MANAGER'S REPORT
07/12/2023
Shane Peterson passed away June 15, 2023.
Budget Position Report
Operational revenues for June were $108,678.85. Operational expenses were $63,917.74. So operational revenues exceeded operational expenses by $44,761.11. There were no capital expenditures in June.
We contributed $46,309.55 to reserves:
Out to Capital Replacement Fund: $ 6,423.00
Out to Major Repair Fund: $ 35,686.55
Out to USDA Loan Reserve: $ 4,200.00
Operational expenses are ahead of the budget. Budget-wise we have 46.7% of that line remaining at the end of June with 50% of the year remaining. Operational revenues stand at 49.9% at the end of June, so we are right on track with revenue projections.
We had budgeted to contribute $137,311 to the Major Repair Reserve Fund in 2023. To date we have managed to contribute $164,275.54, over our annual goal by $26,964.54. However, we have had to take $128,537.25 out of the Major Repair Reserve Fund to cover the Holbrook Lane/Schrader Lane/Reynvaan Booster Station projects. The FEMA reimbursement process is still underway.
Treasurer’s Report:
Fund Balances:
Regular Maintenance Fund: $ 59,981.19
Capital Replacement Fund: $176,312.85
Major Repair Reserve: $423,081.88
General Facilities Fund: $160,061.68
Total Funds Available: $819,437.60
Monthly Utility Totals Report.
July billing (Section 1) is $117,626.85.
Claims Request
$31,734.22
Water Bill Appeal
Not a water bill appeal, but we have a customer on one of those extended service laterals who would like to share his situation with the commissioners. He lives on Gabbert Lane, he has a leak, and his service lateral crosses two other properties. He intends to be at the meeting.
Receipt Register
Receipts for June were $82,053.47.
IT Issues
Work on the office network and computer has commenced. Slowly.
Capital Asset Management
$288.00 for the Water System Plan will be transferred from the Capital Replacement Fund to the Regular Maintenance Fund. The transfer will be reflected in the July Budget Position Report.
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.
However, our general approach is, if someone wants public information, we provide it. The only problem with that approach is that it leaves us open to outrageous requests.
Payroll Report
In your packets.
Payroll Responsibility Transfer
Implementation of the Springbrook payroll module has commenced. It is going well so far. The setup consultant is extremely helpful in making sure everything is set up properly.
We were able to compare our April input into the program with the county payroll reports. There are quite a few differences, some just a matter of pennies, others rather significant. I will be following those up in the near future.
I hope to run a comparison on the May payroll in the next couple of weeks.
Isolation Valves
No action in June
Cross Connection Control
Kenny has noticed that there are several service connections with possible CCC issues for which we have no record of backflow prevention devices having been installed or tested.
Kenny and Dali have teamed up to catch up the records and contact those services for which we have no records. There are quite a few.
Production Data
The Production Summary is in your packets. Note that the Daily Average, compared to last year, is way down. That might change some as we get into Summer, but it is holding up so far.
For the month of June almost every day was lower than the same day last year.
Active Projects
Several projects are in process, but seem to be going slowly as preliminary work is moving forward.
WATER SYSTEM PLAN
The signed contract has been forwarded to the engineer. The work has started. This project will jump start my work on the rate study, as it requires a six-year budget.
GHC TRANSIT
No news in June. This project may drag on for some few years.
REYNVAAN EXTENSION
The signed engineering contract has been forwarded to Northwest Water Systems, Inc.
PAPE RETAIL CENTER
No news in June.
This project, and the GHC project, has some challenges. When LeMay built Phase I of their project they begged and pleaded to put the booster station on the northwest corner of the project.
The district’s original requirement was to place the booster station at the reservoirs. However, given the cost and difficulty of getting power to the reservoir site, the district acquiesced to the request to place the booster station at it’s current location.
LeMay is commencing work on Phase II of their project, which is to the west of the booster station. The district has informed Pape and GHT that a water main extension will be required from downstream of the booster station west to serve their properties. With the new LeMay project I have suggested to the LeMay design team that they coordinate with Pape and GHT in order to avoid duplication of effort.
In hindsight the district should have stuck to requiring the booster station at the reservoir site. I made the call.
SHOP FENCE
I have not yet contacted Frank Scherer, Deputy Fire Chief, for an introduction to the new fire chief.
No action in June.
ACCESS ROADS
Both the North Bank and the Clemons access road projects have been deferred.
REYNVAAN BOOSTER STATION
Construction has been complete for some time. FEMA reimbursement has to run through the Washington State Military Department. I don’t know why.
All the paperwork has been submitted.
HOLBROOK LANE/SCHRADER LANE MAIN BREAK
This project is complete. My understanding is that the approval is about to be forwarded to the Washington State Military Department.
The final invoice from Rognlin’s has been received. Funds have been transferred from the Major Repair Reserve Fund to the Regular Maintenance Fund to cover the expense. That transfer will be reflected in the August (for July transactions) reports.
This expense has been transmitted to FEMA and will be included in the reimbursement.
AS-BUILTS UPDATE
I have discussed this problem with Todd Krause of Northwest Water Systems. They are now offering GIS assistance. He is of the opinion that they can get us up and running for an initial cost of between $20,000 and $30,000 and ongoing support in the $100/month range.
The objective of the ongoing support is to keep the records up to date as changes are made or new information comes to light.
This is way below what others have estimated, by a factor of six or seven. I will be moving forward to explore this further with the objective of establishing a firm estimate.
