MANAGER'S REPORT
10/11/2023
Budget Position Report
Operational revenues for September were $97,863.35. Operational expenses were $54,558.43. So operational revenues exceeded operational expenses by $43,304.92. Capital expenditures in September were $30,579.12 for the office floor project. So cash in the door exceeded total cash out the door by $12,725.80.
We contributed $13,582.83 to reserves:
Out to Capital Replacement Fund: $ 6,711.00
Out to Major Repair Fund: $ 2,671.83
Out to USDA Loan Reserve: $ 4,200.00
Operational expenses are slightly below the budget. Budget-wise we have used 73% of that line with 75% of the year behind us. We have collected 77% of our projected revenues. In addition we have received $9,471.75 (includes revenue from all funds) in interest from our investments year-to-date.
I have included both a report for just the 401 General Maintenance Fund, sans beginning balances, to report money in and money out. A complete budget report, including beginning balances, for all of the funds is also included.
It is a real struggle to keep the lid on expenses. As examples, chlorine has gone from $7.14/gallon to $10.40. Rock, ¾” minus (we use a lot of it) has gone from $17.19/cubic yard to $24.618/cubic yard.
Treasurer’s Report:
Fund Balances:
Regular Maintenance Fund: $ 13,671.64
Capital Replacement Fund: $185,820.45
Major Repair Reserve: $598,385.15
General Facilities Fund: $161,312.37
Total Funds Available: $959,189.61
The reimbursement from FEMA has been transferred from the 601 clearing Fund to the 405 Major Repair Reserve Fund.
Monthly Utility Totals Report.
October billing (Section 2) is $96,846.66.
Claims Request
$29,409.00
Water Bill Appeal
None of which I am aware.
Receipt Register
Receipts for September were $130,721.49.
I figured out why the cash in and the Receipt Register are not identical.
The Receipt Register records all of the finalized transactions for the month. Just because a transaction is finalized, does not mean the money has been deposited in the bank.
The credit/debit card process is:
Payment is made by credit/debit card or eCheck.
Credit/Debit transactions received by Xpress Bill Pay.
XBP submits the payments to the processing company.
Processing company clears the payment.
Processing company deposits money in our clearing account.
It can take from a few hours to a few days for an individual transaction to completely clear and the money end up in our account.
The eCheck process, through XBP is somewhat different. When someone pays by eCheck through XBP a paper check is not issued. Instead, the transaction is recorded in the district’s records as a receipt. There is a daily download of the payment.
The money is deposited in what amounts to an escrow account to which the district has access. Periodically, I transfer money from the escrow account to the district’s clearing account. I typically do that on Friday. We get five free transfers a month.
Unless the Friday is very close to the end of the month. In that case the transfer might be recorded in our records on the Friday but the money not hit the bank until the following month. That can make month end reconciliations difficult. I skip that transfer. So some money, though recorded as a receipt in the Receipt Register, lingers in the escrow account until the following month.
In summary, receipts recorded in the district records may, at the end of the month, be floating around somewhere in the process.
With that being said, the amount we will be transferring to the County from here forward is the actual cash that has been deposited in the clearing account according to the monthly bank statements.
IT Issues
Migration to Office 365 is scheduled for 10/11/23 and 10/12/23.
Capital Asset Management
Nothing in September.
Request for Public Information
Our process needs updating. I will be looking at this after dealing with the Risk & Resilience Certification.
No action in September.
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. We are in contact with the County to coordinate the changeover process.
Isolation Valves
A major break on Aberdeen Lake Road underscored the need to put organization of the district’s as-built information at top priority. See below.
Cross Connection Control
A great deal of progress has been made in updating our records and working with customers to get everyone into compliance.
Production Data
The Production Summary is in your packets. Note that the Daily Average, compared to last year, is still down despite high temperatures this Summer.
For the month of September 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. There is a lot on my plate and the highest priority projects get first call on my attention.
WATER SYSTEM PLAN
This is moving forward.
GHC TRANSIT
No news in September. 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 September.
SHOP FENCE
I have not yet contacted Frank Scherer, Deputy Fire Chief, for an introduction to the new fire chief.
No action in September.
ACCESS ROADS
Both the North Bank and the Clemons access road projects have been deferred.
HOLBROOK LANE/SCHRADER LANE MAIN BREAK
This project is complete. There is one more step in the process with FEMA. Estimates and submittals for management costs have not been completed or submitted. That will have a positive impact on the final reimbursement.
I am working with FEMA on that issue.
AS-BUILTS UPDATE
This project has to be moved to the head of the line. We have deferred this project for the past 11 years and the poor quality of our data has caused us problems on a regular basis.
I will be discussing with Northwest Water Systems, Inc, as they have indicated the most reasonable cost, in the days ahead.
ASHLEY & KAYLA
Deferred. Leaks will be repaired as found.
PUMP HOUSE FLOOR
Except for a few clips, this project is complete.
The photo was take before the last panels were in place.
POWER PANEL PLATFORM
The contract for this project has been signed around. I expect a schedule soon.
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.
Hydrant Maintenance
Some action in September. A lot of hydrants are getting tested and painted.
Leak Repairs
See the “Contractor Assistance” paragraph and the Closed Work Order Report.
Rate Study
Up to date for the moment, though expenses are a moving target thanks to inflation.
New Regulations
Though not new, a revision to the Lead & Copper Rule includes a provision that all Group A water systems (those with 15 or more connections) must complete an inventory, in regards to possible lead content, of all service laterals by 10/30/2024.
I have known of this revision for some time, but have deferred action until I had more information. I now have that information.
The news is not as bad as it could be, nor as good as we could wish. The good news is that we do not need to dig up every service lateral. The bad news is that the district will need to provide an inventory using processes that will pass muster with the Environmental Protection Agency for each and every service lateral.
The acceptable processes include a general investigation into the local history of lead regulations, a review of available data for each service lateral from the tap at the water main to the building foundation, and, if necessary, pot-holing service lines in the cases with insufficient evidence to make a determination.
This is a huge project. I have a plan which we will discuss at the meeting.
Newsletter
The draft of the November/December newsletter is in your packets. Please review. It needs to be approved at this meeting in order to get printed and mailed.
Conditions of Service
The mailing we recently did caused some confusion and anxiety. A common comment was that the Conditions of Service were confusing and difficult to wade through.
In researching the issue, Dali found an unofficial version of the conditions that is excerpts from the Policies and Procedures manual.
I will be posting this version on the web site and will include it in the upcoming newsletter. The full policy is available on the web site. It needs some updating. I will have a draft at the November meeting. Revisions will require commissioner approval.
Personnel
Nothing new.
Maintenance Activity:
See enclosed report.
Contractor Repairs/Assistance
Paving patches on Trentland Park and Pioneer
New hookup on Highway
Repair service connection at Stangland Construction
Bryerwood leak
Larson Lane leak
Fairway Drive leak
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
Kenny attended the ERWOW fall conference. I attended the WASWD fall conference. I will try and have a report to you before the meeting.
The short version is that we both learned some valuable information.
Safety
We have a mini safety meeting every morning.
Vehicles
Vehicle #1: 2015 HD2500 Service Truck: New tires. 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.
Vehicle #2: 2015 ½ Ton Pickup Truck: No Issues
Vehicle #3: 2019 ½ Ton Pickup Truck: Needs a backup alarm. Will go to Wire-Works.
Vehicle #4: 2008 HD3500 Service Truck: Lights and trailer brakes have been installed.
Web Site
The September 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 September.
New Connections
None.
Disaster Management Planning
No action in September. 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
No new issues pending.
Respectfully Submitted:
Reg Hearn
General Manager