GRAYS HARBOR COUNTY WATER DISTRICT #2

MANAGER'S REPORT

11/10/2021

Budget Position Report

Revenues for October were $109,639.35. ​​ Operational expenses were $90,059.72. ​​ So revenues exceeded expenses $19,579.63.

We transferred the following funds to reserves:

 Capital Replacement:  $ ​​ 4,771.00

 Major Repair   $10,631.20

 Debt Service (USDA)  $ ​​ 4,200.00

Total to Reserves:   $19,602.20

Revenues for the year to date are $803,855.62 (Leaving out the interfund transfers). ​​ That is below projected revenues. At this rate our projected annual revenues will be about ​​ $964,300. ​​ 

Operational expenses for the year to date are $530,518.34. ​​ So far we have spent $273,337.28 less than we have brought in. For the year we have contributed $275,850.78 to reserves. ​​ Of which $37,800 is reserved for USDA payments. ​​ So $238,050.78 has been contributed to usable reserves.

Treasurer’s Report:

Fund balances in funds that can be used for district operations are:

 Regular Maintenance Fund:  $ ​​ 88,352.41

 Capital Replacement Fund:  $104,961.25

 Major Repair Fund:   $396,806.17

 General Facilities Fund:  $156,385.05

Total Reserves     $746,504.88

IT Assistance

I have identified a consultant (Seattle Tech). ​​ They have been out to conduct an initial assessment. ​​ In addition to the networking problems we are having, we have some security issues that need to be addressed.

We are still having trouble getting the daily reports from SCADA. ​​ I am working with Systems Interface, Radix (the company that purchased Infinite Automation), and Seattle Tech to resolve the issue. ​​ The major road block at the moment is getting access through the fire wall for Radix. ​​ 

Chlorine

The supply has been working out OK. ​​ Still nothing from the engineer on the feasibility of on site generation.

Capital Asset Management

The new copier is in place. ​​ We are very pleased with it. That is the only item scheduled for replacement in 2021.

There are no Capital Assets in the program scheduled for replacement in 2022. ​​ However, we will be replacing the Reynvaan Pumphouse in 2022.

I am thinking this would be a good time to replace the controls.  ​​​​ Currently they are superannuated (old) contactors mounted in a box on a power pole. ​​ Pressure switches and bladder tanks are in a pump house at the top of the hill. I am proposing we replace those controls with VFD controls all mounted in the booster station pump house at the reservoir site. ​​ This will replace the contactors (I am pleasantly surprised that they have not yet failed), upgrade the controls to modern technology (improving the life span of the pumps), get the controls into a more weather tight location, and eliminate the maintenance chores associated with the bladder tank/pressure switch arrangement.  ​​​​ We could remove the “bag house” and vacate the easement. ​​ Thus eliminating another maintenance item as well as a power connection.

The prospect of much higher rates of inflation in the months ahead are a concern for the planning involved in capital asset management. ​​ The question arises if the projected replacement costs are sufficient. ​​ 

Request for Public Information

Our process needs updating. ​​ I will be looking at this after dealing with the Risk & Resilience Certification. ​​ 

No action in October.

Small Parts Shed

The shed has been ordered. ​​ It should arrive late November early December.

Sunset Road Water Main

I really need clear direction as to how we are going to configure the financial arrangements.

Payroll Report

The county report (and your paychecks) has not arrived as of this writing.

Pandemic

The new mandates are in place. ​​ For the District, if we are closed to the public, inside staff that are vaccinated may work without masks. ​​ Un-vaccinated are required to wear masks.

We are not inquiring into staff's vaccine status. ​​ 

The office is again closed to the public.

Isolation Valves

No action in October.

Past Due Accounts 

We have sent a letter and a payment agreement form to the accounts past due more than two billing cycles. ​​ At least one account responded by paying in full.

We have developed a method to track payment agreements apart from the regular utility billing process. ​​ One of the problems we encountered was tracking who had a payment agreement and who did not. ​​ Plus, if kept inside utility billing, the entire past due would be subject to late fees. ​​ One of the elements of the payment agreement is that late fees would not be charged on the balances incorporated in the agreement. ​​ Of course, there should be no late fees on the regular billing either. ​​ Another element of the agreement is that missing an agreement payment or being late on the utility bill will result in immediate shut-off.

Any accounts that do not respond before January 1st will be subject to late fees and water shut off. ​​ We will start applying late fees across the board on the January 1st billing.

