MANAGER'S REPORT
07/14/2021
Budget Position Report
Operational income for June was $70,131.13. Operational expenses were $36,567.55. We took in $33,563.58 more than we spent.
There were no capital expenditures in June.
We transferred $33,533.47 into reserve funds:
June YTD
Capital Replacement Reserve $ 4,771.00 $ 28,626.00
Major Repair Reserve $24,562.47 $108,387.19
Debt Service Reserve $ 4,200.00 $ 21,000.00
Total YTD to Reserves $141,007.63
I have included, in addition to the report for the 401 Regular Maintenance Fund (excluding beginning balances), a full report for all funds.
While I am pleased with budget performance, it is important to bear in mind that there are some tasks and projects that are planned for this year that have not yet been completed. Some of those are quite expensive.
Treasurer’s Report:
Fund Balances To Date:
Regular Maintenance $ 58,861
Capital Replacement $ 85,877
Major Repair Reserve $312,701
General Facilities $156,359
Total Funds Available $613,798
The Treasurer’s Report does not balance by $0.31. When things calm down a bit I will track that down.
The #1 Account, General Maintenance, keeps creeping up. It is a clearing account and should only have sufficient funds to cover the transfer to the County Treasurer. I will estimate what we need in the way of an additional transfer to the county, hopefully before the end of July.
The 601 Revenue Clearing Fund, continues to have a negative balance. This is due to the ins and outs of the credit card clearing account as well as this fund having a low balance at the beginning of the year.
Risk & Resiliency Assessment
As you know, this has been hanging over my head. I have managed to complete it and get the certification to EPA submitted on time.
I have included a copy of the Assessment in your packets. It takes some wading through, and is very technical. But, having gone through it, I think the process and methodology work well. It is not easy attempting to ponder the imponderable.
The real meat starts about half way through. Sorry. There are no page numbers. This report is generated from the assessment tool provided by EPA and they did not think to include page numbers. Look for “Assessment Summary”. The assessment monetizes the risks and the proposed improvements. I think it works well. One thing that is of interest to me is that the assessment monetizes the improvement possible by adding back up generators as $0.00. Based on the likelihood of an extended power outage (very low), there is no support for backup generators. This conclusion, in keeping with what we have been discussing, has major positive budget implications.
The Assessment is confidential. One of those rare items that is not public information.
Chlorine
The nationwide chlorine shortage continues. In each region it seems to be a combination of factors. In our region it was the failure of a critical piece of electrical equipment at the plant in Longview. That problem has been corrected. The plant is back up and running and we have received a shipment of chlorine sufficient for our needs. However, there is a good deal of catch up that needs to be addressed region-wide before we are all out of the woods.
This district’s situation is exacerbated by our location a goodly distance from major metropolitan distribution centers.
One thing this event, in the various regions, has revealed, is that the chlorine supply chain is very fragile. There are a lot of folks in the industry working on solutions.
JWM&A are working on the order of magnitude costs associated with converting to onsite chlorine generation. Sizing is critical.
Cornucopia of Federal Funding
We still have no clear picture as to what will be available, to whom, and on what basis. I am tracking it, but a lot of information is tied up in the Federal infrastructure bill being debated in Congress.
Copier
Specifications have been sent to Aberdeen Office Equipment. This acquisition falls under the “Vendor List” process.
Request for Public Information
Our process needs updating. I will be looking at this after dealing with the Risk & Resilience Certification.
No action in June.
Current Projects
Indefinite Delivery Contract
Awarded to Rognlin’s Inc. This is going well.
Reynvaan Extension
In engineering.
Water Rights
On hold
A community volunteer, John Campbell, has prepared a growth study for Central Park. It is a very interesting study. I have not had a chance to completely digest it in order to draw planning conclusions, but I will. It appears to be a very useful tool. It also reveals some holes in past data.
North Bank Reservoir and Clemons Reservoirs Access Roads Paving
In engineering
Ryenvaan Booster Station Pumphouse
Doing some evaluation. I am thinking that a metal building would be preferable to a wood building. Rot is an ongoing problem in wood pumphouses. We made some substantial repairs to this building about 10 years ago.
No action in June.
Hidden Valley Service Meter
Construction has started.
North Bank Reservoir Roof Recoating
In engineering
Because of the need to provide consistent specifications in our solicitations for bids we must utilize consultants (engineers) to develop detailed scopes of work. Therefore, projects start off with engineering.
Roads
In engineering
Payroll Report
No surprises. We will always have some overtime. There are tasks that have to be accomplished after hours, and there are always emergency responses.
AC Pipe
I was able to review, though not able to get a copy of, a technical paper regarding the characteristics of AC pipe and how it ages.
