded to our communications. So the communications are getting a bit more definite. For folks who have assemblies that have not been tested, we have sent notice that if they don’t get them tested on this notice, the district will arrange testing and add it to their water bill.
The statutory alternative is to terminate water service. I am loath to do that.
Production Data
See the report. It is too early to make predictions.
Active Projects
Several projects are in process, but seem to be going slowly as preliminary work is moving forward. There is a lot on my plate and the highest priority projects get first call on my attention.
GENERATOR INVESTIGATION
I visited with Frank Shearer, the Assistant Fire Chief. The main take away is that they chose to go with diesel rather than propane because of the higher energy density, which results in better fuel efficiency.
I propose that we use General Facilities Fund resources to cover this project, if we decide to move forward. The purpose of the General Facilities Fund is to cover expenses resulting from additional services.
In view of the changing demographics with folks moving in with expectations for a higher level of service, I believe this use justifies the use of the General Facilities Fund.
With the almost certain requirement that the Department of Health will either require, or strongly suggest, we install a generator at the pump house, I propose that the commission authorize me to prepare a specification as a first step to preparing a solicitation for bids.
WATER SYSTEM PLAN
This is moving forward. With the installation of two new booster stations, particularly the Gavett Lane Booster Station, a new hydraulic analysis had to be completed.
When this project is complete I will transfer money from the Capital Asset Management Fund to the General Maintenance Fund. See comments below on interfund transfer resolutions.
GHC TRANSIT
No news in February. This project may drag on for some few years.
REYNVAAN EXTENSION
The signed engineering contract has been forwarded to Northwest Water Systems, Inc. The project is in their queue.
PAPE RETAIL CENTER
No news in February. This may be a dead project.
SHOP FENCE
No action until Spring.
ACCESS ROADS
Both the North Bank and the Clemons Reservoir access road projects have been deferred. We may examine later in the year.
AS-BUILTS UPDATE
This project is underway. The first step is for NWS, Inc. to acquire whatever GIS information is in the county files. A request has been made to the county. I have not heard back on the results.
ASHLEY & KAYLA
Deferred. Leaks will be repaired as found.
GENERATOR TRANSFER SWITCH
I have requested a proposal from Richie at MB Electric. No response in February.
ON-SITE CHLORINE GENERATION
In the last couple of months the cost of chlorine has jumped from $7.10/gallon to $10.40/gallon, a 45% increase.
It may be time to take a serious look at this project.
LEAD SERVICE LINE INVENTORY
I am making good progress on this project. At this stage it is primarily data collection and entry. So far, all the data we need is in district files.
DOLLAR GENERAL
This project is moving along quite rapidly.
Checks have arrived. Install will follow.
CAMERAS
It has become apparent that we need additional surveillance cameras in the critical areas. I have contacted MB Electric for a proposal.
I haven’t seen a proposal yet.
ELECTRONIC LOCKS
First phase is completed.
We will work with these for awhile before I propose a second phase.
Hydrant Maintenance
No action in February.
Leak Repairs
Quite a few routine repairs, and one not so routine repair. A saddle tap broke loose on the service lateral to the Chevron station. It was a very major leak and impacted quite a few of our customers, as well as requiring a good deal of effort on the district’s part and a lot of assistance from Brumfield.
This is the second instance of a failed saddle tap. The cause is easy to pin point. The tap was on the top of the water main. The two locations in which taps should never be made is the top of the main and the bottom of the main.
If on the bottom, the service lateral will collect sediment. On the top, fluctuations in flow through the main will cause turbulence around the tap. The turbulence will eventually cause the saddle to loosen, especially in the case of AC pipe.
We are fervently hoping that these are isolated cases.
Rate Study
Still needs additional updating.
New Regulations
The draft of the Revised Lead & Copper Rule is out. It looks, at first blush, like the biggest change is the requirement to update the Service Line Inventory on a periodic basis, and more attention paid to the characteristics of the lead/copper sampling sites.
I may need to add a provision for approval of Applications for Water Adequacy applications a requirement for inspection of the customer side service lateral. That data can then be entered into the Service Lateral Inventory.
Newsletter
The next one comes out the end of June.
Personnel
Succession
Manager
Commissioners
Maintenance Activity:
See enclosed report.
Contractor Repairs/Assistance
As noted above.
Shop Organization
The crew did a good deal of work around the shop lately and it looks very good.
Training/Certifications
Nothing new. I need to bear down on my CEU’s.
Safety
We have a mini safety meeting every morning.
Vehicles
Vehicle #1: 2015 HD2500 Service Truck. The service body for this truck needs serious attention. I am investigating the possibility of having it repaired, but I don’t hold out much hope. There is a lot of corrosion. It may well need replacement. There is a problem with the driver side door. Wire-Works is taking a look at that problem.
No action in February.
Vehicle #1: 2015 Service Truck. No issues that have not been discussed.
Vehicle #2: 2015 ½ Ton Pickup Truck: No Issues
Vehicle #3: 2019 ½ Ton Pickup Truck: No issues
Vehicle #4: 2008 HD3500 Service Truck: Lights and trailer wiring is complete.
Web Site
The web site was down for several days. The initial problem revolved around all the new security procedures everyone is implementing. In the course of updating our access to web hosting application, our user ID and password ceased to function.
A big roadblock to getting access back was the situation in which our user ID was the old Hotmail email address, to which we no longer have access. Which means we could not receive the links to change the password.
The process of assuring the hosting company that it was, indeed, us that wanted to change the contact email address, and not someone trying to hack our website, was Byzantine in the extreme.
Within that process, the “theme” in which our web site is built went into constant re-set mode. “Themes” are a framework within which web sites are built. The one we had been using was old, poorly supported, and in need of updating.
All is well now.
New Connections
See Completed Work Orders list. We are experiencing an uptick in applications for service, particularly in the Linkshire Terrace/Bonnieview Place area.
Disaster Management Planning
The electronic locks have been installed on the office, shop, and pump house locks.
The radios for the truck have been ordered. We are waiting for an install date.
Interfund Transfers
As you will note, I make quite a few interfund transfers in the course of a month. It has come to my attention that, technically, interfund transfers should be accompanied by resolutions.
This makes sense for some transfers. For instance, should we move forward with a generator at the pump house, the transfer/use of General Facilities money should be authorized by a stand alone resolution.
I should be requesting resolutions to move money out of reserve funds. I will do that going forward.
However, most of the transfers are routine transfers moving money into the various reserve funds. I wonder if it might be advisable to have some kind of blanket resolution for transferring money from the General Maintenance Fund into the various reserve funds.
Long Distance Service Laterals
No new issues pending.
Respectfully Submitted:
Reg Hearn
General Manager