No action in June
ASHLEY & KAYLA
Deferred. Leaks will be repaired as found.
PUMP HOUSE FLOOR
I have received quotes from Millers, Smith & Loxley for this project. I have included a copy of the quote in your packets last month.
This came in quite a bit higher than I anticipated, but within the $50,000 Limited Public Works rules. But above the $5,000 limit (by quite a bit) for the alternative to the Small Works Roster, so I have solicited a quote from others.
All that being said, we are looking at the possibility of doing this project in-house. I think it is do-able. My only concern is that the project will take time away from other tasks. We don’t have much slack in our schedule.
OFFICE FLOORING
Only one bid was received, Rognlin’s, Inc. It looks high at first glance, but it includes not only the flooring (commercial grade. It should last longer than the building), but also moving the furniture out of the office and providing safe storage, and providing a temporary office. The project is anticipated to take three days. We can’t shut down office operations that long.
POWER PANEL PLATFORM
I have received quotes from Millers, Smith & Losley for this project. I have included a copy of the quote in your packets last month.
This came in quite a bit higher than I anticipated, but within the $50,000 Limited Public Works rules. But above the $5,000 Alternative bidding process (by quite a bit) so I have solicited a quote from others.
This will be fabricated off-site, so is not subject to prevailing wage.
I propose to fund this project from the Major Repair Reserve.
I have solicited additional bids, but no response so far.
ON-SITE CHLORINE GENERATION
No action in June. This project is on hold for a lack time to address and for a lack of funding.
Hydrant Maintenance
Some action in June. A lot of hydrants are getting tested and painted.
Leak Repairs
Four service lateral leak repairs;
Central Park Drive (actually a main repair. PUD nicked our water main)
Solki Road
Park Road
Grange Road
Rate Study
No effort expended in June. I will need to bear down on this in June as it will contribute data for the Water System Plan.
New Regulations
There is a new requirement to inventory materials in service laterals. The object is to identify any components containing lead. I don’t know what the level of effort will be required. I will be studying up on it in the weeks ahead. I have not been able to follow up on this one yet.
Effective July 1st, there is a new policy requiring water systems (and some other utilities) to re-connect services that have been disconnected due to non-payment in the event that an Extreme Heat Watch, Advisory, or Warning is issued by the national weather service. The customer must request the re-connect.
I have included some take-away items from a recent presentation on the requirement.
You will note that the regulation includes the option for the utility to require a payment plan as a condition of restoring service during the notification period. However, I left that out of the proposed policy. Here in Grays Harbor County extreme heat events usually last a day or two. It typically takes more time than that to get a payment plan in place.
Personnel
Nothing new.
Maintenance Activity:
See enclosed report.
Contractor Repairs/Assistance
Solki Road
Central Park Drive
Shop Organization
This is an ongoing project. Not only because there is quite a bit to do in terms of general organization, but bits and pieces, particularly scrap parts removed as a result of repairs, tend to accumulate.
The bins for small parts is working very well, though not fully implemented with record keeping in the computer. At least small parts are in dedicated bins so we can see what we have, or don’t have, so that we don’t over-order or find we are out of a critical piece at a crucial time.
Training/Certifications
No training activities in June.
Safety
We have a mini safety meeting every morning.
Vehicles
Vehicle #1: 2015 HD2500 Service Truck: The passenger side window has ceased to function properly. This will go to the dealer. The repair will be funded from the Capital Asset Management Fund. We are going to have work lights installed on this truck in order to facilitate work after dark. No action in June. Will be addressed at the next regular service.
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 hitch.
We are in touch with Wire-Works (Mike Crawford) regarding work lights for Vehicle #1 and a full set of lights for Vehicle #4. Trailer controls are also on the list for Vehicle #4. The electrical work is scheduled for the week of June 12th. Work schedules precluded getting the trucks in. New dates are being set up. Once electrical is complete on Vehicle #4 we will work on getting a trailer hitch fabricated and installed.
Not usually included in this section is the tractor. There seems to be something rattling around in the sump. The tractor is at Pape. No word yet on what the problem might be. I am not optimistic.
I spent some time, many years ago, working on these tractors. Things rattling around in the sump is not good. Pape thinks it is a rock, though they haven’t dropped the pan yet. I don’t know how a rock can get into the sump. I am thinking it is a part that has dropped off or broken off. An engine overhaul would not surprise me.
Web Site
The June Manager's Report is posted.
I still need someone to improve our “Pay My Bill” button. A community member has volunteered to help, but is very busy at the moment, and the consultant I have used in the past has been somewhat non-responsive. No follow up on this issue in June.
Newsletter/Consumer Confidence Report
On the street. Copies of both are posted on the web site and emailed to all of the paperless billing customers through the Xpress Bill Pay email service.
I am thinking of increasing the frequency of the newsletter but only distribute it through Xpress Bill Pay and the web site. Customers can sign up for an Xpress Bill Pay account for no charge even they do not want to pay their bill on line.
New Connections
None.
Disaster Management Planning
No action in June. I need to bear down on this. EPA will be asking for the certification soon. There will also be some work on this plan in the process of working on the Water System Plan
Long Distance Service Laterals
The split at the foot of Haek Lane has been accomplished.
A situation has developed on Gabbert Lane. One service has developed a leak. Our crews were unable to find it. The service lateral crosses two other properties.
Thoughts on Country Estates
I will discuss at the meeting.
Respectfully Submitted:
Reg Hearn
General Manager