We need to make a decision on the one seriously past due account ($25,000+). ​​ 

Projects

Damaged Fire Hydrant 

Scott has accepted the counter offer.  ​​​​ 

Highway 12 Meters

I initiated a program to install radio read meters some few years ago as a safety measure. ​​ The idea being that crews would not have to spend time along the highway. ​​ They could read those meters by driving down the highway.

That program has not worked as planned. ​​ There are multiple factors. ​​ 

Conditions are very wet along the bottom of the hillside to the north of the highway. ​​ That is the north wall of the valley and features numerous springs. ​​ Meter boxes often fill with water and the radio read meters do not work well in those conditions.

Also due to water flow, meter boxes in our area often fill with silt. ​​ That, again, inhibits the operation of the meter.

The two above conditions mean that crews have to stop along the highway in order to get a clear read, or even leave the truck and read the meter by hand. ​​ Those two conditions actually increase the safety hazards compared to just hand reading all the meters.

The third issue is that the radio read meters do not always read accurately. ​​ In recent days we have discovered that some meters are not getting read at all.

In addition, with these particular meters, customer service from Kamstrup and/or Correct Equipment (the vendor) has been inadequate. ​​ And, we are not getting the advantage of someone examining each service connection at least once every two months.

This was a good idea that did not work.

For the time being we will be hand reading the radio read meters. ​​ As those meters die, we will be replacing them with standard meters.

We have some discussions among the staff of trying a different radio read meter. ​​ I am not in favor of spending money on what amounts to an experiment.

Well #5 Source Meter

The meter is on back order.  ​​​​ 

Ashley & Kayla

No Action in October

Hydrant Maintenance

Slow due to other priorities.

Rate Study

I am struggling with making the time to update the study. ​​ The uncertainty surrounding inflation going forward is contributing to the difficulty of providing a meaningful study.

New Regulations

The current word is that PFAS testing will be required starting in 2024. ​​ We don't know the extent, cost, or scheduling yet.  ​​​​ There was a webinar on the subject but I was unable to attend.

There is more information available on this subject. ​​ I simply have not had time to study it. ​​ 

Personnel

No News

Maintenance Activity:

See the attached report. ​​ 

Contractor Repairs/Assistance

6715 Central Park Drive. ​​ Actually completed in September

3910 Aberdeen Lake Road

814 Joanne Way

6903 Central Park Drive

5502 Alder Glen

Most of these are fairly routine. ​​ However the service lateral on 6715 CPD required a road crossing. ​​ The service lateral was not in a conduit so we had the options of cut-and-cover (not a pleasant prospect on CPD) or horizontal drilling. ​​ Either option was expensive for different reasons. ​​ Pulling a service lateral or using the torpedo approach were not practical due to the nature of CPD. ​​ We chose horizontal drilling. ​​ 

Shop Organization

See the discussion on the Small Parts Shed.

Training/Certifications

We all have our CEU’s for the period. ​​ The next three-year period starts in January.

Safety

We have a mini safety meeting every morning. ​​ Mick managed to hurt his back while repairing a service lateral. ​​ He has been on light duty for most of October.

Vehicles

Service Truck: ​​ No Issues

Pickup Truck 1: ​​ No Issues

Pickup Truck 2:  ​​​​ No issues

Backhoe: ​​ No issues.

Web Site

The October Manager's Report is posted, along with a link to the financial statement. ​​ The November news letter and the 2022 Schedule of Rates & Fees have been posted.

New Connections

None in October.

Spoils Site

Northwest Rock accepts vactor mud at their Stafford Creek woodwaste landfill. ​​ 

We have done some grading and clearing at the well site that gives us more space for clean spoils. ​​ Iverson Construction had committed to doing that grading work in exchange for depositing clean spoils from the fire station construction. ​​ But they never got around to it. ​​ So we contracted Brumfield to do the work as a maintenance item.

Disaster Management Planning

No action in October.

Long Distance Service Laterals

See Sunset Road discussion.

My Health

I continue to battle nerve pain left over from shingles. ​​ Though the level of pain has diminished considerably. The only thing limiting my time in the office at the moment is the ability to sleep. ​​ I am off the medications and use a lidocaine patch during the night. ​​ Most nights are good. ​​ Some others, not so much.

My doctor tells me the pain may go away tomorrow, or it may never go away. ​​ 

Remote Work Capability

The only thing I have not worked out is access to SCADA. ​​ I am working on that.

Respectfully Submitted:

Reg Hearn

General Manager