I have always thought that the longevity of AC pipe was related to soil chemistry. While that can play a part, the paper concludes that deterioration of AC pipe is more directly linked to water quality. Most AC pipe has an inner cement liner. It is only the outer layer of the pipe that is composed of cement and asbestos. As long as that liner is intact AC pipe will last a very long time, rivaling the life-expectancy of HDPE pipe.
Deterioration of the liner depends on the tendency of the transmitted water to leach minerals, particularly calcium, out of the concrete. Once the concrete liner is breached, the pipe will deteriorate rapidly.
In all the pipe we have repaired over the years I have observed the liner to be completely intact. In all cases that I have been able to observe the liner is smooth with no signs of mineral leaching. Those observations are backed up by our water quality analysis. If significant leaching were occurring, it can be expected that there would be significant levels of calcium in the tested water. Such is not the case in our testing. If it were breached to any significant extent, we would see asbestos. Also not the case.
Though careful monitoring is still very much in order, the conclusions of the report are encouraging in this district’s situation.
The main benefit is it puts our Major Repair Reserve Fund into a much better light. While the need to build it up continues, the worry that it is insufficient to replace long lengths of water main is reduced.
Pandemic
The restrictions have been, mostly, lifted. We have opened the office to the public, though we have not made any public announcements.
Isolation Valves
No action in June.
Past Due Accounts
My illness has slowed action on these accounts. The governor has extended the moratorium on late fees and collection activities to September 30. But he has promised this to be the last extension.
We did place a lien on the property in which the new Dollar General store will be located. I have informed the developer’s representative of the past due.
Damaged Fire Hydrant
No news
Well #5 Source Meter
The meter is on back order.
North Bank Reservoir
JWM&A has provided some specifications on various coating materials. I need to review those specs and choose one.
Contracting
This process seems to be working smoothly.
Ashley & Kayla
No Action in June
Hydrant Maintenance
Some hydrant flushing got done in June. We are still behind in painting but catching up on tagging. See “Maintenance Activity” below. We will be hitting hydrant maintenance hard in July and going forward into the Summer.
A major emphasis is making sure all the hydrants are clearly numbered. This is useful for the district and vital for the fire district.
Rate Study
I had hoped to have some more information for the July meeting, as this is when we start considering the budget for the following year. However, I have not been able to catch this up.
Shop Fence
No progress on this project yet. This will take some discussions with the fire district as the 50-foot strip of fire district-owned property to the west presents some challenges as to where the fence should be located.
This issue has developed some complications as we have not been able to develop a working relationship with the new fire chief. That will happen soon.
I will need more information before I can propose a funding source.
New Regulations
No new regulations this month.
Personnel
Dali has picked up on her duties very well.
Maintenance Activity:
See the attached report. We need to work on making sure work orders are assigned to the appropriate class of work and project.
Contractor Repairs/Assistance
York Drive leak repair.
Tank Cleaning
Awaiting a date.
Shop Organization
Tom suggested, at the last meeting, a separate small building in which to organize the small parts. I have looked at this suggestion in some detail, and it looks like a very workable solution.
I will be acting on it very soon.
Billing
We encountered some billing difficulties for the July billing. I believe we have them under control, but getting the bills out was a bit of a fire drill. We can discuss the details at the meeting.
Training/Certifications
I had to cancel the class for which I was signed up. I have just a few CEU hours to complete by the end of the year.
The WASWD Fall Conference will be an in-person event this year. I will be attending. It will be held at the Great Wolf Lodge in Chehalis.
Safety
We have a mini safety meeting every morning.
We have reviewed the necessity of IMMEDIATELY addressing even very small injuries.
Vehicles
Service Truck: No issues
Pickup Truck 1: No Issues
Pickup Truck 2: No issues
Backhoe: No issues.
Web Site
There was no manager’s report for May.
New Connections
Though we haven’t seen the paperwork yet, Dollar General is coming to the property across Solki from the 7-11.
Spoils Site
Northwest Rock accepts vactor mud at their Stafford Creek woodwaste landfill.
Capital Asset Management
Everything is proceeding according to the plan.
Disaster Management Planning
The Risk & Resiliency Assessment is complete (a copy is in your packets) and the completion certification has been submitted to EPA. Another reminder, the Assessment is confidential.
Isolation Valve Exercise Program
On hold
Long Distance Service Laterals
No new thoughts or events.
My Health
I continue to battle shingles. Because I had to be out for a couple of weeks there is a considerable backlog of tasks. I am catching those up as best I can. My stamina is low and limits the time I can spend in the office.
Remote Work Capability
The ability for me to work remotely (from home or while at conferences) has been limited. I have looked at various approaches and have concluded that the most effective, and secure, method is to use a small computer (I am favoring a MicroSoft Surface) as both my office computer and as the remote computer. I can simply carry the computer back and forth rather than attempting to set up remote access to a desk top computer.
Respectfully Submitted:
Reg Hearn
General Manager